Integrated Project Delivery is a project delivery approach that integrates people, systems, business structures and practices into a process that collaboratively harnesses the talents and insights of all participants to optimize project results, increase value to the owner, reduce waste, and maximize efficiency through all phases of design, fabrication, and construction.”
Many believe that IPD was derived from ideas generated by Toyota Production System. I believe it is the beginning of the next generation of the design and construction process and has far reaching implications. The design and construction industry is a flawed industry and the multitude of processes are outdated and breed a negative value for property owners, contractors and designers. Liability is high and accountability is low.
In the current industry processes, innovation is discourage and many times innovators are penalized. This is true for owners, contractors and designers. Innovation is added risk. For many reasons the construction industry lags behind other industries in the adaptation of new technologies. This needs to be corrected and IPD is a good start.
The phases for IDP are set up to capitalize on collaboration and allow for continual value review. Advanced change management software like BIM (Building Information Modeling) is critical for making this efficient on the design end.
The 8 basic phases in the IPD process:
Conceptualization Criteria Design Detailed Design Implementation Document Phase Agency Review Phase Buyout Phase Construction Phase Closeout Phase
IPD is based on some very basic principles:
Mutual Respect and Trust Mutual Benefits and Rewards Collaborative Innovation and Decisions Early Goal Definition Intensified Planning Open Communication Appropriate Technology Organization and Leadership.
Unlike the often misunderstood Design-Build process which places the Contractor at the center of the building project IPD is a collaborative Master Builder process based on contributions from the entire building team including the owner, architect, general contractor, building engineers, subcontractors, fabricators and product vendors.
IPD Owner Benefits:
Early and open sharing of project knowledge streamlines project communications and allows the owner to effectively balance project options to meet their business enterprise goals. All of this increases the likelihood the project goals, including schedule, life cycle costs, quality and sustainability will be achieved.
IPD Designer Benefits:
The IPD process increases the level of effort during the design phases, resulting in reduced documentation time, and improved cost controls and budget management, all of which increase the liklihood ththat project goals including schedule, life cycle costs, quality and sustainability will be achieved.
IPD Contractor Benefits:
The constructor’s participation during the design phase provides the opportunity for stronger pre-construction planning, more timely and informed understanding of the design, and improved cost control and budget management. I believe technology and BIM are at the center of IPD. Technology is what makes this process work.
So why hasn’t this process taken hold in the Midwest?
#1. One reason for this is that the liabilities are not ironed out contractually. As a professional business owner I would not risk my fee, unless I absolutely had to, on the performance of another project team member.
#2. Another reason is timing. Companies are risk averse generally and extremely risk averse now with the economic downturn.
Even so, I still believe IPD has great potential may be a glimpse of the future of property development. My only caveat is if the industry isn’t turned upside down with the lack of financing.
There are many articles written on IPD and BIM and they provide some valuable information and hopefully will help to push the design and construction industry forward.
Has anyone used IPD successfully? If so, besides contractual, what are the greatest challenges?
Make a plan. Have a plan. You’ll be glad you did!