The research presented in this report aimed to document three cases of IPD implementation in Canada to understand how and why IPD was implemented, if it was successful, and the reasons that led to this success or lack thereof. The case studies presented in this project are among the first documented cases of IPD implementation in the Canadian context.
These cases demonstrate how new and innovative practices, techniques, and strategies made a significant difference in project outcomes. It explores ten projects from around the US and Canada: four Healthcare projects, two Medical Office Buildings, and four Office Buildings, including both new and renovation. Project scopes range from $9.6M to $119M. All projects utilized an integrated form of agreement and employed Lean design and construction techniques. Jointly sponsored by LCI and IPDA.
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Due to IPD, Edmonton’s Mosaic Centre was delivered 12% below market cost and 29% ahead of schedule. Here is the proof. At the same time we began Mosaic, Chandos was the successful bidder on a public tender project that is very similar to the Mosaic Centre. Both buildings are roughly 30,000 square feet; the structure is the same; fees are comparable; they are both mixed-use office buildings and were both procured at the exact same time.
What if we tied the team’s profit to a fixed cost before design began? That’s the key to Integrated Project Delivery. Sutter Health faced a crisis in their business. The cost of delivering hospitals using CM, DB or LS approaches had risen to $2 million per bed. Yet, the business case didn’t make sense past $1.5 million. They challenged their partners to find a better way to build. The challenge was accepted and integrated project delivery was born as a means to eliminate financial waste.
When you hear the explanation for status quo, keep asking why. The solution lies in the disciplined pursuit of a better way to build. Lean construction is about rigor. And it’s about process. Our own experience tells us that productivity gains in excess of 20% are very realistic. Nothing worth doing is easy. The rewards are great for those who persist.
Building information modeling has been on the scene for some time but the industry still seems unconvinced. How can this be? If a picture is worth a thousand words a 3D or 4D model must be worth more! Is that hesitance rooted in fear of what happens if things went wrong? If so, aren’t we really talking about a leadership vacuum? We think so.
Unique to this study is the opportunity to study projects from early phases through completion. Following projects over time, AIA was able to gain insight on the evolution of each project, its collaborative culture and areas of success and challenge. This document is focused on project activities that lay the foundation for collaborative practices in IPD.