Tuesday, November 1, 2011

An Integrated Legal Framework for IPD BIM and Lean

Welcome to the Collaborative Revolution!

I've been kicking around the idea of a new legal framework within which to deploy IPD, BIM and Lean processes and the idea seems to be gaining a bit of traction.  I thought I would share a summary of the concept with readers of the blog.  I will follow this post, over the next few weeks, with copies of the articles I've written over the past year for the BUILT - BIM to FM Series in AUGIWorld Magazine where I have detailed a few of the thoughts underlying this concept.

Feel free to link these posts to friends and colleagues you think might be interested in engaging substantively on the topic.  On a related note, this concept will be a central theme of the Wicked Solutions Series that I will be presenting in Canada in January.  Collaborative workshops are currently planned for Vancouver and Calgary and I will also be presenting at the Western Canadian Construction Superconference.  We would like to present a series of workshops in Canada and we are actively recruiting sponsors for those workshops.  If you know of any companies seeking a presence in Canada the Wicked Solutions Series would be a great place to start.

Integrated Legal Frameworks
An Executive Summary for Institutional Stakeholders

A New Legal Framework

Innovation, modern problems and modern solutions create complexity and opportunities for innovators. New legal frameworks will empower owners to procure built industry services more efficiently. The $4.6 trillion global construction industry needs a legal makeover. Integrating legal agreements across disciplines – e.g. finance, planning, design, construction, insurance, sureties, operations and maintenance – enables solutions. A cross disciplinary framework provides a roadmap to integrating planning, design, construction, operations, and maintenance services. Lending instruments, insurance products, surety bonds, project specific agreements and long term operations and maintenance contracts need to exist in a common legal framework that supports and enables integrated project delivery, BIM and lean processes.

Design Bid Build is Fatally Flawed

Design, bid, build is dead. The process delivers projects – not products – piecemeal and increases waste and risk. Stakeholders operate in silos – a product of antiquated financial instruments, legal agreements, surety bonds and insurance products – failing to share knowledge across disciplines. This deeply flawed process costs trillions annually. Institutional consumers of planning, design and construction services who revolutionize the process, will save billions and revitalize economies.

Integrated Manufacturing as a Model

Manufacturers pioneered business process integration, reaping benefits globally. We now track conceptualization, design, fabrication, sales, distribution, warranties, service, and every other facet of a product’s life cycle. The same is rarely true of institutional facilities. Emerging market forces – environmental and energy awareness, BIM mandates, etc. – are, however, pressuring the fragmented and dysfunctional construction industry to deliver high performance buildings and functional digital assets. This the industry cannot do sans integration. Institutional consumers of built industry services must create a new integrated legal framework to foster integrated – and efficient – delivery of these services.

New Generation Legal Instruments

Integrating planning, design, construction, operations and maintenance expands markets, increases efficiency and reduces waste. Integrating new business processes into lending instruments, legal agreements and insurance products requires cross disciplinary cooperation among highly skilled professionals. Institutional owners can leverage these innovative business processes by crafting a new legal framework that supports these processes. Innovative new legal instruments will increase the efficiency with which built industry services are delivered to institutional owners, saving time and money.

James L. Salmon, Esq.
Collaborative Construction
300 Pike Street
Cincinnati, Ohio 45202
Office 513-721-5672
Fax 513-562-4388
Cell 512-630-4446
Collaborative Construction Website
Sustainable Land Development International