It cannot be said that this is new. Just as we moved from drawing boards to computer-aided design, we are now moving to BIM
There is a lot of talk about the benefits of BIM, and there is still a pressing question among clients, both private and public, – what exactly are the costs of BIM.
When working with public and private customers, the question of how much BIM will cost is often encountered. In the past, this question had to be faced in almost every conversation with the customer, but now this question is becoming more and more rare.
Clients learn on their own and share their success stories with colleagues, which encourages other clients to focus on BIM as well. In any case, the question of BIM costs is relevant for everyone who starts a construction project, because everything starts with the budget.
Answering this question requires understanding the cost of not using BIM on a project. And not using BIM costs the client a lot. How much?
According to the BIM implementation road map developed by the Ministry of Economy in Latvia (you can find out more about the BIM road map on the website of the Ministry of Economy www.em.gov.lv), the use of BIM in a project reduces construction life cycle costs by 20%.
BIM also shortens construction time by 10%, providing the client with more optimal building functionality and higher quality construction. To help interpret the mentioned numbers, below is a breakdown based on the following breakdown of long-term construction costs: ~5% design, ~20% construction; ~75% maintenance. In the calculation, an assumption was made that the construction costs amount to one million.
To understand what savings are made of, you have to start from the beginning – with the project, because a higher quality project means a more accurate estimate and a higher quality construction. A qualitatively implemented project (built as designed) lays the foundation for effective building maintenance
Designing
Customers cannot count on cost savings during design. On the contrary, design costs can increase up to ~5% of construction costs. Why is that? Quite simply because the project development takes longer, because BIM significantly reduces the possibility of leaving unnoticed mistakes in the project. In fact, during the design process, those issues that we traditionally solved on the construction site are solved. It should be noted that BIM tools significantly accelerate the development of the project itself, assuming that the designers have learned BIM authoring programs and use the full potential of the tools. Additional time is needed to coordinate the project sections, during which project deficiencies are identified and corrected with the goal of creating a buildable BIM model, or a project that does not contain errors that could delay construction works (this is one of the benefits,
In addition to that, the gaps eliminated during BIM design (collisions, underestimation of the minimum height, unexpected distances for equipment maintenance, etc.) protect the customer from unexpected expenses, which can reach significant amounts.
Estimation
The noticeable cost savings compared to the traditional approach appear when you start estimating. Traditionally, volumes are retrieved from drawings. This effectively means that the estimator calculates the amounts by hand, often generalizing and rounding them up. In this case, an estimator means both an (independent) estimator represented by the customer, an estimator for builders, an estimator for manufacturers of construction products, and an estimator for construction works. Several parties are involved in the estimation process and each party interprets the amounts “in its own way”. Often, the customer puts in his margin, the manufacturer puts in his, and the builder puts in his margin. The result is an increase in costs that is practically impossible to track. These costs usually remain with the builder as profit. If the project is implemented in the BIM environment, we can retrieve the volumes automatically from the BIM model – the same for all, transparent,
This provides a more accurate estimate and lower risks for the customer. BIM protects the client from unreasonable amounts, while providing clarity to the contractor about the required amounts. Exact cost savings are difficult to estimate, but based on experience, the difference between the volumes calculated from the drawings and the volumes obtained from the BIM model can reach up to 15%.
Construction
In order for the construction to comply with the project, it is essential to control the progress of the construction process and compliance with the construction project. The existence of a BIM project opens up wide opportunities for the customer to control the construction process more effectively. Goal one, reduce or control construction costs. BIM gives the opportunity to simulate the construction process, control the construction calendar schedule, status, changes, volumes and interim deliveries (the submitted documentation is compared with the actual situation in the object and the built volumes, which are retrieved from the BIM model). In short, complete control over what is happening on the construction site. In addition, significant operational risks are eliminated by developing a BIM model for production purposes, for example, steel structure detailing (commonly known as MKD) is linked to other models to ensure that
This, as you understand, is closely related to costs and deadlines. Incorrectly delivered constructions carry with them the risk of delays and additional expenses. Not to mention the safety aspect associated with on-site corrections of inaccurately delivered structures.
Management
Just as construction is closely related to design, management is closely related to construction and the information gathered during construction. The higher the quality of the information (use instructions, declarations of conformity, warranty passports, technological schemes, drawings, acts, etc. documents), the more efficiently it is possible to manage the building. Qualitative information makes it possible to move from “firefighting” to proactive management, or a systematized real estate management system that is not based on one person who knows everything about everything, often leaving management (the biggest long-term cost) to fate.
Those who have had to deal with the mountains of documents that are received at the handover of the building understand that it is almost impossible to navigate them and after the warranty period they are completely forgotten, laying the foundation for traditional management, which is the responsibility of the one person or one company whose task is to “put out fires”. Often, the customer is tied to the manager for life, because management is almost impossible without him.
BIM serves as a catalyst for the collection of digital, structured, trackable, full-value information during construction, creating a building’s digital twin, or BIM model, that matches the actual building along with information that links to building elements
Updating the BIM model during author supervision, supplementing it with production models, while envisioning the customer’s unified data environment in which the builder must deliver digital information about the built elements seems a self-evident requirement, but it is not as simple as it sounds. To realize this, all project participants must be disciplined. Discipline is provided by BIM managers and coordinators, who can be either from the customer’s side, from the builder’s side or as independently engaged specialists. When the customer receives the building’s digital twin, it opens up wide opportunities to streamline the management process. Even without a specialized IT system, this information provides great added value, as it enables information to be transferred to the right person at the right time in a form that is understandable to all. Information about the building will no longer be stored in the memory of one person or with one management company, which you cannot refuse, because it has all the necessary information. The BIM asset information model is stored on a centralized server controlled by the client. This information makes it possible to receive more cost-effective offers, because you have digital information that opens up opportunities for the manager to optimize and streamline their processes, while maintaining control over the construction information, which allows you to review the effectiveness of the chosen service provider and replace it if more advantageous offers appear. In addition, structured information reduces the risk of missing important equipment maintenance, as a result of which the customer can face significant expenses, which is unfortunately a frequent situation. because it has all the necessary information. The BIM asset information model is stored on a centralized server controlled by the client. This information makes it possible to receive more cost-effective offers, because you have digital information that opens up opportunities for the manager to optimize and streamline their processes, while maintaining control over the construction information, which allows you to review the effectiveness of the chosen service provider and replace it if more advantageous offers appear. In addition, structured information reduces the risk of missing important equipment maintenance, as a result of which the customer can face significant expenses, which is unfortunately a frequent situation. because it has all the necessary information. The BIM asset information model is stored on a centralized server controlled by the client. This information makes it possible to receive more cost-effective offers, because you have digital information that opens up opportunities for the manager to optimize and streamline their processes, while maintaining control over the construction information, which allows you to review the effectiveness of the chosen service provider and replace it if more advantageous offers appear. In addition, structured information reduces the risk of missing important equipment maintenance, as a result of which the customer can face significant expenses, which is unfortunately a frequent situation. because you have digital information that allows the manager to optimize and streamline their processes, while keeping control over the construction information, which allows you to review the effectiveness of the chosen service provider and change it if more favorable offers appear. In addition, structured information reduces the risk of missing important equipment maintenance, as a result of which the customer can face significant expenses, which is unfortunately a frequent situation. because you have digital information that allows the manager to optimize and streamline their processes, while keeping control over the construction information, which allows you to review the effectiveness of the chosen service provider and change it if more favorable offers appear. In addition, structured information reduces the risk of missing important equipment maintenance, as a result of which the customer can face significant expenses, which is unfortunately a frequent situation.
How to achieve the benefits of BIM? With what to start?
The magic word “BIM” in procurement and contracting alone is not enough. Unfortunately, we have often had to face a situation when the contract stipulates that the project must be supplied with BIM. In the hands of an expert, such a sentence is sufficient, but for the public and, of course, also the private customer, it is far too little. The customer must know what to order, because incomplete or, on the contrary, exaggerated requirements can result in an inadequate price increase, which can “eat” a significant part of the cost savings provided by BIM.
. Suppliers participating in tenders have already learned BIM, purchased software and appropriate computer equipment. At the same time, these specialists are also aware of the specifics of BIM and the fact that a longer time should be spent in the design phase, which is related to issues that should be resolved during the author’s supervision (or leaving these issues under the competence of the builder)
In order to be able to use the BIM the customer must understand BIM and its capabilities and order the relevant BIM applications to achieve the set goals. Skills can be acquired through self-study or by attending BIM Masterclasses (more details at BIM ACCADEMY. Taking into account the fact that the path of self-learning often takes a long time without a guarantee that the necessary skills will be acquired, we recommend master classes during which practical skills are acquired from leading BIM specialists. After the training, the customer is able to independently prepare the necessary BIM documentation for the purchase of high-quality BIM, and is aware of the necessary activities that must be performed to ensure high-quality BIM deliverables that contribute to cost savings. Of course, you can use an outsourcing service in the development of BIM requirements, but this only postpones the customer’s need for skills to order high-quality BIM, because BIM, according to the roadmap of the Ministry of Economy, will be mandatory in public procurement from 2025.
What costs should be expected when ordering BIM
As previously mentioned, obtaining cost savings from BIM requires resources in BIM project development and BIM deliverables control. By its nature, BIM costs are regulated by the market and the current market ensures normal competition, which means that BIM costs what it costs.
On average, the customer should expect that the design costs are about 5% of the expected construction costs. In addition, a budget should be provided for the control of BIM deliveries both during design and construction, which, depending on the size of the project, ranges from ~1,500 to 3,500 + EUR / month.
These expenses are intended for BIM management and coordination, which can be done on the customer’s side (staff) or as an outsourced service.
It is not for nothing that the leading public and private real estate developers have started demanding BIM several years ago, because BIM can provide significant cost savings. Yes, BIM brings with it changes in processes and the way a project is carried out, but these are positive changes.
BIM returns control over the project implementation and maintenance process to the hands of the client, allowing more efficient management and realization of their real estate.
In summary
The benefits of BIM far outweigh the expenses associated with BIM.
Not using BIM costs the customer much, much more than if the project is implemented using BIM.
