W5._Norbert Eze_ Perceived ROI on Overall Investment in BIM

W5._Norbert Eze_ Perceived ROI on Overall Investment in BIM

By norberteze on November 27, 2012

I.      PROBLEM RECOGNITION, DEFINITION AND EVALUATION

With experience, users can see more value. Experts prove that, as users gain proficiency, they will find ways to leverage the technology to their benefit. Given that BIM is still an emerging process, this trend should gain momentum as more users master it and software providers develop additional tools. This is to evaluate the perceived on overall investment in BIM by different potential users such as Architect, Engineer, Contractor and Owner

II.    DEVELOPMENT OF FEASIBILITY ALTERNATIVES

The feasible alternatives on Perceived ROI on Overall Investment in BIM:

·         Perceived ROI on Overall Investment of Architect

·         Perceived ROI on Overall Investment of Engineer

·         Perceived ROI on Overall Investment  of Contractor

·         Perceived ROI on Overall Investment of Owner

III.   DEVELOPMENT OF OUTCOMES FOR EACH ALTERNATIVE

By surveying thousands of AEC participants in North America from the full spectrum of Perceived ROI on Overall Investment in BIM learnt by SmartMarket is graphically shown below in a snapshot:

IV.  SELECTION OF A CRITERION (OR CRITERIA)

1.    Perceived ROI on Overall Investment  of Contractor

Contractors see the highest ROI, with seven out of ten (71%) reporting positive results.

Contractors are likely to see more tangible benefits, such as savings realized through clash detection. Because BIM was initially developed with a focus on designers, contractors as a group are relatively new to the technology and its expanding range of tools. The fact that so many contractors see positive results today suggests that additional value could be realized in the future as they gain more experience.

2.    Perceived ROI on Overall Investment  of Owners

Owners are as likely as contractors to see a high ROI with seven out of ten (70%) reporting positive results. As the ultimate client, owners realize the combined benefits from all team members that experience positive ROI. The fact that a large majority of owners believe BIM yields positive results bodes well for expansion of BIM use in the coming years. Team

members say client demand is the primary driver for adoption of BIM. If owners ask for it, team members will follow.

3.    Perceived ROI on Overall Investment  of Architects

Around six in 10 architects (58%) using BIM see positive ROI. As designers, they experience less of the direct cost savings seen in the field and realize many intangible benefits such as improved coordination of drawings and documents.

4.    Perceived ROI on Overall Investment  of Architects

Less than one half of engineers (46%) experience positive ROI when using BIM. One-third of users say they see negative ROI. Engineers say they are less likely to see savings in time and costs from BIM than other team members. These views can differ by discipline. Many engineers also report that BIM does not have sufficient functionality for their practice Expansion of the technology offerings for engineers could help improve their outlook on its value in the future.

V.    ANALYSIS AND COMPARISON OF THE ALTERNATIVES

Based on survey of thousands of AEC participants in North America from the full spectrum of perceived ROI on Overall Investment in BIM, SmartMarket learned that owners are as likely as contractors to see a high ROI with seven out of ten (70%) reporting positive results

VI.  SELECTION OF PREFERRED ALTERNATIVE

Experts prove that, as users gain proficiency, they will find ways to leverage the technology to their benefit. Given that BIM is still an emerging process, this trend should gain momentum as more users master it and software providers develop additional tools. Owners and contractors see the highest returns on BIM.

VII. PERFORMANCE MONITORING AND POST-EVALUATION OF RESULT

Through the statistically market survey will enhance the performance monitoring and post-evaluation of result of ROI on overall investment in BIM.

References:

1.      McGraw-Hill Construction. (2009). SmartMarket…Report Design & Construction Intelligence. The Business Value of BIM…Getting Building Information Modeling to the Bottom Line, (pg 7). Retrieved from http://books.google.com/books/about/BIM_handbook.html?id=IioygN0nYzMC&redir_esc=y

2.      Purdue OWL APA style. (2011). APA formatting and style guide, pg (10). Retrieved from http://owl.english.purdue.edu/owl/resource/560/19

3.      Sullivan, W. G., Wicks, E.M., & Koelling, C.P. (2012). Engineering economy, (15th ed.)  (Chapter 1) (pp. 29)