Integrated Project Delivery (IPD) is a non-traditional method of construction project management. It helps solve miscommunication issues that can cause project delays.
Rather than many individual parties working together on a project, IPD brings everyone together to form a unit that cares about the overall outcome of the project, rather than just their own role in it.
Here is what you need to know about IPD and its benefits for commercial construction teams.
What Is IPD?
The Integrated Project Delivery method involves all parties of a construction project signing a single contract, and effectively forming a unit for this single project.
It does not consist of a merger between companies. The contract is a temporary one limited to the scope of a project.
It is very different from the design-bid-build model, but slightly closer to the design-build model. Design-build combines the designing and building phases for greater centralization. IPD goes even further and centralizes all phases of the project.
With the IPD method, the owner, contractor, subcontractors, architects, engineers, and managers will all sign one contract, giving them equal shares of the project. Any profit or savings will be split among them.
The way an IPD contract works allows you to avoid common contract issues. Everything must be clearly laid out, and all stakeholders must be fully on board.
The Benefits Of IPD In Commercial Construction
So why should you consider implementing IPD in your next commercial construction project? It allows for easier communication and collaboration which, in turn, leads to many other major benefits.
Improved Communication
One of the biggest obstacles to construction is miscommunication. Improper communication can cause serious delays and additional costs. It can be difficult to maintain good communication throughout construction projects because there are so many different parties.
With IPD, communication is centralized and that makes it much harder for information to get lost. When a subcontractor has an update, it doesn’t just go to the contractor.
Instead, it goes to the contractor, the owner, the architects, the other subcontractors, and any other relevant parties.
This means that everyone is up to date with information about the whole project, not just their part of it. When you have a question, you can simply ask it, rather than having to play a game of broken-down telephone.
Unified End Goal
The reason that such open communication works is that all parties have a unified end goal. Because of the contract structure, everyone is invested in the outcome of the project as a whole.
Your specific scope, roles, and responsibilities are clear, and every party must do their part. However, you have equal ownership of the project. It is in everyone’s best interest to work together to avoid any delays, errors, and disputes.
The contract means that each party can only succeed if everyone succeeds, encouraging collaboration and efficiency.
Increased Collaboration
Because everyone is focused on the overall outcome, people will get involved in things outside their narrow job description. This avoids people from separating into silos, making different parts of the project completely disconnected.
IPD can also make the use of Building Information Modeling even more effective because everyone has access to the 3D models. You combine a single point of information with a unified team for maximum efficiency.
All the components come together to form one project, and with IPD, so does the team. Everyone is on equal footing and has an equal investment in the success of the project.
This reduces the competition and conflict that can occur between stakeholders. Everyone wants the project to be as efficient as possible and will do their best to finish on time and under budget by working together.
Risk Analysis And Innovation
Because you have so many different experts coming together on decision-making, you are far more likely to catch potential issues in the planning phase. As a result, you can better avoid costly building delays.
When the architect, engineers, and contractors can look at the plans together, everyone gets a comprehensive understanding of the project details.
By bringing everyone together, you also create a good sounding board. People will be thinking beyond the scope of their jobs, making innovation and idea generation easier.
Precise Estimates
Another major benefit of having everyone in the same room is that you can get precise estimates.
With IPD, your planners, managers, and contractors all make decisions together. You can propose and estimate and then have everyone weigh in with their expertise.
As a result, you get more accurate estimates, which helps keep the project on budget.
Conclusion
If you are facing a large, complex commercial construction project, Integrated Project Delivery can drastically simplify your project. By getting everyone on the same page, it creates a cohesive unit that works together to achieve project success.
At Chad Fisher Construction, our team oversees all aspects of a commercial construction project to ensure efficiency. We guarantee you a smooth and successful construction project where everyone works together for a successful outcome. Contact us today for all your commercial construction needs.