Well I'm getting excited about this topic.

Once again.

Here are these other presentations.

As you were told I was in the construction
industry working with years for most of

my career and then went to Stanford when
I realized that a new paradigm is needed

to allow people to work together
in a more effective playing and

at the business process
was basically failing.

For many reasons but
basically people didn't trust each other

they tried to find ways
to screw each other up or

take advantage of errors and omissions and
I realized that the problem.

A lot of the problem had not with because
people were bad but because they were

dealing with uncertain information that
he knew had errors and they were reacting

in a predictable way to protect
themselves and then try to profit from

the errors that they find that inevitably
come out when you build something and.

Certainly the owners were paying
a lot more for their buildings and

it was taking a lot longer and
the lawyers were doing wonderfully and

all the things he hear about instruction.

So when I went back to Stanford to try to

create a new approach to this
the issue of integration.

How can we integrate what kind
of information they needed

by all the people who work
around the building project and

the results that we see
today are really astounding.

Compared to the vision
that we had even then.

In the tools that we had even then it
was very frustrating in the beginning

because you couldn't achieve even
the beginning of a vision with the tools

that we had available.

So I think that today we have
a practical set of tools and

that will continue to expand over
the lifecycle of building those of

the front end when you can do the most
good for building and at the rear end we.

Actually have to come to grips
with the reality and build it.

And we're just learning step by step
how to use these tools had it right.

New kinds on tracks that allow
them to be well implemented so

that you can get the teamwork
that the tool is providing.

And I think every laser in was
correct in saying how paradigm shift.

Needs to be taken and grappled with and

not saying well how can we
do we're doing today and.

Just do it a little faster or
will there's a route there's a role for

that person and for now.

Production drawings today.

Really underlying opportunity
doesn't come from them.

It comes from changing
the business practice.

Way with these tools.

So that's our opportunity now what
I'd like to talk about today is

a project that we use or
a case study in the book.

There are ten case studies this
project that fill in California.

Near Mountain View California
just on the peninsula.

South of San Francisco.

It was built for the Sutter.

Health company.

And I'm going to give you
a little background about it.

And see this is marching
on I'm not sure why.

Is this on some sort of time thing I guess
if I don't go fast enough it will tell me.

So we wrote this up.

As a project for the book and this is
good deal information about it in their.

Work on that project or in the room today.

So they'll keep me honest and
I'll keep them honest.

But it was a very interesting project and

I was the one who did the analysis and
write up of this particular study so

it was an interesting thing for
me to go back and.

Well the people who worked on this
project to see what they learned

what are they doing differently now
because they worked on this project

out they change their practice.

And what I'm going to do today is present.

Basically the results of some interviews

that I made with some of the key
principles on this project.

The first one is Henry Small Step
who is a there it goes.

I want to I'm going to hold this back.

Anyway.

If you have to keep going.

Then the read and that toolkit is already.

Where the I think the geniuses behind
making this work on the project

and making it possible for this team
to work together in a new way and

solve the problems that inevitably come
up when you try to a new approach.

OK Well the other men will
come to as we go along.

They were.

Subcontracting principles.

For the plumbing in the piping and
the H.P.

AC which in a building like this where
every large contracts of the room.

You know I think I can keep up with.

Here and try.

And I was just using the person.

So big a change anything.

Right.

You didn't have much time.

OK.

So here is a little bit about the project.

It was about one hundred million
dollars project overall.

I think if you had a look at the picture.

What you see there is a huge parking lot.

That's the first thing that strikes you.

I think is two of those.

Because.

This office building which
was to satisfy the needs of

people who have problems that
can be addressed in one day.

That was a criterion you had to get in and

out in one day so
tremendous amount of flow of people in and

out of this building that's why it
has such a large parking garage.

And.

Here are it wait your car and
some of the miles down.

Started design was the end of October.

Two thousand and three P.P.R.

is the construction manager and
did some of the construction work.

Well the schematic design was
completed in about a year.

And the detail design.

Using a modeling tool called A.T.T.
architectural best.

Was done.

And I just put those on
a timeline below and.

The only thing important about those

wonder periods is to show
the degree of overlap.

Now that represented a change
in the way people work

they didn't wait until one was
done before starting the next.

And that led to a much tighter
teamwork environment and

would normally be the case.

And that's why I share
these things as overlaps.

Now from the beginning of the job
you might say the goals of the team

were to create easy targets.

No injuries meet their
cost meet their cost and

time and time schedules builds of
the quality that they wanted and

build the job virtually in the computer
before they did in the field.

And that was the big innovation because
the other targets are you know traditional

I would say of any and
he significant project.

Setter had.

Had its own thoughts

from internal people who were very excited
about what could be achieved with leaning.

Lean processes.

Don't waste time.

Don't waste material don't
waste money don't waste people.

How can that be achieved and
they viewed B.M. as a means to that in.

That was their their main target.

And these are some of the ideas that
were put in front of the project team.

Will aberrate throughout
the design planning and execution.

Don't separate those functional areas.

Integrate the relatedness among the
project which is and projects our network

of reliable commitments and I highlighted
reliable because you always hear

a project team saying well I'm going to do
that at this time and the other people in

the same room know that they're not going
to do it at that time because they know

that they can't make that schedule and
how are they going to protect themselves.

Well they're not going to make commitments
to bring their people on on time because

they'll know they waste their time
from some other job that they could be

doing if they did that.

That is visual approach.

And the whole reason for
that is unreliable information.

So they want to break that down.

That was a tremendous challenge

their way to change the way people
think about how they work together.

And they want to optimize the project
not the pieces they didn't want one so

optimizing their work at the expense
of another they wanted the team to work

together so that when they had a clash or
a problem or scheduling issue issue.

They work together to solve it.

Optimize the project.

I just think about that is a huge change.

From traditional practice.

Because most subs get on a job and

they know they're going to
get screwed by the general.

You know there's a lower.

On the totem pole and
they have to protect themselves and

they know how to protect themselves.

They're the people building the building.

So this this.

I mean he's a real challenges.

This is not the a radical stuff.

This is a real tough job on
a construction project achieved.

Well here's a little bit
about the virtual world.

Or idea of modeling tools
were used by the team.

They brought them together Abas works.

Nabbous works just have.

Like simple fun in that allows you
to bring in many different three D.

modeling environments and they give you
good class detection with color or tools.

And they've recently been
purchased by order desk.

And I'm convinced.

This will make good use of this
environment to build other kinds of tools

and now we're.

So it's going to be
a powerful environment.

Here were there goals.

No misunderstanding.

No conflict of system.

No change orders.

You know that's like the holy moniker of.

The construction work.

Well I put the word almost And

I think it's important to understand
why it's almost instead of perfect

because we always have to learn
from what didn't go well.

That's much more important than what
did go well you're going to get better.

And that's the purpose of this talk
to talk about what did they learn.

That's going to make it easier and
better on the next job.

They want to the model to show the
hospital administration staff and doctors.

To understand their spaces.

What are they going to get
out of they going to use.

They wanted to inform
the community about the building.

What it would what it would
look like at different phases

during the construction process.

They wanted to phase the construction
process and phase the design and

all the other things to match
part of the lean process.

And they want to use logistics and
sequence planning.

To get the benefits of a smooth flow.

And minimal people on site.

So they could do as much as possible
off site and bring these assemblies and

just assemble them on
the way a car was assembled.

And I went to the site a number of
times while I was working on this and

I have to say that it was the cleanest
job I think I've ever seen.

There was not a pipe cutting
machine on the site.

Why because they didn't have
to cut the pipe at the site

which is truly remarkable.

It wasn't cluttered up with all these it's
in pieces of things because they could

assemble the stuff and
bring it in on a card.

We looked at the site and install it.

And they got roughly thirty percent
productivity saving that way.

And of course a big times.

And that couldn't have been done
without having an accurate model

it couldn't have been done without
the detailers e-tail and the model.

It just simply couldn't have been done.

So it's a paradigm change.

Because you couldn't have done it.

Another using the paper based
tools that we have had today.

Here's the team.

Just to give you an idea.

Of the kinds of professionals
that took part.

And they were selected as much
as possible because of their

experience in working with modeling
tools three D. modeling tools.

Obviously if you're going to pick
a group of people that are going

to try to work this new way they should
have as much experience as you can get.

Not everybody had an experience they
simply didn't have the choice of everybody

who could do these things.

And there were problems that came up.

Because of that we'll talk about that.

But the main players were there.

What are the results and how were they.

Earth.
Well there were various three D.

modeling tools you or took at eight and
using anybody had this guy.

Experience before.

Probably pacing me to get done
the certain amount of time and.

They went into those Nabbous where the ice
protection and more importantly for

coordination and planning and
subcontractors not all of them

of the major ones work in
a large room at the top so

that problem came up it
could be immediately solved.

No requests for information.

And no one to meet you.

No response.

No paperwork system.

You keep track of what I don't know and

how I'm going to sue you if you don't tell
me in a certain amount of time and so on.

This was done in a much more
integrated and fast moving way.

And they worked at a common
site out in the future.

I can see that being perhaps or actually
replaced by an internet connection.

You know they gave you
meeting capabilities and so

on but it could never quite match what
you can achieve the people working

together will have to trust each other and
learn to live with their problems.

There is something about human contact.

That makes it it.

And all the people I spoke to mention
that we couldn't have done without that.

And this is a here as much as anything.

Just out of time and money they say.

By having somebody ask a question and
get an immediate response.

There's just no comparison
to the way we used to work.

You remember the things that

the computer companies did initially was
set up a site like Bud so we could order.

Mate the old way of keeping
track of the paperwork.

Into work.

Of course it worked.

Did it help.

Not very much.

It didn't change the underlying problem.

OK.

They were able to use lean scheduling
link to the model to plan the design

when the design was needed in the field
just in time delivery of the design

just in time delivery of the.

Fabricated parts and
install when they needed it installed so

everything was back schedule from that and
it worked worked beautifully.

There were times when it didn't work and
there were reasons for that but by and

large that idea of back scheduling
the whole team work very well.

Now.

There were some problems and

I want to talk about that if we can keep
this light up just for a little while.

Frustrating.

First of all the model wasn't always
current complete and accurate.

And why was that.

Well not all of the design
was done in three D.

Remember I said not everybody and
the ability to do that so.

They still had their drawings.

And when they made changes to
the drawings just what Chuck.

Was talking about her earlier those
changes didn't get automatic we put

into the model.

Why because the model didn't rule.

They hadn't made that commitment to
the model that that was the record.

If it isn't there.

It doesn't exist.

And I'm convinced that without
fact kind of little using

a model can't work because you'll never
trust it and they would do that they

would fabricate parts they'd bring them
into the field and they would say Whoa.

That connection is over there.

And they have to change everything.

And that only happened because there were
changes made to drawings it didn't get in

the model fast enough.

Changes to the design.

Now this last one.

Not all the objects were modeled You know
when you do something like this you say

well we don't need to model that
that's just small little light or

that's just little clips those don't
need to be in the model but guess what.

When the piping came in to do their
runs that's the first thing they hit.

They hit those little clips and
that results in extra work in the field

they have to go around them where
the clip has to move or whatever.

The point is that the model moves to
have everything you're going to build.

In once it's flexible.

Then of course you can go
around the power of them.

But most of the things in
the field are not quite rigid.

And they found that when they
did model something like the.

The fire and.

Pipe did not get modeled.

And caused lots of problems.

They missed some buyout
islands in the budget.

Things that were in the building
that didn't get bought out it

didn't get bought out because estimating
systems were not tied to the model.

So again here's a very important
function comes to a lot of money

eventually we have missed things
because all is he going to get it.

Or am I going to get it.

Well he normally gets about on this job.

Maybe I get it.

This kind of communication
is inevitable if you don't

have some way of checking your estimate.

Against the model is everything in it.

I mean that was a huge problem.

When I was in the construction industry.

We would turn out.

Estimating books of how are we
going to build a project.

Operation by Operation East by piece.

Everything was there in detail but
those books you have two or

three of them that they
found out of the computer.

Was a complete Was it redundant.

For the hell knows.

Nobody could know.

So then you would start fooling around.

Well how much contingency should
we put in where the risks and so

on and so forth without doing a by
the way is another is an excellent

a study of a job in Hong Kong.

That was done by Swire properties where
they put a job out to bid and everybody

used the model to make it all up and the
bids came in they were almost identical.

And I think that's
a tremendous achievement.

Look how much money the owner say because
people didn't have to put Indians

in their bids to cover
their over that problem.

One one item I'd like to
mention here about architects.

The architect a very nice job
of modeling the building.

So you can see how it looks.

They DID you to feel atriums and
you could walk around the building in so

on but they didn't model the real
work rooms where the doctors and

nurses had it in the model
them in enough detail.

So they could actually tell
how they can use that room.

Where is the equipment going to fit.

Where am I going to do this.

Where am I going to do that.

Where are supplies going to be.

As a result it would changes and
the case were it was late.

It would changes in the design basically
because the owner didn't get enough

understanding from the model.

And that is a big difference
from you know using form zero

whatever using as an architect may.

A pretty three D. picture of the building.

It's not enough.

If you're really going to have a model
that has to satisfy the functional

requirements of the building to
understand how it's going to work.

And that was one of the major
causes of changes lately job.

OK I'm going to skip over
the arch part of the way.

And heard about the.

Now post job that I've given you
a background here of the job.

Here's what the architect said about that

he thought that the integrated
project delivery form work very well.

Use of prefabricated components.

One time.

You know maybe I was being told something.

OK.

I don't have time to cover
all of the instruction.

That's a shame.

I'm going to have.

Zero zero zero zero zero zero zero on.

No this is you know that the reason I'm
talking about it here is because it

isn't in the book.

This is beyond what's in the book
because the books about the job up to

a certain point in time.

What's in the rest of this presentation is

what are you know one factor in and
the architect doing as a result.

And the subs doing as a result
of their experience and

one of them is telling
the estimates to the model.

And others using the in model in
the field or the actual working

details so that they can actually plan
their construction more carefully.

And estimated will that at their
upbringing the data into the field using.

Points come out of
the model to lay it out.

Here's the construction detail for does.

Sign bill they're linking the model to and
if you know.

So they can figure out before
the design is finalized.

The energy elves work.

I think I'm going to.

I'm so sorry that I can't
discuss these things with you.

But I'll go just once by the conclusion.

The first point you've already heard
that it is a revolutionary change

to the design construction process and
it's in its early days.

There are tremendous opportunities for
practitioners and that the building

owners I think have the most to gain from
insisting on the use of been in their

buildings and the last one is that
educators need to support the strength.

I would hate to see I mean this
is an experience I've had in my

days in education.

I would hate to see educators being a drag

on this movement because they
haven't experienced it themselves.

You have to experience it help
to understand how it works and

what its potential.

And maybe we can come back to that.

You know our discussion.

OK thank you thank you and.