SmartWerke - AEC industry - disrupt or be disrupted!

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery

RETOOLING THE AEC INDUSTRYDisrupt or be disrupted –Transformational change

“We construct buildings, erect institutions, and develop organizations to yield linear responses and predictable behavior and ultimately to achieve the social goal of control.”

Dr. Alan Beyerchen -Ohio State University

SMARTWERKECreating Value through Optimized Project Delivery

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


The world economy has changed:

From a capital based economy

To a knowledge-based economyTo a globalized economy

Placing a higher premium on:

Creativity &Innovation

Requiring a transformational change in every industry

THE CHANGED ECONOMY

Your company’s survival may depend on the way you answer one question: “How will your company adapt” - Fast Company

Photo from iStock Photos

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


Transformational change:

Disrupt or Be Disrupted

Business disruption - it’s the new normalRare a decade ago – an exception,

It is now a reality – faced on a regular basis

Major cause of disruption:

Rapid advancement of technology & globalizationAllows new business models to be introduced

At an ever-increasing rate & with rapidly declining costs

DISRUPT OR BE DISRUPTED

"The truth is, at this very moment your company is most likely either disrupting other companies or being disrupted." John Kotter, Forbes - Contributor - Kotter International


A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


World of disruption, Environment is changing at lightning speed,

To survive is:To change the game internally.

To thrive is:Accelerating speed-of-execution

Agility to seize new opportunities.

Disrupt to gain critical competitive advantage:

Out-Execute Out-Innovate

SURVIVING TO THRIVING

"Great leaders maintain the balance between achieving results today and innovating to seize new opportunities in the future. So if you want to avoid disruption – or even lead disruption — then you need to greatly accelerate the way you operate internally to keep pace with a rapidly changing world.

Randy Ottinger – Forbes Contributor, Kotter International

Infographic - Brian Solis, Altimeter Group

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


A recent article in Fortune magazine points to:

Apple ; IBM; HP; Priceline, EBay

as five great disrupted turnarounds.

Need to disrupt and re-invent themselves again, including Apple

Some companies constantly disrupt themselves:

AmazonStarbucks

Google

DISRUPTING CONTINUALLY

"Truly great companies like Apple, Google, Amazon, and Starbucks constantly find new ways to become relevant to us and remain an essential part of our lives. When analyzed closely, you can see that they are simultaneously executing and innovating.

Randy Ottinger – Forbes Contributor, Kotter International

Infographic - Brian Solis, Altimeter Group

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


Some examples Traditional industries disrupted or being disrupted:

Rent a car – Uber; Zip; Car2GoUber: connecting riders to drivers - 55 countries

Corporate workplaces – Regus; Liquid SpaceTo eliminate underutilized spaces & replace long-term leases

Other Examples:

On-line banking does not profit from fees – SimpleWorld of manufacturing - 3-D printing

UK online grocer with an industrial scale pick and delivery model - Ocado UK

INDUSTRIES DISRUPTED

The nearly 80 million Millennials who are about to enter, or who are already in the workforce, will fundamentally change how business is conducted in the future” —Maximizing Millennials in the Workplace, UNC Kenan-Flagler Business School

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


Architecture - AEngineering - E

Construction - C

The AEC industry consists of:Separate players working in a project to fruition

Separate entities integrating into a single industry

Issues:Implementation of standards - particularly problematic

Each building process individually covers an extensive areaDifficult to streamline the standards between components

Each of these industries also uses different terminology

AEC INDUSTRY

"Four decades of international Architectural, Engineering, and Contractor (AEC) industry publications reinforce poor communication and information transmission; coordination; and teamwork issues, are the cause of countless performance problems on numerous AEC projects.” AEC INDUSTRY CULTURE: A NEED FOR CHANGE

A Weippert & S. L. Kajewski Queensland University of Technology, Brisbane, Australia


A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


Building information modeling (BIM): Create four-dimensional models

Increase productivity Specialized training due to the complexity of the process

Initiation of Smart Building TechnologyTechnological advanced Equip. / Building materials

Low-tech modularization of construction:

Inner city residential & Man campsElectric & Mech Equipment Enclosures

Construction oriented manufacturing

ADVANCES IN THE INDUSTRY

"Frank Lloyd Wright, Buckminster Fuller—all of these people for years have been kind of thinking and dreaming and playing around with modular.It has captured the imagination of a lot of different types of people.“

Melissa Burch, Forest City's Director of Commercial & Residential Development, NY in Fast Company

The architecture, engineering and construction (AEC) industry consists of separate players who work together to bring a projeRead more: http://www.ehow.com/info_8477602_aec-industry.html#ixzz2l3VgSx1U

An Atlantic Yards Skyscraper In A Brooklyn Warehouse

http://www.ehow.com/info_8477602_aec-industry.html#ixzz2l3VgSx1U

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


Industry players now almost similar – Shades of Grey

Professional Engineering & Good DesignLong drawn Project Delivery & Methodology

Highly skill intensive & Customized Approach to build

NOT IN STEP with their client’s ability to:

disrupt and re-invent themselves Implement Rapid advancement of technology & globalization

Allow new business models to be introduced At an ever-increasing rate & with rapidly declining costs

Thus, increasing their financial cost and time to market

INDUSTRY NOT IN STEP

"The culture in the A/E/C industry has for a long time been fragmented and inefficient. This industry has lacked trust and has been short on strategic collaborative thinking. We believe that this culture must become a remnant of the past.

We see smart firms creating new value propositions that connect together and make sense of the pieces of the puzzle.”Design Intelligence- and Greenway Consulting “The Scientific Revolution Has Just Begun: What’s next in Architecture?

Photo from Microsoft Ad

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


By creating a value proposition by connecting the criteria of

The Business of the Knowledge Economywith

The Business of the AEC Industry

BRINGING IT IN STEP with their client’s ability to:

disrupt and re-invent themselves Implement Rapid advancement of technology & globalization

Allow new business models to be introduced At an ever-increasing rate & with rapidly declining costs

Thus, increasing their ability to: Out-Execute & Out-Innovate

BRINGING THE INDUSTRY IN STEP


A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


By Bruce Kasanoff & Michael Hinshaw:Fast Company Article: 7 Ways to Disrupt

Totally eliminate your industry’s persistent customer pain pointsDramatically reduce complexityCut prices 90 percent (or more)

Make stupid objects smartTeach your company to talk

Be utterly transparentMake loyalty dramatically easier than disloyalty

7 WAYS TO DISRUPT YOUR INDUSTRY

Massive disruption is coming, and the only question is whether your firm is going to cause it or fall victim to it. Disruption is not easy--either to create or to confront. We have no illusions about that”.

Bruce Kasanoff & Michael Hinshaw – Fast Company Article: 7 Ways to Disrupt

Book cover of Smart Companies / Stupid Companies

A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


Transform the Industry Infrastructure & its Ecosystem

Design Thinking > Human centred Environments Incorporate Business needs > Evolving Facilities

Ensure Constructability > Product MindsetDesign for Assembly > Manufacturing

Sustainability > Cradle to CradleHyper cycle Scheduling > Modularization

Leverage Big Data > Smart Buildings

OUT EXECUTE & OUT INNOVATE

Disruptive innovation is not just about following a process.It represents a mindset—a rebellious instinct to discard old business clichés and remake the market landscape.

An eagerness to deliberately target situations where the competition is complacent and the customer has been consistently overlooked or under-served.. Disrupt By Luke Williams- Think the Unthinkable to Spark Transformation in Your Business.


A SMARTW

ERKECONVER

SATIO

NCre

atin

g V

alu

e b

y O

ptim

izin

g P

roje

ct D

eliv

ery


Profilehttp://ca.linkedin.com/in/philthom77/

Consulting:www.optumplus.com

Web:www.smartwerke.com

Email:[email protected]

SMARTWERKECreating Value by Optimizing Project Delivery
