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Creating Value Through IPD –
Integrated Project Delivery
How Integrated Project Delivery (IPD) creates value and decreases costs.
Problems in the modern-day construction industry are many, varied and costly. Typical
project challenges include: settling conflicts between owners, general contractors and/
or architects; construction that is behind schedule; and over-budget projects. All of
these issues increase costs and create frequent delays. A traditional design/bid/build
method is still a widely used approach to project management, often costing owners
anguish on several levels. Many times bids are incomplete. Lowball bidding leads to
inconsistent quality and uncertain budgets. Not to mention all those change orders...
There is a better way.
Summary
by Todd Sullivan
© 2015 The Morse Group All rights reserved.
Defining Integrated Project Delivery
Project Effort and Impact
Integrated Project Delivery, or IPD, is defined by the American Institute of Architects
(AIA) as “a project delivery method that integrates people, systems, business
structures and practices into a process that collaboratively harnesses the talents and
insights of all participants to reduce waste and optimize efficiency through all phases
of design, fabrication and construction.”
Elements essential to the IPD Process include (but are not limited to) the following:
-  Continuous involvement of the owner, designer,
   and builders from early design through completion.
-  Aligning the risk/reward equation around the project outcome.
-  Cooperative control of parties involved.
-  A mutual party agreement.
-  Limited liability among those involved from primary phases.
The Morse Group
Creating Value Through IPD 2
MacLeamy curve (2004)
IPD and Software Advantages
Building Information Modeling (BIM) and Revit®
BIM is the development and use of software
that gives a digital representation of a
facility or project and can be used to mimic
the construction of the building. It is not
only a tool but also a process that is utilized
within a collaborative environment to better
align the goals of the project. BIM can
also reduce potential errors and open up
alternative approaches. Using BIM software
in an IPD setting, for example, helps foster
collaborative effort and increases cost
efficiencies through 3-D drafting, quantity
takeoffs, materials lists and many other lean
construction processes.
Another software commonly utilized to foster
collaborative effort and more effective and
efficient project management is Autodesk’s
Revit®
. Specifically created to partner with
BIM, Revit is used for a more detailed
approach to the building, specifically
Mechanical, Electrical and Plumbing (MEP)
engineering, structural engineering and
construction. When combined with an
IPD approach, Revit enhances insights
into the constructability of the building
elements. These software tools allow a
more thorough understanding of the project
and can identify potential issues that could
be avoided from the initial phases of the
design, with relevant information for multiple
trades and contractors, as well as for the
owner, designer and building team.
The Morse Group
Creating Value Through IPD 3
In an IPD approach, a high level of quality is
maintained because the architects, owners
and contractors all play major roles, ensuring
continuity through the design of the project.
Each party is in constant contact throughout
the process. Plus, the ease with which IPD
integrates with sophisticated software leads
to more data, and more data leads to a
higher quality final product.
With IPD, each party involved has the tools
and ability to make informed decisions on a
project. Most important, they are empowered
to assist in transforming a vision into a reality.
When all parties’ interests are aligned,
traditional “barriers” break down and ideas
flow more freely.
The goals of an IPD project are established
from the beginning and each party has
mutually exclusive ideas that are combined
to create the most effective budget for
the project. The architect has access to
the materials lists and pricing. Early and
accurate determinations of costs help create
a more effective, reality-based budget.
Project duration can be condensed. The
IPD process encourages early, informed
decision-making, which leads to fast-
tracking the schedule without loss of control.
The IPD method derails the age-old practice
of underbidding. Contractors can no longer
ignore actual costs and count on change
orders to make a profit. The result is less
“finger pointing” because fewer disputes
arise when each party accepts responsibility.
Benefits of IPD
Quality
Empowerment
Budgeting
Schedule
Minimize Challenges
The Morse Group
Creating Value Through IPD 4
Creating Value
The most compelling reason to adopt IPD
is the value it creates—for all parties—
through better risk management. How?
IPD enables owners, designers and
build teams to assess potential risks and
outcomes right at the start of a project.
So it’s easier to make adjustments that
decrease risk and potential negative
outcomes. In a traditional plan and
spec approach, the design team
creates the project, then solicits bids
that drive contractors to a low cost /
low bid method. This undercuts quality.
In an IPD approach, the entire team
strategizes upfront, sharing ideas, costs
and revenues. The information flows
more freely, allowing a more transparent
process to emerge. The net results are
lower costs, better information, and faster,
safer, more effective projects that come in
on time and within budget.
The Morse Group
Creating Value Through IPD 5
The Morse Group
Todd Sullivan
Contact us
Design/Build Division Manager
For feedback and comments about the content of this whitepaper:
815-266-4200
themorsegroup.com
Creating Value Through IPD 6
Todd Sullivan
Certificate No. 031310-215
Autodesk and Revit are registered trademarks or trademarks of Autodesk, Inc., and/or its subsidiaries and/or affiliates in the USA
and/or other countries. All other brand names, product names, or trademarks belong to their respective holders.
© 2015 The Morse Group All rights reserved.

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15-MOR-101_IPDWhitepaper

  • 1. Creating Value Through IPD – Integrated Project Delivery How Integrated Project Delivery (IPD) creates value and decreases costs. Problems in the modern-day construction industry are many, varied and costly. Typical project challenges include: settling conflicts between owners, general contractors and/ or architects; construction that is behind schedule; and over-budget projects. All of these issues increase costs and create frequent delays. A traditional design/bid/build method is still a widely used approach to project management, often costing owners anguish on several levels. Many times bids are incomplete. Lowball bidding leads to inconsistent quality and uncertain budgets. Not to mention all those change orders... There is a better way. Summary by Todd Sullivan © 2015 The Morse Group All rights reserved.
  • 2. Defining Integrated Project Delivery Project Effort and Impact Integrated Project Delivery, or IPD, is defined by the American Institute of Architects (AIA) as “a project delivery method that integrates people, systems, business structures and practices into a process that collaboratively harnesses the talents and insights of all participants to reduce waste and optimize efficiency through all phases of design, fabrication and construction.” Elements essential to the IPD Process include (but are not limited to) the following: -  Continuous involvement of the owner, designer,    and builders from early design through completion. -  Aligning the risk/reward equation around the project outcome. -  Cooperative control of parties involved. -  A mutual party agreement. -  Limited liability among those involved from primary phases. The Morse Group Creating Value Through IPD 2 MacLeamy curve (2004)
  • 3. IPD and Software Advantages Building Information Modeling (BIM) and Revit® BIM is the development and use of software that gives a digital representation of a facility or project and can be used to mimic the construction of the building. It is not only a tool but also a process that is utilized within a collaborative environment to better align the goals of the project. BIM can also reduce potential errors and open up alternative approaches. Using BIM software in an IPD setting, for example, helps foster collaborative effort and increases cost efficiencies through 3-D drafting, quantity takeoffs, materials lists and many other lean construction processes. Another software commonly utilized to foster collaborative effort and more effective and efficient project management is Autodesk’s Revit® . Specifically created to partner with BIM, Revit is used for a more detailed approach to the building, specifically Mechanical, Electrical and Plumbing (MEP) engineering, structural engineering and construction. When combined with an IPD approach, Revit enhances insights into the constructability of the building elements. These software tools allow a more thorough understanding of the project and can identify potential issues that could be avoided from the initial phases of the design, with relevant information for multiple trades and contractors, as well as for the owner, designer and building team. The Morse Group Creating Value Through IPD 3
  • 4. In an IPD approach, a high level of quality is maintained because the architects, owners and contractors all play major roles, ensuring continuity through the design of the project. Each party is in constant contact throughout the process. Plus, the ease with which IPD integrates with sophisticated software leads to more data, and more data leads to a higher quality final product. With IPD, each party involved has the tools and ability to make informed decisions on a project. Most important, they are empowered to assist in transforming a vision into a reality. When all parties’ interests are aligned, traditional “barriers” break down and ideas flow more freely. The goals of an IPD project are established from the beginning and each party has mutually exclusive ideas that are combined to create the most effective budget for the project. The architect has access to the materials lists and pricing. Early and accurate determinations of costs help create a more effective, reality-based budget. Project duration can be condensed. The IPD process encourages early, informed decision-making, which leads to fast- tracking the schedule without loss of control. The IPD method derails the age-old practice of underbidding. Contractors can no longer ignore actual costs and count on change orders to make a profit. The result is less “finger pointing” because fewer disputes arise when each party accepts responsibility. Benefits of IPD Quality Empowerment Budgeting Schedule Minimize Challenges The Morse Group Creating Value Through IPD 4
  • 5. Creating Value The most compelling reason to adopt IPD is the value it creates—for all parties— through better risk management. How? IPD enables owners, designers and build teams to assess potential risks and outcomes right at the start of a project. So it’s easier to make adjustments that decrease risk and potential negative outcomes. In a traditional plan and spec approach, the design team creates the project, then solicits bids that drive contractors to a low cost / low bid method. This undercuts quality. In an IPD approach, the entire team strategizes upfront, sharing ideas, costs and revenues. The information flows more freely, allowing a more transparent process to emerge. The net results are lower costs, better information, and faster, safer, more effective projects that come in on time and within budget. The Morse Group Creating Value Through IPD 5
  • 6. The Morse Group Todd Sullivan Contact us Design/Build Division Manager For feedback and comments about the content of this whitepaper: 815-266-4200 themorsegroup.com Creating Value Through IPD 6 Todd Sullivan Certificate No. 031310-215 Autodesk and Revit are registered trademarks or trademarks of Autodesk, Inc., and/or its subsidiaries and/or affiliates in the USA and/or other countries. All other brand names, product names, or trademarks belong to their respective holders. © 2015 The Morse Group All rights reserved.