Project FIT in Construction: An Introduction to Additive Project Management

Project FIT in Construction:  An Introduction

FIT's Basic Elements, and How to Leverage a Material Map's Correlation to its Project's Finances and Quality Control.


So, what does it mean to utilize a FIT program on a construction site?  In short, a FIT program is the process of making transparent the development of a construction project via the correlation of the project’s permanent materials with its financial dynamics and quality control program.  A FIT program accomplishes this by:

1)      Forecasting the flow of materials and finances of a specific project
2)      Informing all stakeholders of the forecast in a way that is nimble and easy to communicate adjustments.
3)      Tracking the project’s progress relative to the real-time forecast for Quality Control and distribution of funds.

A construction project that utilizes a comprehensive FIT plan will generate a dry code” database that will allow its stakeholders to leverage current technology towards streamlining payment processes and incorporating QA/QC Standards in a comprehensive manner.  We've long been working, in construction, to incorporate the Quality Control programs pioneered by the manufacturing industry into our own, QA/QC techniques that ushered in a new era of quality standards.  We're also well aware that the current payment progress relationship between developers/owners and building contractors could use an injection of objective transparency.  It is with these elements in mind that the FIT construction process comes to the fore as a viable movement for construction contractors of today. 

A FIT program for a construction project accomplishes QA/QC protocol and payment dynamics on a higher level by focusing on the permanent material maps for each construction project's installing contractors.  This process creates data, in the form of serial numbers and installation duration, and leverages it in a way that develops the language and transparency required for proper implementation of a plan/do/check/act brand of quality measurements and management practices.  

Further, this level of data isn’t just replicated throughout the life cycle of a particular construction project, this data is also applicable across any kind of construction project industry wide, making it the kind of archetypal information that can span all levels of complexity and size.

Below is a brief list of variables and correlations found in a FIT plan for a construction project.

Project-task duration schedules developed between developer and prime contractor for initial planning and phasing purposes (best if published prior to bid) establishes a rough time frame for project development.

Material spool nomenclature that correlates directly with terminology used on the schedules of value, as well as the project-task duration schedule.
o   If the project utilizes BIM, this process is exponentially more effective as the conversion of “wet code” engineered plans will be dried out and converted into digital files for reference.  The model (after it has been coordinated to the best of all involved trade partners) will be broken down into areas and service types, at which point a list of all permanent materials are extracted and identified.
o   If the project does not utilize BIM, then the contractor will generate the list in-house and is recommended to use a service that utilizes a standardized language suited for a collaborative FIT program.
        
Detailed material lists are formatted in a template that is acceptable to the prime contractor’s FIT coordination format (so that they are uniform across trades) and should incorporate the following information:
o   The name of the item/spool (this information will create the serial number, i.e. 1N-DW-C/18 would be the materials necessary for the 1st floor of the north building’s domestic water systems – specific to the area of column lines C/18.)
o   Lead times for the materials, with special attention paid to the longest lead time for any items from point of release.
o   A visual representation and listed index of all permanent materials included.

With just these limited, yet key bits of information, we’ve cross-sectioned otherwise unique and silo-like trade partners in such a way that will allow the otherwise random and possibly distrusting team partners the opportunity to correlate:

-          Material flow to payment progress
-          Material flow to permanent material lists

o   Payment Progress to Material Lists – Transparency regarding progress payment is formed when all stakeholders are aware of exactly what is to be installed and when.

-          Material flow to construction phasing
-          Material flow to permanent material items

o   Construction Phasing to Permanent Material Items – Identification of critical path material flow allows a complete picture, and therefore full empowerment to pull-plan meetings.

-          Material flow to intra-trade logistics verification (think:  contractor’s office      rep to contractor’s field rep to vendors/supplier’s rep)
-          Material flow to construction phasing

o   Intra-trade communications to construction phasing – QA/QC Protocol – Generating data that allows the supply chain to identify good/better actors.  Starting point of removing variation from the supply chain as a whole.

-          Material flow to inter-trade logistics verification (think:  contractor’s representative to design team’s representative/developer’s representative)
-          Material flow to construction phasing

o   Inter-trade communications to construction phasing – Project Installation Coordination (think:  QA/QC Protocol - opportunity to identify materials relative to ASI/Revisions, BIM Modeling.  Starting point of generating transparent data in such a way as to create QA/QC checkpoints)

Now with these connections made, and with the goal being to forecast, inform, and track – let’s use these correlations as tools to do so.  Using the same logic:

-          Forecasting

o   Transparency of progress payment – I should know how much I’m scheduled to bill as well as how much I’m scheduled to receive in invoices on a week-to-week basis.

o   Identification of critical path material flow – I should know up-front if any materials need to be purchased with expediting costs.  I should also know where there exists true schedule slack for healthy delivery schedule compression.

o   Pre-Construction QA/QC – I should know what is scheduled to arrive and when it will arrive.

o   Construction Installation QA/QC:  All stakeholders can anticipate the project’s needs and opportunities, thereby crowd-sourcing the project's progress control and empowering stakeholders.

-          Informing

o   Transparency of progress payment - Transference of funds is now based on tacit variables and can be automated with accuracy and confidence, thereby reducing the trust-demand of the process.

o   Identification of critical path material flow – Our pull-plan meetings are now armed with the knowledge of the project’s supply chain, completing a currently incomplete process.

o   Pre-Construction QA/QC – Prime contractors, specialty contractors, as well as developer representatives are empowered to hold the flow of material accountable, meaning the skilled labor in the field can now depend on a more consistent flow of materials.

o   Construction Installation QA/QC:  With a project utilizing the cloud-based and project-specific material map, a uniform language for communication regarding changes to the plans (and therefore materials required) are disseminated and adopted in a way that can be verified.

-          Tracking

o    Transparency of progress payment – As plans change (and they typically do), we will know how our material map also changes.  Therefore, we now have a much more detailed picture of the level of monetary magnitude (i.e. the materials and schedule thereof) associated with a client’s request to adjust.

o   Identification of critical path material flow – Again, having this knowledge up-front allows a developer, and installer alike, to know the extent of applicable adjustments given progress of construction (“we need [this decision] by [this time]").

o   Pre-Construction QA/QC – Data is power.  Maintaining records and data of key measurements of a transparent system will allow for a more objective method of identifying the best contractors, vendors, and practices. 

o   Construction Installation QA/QC:  Materials can now be verified at check points prior to installation to verify their correlation with the most up-to-date plans and schedule, empowering an industry to be as process-nimble as our clients wish, and contractors to be paid at the speed of business.

This system can easily incorporate prefabrication techniques since the method of transporting the materials to, as well as integration within, the project proper is left within the jurisdiction of installing contractors.  In fact, this process empowers contractors that are unfamiliar with prefabrication the ability to accommodate more prefab-minded contractors as it prompts the scheduling and logistics protocols necessary for proper implementation of prefabrication techniques. This occurs as a result of coordinating the exact materials by service, schedule, and building area - thereby implementing most of the positive benefits of prefabrication without most of the risk associated with volatile construction projects.  

In this way, implementing a FIT plan is a middle-step towards implementing prefab as opportunities arise. Incorporating FIT into a project requires far less up-front investment from all participants, since the technology necessary is available in formats that are currently free (think:  cloud-based storage space associated with a new email address) or come with little costs (SaaS model operating services such as PriceBuyFlow.com) 

More details to come.

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