Construction as a System
The data shows an alarming and unsustainable surge in hospital cost. The potential for this massive cost problem, if allowed to continue or even grow, could threaten our nation’s economic well-being. It’s time to solve construction’s severely stagnated and waste-filled state.
Building Catalyst cost modeling interface on laptop
A Construction as a System (CaaS) alternative to conventional planning, design, and production is now available to expose and solve the core causes to our stagnation and waste problems. CaaS applies the same proven management philosophy, systems thinking, and win-win business strategies used to create the Toyota Production System. All we need are motivated leaders among owners, owner advisors, designers, and builders working together in a unified system.
featured research

The Data Knows the Problems And their Causes

National macroeconomic data research shows a strong correlation between the decades of excessive cost escalation and the growth of negotiated first tier (CM, IPD, etc.) contracting. A deeper, microeconomic data research of 35 hospitals shows an even stronger correlation between negotiated second tier (trade and prefabrication) contracting and a more recent extraordinary surge in hospital costs.

These articles provide a comprehensive analysis of the problems, their causes, and a roadmap for construction reform. They identify misaligned incentives and the lack of knowledge as the central causes, and a system of profound knowledge as the central solution.
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solving the problem

The case for construction as a system

In a matter of a few days, you will be able to experience the power of profound knowledge and automation to transform construction - starting in the planning, early design and contracting stages.

Essentially, Construction as a System starts as network of the critical cause-and-effect relationships – from the owner’s business case to the final cost outcomes. This network, the first of its kind, enables major breakthroughs, starting with  intelligent automation and value-based contracting. These provide both the means and the motivation to drive measurable value and process improvement, and reversing decades of decline in productivity and operational efficiency.

Construction as a System is simply construction's version of a system of profound  knowledge created by world renown quality and process improvement pioneer, W. Edwards Deming.

Intelligent Automation System (IAS)

Replaces the current fragmented processes, data, and technologies with a highly integrated and automated objective knowledge system.

Value-based Contracting System (VCS)

Eliminates the financial motivation to increase waste time and cost by replacing the prevailing cost-plus and billable-hour framework with one that is value-based.

Continue the Case

Indiana receiver Fernando Mendoza making a diving catch with the words Efficiency and Excellence in Execution

Featured Article

The Case for Construction as a System

One of history’s greatest sports stories shows how an inefficient, poorly executed system can be transformed rapidly into a highly efficient and operationally excellent one. It just takes leadership.

Read the full case
the VISION AND ultimate end game

Construction as a System – The FIVE STAGES

Once you’ve experienced the power of profound knowledge, automation, and aligned incentives in the planning stages you will be motivated and equipped to continue the value and process improvement journey.

Stages 1 and 2 focus on program efficiency and construction(hard) cost effectiveness by driving efficiency and removing the top layers of waste and. Stages 3, 4, and 5 will naturally development to toward continuous improvement to eliminate deeper layers of waste to further reduce construction cost, total project costs, and total cost of ownership.

Planning and Budgeting

Apply impartial market data to rapidly and reliably plan, program, budget and optimize project scope and cost.

Value-Based Contracting

Align facility management, consulting, design, and construction compensation to reward value improvement and increase return-on-effort.

From Stage 2, proceed to Stage 3 or Stage 4

Design and Construction

Integrate, automate, and optimize design and construction support efforts via structured data standards and processes across all organizations.

Total Project Development

Incorporate all soft cost to the integrated automated system to optimize the total project (total first cost) development.

Total Cost of Ownership

Incorporate all facility life cycle aspects to optimize the total cost of ownership (TCO) expressed as Net Present Value.

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start the conversation

We are pleased to schedule a web conference to learn more about your needs and explore a pilot initiative. You can also select and complete the “Free Project Analysis” form. In just a few days you’ll experience the profound knowledge firsthand.

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Thank you. Our team will contact you to select a project, learn about your goals, and outline the next steps for your complimentary analysis.
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