Sector Challenges
The real estate and construction sectors face significant systemic challenges that require comprehensive transformation. The I5 Real Estate Delivery Model addresses these issues by merging productization principles with Integrated Project Delivery.
Introduction to the Challenges
The real estate and construction sectors are foundational to the global economy, yet they face significant systemic challenges, exhibiting a pronounced divergence from other industries in productivity growth and technological advancement.
Traditional project-based work, where each project is a unique endeavor, leads to considerable redundant effort and limits the application of standardization and continuous improvement. This has resulted in widespread inefficiencies, with industry analysis revealing that approximately 80% of large construction projects run over budget and 20% exceed their scheduled timelines.
The I5 Real Estate Delivery Model directly addresses these issues by merging productization principles with Integrated Project Delivery (IPD). It transforms the traditional fragmented ecosystem into integrated value networks that foster collaboration, enable data-driven decision-making, and systematically improve delivery efficiency.
Key Benefits
Owner-Controlled Digital Ecosystem
The I5 Model's comprehensive technological infrastructure integrates design, manufacturing, construction, and management processes seamlessly through owner-controlled digital platforms.
How the I5 Model Transforms Challenges into Opportunities
Bridging the Industry 4.0 Implementation Gap
While technologies like Building Information Modeling (BIM) have been incorporated, traditional frameworks have not been fundamentally restructured to harness Industry 4.0 principles.
The I5 Model's owner-controlled digital platforms form a comprehensive technological infrastructure designed to integrate design, manufacturing, construction, and management processes seamlessly.
Project-Based Inefficiencies
Traditional approaches lead to "reinvention of the wheel" for each project.
I5 treats buildings as standardized, repeatable products.
Collaborative Risk Management
Traditional contracts often involve adversarial risk transfer.
I5 implements collaborative contracting models through IPD.
Transforming Fragmented Ecosystems
The fragmented nature of the industry leads to siloed teams and inefficiencies.
I5 aligns all participants under common goals through an integrated, cross-functional team approach, facilitated by owner-controlled digital platforms.