Partnering Magazine September/October 2016 by Partnering Magazine

Issue 5 September/October 2016

facing forward Reaching out to the next generation of construction professionals

INSIDE: page 4

page 14

Profiles in Partnering

Are you ready to launch a Steering Committee?

Achieving success through partnering and collaboration.

Wor l d-Cl as s Inno v ator s. L andmark Buil dings. Inspiring Per formance .

www.henselphelps.com

CONTENTS INTERNATIONAL PARTNERING INSTITUTE IPI is a non-profit 501(c)(3) charitable organization that is funded by our members and supporters who wish to change the culture of construction from combative to collaborative. Phone: (925) 447-9100

BOARD OF ADVISORS Larry Anderson, Anderson Partnering Pierre Bigras, PG&E Roddy Boggus, Suffolk Construction Company, Inc. Mike Costa, Flatiron West, Inc. Pat Crosby, The Crosby Group Pete Davos, DeSilva Gates Construction Larry Eisenberg, Ovus Partners 360 Rachel Falsetti, Caltrans Michael Ghilotti, Ghilotti Bros, Inc. Randy Iwasaki, Contra Costa Trans. Authority Jeanne Kuttel, CA Dept. of Water Resources Pete Matheson, Granite Construction Geoff Neumayr, San Francisco International Airport Jim Pappas, Hensel Phelps Construction Co. Zigmund Rubel, Aditazz Ivar Satero, San Francisco International Airport Stuart Seiden, County of Fresno Thomas Taylor, Webcor Builders David Thorman, CA Div. of the State Architect, Ret. John Thorsson, NCC Construction Sverige AB Len Vetrone, Skanska USA Building

EXECUTIVE DIRECTOR Dana Paz

DIRECTOR OF DEVELOPMENT Jessica Obee

MEMBER SERVICES COORDINATOR Lisa Mayfield

Features

September/October 2016 Technology

Profiles in Partnering First in the nation: the City and County of San Francisco leads the way in implementing a city-wide Partnering Program.

Collaborative Technology & University Outreach Reaching out to the Next Generation of Construction Professionals.

OPERATIONS COORDINATOR Candice Evenson

FOUNDER & CEO Sue Dyer, MBA, MIPI, MDRF

EDITORIAL OFFICE: SUBSCRIPTIONS/ INFORMATION International Partnering Institute 291 McLeod Street Livermore, CA 94559 Phone: (925) 447-9100 Email: ed@partneringinstitute.org www.partneringinstitute.org

Facilitator’s Corner

IN THIS ISSUE

Executive Director’s Report A Steering Committee provides the opportunity to form and strengthen your Partnering network.

Best Practices IPI’s monthly online forums share Partnering best practices and trends in collaboration.

Are you ready to launch a Steering Committee?

DESIGN/CREATIVE Michelle Vejby Email: mvejby@msn.com

COPYRIGHT Partnering Magazine is published by the International Partnering Institute, 291 McLeod Street, Livermore, CA 94550. Six bi-monthly issues are published annually. Contents copyright 2016 International Partnering Institute, all rights reserved. Subscription rates for non-members, $75 for six electronic issues. Hard copy issues are available only to IPI members. Additional member subscriptions are $75 each for six issues. Postmaster please send address changes to IPI, 291 McLeod Street, Livermore, CA 94550.

www.partneringinstitute.org

Cover photo: the Big Room–a hangar in SFO where construction team members co-locate for the Terminal 1 Reconstruction and Boarding Area B (T1 Project), a partnered project from Austin Webcor JV.

September/October 2016 Partnering Magazine

EXECUTIVE DIRECTOR’S REPORT

Dana Paz, IPI Executive Director

Building Up Your Network

n this issue, we focus on Partnering Steering

A Partnering Network is relevant to a geographical area,

Committees. Like the Board of Directors of any

as opposed to a steering committee, which is relevant to a

enterprise, a Steering Committee will provide oversight,

specific program. Accordingly, all of those with an interest in

leadership and stewardship of the significant resources

Partnering in a local area should be involved in the network:

invested in a Partnering program. Beyond leadership and

owners, industry, facilitators, champions, and thought-leaders.

oversight, a steering committee provides another valuable element—the opportunity to form and strengthen your

If there are several owners in your area that are Partnering,

Partnering Network.

you’re ready to start a Partnering Network. We’ve found that there are “Partnering pockets” in some regions - where

A network is a group of people with a common interest

Partnering has spread among airports, transportation

that provides mutual assistance and helpful information.

authorities, developers, medical facilities, and public works

There are few areas of professional or private life in which we

agencies. Each of these owners will have their industry

don’t need mutual assistance and helpful information. IPI is

counterparts, who in addition to finding value in networking

an international Partnering network, and sharing information

with their clients, will also have a great deal of Partnering

across the construction industry has been extremely helpful in

knowledge to contribute to your discussions.

growing our movement. That’s why we are taking the next step

and promoting the formation of local Partnering networks—to

While it may take some time to build your network up, it can be

help grow local Partnering movements!

boiled down to three basic steps: 1. Establish your Partnering Network

We know that the best steering committees will be composed

Reach out to executives of the owner agencies and industry

of representatives from the owner organization, building

firms also partnering locally. When thinking about who

and design firms, construction associations and other

within the organization, bring on those who have a true

stakeholders—all working toward the common interest of

commitment for Partnering. They’ll likely be the most

Collaborative Partnering. Here we already have some of the

engaged and the most vocal in getting others to join as well.

people we need for our network—we just have to expand on

Also, reach out to facilitators in the area. Keep a healthy

that to also gain the advantage of learning opportunities and

balance in your network—more diversity lends itself to more

information sharing.

enriching information being shared.

Partnering Magazine September/October 2016

www.partneringinstitute.org

2. Identify your champion(s)

Every group needs a leader, someone who will serve as the chair and bring the group together. Here at IPI, we like to name co-chairs – typically an owner rep and an industry rep to balance out perspectives. You may choose to rotate your co-chairs every couple of years.

W I N N E R O F T H E 2 016 I N T E R N AT I O N A L PA RT N E R I N G I NSTITUTE PA RT N E R I N G C H A M P I O N AWA R D — I PI’S H IG H EST HONOR!

3. Get together

The whole point of the network is to, well, network! So bring your group together, once per quarter or so. One way to make sure the network continues to be valuable is to find the right balance between education, professional mingling and fun. Host project team presentations, multi-player panels on trends in Partnering, owner presentations, etc. Just keep it local, and keep it about Partnering. Also, always have food. Happy hours, dinners or luncheons will make sure that there is time to network and mingle in addition to learning something valuable. Why should you start a network? If Partnering has taught us anything, it’s that collaboration helps us tap into the collective wisdom, and that there is much to be gained from this. We also know that collaboration happens in the off moments, not just in the Partnering sessions. As one of our members put it, breaking bread together is an essential piece of building up the trusting environment that makes Partnering thrive. Think of all that you’ve learned from your Partnering program. Now, think about how much that knowledge multiplies with others like you in the room! We also know that it pays to work with others who already understand Partnering, so consider the professional opportunities

BUILDING CALIFORNIA F O R S E V E N T Y- F I V E Y E A R S

that can come from building your network and enhancing what your network knows about Partnering.

PAV I N G • R O A D / H I G H W AY • G R A D I N G • D E M O L I T I O N / E X C AVAT I N G

How can IPI help? Once you’ve decided to establish your network, we can connect you with the local organizations and individuals who Partner, give you tips for how to make sure your network events pay for themselves, and help you kick-off with a presentation. We can also provide you with materials to use in your events and to grow your network. So get the ball rolling and tap into the network around you. You will also be helping grow the Partnering movement worldwide.

INTERNATIONAL PARTNERING INSTITUTE JOHN L. MARTIN 2015 PARTNERED PROJECT OF THE YEAR DIAMOND LEVEL SFO RUNWAYS 1-19S RSA IMPROVEMENTS WINNER OF THE 2014 CALTRANS EXCELLENCE IN PARTNERING AWARD “BEST IN CLASS” FOR PROJECTS GREATER THAN $50 MILLION Highway 65 Lincoln Bypass Project 11555 Dublin Boulevard, Dublin, California 94568-2909

925-829-9220 w w w . d e s i lva g at e s . c o m Contractors License No. 704195A

www.partneringinstitute.org

September/October 2016 Partnering Magazine

PROFILES IN PARTNERING

Member Profiles:

San Francisco’s Partnering Story By Candice Evenson, IPI

“Whatever a person’s role is on our projects—from laborer to CEO and everything in between—partnering will help us work better as a team. We hope to establish and maintain a relationship of shared trust, equity and commitment. We’re all in this together.” Mohammed Nuru, Director, San Francisco Public Works (from CCSF’s Mini Guide to Partnering)

he City and County of San Francisco (CCSF) is proud to

and tired. “Negativity in construction wears on people,”

call itself the first in the United States to implement

says Ghilotti. “Then they get a taste of Partnering and think

a citywide Partnering Program. It has come a long way

‘Wow! This was fun. This was exciting. This was successful.’”

since 2012 when the idea was first proposed. Spearheaded by

After that taste, they don’t want to return to the traditionally

Mohammed Nuru,

adversarial way of doing business, which Ghilotti says “takes

Director of San

more time and energy, and is neither professionally nor

Francisco Public

personally fulfilling.”

Works, and with the collaboration of City

Four years ago, Ghilotti shared his vision with San Francisco

leadership and the

while co-chair of a liaison committee. The committee

local construction

developed policies and procedures to improve two important

community,

areas of construction work in the city: prompt payment and

Partnering has

issue resolution. Knowing that improved issue resolution

become an integral

is a result of Partnering, Ghilotti invited IPI to introduce

part of CCSF bid specifications and contracts. Now in

Partnering to the committee. It turned out to be a practical Mohammed Nuru, Director of San Francisco Public Works and CCSF Steering Committee co-chair

solution for the San Francisco—a structured process that promotes a collaborative culture

their third year of Partnering, they’ve established the CCSF

where teams are more effective at

Collaborative Partnering Steering Committee, to ensure

communicating, resolving issues,

strong executive commitment, continued improvement and

and strategizing to prevent them

sustainable positive change.

in the first place. Inspired by IPI’s presentation, the committee

By many accounts, one of the first advocates for Partnering in

gained new momentum and

San Francisco was Mike Ghilotti, President of Ghilotti Bros.,

included Partnering in its focus.

Inc. and Founding Member of the International Partnering Institute. Ghilotti became an early champion of Partnering

On December 18, 2012, Mayor Ed

after seeing the stark difference between projects that are

Lee issued Executive Directive

partnered and adversarial projects that make people bitter

12-01, declaring that Partnering

Partnering Magazine September/October 2016

Mike Ghilotti, President of Ghilotti Bros., Inc. and CCSF Steering Committee Co-Chair

www.partneringinstitute.org

should be used on all appropriate CCSF Public Works construction projects managed by six city agencies with contracting authority: San Francisco Public Works, the San Francisco Public Utilities Commission, the San Francisco Municipal Transportation Agency, the Port of San Francisco, the San Francisco International Airport, and the San Francisco Recreation and Parks Department. From that point forward, the liaison committee worked to make Partnering a reality, reaching out to IPI for resources and best practices. Using IPI sample documents, CCSF developed

ENVISIONING THE FUTURE Airports face numerous challenges today, but those issues also represent opportunities. WSP | Parsons Brinckerhoff brings years of experience and a full range of services to enable airport owners to envision the future … and then create it. Partner with us to advance the future of aviation.

their own Partnering matrix and specifications tailored to their construction program which became effective in July 2013. In February 2014, CCSF held a Partnering Summit to excite contractors and staff and share the benefits of Partnering. They also held five program-wide IPI Collaborative Partnering Orientation Trainings for internal staff, designers and contractors. Establishing the Partnering program in San Francisco has gone a long way toward improving communication on projects in San Francisco, known for their complexities. Contractors face lengthy permitting and registration processes, and most projects involve more than one department and many subcontractors. Adding to these complexities, the socio-cultural context in San Francisco lends itself to high levels of community and media scrutiny on any public investment. Partnering sessions have helped mitigate these complications. “Partnering creates a better culture for delivering projects,” says Nuru. “When we work cooperatively with the contractor community, we can problem solve and find better solutions together.” He adds that it has also improved their communication plan with the neighbors around the project. The most recent initiative underway in CCSF’s Partnering Program is the launch of the Steering Committee, designed to oversee the city’s Partnering program and direct it toward greater success. Co-chairing the committee are Nuru and Ghilotti. Ghilotti describes the Steering Committee as a “tight nucleus of committed people” and “the backbone of the program that can help guide and influence it so that it is constantly improving.”

For the latest news visit: insights.wsp-pb.com

The Steering Committee is comprised of 14 CCSF representatives (from all six agencies and the mayor’s budget office), and 14 industry representatives. Each was nominated onto the steering committee by his or her organization or

For career opportunities visit wsp-pb.com/usa

agency and many of them understand the history of Partnering with CCSF, having also been on the liaison committee that www.partneringinstitute.org

September/October 2016 Partnering Magazine

PROFILES IN PARTNERING originally developed the Partnering recommendations. Representing the industry are members of United Contractors, Associated General Contractors, Construction Employers

Steering Committee Best Practice: • Engage a neutral facilitator with Steering Committee experience • Get the right people involved - owner department/division

Association, Asian American Contractors Association,

heads, and executives from construction firms, design

National Association of Minority Contractors NorCal Chapter,

firms, CM firms and industry associations

Construction Management Association of America-No Cal,

• Members must be policy makers - VP level or higher

American Institute of Architects-SF, American Society of Civil

• Meet at least quarterly

Engineers, and IPI.

• Update your Steering Committee Charter annually • Form subcommittees to tackle specific tasks - leaving the

In June of this year, the CCSF Steering Committee held its

Steering Committee free for general oversight

kickoff session, and addressed three important questions: 1) If the Steering Committee were to be extraordinarily successful, what do you hope that we would achieve? 2) Three years into Partnering on San Francisco projects, what is working well? 3) What are the barriers to Partnering and project delivery on San Francisco projects?

The Steering Committee is still new, but Nuru has already seen its benefit in helping more people to speak up. “I get to talk to more people and hear more concerns, and that’s been very good.” Ghilotti credits the Steering Committee with more communication: “When there is a body of people designated

While answering these questions, the committee members

with the task of overseeing the Partnering program, it makes it

identified success factors for improving the partnering

easier for everyone to have an equal voice, raise concerns, and

program and prioritized work to accomplish in the coming

feel connected.”

year. The next steps for the CCSF Steering Committee will be to form two committees to address education and training as well

As the Steering Committee works to strengthen the city’s

as performance measures.

Partnering, indicators of a successful Partnering Program in San Francisco will not only be improved outcomes but

One thing about this Steering Committee that stands out

lasting improvements to the construction community. The

from others is its size. Whereas Steering Committees

nation’s best contractors will want to work in San Francisco,

are typically formed around a single owner, the CCSF

knowing that the risk inherent in construction projects will be

Steering Committee includes six City agencies. Rob Reaugh

mitigated by fair treatment and collaborative issue resolution.

of OrgMetrics, the neutral facilitator to the committee,

San Francisco owner agencies will benefit from the talent

recognizes that each agency has its own unique way of

their collaborative culture attracts and the rise in competitive

doing construction and needs to be understood and fairly

bids. The result is a win-win scenario—or even what Ghilotti

taken into account. For Partnering to succeed, the steering

would call “a triple win,” meaning that not only do owners and

committee will have to develop tools, resources, and training

contractors benefit from Partnering, but so do the stakeholders

that are specific enough to be useful to each agency but

that the teams engage with along the way.

broad enough to apply to them all. Working toward the future of San Francisco’s Partnering While the size of the steering committee is a challenge, it

Program, Nuru will continue spearheading the Partnering

also brings with it the advantage of being well-rounded. The

initiative between the quarterly steering committee meetings

CCSF Steering Committee supports a process that has been

to ensure the city embraces Partnering and implements it well

mandated for all city construction work, so the right amount of

on all projects. “From my office, we collect all the information

representation will allow the committee to be most effective.

on contracts, assist in making facilitators available [to the

Reaugh says that it creates “a more consistent environment

teams], monitor and track what training is needed and what

for the design and construction community to identify what

areas we need to do better in.”

is working well and what the Steering Committee needs to overcome.” The large steering committee can also designate

To date, several teams have received the IPI Partnered Project

smaller subcommittees—or task groups—to tackle specific

of the Year Awards, and we look forward to what they will

issues as needed.

accomplish in the years to come.

Partnering Magazine September/October 2016

www.partneringinstitute.org

Collaboration. Innovation. Sustainability. Partnering to build what matters for our customers and communities.

George Bush Intercontinental Airport, Terminal B South Side Replacement, Houston TX

Tampa International Airport, Main Terminal and Airport Concession Redevelopment Program, Tampa, FL

Gold Line Bridge, Arcadia, CA

James B. Hunt Library, North Carolina State University, Raleigh, NC

usa.skanska.com

TECHNOLOGY By Candice Evenson, IPI

Collaborative Technology & University Outreach

How some in the industry are reaching out to the next generation of construction professionals.

On May 5th, the Austin and Webcor Joint Venture hosted an educational seminar for engineering students of Santa Clara University. The seminar gave them a behind the scenes look at the new Terminal 1 Reconstruction and Boarding Area B

STUDENTS TODAY WILL BE INDUSTRY LEADERS TOMORROW, SO IT IS IMPORTANT TO ENGAGE THEM IN A CONVERSATION ABOUT THE FUTURE OF THE CONSTRUCTION INDUSTRY. LEADING CONSTRUCTION FIRMS KNOW THAT IN ORDER FOR THE INDUSTRY TO GROW AND THRIVE IT MUST BE

(T1) partnered project at San Francisco International Airport (SFO), and the Building Information Modeling (BIM) technology that the team uses.

ABLE TO ATTRACT MILLENNIALS, AND ONE WAY TO DO THAT IS TO SHOW

The featured T1 Project is a design-build

THAT IT VALUES COLLABORATION, COMMUNICATION, AND TECHNOLOGY.

partnered project that began in 2015 and is

JUST AS IMPORTANTLY, COMPANIES WANT INCOMING TALENT THAT

planned to be completed in November of

UNDERSTAND TRENDS IN THE INDUSTRY – TRENDS THAT INCREASINGLY

2020. Gensler, Gencon, and Hensel Phelps

ARE ABOUT COLLABORATION. TO BROADEN STUDENTS’ UNDERSTANDING OF TODAY’S CONSTRUCTION INDUSTRY, INDUSTRY LEADERS ARE ACTIVELY REACHING OUT TO UNIVERSITIES, HOSTING EDUCATIONAL EVENTS AT ACTIVE PROJECT SITES TO GIVE STUDENTS A FIRST-HAND LOOK. 10

Partnering Magazine September/October 2016

are on the design side of the team, and Austin Webcor JV is the General Contractor. They co-locate at a hangar in SFO—also known as the Big Room (shown in photo above), a practice that has led to improved www.partneringinstitute.org

student fills the role of someone on

other owners catch up.” Chowdhry explains,

the team—the structural engineer, the

speaking from the perspective as principal

architect, the contractor, or the green

of a structural engineering firm.

building professional. Chowdhry usually invites a guest speaker to present each year,

At one station the students were introduced

but this year the opportunity arose to see

to Aconex, which acts as a single platform

the technology in action. “There is a real gap

for exchanging data and collaborating in

between real life and college—especially

a digital environment. Aconex integrates

with BIM,” says Chowdhry. “Students are

everyone into the cloud-based system,

limited to the resources of the classroom.”

changing what it calls “lonely BIM” into “connected BIM.” Connected BIM allows

Kent DeRusha,

the team to attach information, documents,

Program Manager

and photos to models without the hassle of

at Austin

conflicted copies. The students later stated

Commercial

that, “procrastination” was the only major

was happy to

point of tension in their group projects.

help arrange the

They found connected BIM intriguing for

seminar, and felt

that reason, saying: “If you send something

the same way

to someone you both have a deadline. You

about bringing

can’t say you didn’t see it. You hold each

students onto the site of an actual

Kent DeRusha, Program Manager, Austin Commercial

other accountable.”

project: “I think

At another station, representatives from

this kind of outreach is important because

Southland Industries, a key sub-contractor

it provides students with a good real-life

on the project, demonstrated Revit

example of a design-build project.”

rendering software. Revit has a wide range of capabilities, including clash-detection

Chowdhry’s students had the opportunity

and the addition of data to individual items

to go around to several stations where

such as doors, ceilings, and hardware. The

meeting schedules, communication, issue

technical staff from Austin Webcor JV,

students were familiar with the software

resolution, and the understanding of

Southland, Aconex, and SFO demonstrated

from their classes, but had never seen it

everyone’s roles.

BIM technology. The students spent

used to quite this extent. “I didn’t know

15 minutes at each station in small

how detailed it could get—down to the

Professor Humza Chowdhry, the Principal

groups. Volunteering their time well after

chairs…everything,” remarked one student.

of IPI Member HC Structural Engineering,

regular business hours, the T1 staff was

Another was surprised that they could

and professor at Santa Clara University,

nonetheless eager to share how they use

even “put the shafts in the sod and the

was excited about this special opportunity

the cloud and handheld devices to make

foundation.”

for his BIM class.

24/7 collaboration a reality. “It is a challenge

The seminar

to invest in all of these

was especially

collaborative technologies

applicable as the

that may not be immediately

BIM students

beneficial. But it is this same

were currently

technology which, in the long

in the middle of

run, will provide a competitive

a design-build

advantage, increase efficiency,

senior project that

and prove worthwhile as

accounted for 50% of their grade. For the project, each

Professor Humza Chowdhry, Principal of HC Structural Engineering

www.partneringinstitute.org

A workstation demonstration at the site visit.

September/October 2016 Partnering Magazine

TECHNOLOGY development, and space planning. Old structures may even undergo “BIMification” if doing so will increase their longevity and value. At the GIS station, SFO staff showed students how BIM can be converted into a 2D GIS model to be used after design and construction. The data within the GIS model can be used to improve transparency and engagement with both airport employees and passengers. For instance, employees with the right authorization could use it to see their lease expiration, rather than having to ask the one person with access to the database who can print reports. Rotating to the next stations, students saw demonstrations of how BIM 360 Docs enables teams to monitor progress revision by revision, and how Autodesk BIM 360 Glue combines models like pieces of a puzzle. The “glue” software has a feature that allows one to highlight specific sections or turn layers off as needed, making for powerful and accurate visuals during meetings. With all the time, energy, and details that go into BIM, many facility owners and operators are finding that it is an excellent resource to

The Santa Clara University BIM class

continue to use for life-cycle applications. BIM can be helpful when it comes to energy consumption, maintenance, employee use, revenue

It also could make it possible to search for fine details, such as fluorescent bulbs to recall. Meanwhile, passengers would see another map. The map could allow passenger to search for food and beverages, and be rerouted as necessary, acting as a real-time navigational web service. The students were impressed

COLLABORATE Van Ness and Geary Campus, San Francisco, California

by the technology demonstrated by the BIM team. “I would want to use it,” said one of

INTEGRATED PROJECT DELIVERY

the students, “just

By creating opportunities for innovation and collaboration, we pursue continuous improvements to make each project our best one yet.

everything a lot

For more information, visit southlandind.com/IPD

because it makes simpler.”

At the GIS Station, SFO staff showed students how the model can be used as real-time navigational web service.

I asked some of the students about classroom collaboration. In class, they simulate a co-located environment. Outside of

+1.800.613.6240

the classroom they use Google Drive, Google Docs, and even Facebook to update each other on their progress, pointing to the fact that students are graduating with an innate grasp of virtual collaboration, and an expectation to find this environment in their future workplace. While interviewing them, I noticed that many of

southlandind.com

the students work well together because they know each other. Chowdhry allows them to choose their groups because he knows that will help them be more successful. Although they may not have

Partnering Magazine September/October 2016

www.partneringinstitute.org

Austin Webcor JV Staff

the privilege of choosing their teams in other classes, one student told me, “We still know each other from other engineering classes, so that’s helpful.” The relationships they have formed from other group projects with the same people has helped them to work more collaboratively. Among the T1 team at SFO, co-location and Partnering have played important roles in building strong relationships. “Without co-location,” says DeRusha, “we would be relying on phone calls, email, or video conference. Nothing works better than face to face communication. You can read body language

Interstate 880/State Route 92 Interchange Reconstruction Hayward, CA 2012 IPI Partnered Project of the Year, Diamond Level

and understand what people are really saying.” Sharing the space allows for discussion where everyone on the team can understand each other’s progress firsthand. Partnering, in which the team involves stakeholders and executives, brings them all together once a month to prioritize goals, plan for the next thirty days, and bring issues to light. The team knows that to be the most productive they must listen to each other and voice their opinions during these sessions. “We were hired to think independently—to think creatively,” says DeRusha. The seminar was a one of a kind chance for the students to see a cutting-edge project in the making and engage with members of a truly collaborative team. They left the Big Room inspired by what the T1 team was able to accomplish together and excited about applying their knowledge outside of the classroom. As industry leaders continue to reach out to universities, the construction industry will benefit from more students entering the field with a collaborative mindset and the expectation for innovation.

Help us Continue the Outreach!

As one of North America’s largest transportation and infrastructure contractors, our commitment to building the best is demonstrated in the projects we build and the partnerships we develop. Our success is dependent upon our relationships with owners, partners, designers, subcontractors and community members. Flatiron works closely with our partners to develop innovative solutions that benefit everyone, and we’re proud of what we’ve created together. The more than 20 partnering awards Flatiron has won in the past decade serve as recognition of these relationships and the resulting successful projects.

Have you thought of giving a presentation to university students on one of your Partnered Projects? Let us know! IPI can provide you with materials and be there to showcase your outreach efforts! Email ed@partneringinstitute.org

www.partneringinstitute.org

To learn more about Flatiron’s innovation in partnering visit

www.flatironcorp.com September/October 2016 Partnering Magazine

FACILITATOR’S CORNER

Steering Committee: Are you ready to launch?

n Partnering we often stress the importance of an active and engaged Executive Team,

Often the only way to resolve slow design reviews or negotiate and solve project adjacencies is by getting people in a room together... to actually influence staff behavior.

whose role it is to steer your construction project or program to success. The metaphor that I like to use is that they serve as a Captain, looking out into the horizon and “steering” the project ship by controlling its rudder. So the Executive Team is looking

way out in front to ensure the crew has an effective route and strategy to arrive at its destination, being mindful that the rear of the ship is fuctioning properly and has not picked up any debris that will cause drag. Looking toward the horizon, the Executive Team deals with strategic issues (i.e. project funding, avoiding political pitfalls, maintaining timely payment and that the project is staffed properly so it can deliver a high quality project safely, within budget and on time). In looking towards the rudder, they’re ensuring that the project team is resolving issues and that team has “gelled” (to avoid personal conflicts from creating drag on the project). The Executive Team can really help each individual project get great outcomes. At the program level, a Steering Committee—made up of members of your Executive Staff and leaders from the architects, engineers, and contractors who design and install your projects—will enable you to really focus on barriers preventing all of your projects from being successful and help your program save thousands if not millions of dollars. But when does it make business sense to launch the Steering Committee? Historically, construction programs have launched Steering Committees when they have secured a new funding source and are looking for opportunities to improve outcomes related to project schedule, budget and/or quality. You do not need to wait for a big bond measure though. If one of these three indicators are happening across multiple projects, it’s time to launch a Steering Committee:

Partnering Magazine September/October September/October2016 2016

www.partneringinstitute.org

1. We seem to pay higher prices than other agencies with similar programs. An expression that I love is “word on the street is the word on the street.” To me it means that your reputation becomes fact. But how are you going to learn what your reputation actually is? It takes courage to ask your designers and contractors what you are like as a client, because you might get some bad news. For instance, your staff may be inconsistent in how you enforce certain specifications. You may have certain engineers or middle managers that contractors actively avoid because the project outcomes are not predictable when they are involved. Or maybe your administrative requirements mean that small businesses and contractors have to add costs for overhead to be able to keep up with the paperwork. Long story short, until you have a forum where the contractors and designers can tell you the truth without fear of reprisal (and you actually do something about it), they will price that risk into EVERY SINGLE CONTRACT they bid on. When contractors are confident that you will predictaby resolve issues in a fair way, they will bid your work more aggressively. If you ignore the feedback, prices will remain high (particularly when the economy is good). We have seen several Steering Committees reduce their number of arbitrations and claims, which often translates to more bidders per project and savings of thousands, if not millions of dollars.

2. Our projects finish late and/or often have claims. Have you looked into the data of your construction program? I mean really looked? Do you have performance measures for claims, arbitrations, budget, safety, quality, and schedule? Most owners I speak with tell me that they are “not really having a problem with claims,” but haven’t the foggiest idea what their claims history is like. They also typically have performance measures, but they are owner-centric...they do not ask the contractor or architect/engineer’s opinion. From a program-steering standpoint, the two best indicators of whether or not your construction teams are functioning well are a) zero arbitrated claims and b) projects are routinely delivered ahead of schedule. Avoiding claims means your project managers and executives are able to focus on the

As Lord Kelvin famously said, “If you cannot measure it, you cannot improve it.” A Steering Committee will help you develop practical performance measures that not only measure your project outcomes, but will be fair and balanced and will help you achieve what you actually want to achieve.

3. We have silos that affect our project teams. Do your projects suffer from your organization’s “silos of excellence?” Do your teams routinely struggle with change orders because design reviews need to be run through multiple departments that your construction team has no power to speed up? Do you have simultaneous or phased projects that are adjacent to each other and no-one is sure who is in charge of the neutral zone? Again, this is a perfect opportunity to use Strategic Partnering and launch an Executive Steering Committee. The rule in construction is that “buildings leak where subs meet.” What I have learned is that “project schedules leak where departments meet.” Often the only way to resolve slow design reviews or negotiate and solve project adjacencies is by getting people in a room together who are high enough in the organization to actually influence staff behavior. They then co-create a strategy and roll it out among their staff. Without a Steering Committee, individual project teams can lament the loss of schedule due to slow response times, but can’t seem to do anything about it. It takes a meaningful, executive level effort to interrupt the deeply ingrained bureaucratic habit of moving “with all deliberate speed,” which wastes significant dollars in project delivery. Remember, for better or for worse, the only silo in your organization that knows just how many dollars are actually spent in construction is your construction department! An Executive Steering Committee can be an incredibly important tool for improving a program of projects, or for improving the delivery of adjacent, interdependent projects. As we all know, executive leadership is essential for successful project management. By launching a Steering Committee that includes executives from your staff and leaders from the contractors and designers who perform your work, you can really steer your crew to exceptional outcomes.

current projects in your portfolio and plan for future work. Remember—each claim has a cost, but unless the cost of the claim is more than $1-2 million, you will probably spend more in administrative time and attorney’s fees than you could potentially “win” in the claim. Even when you win, you have

Rob Reaugh, OrgMetrics LLC Rob Reaugh is an IPI Certified Partnering Facilitator and Vice President for OrgMetrics LLC. He is the Partnering Facilitator for the San Francisco Collaborative

still actually lost. Also, projects that finish ahead of schedule are

Partnering Steering Committee and works in aviation,

more efficient and do not waste money on the contractor’s office

transit, vertical building, heavy civil, and mechaical and

overhead while they work on an eternal punchlist.

wastewater construction.

www.partneringinstitute.org

September/October 2016 Partnering Magazine

BEST PRACTICES

IPI Virtual Forums

Monthly online forums share Partnering best practices and trends in collaboration. EACH MONTH, IPI HOSTS VIRTUAL FORUMS ON A VARIETY OF TOPICS IN PARTNERING, PRESENTED BY OUR MEMBERS AND OPEN TO ALL CONSTRUCTION INDUSTRY PROFESSIONALS WHO WANT TO LEARN MORE. BELOW, A SUMMARY OF RECENT FORUM TOPICS, AND MORE ON WHAT’S COMING NEXT.

Establishing a Steering Committee

A Steering Committee:

In June, our guest presenter, Mark Leja,

• Gives Partnering champions the means to lead cultural

shared tips on Establishing a Steering

change within your organization

Committee. Leja is the former California

• Creates accountability

Department of Transportation (Caltans)

• Ensures that your Partnering culture endures with clear

Division Chief of Construction who served as the chair of their Steering Committee. He continues to champion Partnering and is currently an executive consultant at Hill International, Inc.

Virtual Forum Question & Answer:

leadership over time • Develops the proper tools, training, and recognition programs that are necessary to supporting a collaborative culture • Is committed to identifying and removing barriers to Partnering

Q: During your time there, how did Caltrans choose which

For Best Results:

people/companies would be on the Steering Committee?

• Keep your Steering Committee balanced by including an

A: Steering Committee members that are Caltrans employees

equal number of members on the committee from the

are determined by the position they currently hold - i.e.

Owner side and the Industry side

District Construction managers and Construction managers

• Meet Quarterly

from headquarters. Externally, members are selected by

• Update your Steering Committee Charter Annually

their own interest in Partnering and their reputation for

• Form subcommittees to tackle specific tasks—leaving the

collaborating on Caltrans projects. They also need to have

Steering Committee free for general oversight

the authority for change in their company and be able to influence others in Industry. Q: What kind of tools did you find to be key elements of success?

Q: Did you get the legal and procurement departments on

A: Setting expectations and putting them in writing is

board with collaborative partnering?

one of your greatest tools. Caltrans uses a “Field Guide

A: Yes. They encouraged us to solve problems before bringing them

to Partnering” and “Partnering Facilitator Standards and

forward. To get them on board we just needed to communicate

Expectations” to do this.

how successful we could be by resolving issues in advance.

Partnering Magazine September/October 2016

www.partneringinstitute.org

WITH Q&D ON YOUR TEAM, YOU CAN KEEP YOUR EYES ON THE SKIES.

Q&D’s experienced aviation team has the know-how, collaborative approach and proven preconstruction processes to integrate your project’s construction into your facility or operation without negatively impacting your day-to-day. Q&D’s capabilities include: Large Projects

Improvements

• • • • •

•

Terminal Revisions Terminal Buildings Airport Expansions Security Upgrades Baggage Handling Systems

Support Facilities • • • • • • •

Ground-up Construction Equipment Storage Buildings FBO’s Service Buildings Maintenance Buildings Hangars Runways / Barriers

•

Utilities

• • • • • • • •

Equipment Upgrades and Relocations Tenant Improvements Gate Relocations Security Revisions Concession Build-Outs Finish Upgrades Support Spaces Full Program Support Branding Updates

Project Delivery • • • •

CM-at-Risk Design-Build Full Preconstruction Services Partnering

qdconstruction.com (775) 786-2677 Member, IPI Duane Boreham VP Aviation Division

www.partneringinstitute.org

September/October 2016 Partnering Magazine

BEST PRACTICES Q: Could you provide specifics on the “time to problem

They become the champions for change. Field staff is usually

solve” teams had prior to bringing an issue to the Dispute

accepting of change and only want to know clearly what is

Resolution Board?

expected of them. Most embrace the new empowerment that

A: There is an additional 21 days added to the Caltrans dispute

comes with a Partnering approach.

resolution process. Extra time encourages and empowers everyone to come together and resolve the issue themselves.

In my experience, middle management finds it harder to change because they sometimes have to give up power and delegate

Q: How did you manage the culture change at Caltrans? And

authority and decision making to the field teams. One approach

how did you deal with resistance to change?

we used with this group was to show them the benefits of this

A: Culture change is often embraced first by leadership who

change by sharing best practices and success stories with them.

indicate they want a new approach to building projects.

Peer pressure can be powerful when they see others being successful on challenges that are similar to theirs.

Partnering for Success

Bros. Through it, we were able to negotiate a significant

In July, IPI Awards Judge Larry Eisenberg

change order that would have expanded the scope.

shared his insight on what he looks for when assessing applications for Partnered

Q: How did the Pier 49 team engage stakeholders?

Project of the Year Awards, and two

A: We needed to work with the tenants of Fisherman’s Wharf and

Partnered project teams shared their actual

let them know that working on the sewer piping system beneath

field experience.

the pier was of benefit to them. We promised to limit the impact

Project Teams Share Their Experience:

to the surrounding businesses. Partnering benefited their project

Q: Why did the City of Petaluma decide to Partner this project?

finishing a month ahead of the busy holiday season.

by keeping everyone together and committed to project goals,

A: There were a lot of issues in budget and design that could have made the East Washington Park project go south.

Q: What advice do you have for other teams that are

Partnering was suggested by the General Contractor, Ghilotti

Partnering for the first time? A: (City of Petaluma) From the owner’s standpoint:

Keep these in mind when submitting awards applications : • Make sure that your application clearly describes the project and tells a story • Tell us about how Partnering affected the people on your project • Explain issues that you were able to overcome through Partnering • Don’t forget to mention the specific goals your team identified at the kickoff session • Any project, regardless of size or cost, can win a Diamond

Aiming for Diamonds:

• Trust is required. • Partnering is a great way to tune design/managing engineers in to the reality of construction. That makes it very valuable to have from the very beginning. • Your Partnering effort must be robust enough to have a presence throughout the whole process. A: (Pier 49) From the contractor’s standpoint: • The kickoff meeting is important. Maintain the Partnering attitude at every step and highlight the process week to week and month to month. • Realize that the cost for Partnering will have to be shared and account for it in the bid. • Understand who the stakeholders are and accomplish your goals together. Knowing their concerns is half the battle.

A Diamond winning project is one that used the IPI Collaborative Partnering structured model to come in under

TUNE IN TO OUR VIRTUAL FORUM SERIES—GO TO OUR

budget, ahead of schedule, of superior quality, free of

WEBSITE CALENDAR OF EVENTS TO LEARN ABOUT

claims, and safe. It also used Partnering to find innovative

UPCOMING TOPICS, AND HOW TO DIAL-IN. IF YOU WOULD

solutions to the challenges it faced.

LIKE TO PRESENT ON YOUR PARTNERING EXPERIENCE, CONTACT US AT ED@PARTNERINGINSTITUTE.ORG.

Partnering Magazine September/October 2016

www.partneringinstitute.org

Celebrating

Building Extraordinary Project Outcomes

Years

We FACILITATE To Build Consensus