FACTORY BUILT VS TRADITIONAL

Study Preface

The following information is based on a prefabrication and modularization study conducted by McGraw-Hill Construction. The research aimed to assess the prefabricated construction process and its impact on construction productivity utilizing quantitative data and qualitative interviews. The study contained 809 participants including architects, contractors, and engineers with prefabricated and traditional construction backgrounds. Please read the whole report here.

1

Project Schedule

Management of on-site construction activities subcontractor coordination often causes delays. Weather and site conditions such as traffic and noise bylaws may also delay projects even further. Long construction schedules leave companies vulnerable to material cost fluctuations.

66%

66% of A/E/C professionals using prefabricated construction report that project schedules are decreased. 35% report that project schedules are decreased by 4 weeks or more. Reason: Year round construction regardless of weather, short construction due to concurrent work, controlled storage facilities, smart material procurement practices.

2

Cost & Budget

The U.S. Bureau of Labor Statistics found that 57% of activities in construction are non-value adding and wasteful. If the construction technique is not lean then you are paying for inefficiencies.

65%

65% of A/E/C professionals using prefabricated construction report that project budgets are decreased. 41% report that project budgets are decreased by 6% or more. Reason: Planning and Construction efficiency

3

Material Use

According to the U.S. Environmental Protection Agency, a standard new building project produces an average of 3.9 pounds of waste per square foot.

62%

62% of A/E/C professionals using prefabricated construction report that the amount of materials used at site is decreased. 27% report that site waste is decreased by 5% or more.

4

Site Waste

The U.S. Environmental Protection Agency estimates that 164 million tons of building-related waste are generated in the United States annually.

77%

77% of A/E/C professionals using prefabricated construction report that site waste is decreased. 44% report that site waste is decreased by 5% or more. A recent study by the Waste & Resources Action Program (WRAP) shows that a 90% waste reduction can be achieved by increasing the use of off-site construction.

5

Material and Installation Cost

Construction materials may be purchased ahead of time, but may require multiple trips to on-site location. Materials left on-site may be damaged due to weather and are prone to theft.

47%

47% of A/E/C professionals using prefabricated construction report that material purchase and installation costs decreased. 30% report that site waste is decreased by 6% or more. Reason: Bulk purchasing, dry material storage, and assembly line construction.

6

Site Safety

According to the United States Department of Labor, falls, struck by objects, and electrocutions were the leading cause for incidents in construction sites in 2017.

37%

37% of A/E/C professionals using prefabricated construction report that site safety increases. Contributing factors to the increase in safety include: a reduced need for workers on scaffolding or ladders and a decrease in work done in tight spaces.

7

Project Quality

Quality of construction is dependent on how well materials are stored and transferred to site-location.

65%

65% of A/E/C professionals using non-prefabricated construction techniques report that project quality is improved. 15% report that there is a very high impact on project quality. Reason: constructing in a controlled environment and the ability to fabricate without scaffolding and ladders.

8

On-Site Resources

Whole construction teams must be paid to travel to and from the site each day. Several truckloads must be done to take material to site for each project.

83%

83% of A/E/C professionals using non-prefabricated construction techniques report that prefabricated construction leads to a reduction of onsite resources. Manpower and equipment on-site are largely reduced due to 80% completion of the project done in the factory.

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