{"id":32922,"date":"2025-10-24T22:58:36","date_gmt":"2025-10-25T05:58:36","guid":{"rendered":"https:\/\/essential.construction\/news\/construction-lifecycle-management-a-necessary-business-strategy\/"},"modified":"2025-10-24T22:58:36","modified_gmt":"2025-10-25T05:58:36","slug":"construction-lifecycle-management-a-necessary-business-strategy","status":"publish","type":"post","link":"https:\/\/essential.construction\/news\/construction-lifecycle-management-a-necessary-business-strategy\/","title":{"rendered":"Construction Lifecycle Management \u2013 A Necessary Business Strategy"},"content":{"rendered":"

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Historically, Product Lifecycle Management vendors have supported AEC solutions while Enterprise Resource Planning vendors have been focusing on the EPC side of the AEC\/EPC ecosystem.<\/p>\n

It is time to adopt a holistic approach to Construction Lifecycle and both, PLM and ERP vendors, must provide new technologies and solutions to promote efficient collaboration between Construction disciplines and streamline Business Practices that result in increased profitability and significant savings for their customers.<\/span><\/p>\n

Construction Lifecycle Management promotes new ways of thinking and doing business, aiming to achieve Lean by delivering innovative Construction Process Integration framework to manage holistically all the phases of the Lifecycle of a Capital Asset: design, build, operate and retirement.<\/span><\/p>\n\n

Construction Lifecycle Management \u2013 a necessary business strategy<\/h2>\n

by\u00a0Ionel GRECESCU, P.Eng., London 2014.<\/strong><\/p>\n

Manufacturing <\/em>and Construction<\/em> are unique fields on their own but share a great deal of things together. Both are, obviously, concerned with creation. By de facto<\/em> terminology convention, Manufacturing<\/em> is concerned with creation of Products and Construction<\/em> with creation of Capital Assets. There is also a clear symbiotic relationship between the two, and one immediate conclusion is that Capital Assets have a multitude of various Products in their composition.<\/p>\n

Both fields have been profoundly transformed by the paradigm shift that took place in the middle of the second half of the 20th<\/sup> century and caused by the revolutionary introduction of computer assisted parametric modeling which has profoundly changed our view of the world by enabling the transition from Euclidean geometric solids and making way, in the 21st<\/sup> century, to a new epochal style called Parametricism<\/em>.<\/p>\n

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\u201cWhat is so different about Parametricism in comparison to modernism and in comparison to all prior approaches to architecture?\u201d<\/em> It is the truly radical transformation of the spatial and formal repertoire brought about through computational processes.<\/p>\n

Source:<\/strong> \u201cThe Impact of Parametricism on Architecture and Society\u201d
<\/em>Angel Tenorio interviews Patrik Schumacher1<\/sup> in London, March 2014.<\/em><\/p>\n<\/blockquote>\n

The parametric design paradigm has pervaded all aspects of Society and has proved to be a transformational force, invisible, yet permanently perceived to the point of being ubiquitous, totally lost in the details of the immediate surroundings, similar to perceiving the tree in the forest <\/em>from afar.<\/p>\n

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We pursue the parametric design paradigm all the way, penetrating into all corners of the discipline. Systematic, adaptive variation, continuous differentiation (rather than mere variety), and dynamic, parametric figuration concerns all<\/em> design tasks from urbanism to the level of tectonic detail, interior furnishings and the world of products.<\/p>\n

Source:<\/strong> \u201cParametricism as Style \u2013 Parametricist Manifesto\u201d,<\/em> Patrik Schumacher
Presented and discussed at the Dark Side Club2<\/sup><\/a>, 11th<\/sup> Architecture Biennale, Venice 2008.<\/p>\n<\/blockquote>\n

What is Product Lifecycle Management?<\/strong><\/p>\n

Manufacturing<\/em> has been profoundly transformed by the extensive utilization of 3D parametric digital mock-up<\/em> to drive all the disciplines throughout all the phases of Product Lifecycle and by adopting and applying consistently Lean<\/em> thinking and concepts that focus on eliminating waste and delivering higher quality products on time and on budget.<\/p>\n

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A strategic business approach that applies a consistent set of business solutions in support of the collaborative creation, management, dissemination, and use of product<\/em> definition information across the extended enterprise from concept to end of life \u2013 integrating people, processes, and information.<\/p>\n

Source:<\/strong> CIMdata<\/em><\/p>\n<\/blockquote>\n

Product Lifecycle Management<\/em> (PLM) has revolutionized Manufacturing<\/em> and pushed the envelope in traditional industries such as automotive<\/em> and aerospace<\/em> which have significantly benefited from the use of Information Technologies that enabled digital mock-up<\/em> driven disciplines and by pushing it to downstream processes throughout the Product Lifecycle<\/em>.<\/p>\n

Digital Engineering<\/em> is the integrated virtual development of product by means of Information Technology; Digital Manufacturing<\/em> is the use of Information Technology to virtually simulate all the production processes of the product including tooling. While Digital Engineering & Manufacturing<\/em> can provide benefits when used as a stand-alone initiative, it\u2019s mostly effective when it is incorporated into a broad enterprise PLM initiative.<\/p>\n

Extending PLM processes and best practices, including Digital Engineering & Manufacturing, to involve various external stakeholders such as suppliers and partners is particularly compelling and result in substantially reduced costs, more innovation and much higher benefits.<\/p>\n

What is digital mock-up?<\/strong><\/p>\n

Digital mock-up is one of the oldest computer assisted modeling methodologies that appeared with the first Computer Assisted Design<\/em> (CAD) systems. Today, sophisticated CAD modeling systems are capable to add, on top of the parametric model, intelligent features such as Knowledgeware, simulation details such as kinematics, functional and logical views, electrical wire harness, simulation of manufacturing processes and various other features that are enriching the multi-physics simulation possibilities and maximizes the user experience.<\/p>\n

The virtual design and simulation in three dimensions of a product and all components of its logical structure. Digital mock-up eliminates the need for expensive physical mock-up. Manufacturers can develop virtually a digital mock-up of a product in full detail, simulating all its functions and anticipating the interaction among its various components. Since the digital mock-up contains all the data associated with the product, it is richer than the physical mock-up because all simulation and calculations can be performed on it.<\/p>\n

The goal is to achieve a level of accuracy of the digital mock-up that is as close as possible to the physical mock-up in order to validate all the possible scenarios of the product in a virtual development environment.<\/p>\n

What is Building Information Modeling?<\/strong><\/p>\n

Building information modeling<\/em> is a proprietary technology and an innovative approach for designing and engineering of facilities in Construction<\/em> using the digital mock-up paradigm.<\/p>\n

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Building Information Model (BIM) is a digital representation of physical and functional characteristics of a facility. A building information model is a shared knowledge resource for information about a facility forming a reliable basis for decisions during its life-cycle; defined as existing from earliest conception to demolition.<\/p>\n

Source:<\/strong> The National BIM Project Committee<\/em><\/p>\n<\/blockquote>\n

Building Information Modeling (BIM) has been shaping the Construction<\/em> landscape in the last decade and is in the process of becoming a de facto<\/em> standard in the Architecture, Engineering & Construction<\/em> (AEC) industry.<\/p>\n

One interesting feature, to be noticed, is the creative use of additional disciplinary dimensions that are used in the AEC\/EPC ecosystem<\/em>:<\/p>\n

4D <\/strong>modeling is used to virtually simulating the sequence planning of the build<\/em><\/strong> phase and for ideal space utilization on a Construction<\/em> site.5D<\/strong> modeling adds to the 4D<\/strong> dimensions of the model, the costing estimation of the build<\/em><\/strong> phase on a Construction<\/em> site.6D<\/strong> modeling adds to the 5D<\/strong> dimensions, Facility Management capabilities for the operate<\/em><\/strong> phase of the Construction lifecycle<\/em> to enable model driven Operations & Maintenance<\/em>.<\/p>\n

Those multi-dimensional processes are driven by the digital mock-up information in the Building Information Model which manages the associativity properties of all its incorporated items in such a way that any change in design<\/em><\/strong> reflects automatically into the higher dimensions.<\/p>\n

What are Industry Foundation Classes?<\/strong><\/p>\n

Industry Foundation Classes<\/em> (IFC) is a platform neutral open file format specification<\/em> that has been registered as an International Standard (ISO 16739:2013). This standard emerged in the Construction<\/em> field, out of necessity, as a data interchange medium to foster collaboration between various stakeholders (such as: partners, subcontractors, suppliers, fabricators, etc.) that participate on large Construction<\/em> capital projects and who are creating project deliverables in specific data formats using various heterogeneous engineering software tools.<\/p>\n

The IFC\u2019s data model has been developed as a vendor neutral and open specification<\/em> for Building Information Models by the buildingSMART\u00ae \u2013 an international organization which aims to improve the exchange of information between software applications used in the AEC industry.<\/p>\n

Two file formats, based on the IFC specification, have emerged and have been widely supported by various AEC software vendors:<\/p>\n

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IFC-SPF<\/strong> which is a Part 21<\/em> STEP3<\/sup> file based ASCII text format (as defined by ISO 10303-21 specification), in which each line typically consists of a single object record, and having the file extension \u201c.ifc<\/strong>\u201c. This is the most widely used IFC format, having the advantage of compact size yet readable text.<\/p>\n

IFC-XML<\/strong> is a Part 28<\/em> STEP file based eXtensible Mark-up Language<\/em> XML format (as defined by ISO 10303-28 specification), having the file extension \u201c.ifcXML<\/strong>\u201c. This format is suitable for interoperability using XML tools and data integration between various heterogeneous systems.<\/p>\n<\/div>\n

AEC\/EPC is a unique ecosystem<\/strong><\/p>\n

Construction<\/em> has evolved in a unique fashion and over time it gave birth to a unique ecosystem with its own terminology and concepts.<\/p>\n

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Architecture, Engineering & Construction<\/em><\/strong> represents a critical Construction<\/em> domain which main\u2019s goal is the design<\/em><\/strong> of Capital Assets<\/em>.<\/p>\n

Engineering, Procurement & Construction<\/em><\/strong> represents also a critical Construction<\/em> domain which main\u2019s goal is the build<\/em><\/strong> of Capital Assets<\/em>.<\/p>\n<\/div>\n

Together, those two Construction<\/em> domains form a unique dichotomy, and to complete the ecosystem, two more key players must be added:<\/p>\n

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Owners<\/em><\/strong> contract<\/em> AEC<\/em><\/strong> stakeholders to design<\/em><\/strong> Capital Assets,<\/em> and EPC<\/em><\/strong> stakeholders to build<\/em><\/strong> it.<\/p>\n

Operators<\/em> are contracted<\/em> by Owners<\/em><\/strong> to operate<\/em><\/strong> Capital Assets<\/em> on their behalf.<\/p>\n<\/div>\n

Immediately we conclude that the purpose of the AEC\/EPC ecosystem<\/em> is to design, build & operate<\/em><\/strong> Capital Assets.<\/em><\/p>\n

What keeps the AEC\/EPC ecosystem<\/em> whole is the Contract<\/em> and the specific relationships between the Owners<\/em><\/strong> on one side of the Contract,<\/em> and the various ecosystem stakeholders on the other. Those contractual relationships are not any different from those between the Original Equipment Manufacturer<\/em> (OEM) and its multi-tiered Suppliers in the automotive and aerospace industries.<\/p>\n

What is Construction Lifecycle Management?<\/strong><\/p>\n

Construction<\/em> has been influenced by the PLM business strategy that contributed to achieve Lean<\/em> in Manufacturing<\/em>. Both fields have a close relationship and it is sufficient to observe the Construction Lifecycle<\/em> to conclude, for instance, that the Design & Engineering<\/em> phases are sharing the same Processes, Methods & Tools<\/em><\/strong> used in virtual product development in Manufacturing<\/em>. Construction Lifecycle Management <\/em>(CLM) might have an almost identical definition to that of Product<\/em> Lifecycle Management:<\/em><\/p>\n

A strategic business approach that applies a consistent set of business solutions in support of the collaborative creation, management, dissemination, and use of construction<\/em> definition information across the extended enterprise from concept to end of life \u2013 integrating people, processes, and information.<\/p>\n

Construction Lifecycle Management<\/em> is a very broad business strategy that bridges the gap between Design<\/em>, Engineering<\/em>, Construction<\/em>, Procurement<\/em> and back-office<\/em> business enterprise systems such as Financials<\/em> and Human Resources<\/em>. Its strategy aims to cover missing support areas and to overcome the lack of integration and collaboration between different business tasks by facilitating the sharing of Construction<\/em> information across all company functions, customers and suppliers.<\/p>\n

\"life-cycle\"\"life-cycle\"<\/a><\/p>\n

By analyzing the Construction Lifecycle <\/em>timeline above, which shows the build<\/em><\/strong> phase of a Capital Asset<\/em>, one immediate conclusion that jumps out is the proliferation of disciplinary silos that are used by various stakeholders during Tendering, Construction & Commission<\/em><\/strong> which corresponds to the build<\/em><\/strong> phase:<\/p>\n