CONSTRUCTION PORTFOLIO OF EVENTS

Life cycle costing of the ConTech and PropTech value chain

As profit margins continue to lower, and competition becomes stiffer, companies need to have overall control over cost. In a webinar hosted by The Big 5 and DANAOS projects, we take a look at ProjectVIEW ERP and DANAOS VORTEX as DANAOS’ value proposition for the life cycle costing of the ConTech and PropTech value-chain under the principle of Unified Engineering.

Christos Emmanouilidis, Chief Commercial Officer, DANAOS Projects
George Kouris, Senior Product Manager, DANAOS Vortex Software Solution

Key takeaways:
  • In an era of digital transformation, companies must adapt and accommodate modernisation in terms of software and technology introduction
  • ConTech and PropTech applications used through the lifecycle of any physical asset should be purpose-built depending on the type of asset and the maintenance required
  • The main intention of the concept of Unified Engineering is to accelerate growth by assuring safer, faster and more efficient services to end-users
Current trends in digital disruption

We are living in very demanding times in which digital transformation and digital disruption are already here. Construction companies have to be agile enough to adapt and accommodate modernisation in terms of software and technology introduction.

The construction industry employs about 7% of the world’s working-age population. It is one of the economy’s largest sectors, with $10 trillion spent on construction-related goods and services every year. Yet, construction is among the least digitised sectors in the world, according to the McKinsey Global Institute’s industry digitisation index.

Excel has become the permanent database and solution system that most companies operate, and even though BIM (building information management) systems were introduced to the Middle East region a long time ago, they are still being used for hindsight instead of insight. The region also lacks sufficient Corporate Knowledge Dissemination within an organisation, and Enterprise Resource Planning (ERP) is being used in a generalised matter.

Fixed-assets are Built-for-a-Purpose

The lifecycle of a fixed asset starts from its conceptualisation, and moves on to design, construction and operation, and then to maintenance and end-of-life. These distinct phases are absolutely necessary to serve the purpose of building a particular fixed asset.

The construction of fixed assets is capital-intensive, meaning that cost and performance are some of the main factors that evaluate the operation of the fixed asset itself, and the main intention is to accelerate growth by assuring safer, faster and more efficient services to end-users. Also, it should be known to everybody that constructed assets have a particular lifespan, which is, on average, 120 years which is why they need to be properly maintained throughout their lifespan.

The applications that are used through the lifecycle of any physical asset should be purpose-built, depending on what we are building and what we are maintaining. These fall into two distinct phases: ConTech – the technology used during the conceptualisation, design and construction domains, and PropTech – the technology used within the property, operations or maintenance domains.

Different types of systems are used throughout these two domains, such as the Enterprise Resource Planning (ERP) System used as an umbrella system in terms of assimilating and consolidating knowledge from different types of systems. Along with this, you have office software, planning software, CAD software, BIM software, etc. There is also a linkage and overlap when it comes to systems such as facilities management, workforce management, asset maintenance management, etc.

When it comes to the concept of Unified Engineering, performance and cost are very important. Throughout each particular stage, different systems are also used as complementary to purpose-built applications such as prefabrication, remote site monitoring, 3D printing, and SCADA automation, for example.

DANAOS Projects solutions

ProjectVIEW ERP

ProjectVIEW ERP is an enterprise-ready Cost Control and Projects Performance Management Platform; a ConstructionOS that assists contractors in estimating, bidding, executing and operating efficiently, demarcating uncertainty, sizing the risk and securing profit.

Within only a few months, ProjectVIEW ERP can be a valuable tool that can convert the necessary data into knowledge and content into context. The platform provides comprehensive interconnectivity to assure omnipresent projects performance by unifying WBS (Work Breakdown Structure) and BoQ (Bill of Quantities) item codes under company-wide costs codes. The purpose-built application is a single source of truth to unify data and align your works in the office and on the site.

DANAOS Vortex

Vortex is a comprehensive field service management suite, a CAFM system, offered by DANAOS Projects that can help companies monitor their maintenance of assets and field workforce. Its four ecosystems facilitate contract management with daily task optimisation for the dispatcher, management of client’s preventive and corrective maintenance, assets management and workforce readiness whilst assuring the quality of service for the end-client.

With regards to asset management, Vortex provides detailed information on asset history and location, accurate service planning, inventory monitoring, spare parts usage, measurements history, and photos of assets. When it comes to work orders management, Vortex can automate all processes, including scheduling in order to have real-time monitoring of these tasks. It offers smart reporting with easy access to information as well as preventative checklists. This results in improved decision making for management. Vortex uses three interfaces – back-office, mobile application and web portals.

Summary

Despite employing about 7% of the world’s working-age population and with $10 trillion spent on construction-related goods and services every year, the construction industry has shown itself to be slow to change. It has a poor track record when it comes to digital transformation. If construction companies are to reap the full benefits of digital platforms and software, they must successfully be able to implement these new technologies into their working environment. When building a particular fixed asset, the applications that are used through the lifecycle of any physical asset should be purpose-built in order to control cost and performance.