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Demonstrating the Value of BIM


Demonstrating the Value of BIM: A Comprehensive Cost-Benefit Analysis

In the ever-evolving world of construction, Building Information Modeling (BIM) stands out as a transformative technology that is revolutionizing the way projects are designed, built, and managed. The Lusail Bus Depot project in Qatar serves as a compelling example of how BIM can deliver substantial benefits, showcasing its potential to enhance efficiency, reduce costs, and improve overall project outcomes.


The Lusail Bus Depot Case Study

The Lusail Bus Depot project, managed by the Public Works Authority ‘Ashghal’ in Qatar, provides a clear illustration of BIM’s impactful benefits. The project faced the typical challenges of large-scale construction, including potential rework incidents that can cause significant delays and additional costs.


Cost-Benefit Analysis: A Detailed Insight

BIM was implemented to preemptively identify and address potential clashes and rework incidents. Here’s a breakdown of the cost-benefit analysis from the Lusail Bus Depot project:


Methodology:

  • Identify BIM-Related Costs:
    • Calculate the total expenses associated with implementing and using BIM software, training, technology upgrades, and maintenance.
  • Quantify BIM-Related Benefits:
    • Determine the benefits derived from BIM usage, such as cost savings, reduced rework, improved efficiency, and enhanced project outcomes.
    • Assign monetary values to these benefits (e.g., reduced rework costs, saved labor hours, minimized material wastage).
  • Calculate the Cost-Benefit Ratio:
    • Summarize the total quantified benefits and the total BIM-related costs.
    • ​Apply the formula.





Cost Benefit Analysis- Lusail Bus Depot

Cost per incidence of rework:

  1. Additional materials needed for sitework adjustments: 20,000 QAR

  2. Labor hours for sitework adjustments: 50 hours

  3. Labor rate: 40 QAR/hour

  4. Additional labor cost = Labor hours × Labor rate = 50 hours × 40 QAR/hour = 2,000 QAR

  5. Daily project overhead cost: 3,500 QAR/day

  6. Delay caused by sitework adjustments: 3 days

  7. Time-related cost = Daily overhead cost × Number of days delayed = 3,500 QAR/day × 3 days = 10,500 QAR


Total Additional Cost per incidence of rework = (20,000 QAR + 2,000 QAR + 10,500 QAR) = 32,500 QAR​





BIM Related Benefits

Total Number of potential rework incidents (Major Clashes) identified and avoided in Lusail Bus Depot project= 120 Clashes

Total cost of rework avoided: 120 x 32,500 QAR = 3,900,000 QAR


BIM Related Costs

Contract BIM BoQ Price + PWA internal cost= 1,200,000 QAR


Cost Benefit Ratio


 


CBR of 3.25 indicates that for every Riyal spent on BIM implementation and maintenance, the project gained 3.25 Riyals in benefits.

Total cost benefit realized by the Lusail Bus Depot project by implementing BIM = 3.90 Mn Riyals