BIM for SMEs: Why Should Small Firms Invest in BIM?

The construction and infrastructure development industry is on the verge of disruption. Pre-fabricated designs, new materials, greater access to capital, and BIM – these will change infrastructure development as we know it. All major players ranging from engineering to construction to architecture and planning firms are preparing for the innovation wave.

Amidst all of this, the ball comes into the court of the smaller firms. We have all been hearing about BIM and how it changes the way even the most complex infrastructure projects are executed. But there is an initial cost to integrating BIM into ones’ service model. It’s easy for the bigger players to see the advantage and adopt it with the necessary capital. When you are a smaller firm, each capital investment calls for a greater degree of risk analysis and return on investment.

So, as a relatively smaller player, if you have ever imagined whether there is any benefit in BIM for small firms, this article will help you decide better:

Benefits of BIM for SMEs

1. Marketing: Get a Differentiated Edge, Even as a Subcontractor

Subcontracting is a competitive market. Hence, many a time, once the contract has been issued, they don’t have a say in the process. That is primarily because, by the time you are contracted by the SPV, most of the legwork and planning is already done. Since there are several small and large subcontractors in the marketplace, the ones who have a differentiated service get an added edge.

When you don’t have a spelled out differentiation for your service, your expertise becomes commoditized. BIM helps you break that, and get your edge in the market. Industry leaders and project owners prefer subcontractors who are organized and can mitigate the risks of reworks. Hence, if you go beyond the engineering drawings and spreadsheets by integrating BIM, you will communicate that you have a plan in place to be more efficient and collaborative.

Related Article: BIM Adoption in the AEC Industry- Benefits, Barriers, Common Mistakes & Focus Areas for Success

2. Project Management: Linear communication will help you visualize, inspect and vet information.

One of the biggest problems in infrastructure and construction projects is communication. Such projects operate at a scale and even as a smaller firm, you might have to coordinate with a dozen vendors, planners, consultants, and engineers. The communication has too many nodes and the very information to be communicated is already complex.

BIM helps you streamline this with greater ease. Any project that is operating with BIM in place will have a Common Data Environment (CDE). So, all the parties associated with it, will speak the same language, refer to the same data, and talk with the same end goal. This can dramatically bring down RFI timelines.

These benefits line up to make your operations more efficient. As many as 82% of BIM users believe that BIM had a very positive impact on their firm’s productivity.

Related Article: What Is COBie & How It Streamlines Data Collaboration Between AEC Professionals

3. Operations: Early access to change orders helps with efficient resource planning.

The communication problem pans out into several other issues. One of these key issues is change orders. When one of the players in the vast network of contractors makes a mishap, it has an impact on the delivery timeline of everyone’s work. Major SPVs, lenders, and even the prime contractors have necessary covenants in place to manage these risks. So, it all trickles down to the margins of the smaller firm.

With BIM, you will have real-time access to change orders. This helps in a precise understanding of your updated set of responsibilities, both in terms of time and complexity. It also helps teams communicate more seamlessly without increasing the paperwork. As soon as there is a deadline bypass, you will see the red flag. This can tremendously help you in utilizing your daily-wage resources. Now you can take projects, even if the margin is thinner; because you know that the change order risk is now mitigated to a large extent.

4. Growth Strategy: A microscopic look at the industry can help you find the next avenue of growth.

BIM will help you take a bird’s eye view of the projects you are involved in. You will get an added perspective on what are the key challenges project teams face. Then, you can start thinking about what services and products you can offer to solve those challenges. Now you will have a strategic plan to reinvest the capital in the business.

5. Hiring Advantage: Build a corporate brand of a technologically adaptive company.

BIM for SMEs can help even a small balance sheet save a ton of capital expenditure and provide greater net margins. But beyond all of that, you should inspect the industry scenario. As a going concern, you have to think about the supply of three things – capital, projects, and resources. Human resources or talent, may not seem like an urgent need but you know that one talented engineer or project manager can make the project more efficient and show a direct impact on your bottom line.

Younger talent entering the industry right now is responding to technological upheaval. What is new and ‘trendy’ for you in the form of BIM will be a norm for them by the time they establish themselves in the industry. If hiring the right talent that can immediately start producing value at your firm is a priority for you, you should consider BIM.