New tools to boost productivity of infrastructure projects

May 29, 2023

The construction sector has great opportunities to boost productivity. State-owned and private organizations can do so through digitalization and implementation of a collaborative methodology that enhances information management, technically known as Building Information Modeling (BIM). 

How to boost productivity in infrastructure projects

According to a study by CAF—development bank of Latin America—, low digitalization of the construction sector is one of the main causes of low productivity. Experts from various multilateral agencies and think tanks have found a series of actions and tools that public and private organizations can take to improve their performance. One such action is the digitalization and Building Information Modeling (BIM), which is used worldwide to improve information management.

What is BIM?

It is a set of methodologies, technologies and standards for a collaborative design, construction and operation of a building or infrastructure in a virtual space. In general, the acronym is used to refer to three-dimensional models, the software that generates them, and the working methods that these technologies enable.

State-owned institutions in several countries have initiated roll-out in order to calculate costs and times of projects more accurately, and thus, foster a more fluid communication between the different stakeholders, enhancing efficiency and transparency of the processes. Its use has demonstrated improvements in efficiency, cost reduction and better quality of projects.

Some countries in Latin America and the Caribbean have started to implement this methodology, and CAF gave an overview of the progress of BIM in the region and presented a diagnosis of its development.

“The analysis highlights the factors that have been key to the promotion of BIM in the region’s countries and makes recommendations to implement this tool at country level, or to support its adoption in the processes already underway. The success of this methodology depends on the promotion by governments and the existence of a private initiative that supports and works collaboratively with the public sector,” said Monica Lopez, infrastructure expert at CAF.

After being used in 32 projects, the United States saw 7% cut in time, a 10% decrease in costs through early detection of interference, a 40% elimination of non-considered changes and an 80% cut in time for cost estimation.

The diagnosis of the multilateral agency concluded that the region has made progress in its BIM development plan, and there is a public initiative behind it, but widespread use nationwide, requires collaborative actions, focusing mainly on standardization and people, understanding that success implies a long-term paradigm shift and requires the participation of all stakeholders.

Historically, productivity in Latin America has been lower than in most European and North American countries. In the industry, according to research by Matrix Consulting[1], each worker in the UK, Sweden, Canada or Australia averages an added value of USD 77.00, while workers in Colombia, Chile and Mexico have an average of USD 39.00. The six states, being members of the OECD, have an abysmally different average per worker.

[1] “Boosting productivity of the construction industry in Chile to global standards,” Matrix Consulting, 2020.