Design-build discussions often focus on the relationships between the project owner and a project team consisting of both design and construction professionals who possess a common goal of completing a building project on time, within budget and with an enhanced level of quality.
Rarely is the manufacturer of a product used in building construction included in early discussions or considered part of the design-build project team, particularly when that product is mistakenly considered “just a commodity.”
But Gerdau Ameristeel, a wide-flange structural steel products producer, has recognized the value of including the structural steel mill early in the project decision-making process. Producers are not exempt from recognizing that building owners want their projects completed on time and within budget.
But unlike other professionals involved in the project, producers view it from an integrated supply chain perspective, where the goal is satisfying each customer along the supply chain. Managing and optimizing the supply chain allows greater efficiency in project delivery. On a structural-steel-framed project the steel supply chain begins at the mill and ends with the owner of the building project. With that understanding, Gerdau Ameristeel has embraced a philosophy that the steel mill should be involved from concept to completion of the project’s structural steel portion. This is where design-build is a perfect fit.
Gerdau Ameristeel illustrates this through several steps. First, historical data on product sales illustrated that the Pareto Principle — often called the 80/20 rule — accurately represented structural steel product utilization: 80 percent of the sales of wide-flange shapes and lengths comprised only about 20 percent of the offered shapes and lengths — a total of 175 items.
Gerdau Ameristeel acted on this information and committed to maintaining mill stock of these items for delivery to design-build projects.
Second, Gerdau Ameristeel created a unique delivery system by partnering with firms that had a demonstrated “world class” record of effective delivery of a structural steel framing system from design through detailing, fabrication and erection. The process, the “Gerdau Ameristeel Fast Frame Delivery System” emphasizes project design utilizing the identified shapes held in mill stock for design-build projects.
By optimizing project design around these shapes and lengths, the designer can quickly communicate material requirements to the fabricator who can place the mill order with the confidence that material will be readily available. During this same period the project team detailer can complete detail drawings and pass shop-floor fabrication details back to the fabricator. Meanwhile, the erector can begin the erection sequence.
Speedy Success
Use of the system with an integrated design-build team of engineers, detailers, fabricators and erectors has allowed all members of the supply chain to reap significant benefits. Owners have benefited by early revenue generation through faster completion of the structural steel frame, fewer change orders, limited interference, conflicts and improved budget management.
Architects have benefited from earlier information on the structural steel frame and the elimination of time-wasting management of the steel process.
Engineers have avoided the costly redesign cycle and experienced a massive reduction in RFIs while gaining input in overall project decision-making within the context of working with known team members. And they have gained the confidence of knowing that the structural steel members specified are available from stock.
Fabricators benefit from the ability to optimize project design through early involvement in order to gain greater shop efficiency. The project can now be negotiated with the knowledge that the risk associated with material availability has been eliminated. Specialty contractors and design-builders benefit from working with a steel team that assumes single-source responsibility for the project, including guaranteed steel availability and pricing.
The Model
These benefits were evident on the Camelview Village project in Scottsdale, Ariz. Gerdau Ameristeel participated in this project through the Fast Frame program as part of the steel team, Steel Frame Alliance.
The 720-unit luxury condominium developed for Optima Inc. is comprised of 11 eight-story buildings which rise from three levels of contiguous underground parking and covers more than 2 million square feet. Project features include an underground swimming pool, racquetball courts, 15-foot cantilevered balconies and “green” earthen roofs for energy conservation.
Steel Frame Alliance’s scope of services included all structural engineering, including serving as the structural engineer of record, and installing structural steel framing and floor slabs for a complete building shell on a turnkey basis. A Gerdau Ameristeel representative was a vital part of the entire process, from presenting the steel-frame package option to the developer to the actual delivery of the steel to the fabricator. In this case, the Steel Frame Alliance purchased the steel for Camelview directly from the mill.
As a result of the knowledge gained by Gerdau Ameristeel as part of the project team, the steel members required for the project were readily available for fabrication and construction.
This design-build approach to the structural system and building shell cut approximately 35 percent off the project development schedule.
There is no question that the Fast Frame delivery system works. David C. Hovey, president of the developer, Optima Inc., praises the process, stating, “The engineering and construction resources Steel Frame Alliance and Gerdau Ameristeel provided have permitted Optima to achieve some of our most ambitious architectural accomplishments to date on our Camelview Village project.” Working together, Hovey says, the steel team “achieved an appreciable acceleration of our project development schedule.” The success of the Camelview project bodes well for subsequent projects. Hovey says that the team of steel specialists afforded the developer “the opportunity to break new ground on the project and opens up exciting new possibilities on future projects.”
Mitch Alverson is Fast Frame marketing manager for Gerdau Ameristeel, Midlothian, Texas