Why Design Automation Will Disrupt AEC
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The document discusses the potential disruption in the architecture, engineering, and construction (AEC) industry due to design automation, emphasizing that the industry is facing stagnation in productivity despite advancements in technology. It highlights four major factors driving this disruption: flat productivity, a gap between technology and its application, global population growth, and the willingness of venture capital to invest in AEC innovation. The text argues that design automation can significantly improve efficiency and project gains by optimizing time and costs, drawing parallels with successful automation in fields like semiconductors and animation.
Why Design Automation Will Disrupt AEC
- 1. BuildingSP Algorithms and Automation for the Construction Industry Why Design Automation Will Disrupt AEC
- 2. BuildingSP The definition of engineering is important to disruption. Engineering is the use of math, science, and tech to optimize a problem.
- 3. BuildingSP The definition of engineering is important to disruption. Engineering is the use of math, science, and tech to optimize a problem. Disruption always involves engineering
- 4. BuildingSP Problem We are at the limit of our ability to click, drag, and scroll when doing BIM.
- 5. BuildingSP We need more innovation to fix this.
- 6. BuildingSP Insight Value Innovation: What is Innovation to us?
- 7. BuildingSP Insight Value Innovation: Innovation is a continuous process where insights achieve value through change management
- 9. BuildingSP What is disruption? Disruption is a business model change where segments of an industry cannot adapt.
- 10. BuildingSP What is disruption? https://www.linkedin.com/pulse/disruption-aec-learning-from-uber-kodak-brett-young Kodak & Uber Kodak missed the opportunity to disrupt themselves. (TLDR: They invented the digital camera. But went bankrupt.)
- 11. BuildingSP What is disruption? https://www.linkedin.com/pulse/disruption-aec-learning-from-uber-kodak-brett-young Kodak & Uber Uber disrupted cabs through better customer service. (TLDR: Will Lyft beat them once the VC money runs out? After all, Lyft has the same biz model.)
- 12. BuildingSP Disruption is not a Sudden, Rare, Unexpected Event
- 13. BuildingSP Disruption is not a Sudden, Rare, Unexpected Event We think we had to get comfortable w/ online dating before we’d get in an Uber, for example.
- 14. BuildingSP In AEC, it feels like we look for black swans But there’s a pile of reasons why we’re ready for disruption.
- 15. BuildingSP • Flat Productivity in AEC – McKinsey’s recent studies often cited, accepted • Gap between Tech and Applied Tech – Our friends in other industries kick our ass • Global Population Growth – The world needs faster, cheaper, better designers and builders • Venture Capital – Venture Capital eager to “participate” in AEC disruption 4 Big Reasons Disruption is Coming
- 16. BuildingSP • Flat Productivity in AEC – McKinsey’s recent studies often cited, accepted • Gap between Tech and Applied Tech – Our friends in other industries kick our ass • Global Population Growth – The world needs faster, cheaper, better designers and builders • Venture Capital – Venture Capital eager to “participate” in AEC disruption 4 Big Reasons Disruption is Coming Let’s look at these two.
- 17. BuildingSP We add a bunch of tech in 30 years, but don’t improve.
- 18. BuildingSP We add a bunch of tech in 30 years, but don’t improve. Why? CAD Faxes Digital Printers PDF GPS Internet Desktops Digital Cameras Laptops iPads Cell Phones BIM LIDAR Drones IoT VR / AR
- 19. BuildingSP GC invests money in caffeinated hot dogs. Google: John Macomber Case Study: Productivity Hot Dogs Jobsite productivity soars. Project savings of 10%. What happens on the next project?
- 20. BuildingSP GC invests money in caffeinated hot dogs. Google: John Macomber Case Study: Productivity Hot Dogs Jobsite productivity soars. Project savings of 10%. What happens on the next project? GC cuts their price to guarantee the next project. They “give away” the value of the Innovation in exchange for top-line growth.
- 21. BuildingSP The market in AEC has trouble supporting sustained innovation. Industry R&D spending is a rounding error. Google: John Macomber Case Study: Productivity Hot Dogs We have an industry “misalignment of value.”
- 22. BuildingSP VC’s in AEC VC’s are businesses. They propel growth during turbulent disruption. Has AEC returned good value for VC money?
- 23. BuildingSP What’s Changing The “Power Rule” for VC funding is widely held and says that the top startups drive the overall performance of a VC fund. That’s why we hear so much about “unicorns” or startups with valuation of more than $1B. How many unicorns are there in AEC?
- 24. BuildingSP What is disruption? There’s only one. Procore. They were also founded in 2002, taking 15 years to become a unicorn.
- 25. BuildingSP What is disruption? If we’re not producing unicorns, are we disrupting? What industry business models have changed because of drones? Credit: http://www.cupcloud.com/drone-applications-building-industry/
- 26. BuildingSP Why will design automation disrupt us?
- 27. BuildingSP Elon Musk talks about first principles. What are the first principles of construction?
- 28. BuildingSP Elon Musk talks about first principles. What are the first principles of construction? Time. And money.
- 29. BuildingSP Elon Musk talks about first principles. What are the first principles of construction? Time. And money. (Design automation deeply affects both.)
- 30. BuildingSP Why will design automation distrupt us? We try really hard to find our critical path. Ever realized that design is always on the critical path?
- 31. BuildingSP Why will design automation distrupt us? We try really hard to find our critical path. Ever realized that design is always on the critical path? That’s important. Gains on the critical path result in project gains.
- 32. BuildingSP This diagram is taught in every construction management program.
- 33. BuildingSP This diagram is taught in every construction management program. Design automation happens when costs are still controllable.
- 34. BuildingSP Who else does design automation?
- 35. BuildingSP Two outstanding disruptive design automation examples: Semiconductors Animation
- 36. BuildingSP Who else does design automation? Semiconductors Animation
- 37. BuildingSP This looks like a building!
- 39. BuildingSP Design automation in semiconductor allowed Moore’s Law to survive.
- 40. BuildingSP Design automation in semiconductor allowed Moore’s Law to survive. It also built big companies like Mentor and Cadence.
- 41. BuildingSP Animation. Two monsters. Massive productivity and technical gains between films. Credit: Pixar, Inc.
- 42. BuildingSP Why will design automation disrupt us?
- 43. BuildingSP In AEC, we look at an iPhone and wonder how we can write RFI’s, take pictures, and view 3D models on it.
- 44. BuildingSP In AEC, we look at an iPhone and wonder how we can write RFI’s, take pictures, and view 3D models on it. We need to look at how design automation enables high-quality, emotionally engaging products using a global supply chain and precise time frames.Credit: iPhone X by Apple.
- 45. BuildingSP Design automation will be the disruptor in AEC. Process Automation -> Data -> Machine Learning -> Artificial Intelligence