How a new way of working can unlock co-design and deliver better, more sustainable buildings at lower cost

The pioneering new Black Country & Marches Institute of Technology building in Dudley shows how the Integrated Project Insurance (IPI) model can transform procurement and liberate architects, engineers, contractors and consultants to do their best work together – and clients will benefit.

Imagine if you could be absolutely confident that every single supplier on your building project – from architects and consultants to engineers, contractors and subcontractors – was equally invested in delivering your overall vision to budget, on time, and with maximum focus on quality and attention to detail...

That ideal of true collaboration in designing and building has been a goal for clients, developers and governments for decades. Sadly, the reality is that conflicting interests and traditional ways of working have too often stood in the way, with each supplier having to worry about their own insurance premiums and each trying to limit their individual exposure in case of problems.

But now a new form of insurance – and its accompanying model for working – promises to be the final piece of the puzzle: the one that unlocks co-design and makes genuine collaboration possible, resulting in better, cheaper, more sustainable buildings.

The recently-completed 4,750sqm Black Country & Marches Institute of Technology has pioneered the Integrated Project Insurance (IPI) model. Cullinan Studio were proud to be the architects on the project, working in collaboration with a team facilitated by IPInitiatives, including Speller Metcalfe, Derry Building Services, Fulcro Engineering Services, Cundall and GCA Consulting. The experience has given us a unique insight into the huge potential benefits for clients.

The IPI approach – 6 key benefits for clients 

Because IPI removes the suppliers’ worries about conflicting insurance positions and instead aligns incentives for all parties directly with the overall project success, this has a positive effect on attitudes and behaviour. It makes sense for everyone to collaborate as a single team to identify the risks and opportunities for the project as a whole at the outset – and that can lead to some significant benefits for clients...

1) A coherent team committed to delivering the vision

In the IPI model the design team, contractors and main subcontractors are incentivised to work with the client, bringing together conceptual thinking and practical application to find the best project solution within the total budget.

So before the project starts the whole team is selected for compatibility through behavioural workshops. The result is a diverse yet coherent team committed to delivering the client’s vision through genuine, mutually beneficial collaboration. And because individuals are working in a no-blame, non-confrontational environment they feel comfortable sharing new ideas and challenging each other – and innovation can thrive. That means a better experience – and ultimately a better result – for the client.

2) Less waste, lower costs

The IPI model means that the design team works within an overall project cost, so they are more incentivised to spend time on finding the most economical solution for the client than is the case on a traditional fixed-price low bid contract.

The architects can work with suppliers to design out waste and needless costs from the start. For example, on the Black Country & Marches Institute of Technology project, the constructors Speller Metcalfe were able to show that a minor, almost trivial adjustment to the Institute’s planned service vehicle access would enable them to use special trucks during the construction process and reduce the need for a permanent crane – saving thousands for the client.

‘Suppliers have the chance to influence positive change in the design, enabling them to provide their expertise as to where things can go wrong and how quality can be best achieved. By helping with the design of a system they are expert at installing, it increases quality, decreases time and costs.’ (Speller Metcalfe construction)

3) Predictability on time and costs

In an IPI contact, project insurance is in place assuring no cost overrun for the client. And because there are pain share and gain share incentives for all parties based on the whole project finishing on time and to budget, everyone involved is focused on making sure that it actually does. Any problems that emerge during construction on site can be fixed immediately, rather than signalling the start of a ‘blame game’ between suppliers and their individual insurance providers.

That means fewer surprises for the client and much more confidence about timescales and costs.

4) More design foresight, fewer design afterthoughts

Collaborating with all parties from the outset means important but easily overlooked elements that might otherwise be afterthoughts can be taken into account at the early design stages.

For example, the Institute of Technology building is close to a busy main road. In a normal project an acoustic engineer might typically be called in at a later stage to advise on mitigating noise, potentially racking up costs and time. But the IPI approach meant that we could incorporate an acoustic engineer’s analysis into the earliest designs of the building – and all within the overall budget.

5) Carbon net zero becomes achievable

The collaborative IPI model opens up real opportunities to design sustainability and carbon reduction into the whole building and construction process. In the Institute of Technology project, for example, the team worked together to develop a zero fossil fuel heating strategy; to design an envelope optimised to reduce heat loss and reduce overheating; and to minimise use of concrete within the building structure. That kind of holistic approach to design encouraged by IPI makes carbon net zero or even positivity achievable within a project budget.  

6) Buildings can be easier to maintain and update

The holistic approach of IPI also makes it easier to future-proof buildings, and to take into consideration the ongoing, evolving needs of the client and relevant contractors.

IPI is also particularly suitable for supporting Building Information Modelling (BIM), which will allow project data to be easily shareable and transactable for all construction and facility management purposes.

At Cullinan Studio we’ve always recognised that collaboration is the best way to design buildings. Our experience with the pioneering Black Country & Marches Institute of Technology has given us confidence that IPI has the potential to open up real opportunities for better collaboration in architecture and construction, and better results for clients.

If you’re considering an IPI-led project and would like to find out more about our experiences and thoughts, we’d be happy to talk to you. Contact Carol Costello.