Paying More to Get Less in Construction - It's a Cultural Thing

The culture in the real estate industry is creatingare the establishment and do not want things to
obstacles that are driving up initial construction costschange.
and negatively impacting sustainable operations.The result is that the industry is ignoring the
Architects & engineers are hyper-focused on theopportunities available by the adoption of newer
construction effort, and technology is less than 5%technologies for base building systems. It's just too
of that effort. These professionals have biggerdifficult to get past the current formats & processes.
concerns; even a 15-20% swing in such a smallThe "pressure" being applied by the established
portion of the overall budget has little impact.players keeps owners deploying segmented systems,
Architects & engineers do not understand the critical,which are limiting functionality & expandability and
long-term importance of technology. They have fallendriving up costs.
into the habit of allowing equipment manufacturers toNow owners are beginning to feel the impacts of this
provide specification language. This is how equipmentculture as they continue to pay excessive amounts
controllers, meters & sensors have been procuredfor next-generation buildings that don't really deliver
for the last 20+ years. The manufacturers havethe expected functionality. Owners are currently
taken advantage of this opportunity to drive profit,beginning to understand the reality; that the current
control and influence towards themselves, whiledesign & construction teams are unwilling to learn and
taking visibility, options, savings, & functionality awayare not financially motivated to embrace change.
from owners.Owners are taking charge, as the only member of
The current culture is not driven by the owners,the design team with the long-term view. They are
property managers, and tenants that will utilize theengaging new professionals with experience &
facility long-term; in fact, they are primarily kept outexpertise to educate themselves and bring innovative
of the construction process. It is being driven byideas to projects. Owners that want to receive the
architects & engineers that just keep doing what isbenefits of next-generation solutions are challenging
"comfortable" from their past. The current architectthe current culture to make sure that a technology
& engineering professionals in the industry are notplan is implemented early, which not only acquires the
motivated either financially nor have the expertise toright technology but also addresses the "real world"
look at the long-term benefits of new ideas. Theychallenges of getting things done efficiently.