Smart Built Environment

Transcription

1 Summary Smart Built Environment The Strategic Innovation Programme description Digitalization is the single most significant change factor of our age. The strategic innovation programme (SIP) Smart Built Environment is a plan that outlines how the built environment sector can contribute to Sweden s journey to the global forefront of the new opportunities of digitalization, so that we can achieve intelligent, sustainable cities, manage our resources more efficiently and reduce carbon emissions. Digitalization in the built environment has entailed major developments and new applications such as Geographic Information Systems (GIS) and Building Information Modelling (BIM). It has also created the prerequisites for Industrialized Construction. The built environment sector is Sweden s largest single sector and impacts our entire society, but it is currently a fragmented sector with a large number of stakeholders and processes. The aims of this SIP are to take a holistic approach to the opportunities that digitalization can bring, and to catalyze the dissemination of new opportunities and business models across the sector. Current initiatives need to be co-ordinated, complemented and scaled up. The SIP also ensures the commitment and support of public sector stakeholders, as well as the long-term government investment that is a prerequisite for success. A shared information infrastructure is the key to successful change. An uninterrupted flow of information with business applications in BIM, GIS and industrialized processes creates benefits for companies, consumers and society. Some countries including Sweden are already committed to integrating BIM and GIS. The unique feature of this SIP is the integration of BIM, GIS and Industrialized Construction, which increases our capacity to leverage all the possibilities of digitalization as well as to tackle the pressing challenges of society. Programme activities encompass research, development and innovation, and deal with the digital infrastructure, applications and implementation in companies. The SIP will create new knowledge, skills, services and products. The goals of the SIP are to: Reduce the environmental impact by 40% Reduce planning and construction time by 33% Reduce total construction costs by 33% Enable new business logic in the built environment sector The SIP is based on a joint nationally-established strategic innovation agenda. The success of the programme has been guaranteed by the unique way that sector stakeholders have united behind the initiative. More than 30 businesses and organizations (representing more than 200 members) will participate actively in and/or fund projects, activities and open calls. New stakeholders are also welcome during the entire programme duration. Smart Built Environment will pave the way for the built environment sector to step into a digital world where information flows seamlessly to create new business models, better quality, lower costs and increased profitability for society, companies and users alike. 1

2 Contents Smart Built Environment The Strategic Innovation Programme description Summary... 1 Smart Built Environment The strategic innovation area Definition of the strategic innovation area The innovation area in facts and figures International position and competition Global challenges or developments that affect the innovation area Most important needs to fulfill within the strategic innovation area The strategic innovation programme (SIP) Goals of the strategic innovation programme Expected results and effects Renewal of the innovation area by the SIP Actors Coordination of the SIP programme Organization and leadership Project plan for the coordination of the SIP-programme Budget for coordination of the SIP programme Budget for startup phase Budget for operating the SIP programme Actions and activities in the SIP programme Existing actions and activities to be used within the SIP programme Describe in detail each action/activity financed by the programme Activity 1: Integrated model and data standardization (strategic project) Activity 2: Innovation lab Test beds for integrated business applications (strategic project) Activity 3: Knowledge leap for integrated processes (strategic project) Activity 4: Life cycle approach and actions (strategic project) Activity 5: New value chains research school (strategic project) Activity 6: Legal and organizational impacts (open calls) Activity 7: Data availability and innovations (open calls) Activity 8: Risks, incentives and business models (open calls) Activity 9 Systematic communication and learning (Special Activity) Budget for actions and activities Weaknesses and threats for the SIP programme

3 1. The strategic innovation area 1.1 Definition of the strategic innovation area THE VISION New built environment is characterized by urban sustainability, globalization and the need to address climate change. With its new applications and business models, digitalization is a powerful driving force that can be used to prioritize user values, life cycle perspectives and productivity. At the same time, the existing incentives in the project-oriented processes and business models of built environment are not sufficiently strong for individual stakeholders. This SIP will change the business logic with digitalization as a driver for change. Vision 2025: All sector stakeholders will have access to all necessary digital information, seamlessly link all the data and use it to fulfil customer needs and create better value for money. The vision might involve, for example, house buyers using augmented reality to view and design their own homes in the early planning stage, or health workers developing an understanding for and then influencing the design of a hospital environment. Visualizations of entire urban environments can help the public to better understanding of new urban planning. A large number of applications already exist, but these are performed as isolated visualizations with no connection to the quality-assured information used in sector processes. For anyone involved in planning, design, construction and facility management, digitalization facilitates optimization in relation to the various technical, social and financial requirements of customers and to devising new solutions. It allows them to automate and manage predefined alternative solutions, using a diversity of facilities with a resulting wide variety of architecture and functions. It also allows continuous access to data from sensors during operation, e.g. for moisture, temperature, movement and flow, and enables rapid corrective action. For Swedish industry and society as a whole, the vision also entails a competitive and efficient built environment sector that, underpinned by the digital revolution, can quickly deliver more and better housing, infrastructure, schools, hospitals, offices, etc. and better value for money. DIGITALIZATION IN THE WORLD AROUND US Digitalization has changed our world in countless ways. Companies such as Google have shown us how to manage fragmented global information to the benefit of individuals all around the world. The media industry, with players such as Spotify, Netflix and many daily newspapers, have evolved from physical products and traditional business models to digital customer value and new business models. Private vehicles operate with integrated sensorsteered safety systems and provide for automatic parallel parking, even automated driving. The entire banking sector and our public authorities have been made more efficient with roundthe-clock access to information and services from our mobile phones. Manufacturing industries such as Scania have leveraged digitalization to build information infrastructures and IT support cost-efficiently, profitably and with the right quality, with each product based entirely on the unique requirements of respective customers, but at the same time supported by predefined platforms. CHALLENGES OF THE BUILT ENVIRONMENT SECTOR During built environment processes, a large number of requirements are processed by a wide range of parties. It is not uncommon for 60 different stakeholders to be involved in a typical apartment building project. Planning, design and production is conducted in separate traditional processes by different stakeholders with specific deliverables. The next construction project involves a new product and site with new requirements and completely different stakeholders. The result is that the sector excels at project management but is deficient in experience feedback, profitability and self-development. It is characterized by the 3

4 suboptimal deliverables of the stakeholders rather than a focus on the end product from a life cycle perspective, and it is not only the process that is fragmented. The sector is made up of thousands of companies and organizations, working together in different configurations in tens of thousands of construction projects every year. For example, the three largest construction firms combined account for only 25% of the market, and Trafikverket (the Swedish Transport Administration), the single largest infrastructure client (roads and railways), accounts for only a third of infrastructure investments and only 7% of total construction investment. The fragmented process and the large number of stakeholders represent obstacles to digitalization, since structural changes must be implemented by multiple stakeholders at the same time. This is one of the reasons why the built environment sector still lags years behind other industries, although there has been major progress in the past decade. This SIP will create the prerequisites for change by gathering a large number of private and public sector stakeholders together to ensure the necessary critical mass. Fragmentation in built environment is a global phenomenon. Compared to most countries, Sweden is already well advanced in the commitment to process streamlining. Swedish house builders are world leaders in industrial manufacturing. Skanska is one of the world's largest construction companies with operations on several continents. Trafikverket s work with function-based procurement and tendering of all operations is among the best in the world. A global study almost ten years ago by CIFE, the Center for Integrated Facility Engineering at the Stanford University, found that Swedish company NCC was at the global forefront in BIM implementation in construction projects. Sweden also actively participates in international standardization projects. DIGITALIZATION AND INDUSTRIALIZATION IN THE BUILT ENVIRONMENT SECTOR There have been and still are ongoing developments in the sector to leverage digital incentives in an entirely new way, a trend which Sweden is helping to pioneer. Building information models (BIM) and geographic information models stored in geographic information systems (GIS) are widely-used terms. They stand for the systems based on objects and databases in which digital models of buildings, roads, bridges, facilities, topographical conditions and entire cities (so-called city models) are built. The models consist of objects that have been given equivalent dimensions, properties and relations to the real objects that they represent. Hence they become powerful sources of information that can be used from the planning stage, through design and production, and across the facility life cycle. The trend is also progressing towards using PLM systems (product lifecycle management) for long-term operation, maintenance and facility management. Digital advancements are also enabling industrialization adapted to mass customization, with unique tailored solutions based on platforms. Information structures and information systems are a prerequisite for managing platforms. Other digital developments in areas such as the Internet of Things (IoT), Big Data, the Cloud, the Semantic Web etc are also creating the prerequisites for the digitalization of built environment, whereby model-based data can be used in new ways to achieve the vision above. Figure 1 outlines the focus of this SIP. Built Environment needs a joint Information Infrastructure as a basis, one that can then be used in Business Applications such as BIM, GIS and industrialization, and implemented in both existing and new processes. Both the infrastructure and business applications must relate to and leverage global developments in Digitalization that offer completely new opportunities for information management. Through a seamless flow of information, the processes and stakeholders of built environment can be Integrated, with new value chains, business models, services and products as a result. Public and private intervention in interaction is essential for success The SIP Smart Built Environment is a broad collaboration programme for digitalization and industrialization within built environment. 4

5 Figure 1. The scope of the Smart Built Environment programme 1.2 The innovation area in facts and figures The built environment sector is the single largest industry in Sweden 1. Total investments in the sector > SEK 300 billion annually (9% of the Swedish GDP). Total number of employees > 500,000 (11% of the total Swedish workforce). Only including the companies and organizations that are members of the four major sector associations, there are 3,200 construction companies, 700 architectural and consultancy firms, 17,000 real estate companies and 1,000 building material companies. In addition, there are 290 municipalities. The value of the property stock is estimated at over SEK 6,000 billion. To this should be added the value of infrastructure such as roads, bridges, railways, harbours, airports, etc. In total, built environment represents about half the national wealth. Built environment is a basis for most commercial and public sectors and creates the prerequisites for the competitiveness and sustainable growth of Swedish industry. With intelligent IT and information management as a basis and with modern production methods, both time and cost can be reduced by 30-40% in planning and construction, and efficiency can also be achieved in facility management. In addition, there will be environmental and energy impacts in line with our goals. This will initially occur for stakeholders that apply the programme results in new configurations, with increased profitability and greater export opportunities for these stakeholders. THE FRONTRUNNERS IN THE STRATEGIC INNOVATION AREA Swedish stakeholders, both companies and research groups, are frontrunners in the development and utilization of digitalization and industrialization, but there is a lack of integration between the areas. Trafikverket, the single largest client for infrastructure projects in the country with annual investments of approximately SEK 20 billion, has been conducting a major BIM implementation project for several years. It has established a strategy for BIM utilization in all of its investment projects, and ultimately in operation, maintenance and facility management. The five public property developers Specialfastigheter, Akademiska hus, Statens fastighetsverk, Riksdagsförvaltningen and Fortifikationsverket have developed a common BIM strategy for both projects and long-term facility management. 1 The Swedish Construction Federation January

6 The civil engineering companies that have achieved significant progress in the advancement of BIM and industrialized processes are the major companies NCC, Peab, Skanska and Veidekke. Among architectural firms and consultants, both SMEs and large enterprises, a wide range of companies such as WSP, White Arkitekter, Sweco, Tyréns, Ramböll and Link Arkitektur have contributed to digitalization by adopting various levels of BIM and in some cases industrialized processes as well. Construction material manufacturers such as Cementa, Peab Industri and Lindbäcks Bygg use digital data and digital systems in design and production as well as in product and information management, including customer-driven production (mass customization) in many cases. The public sector stakeholders Lantmäteriet (the Swedish Land Survey), Trafikverket and a number of municipalities now operate a fully digital geographic data management system for both internal operations and for external distribution. Furthermore, they manage development projects to harmonize digital data and digital processes in the built environment, both individually and jointly with Boverket (National Board of Housing, Building and Planning) and SKL (Swedish Association of Local Authorities and Regions). There are leading research groups at the four technical universities, KTH, LTU, LTH and Chalmers, which interact through the collaborative organization SBU (Swedish Universities of the Built Environment). Jönköping University also has a strong research group in BIM. Leading research groups in GIS can be found at Lund University, KTH and Gävle University College. EXISTING FUNDING FOR RESEARCH, DEVELOPMENT AND INNOVATION For the built environment sector as a whole, the following forms of funding are available, divided by category. The estimated size of the funding refers to the total for the sector, and only a small proportion of this is allocated to the SIP focus areas and there has been no coherent R&I strategy, which has resulted in ad hoc investments from individual stakeholders. EU: R&D funds are available for built environment in Horizon 2020 (FP 8), but few calls have been targeted at SIP areas, either in FP 7 or FP 8. IQ Samhällsbyggnad is currently managing the advocacy platform BEST (Built Environment Sweden platform financed by VINNOVA) to create calls in the field and has developed concrete proposals. (MSEK 450). Swedish government funding agencies: Funding targeted at built environment in varying degrees is available at the three agencies Formas, VINNOVA and Energimyndigheten (the Swedish Energy Agency). The Bygginnovationen programme (c.f. section 5.1), focuses on concepts with a short path to commercialization. (MSEK 400). Trafikverket is another public sector stakeholder with research funding available for use in its own projects as well as in joint programmes with academia and industry. (MSEK 490). Available private funding: SBUF (Swedish Construction Industry Development Fund) is a private R&D funding organization with approximately 5,000 affiliated construction and installation companies, who can apply for funding for R&D projects. (MSEK 60). Companies and private foundations: Individual companies in the sector are currently investing funds in BIM, GIS and Industrialized Construction, both through internal development projects and as co-financiers with the public sector funding above. The Sven Tyrén Foundation, ARQ and the Richterska Foundation are examples of private financiers, but private funding is not openly available. Nor can funding from companies and private foundations be quantified, because this information is not publicly available. 6

7 1.3 International position and competition Swedish stakeholders (companies, public authorities and research groups) are frontrunners in the digitalization of built environment. Sweden and our Nordic neighbours, Denmark, Finland and Norway, are frequently cited as world leaders in BIM implementation 2, along with the UK, the USA, Holland and Singapore. Sweden also holds a prominent international position in regard to systematics in construction and facility management and is one of the five leading countries in industrialized processes along with Japan, South Korea, the USA and Germany. In the geodata sector, Sweden has been and still is at the forefront of implementing the European Inspire directive to create a European infrastructure of spatial data. It is important that Sweden can maintain its prominent position in the utilization of digital data in the planning, construction and facility management phases. It is also important that we pioneer the emerging integration of these processes (cf. figure 1). Sweden also has a competitive position in adopting industrialized production in order to achieve the overall benefits of digitalization. LARGER INITIATIVES IN OTHER COUNTRIES All international competitors within BIM have one thing in common their links to large governmental advocacy initiatives. In this regard, the emphasis is on international standardization, software development and public procurement measures and regulations in Norway, Denmark, Finland and the UK. Implementation of industrialized processes is growing in Asia due to the rapid growth of cities and the need for buildings and infrastructure. Since the 1980s, the Nordic countries have been world leaders in information management research. Major research efforts are currently underway in Denmark (EU social funds) and in Norway and Finland (under the direction of public sector clients). In the UK, the government has initiated a national four-year BIM strategy for the built environment sector in a partnership between the private sector, the public sector and academia. State-of-the-art research in building process development is being performed in the UK at the Innovative Construction Research Centre. Germany has been, and still is, at the forefront in the standardization of 3D city models. In addition, the work of standardization such as CityGML originally stemmed from joint academic and public authority projects in Germany. The Netherlands are an early adopter of these standardized models and has also conducted national initiatives to create standardized profiles for data sharing between national and regional stakeholders. The UK Ordnance Survey has been working to link BIM models to their national master map. Significant research efforts are being conducted outside Europe, primarily in the USA and Asia. Important initiatives are being hosted by CIFE and Penn State with funding from industry and venture capitalists. In Japan and South Korea, similar initiatives have been linked to national strategies for industrialized processes. In China, both BIM and industrialized processes are included in the current five-year plan ( ). LEADING INTERNATIONAL RESEARCH GROUPS UK: Reading University, Loughborough University, Cardiff Business School, University of Salford. Finland: VTT Technical Research Centre, Alto University. The Netherlands: University of Twente, Eindhoven University of Technology, Delft University-Research for the built environment, TNO. 2 e.g. Around the World with BIM, AECbytes Feature (May 9, 2012), 7

8 Rest of Europe: Technical University of Denmark; Technische Universität München- Geoinformatik, Germany; CSTB, France. USA: University of Berkeley, Stanford University, (CIFE), Pennsylvania State University, Georgia Institute of Technology. Asia: Tokyo University, Japan; Hong Kong Polytechnic University; Queensland University of Technology, Australia. 1.4 Global challenges or developments that affect the innovation area The internationalization of markets in the built environment sector and the rapid digitalization of society are two strong positive forces that impact the potential of this SIP. As mentioned in section 1.1, digitalization that involves Open Data, Big Data and the Internet of Things, among others, will enable crucial changes. Internationalization and digital development create opportunities not only to manufacture products, but also to export processes and services in new business models. The global challenges are climate change, urbanization, the demand for flexible solutions for housing and lifestyle, the focus on local neighbourhoods, social sustainability, and cities as important drivers for green, attractive places in which to live and work. This SIP will provide major opportunities to meet the challenges of the sector and society. There is currently a shortage of housing in Sweden in almost half of all municipalities 3, while new build is currently at a low level 2. This is also a common situation in other countries and it is expected to accelerate with urbanization. Lead times in the construction process are lengthy and information-intensive, and the information chain is mostly fragmented across the different phases with a resulting loss of data. It is not uncommon for a project to last ten years from the early planning stage to completion. 4. Costs have increased faster than in other sectors 5. There are also significant savings to be made in energy consumption since the sector accounts for approximately 40% 6 of total use, in other words there is great potential to impact climate challenges. Another major challenge for the sector is the capacity for change and the willingness to implement change in public authorities and companies. Large companies face obstacles that hamper company-wide adoption, while SMEs face the problem of achieving any kind of implementation at all. The long-term challenge is to promote change on a broad scale within the sector. The approach of this SIP has been to engage pioneering companies in a mix of large companies and SMEs, as well as pioneers amongst research groups and public authorities, who are prepared to implement changes through active participation in the SIP, and who will the act as change advocates. 1.5 Most important needs to fulfill within the strategic innovation area There are currently a number of obstacles within built environment that are slowing developments in this area and preventing the full potential of digitalization and industrialization from being realized. Many of these have been described in Sections 1.1 and 1.2, but here they have been placed in the context of how they impact on the challenges of the SIP, the goals we wish to achieve and the activities that are necessary to reach these goals. 3 SCB, September Statskontoret, September Boverket, September IVA, The Royal Swedish Academy of Engineering Sciences, 8

9 CHALLENGES AND STRUCTURAL OBSTACLES Built environment is to a large extent project-based, which often results in low levels of experience feedback and learning. Processes are divided into a large number of sub-processes, with numerous players contributing deliverables in a sequential chain without shared accountability. Moreover, the stakeholders comprise many thousands of companies and organizations, primarily SMEs. There is a lack of strong process owners that can manage a large number of stakeholders and optimize end results. This role is transferred to the client instead who usually has a completely different core business and lacks the necessary expertise. This complex picture, combined with the fact that built environment is greatly influenced by public stakeholders who in some cases have political objectives, highlights the importance of meeting the challenge of finding measures that will eliminate the obstacles: In comparison to other industries, the sector suffers from low productivity; there are long lead times from concept to finished product; fragmentation reduces the focus on end product and the difficulties of upgrading working practices because any changes have to be implemented by multiple stakeholders simultaneously and there are no individual incentives. For this same reason, the capacity for innovation is low and the large proportion of public procurements with regulatory frameworks obstructs new solutions. The low capacity for change and innovation has created inertia in the adoption of digitalization and industrialization, unlike other industries that have become more efficient and advanced. GOALS In light of these challenges, there is considerable potential in sector stakeholders adopting a holistic approach and adding a new platform for digitalization and industrialization, tackle the obstacles and achieve the goals described in Section 2.2. Lead times can be shortened and processes accelerated, which will reduce costs and the impact of the sector on the environment and climate. In addition, new business logic will reduce fragmentation, create new value chains and enable new products, services, processes and companies. THE NEED FOR ACTIVITIES Achieving this requires a package of activities and a critical mass of stakeholders actively working to enable change. The activities identified in this SIP are described in section 5.2 and summarized below in the following four activity areas. How the current initiatives described below relate to the SIP is described in section 5.1. INFORMATION INFRASTRUCTURE To achieve better efficiency in built environment processes, it is vital that all stakeholders can access and exchange appropriate digital data used in e.g. BIM and GIS. Much of the existing information is project based and not designed from a life cycle perspective. A common infrastructure for information management is required, as in figure 1. The infrastructure will manage the standardization of: 1) concepts and related classifications, 2) data models and 3) data deliveries between parties. The concepts and data models of several sector disciplines need to be co-ordinated and harmonized with other digitalization in society. The infrastructure must also manage data ownership and accessibility as well as legal issues. There are a number of ongoing initiatives in this area, but these need to be co-ordinated and ramped up. Public funding is necessary for the reasons described below, and because the funding model for standardization in Sweden has not been designed for project-based industries. Examples of ongoing initiatives: (see also Section 5.1.) The government has appointed Lantmäteriet and other public authorities to gather and distribute 3D GIS data (S2013/7203/PBB) BSAB 2.0 Svensk Byggtjänst, Trafikverket and other stakeholders are developing BIM concepts and classifications based on ISO

10 BIM Alliance In conjunction with the strategic agenda, the alliance has prepared a report describing standardization requirements from a Swedish perspective. 10 key projects were identified that need to be implemented within a 5-year period. INTEGRATED PROCESSES Fragmentation in the built environment sector has resulted in stakeholders continually improving their own process deliverables, in other words they do the same things as before only slightly more efficiently. The deliverables are optimized but there is no incentive to deliver added value to the end product. Research is required into how new value chains and new stakeholder configurations can be structured to ensure optimal processes and take full advantage of digitalization and industrialization. Research and development is also required into how new processes and business models can created incentives for change, and how procurement forms that support innovations can be adapted. Public funding is necessary as this area concerns fundamental structures that individual stakeholders cannot influence and where the major social benefits occur in the form of lower costs for housing and infrastructure. Examples of ongoing initiatives: (see also Section 5.1.) The national research platform Procurement for sustainable and innovative built environment is available for research on procurement issues. It is funded by Formas and centred at Chalmers University of Technology, which is connected to the SIP. BUSINESS APPLICATIONS New business applications based on digital data can emerge as a response of a common information infrastructure and processes that provide incentives for operators to optimize the end products. This requires a strong and sustainable innovation system that continuously provides the opportunity to develop and implement new or improved products and services to the market. Additionally, there is a strong need to educate and train staff in individual companies and organizations as well as joint efforts from sector actors and new extra-sector actors where the ongoing digitization of the built environment becomes the foundation for new innovative business applications. This concerns both technical applications (such as Internet of Things) and new business models (e.g. Spotify). Ongoing initiatives: (see also Section 5.1.) Bygginnovationen collaborative programme at VINNOVA for innovations in built environment with a short time-to-commercialization. Produktionslyftet (The Production Leap) a national programme to increase the productivity, competitiveness and development capacity of Swedish industry. PUBLIC SECTOR ENGAGEMENT AND INTERVENTION The commitment of the public sector is needed for several reasons. The built environment sector encompasses a wide range of stakeholders that can deliver solutions to global challenges. One single company cannot implement these changes by itself. For collaboration to take place, public sector stakeholders are needed as change catalysts setting new requirements for suppliers. Public sector stakeholders in the built environment sector play several key roles: the state through planning and building regulations and as an infrastructure owner; local municipalities with their planning monopoly, as property owners and as construction clients; county councils with their responsibilities for public transportation and hospital management. Furthermore, the public sector must define the legal framework for exchange of digital information and also promote policies and standards for enabling this exchange. Public sector clients are responsible for about 50% of the annual investments in built environment SEK 150 billion 10

11 in other words they play a pivotal role as drivers. From a taxation perspective, using public money more efficiently is also an obvious incentive in itself. 2 The strategic innovation programme (SIP) All the stakeholders in the sector are impacted in the long term by the development of the innovation area and consequently by the activities of this SIP. Developments in digitalization and industrialization have been taking place for about 20 years and have involved numerous stakeholders, but these stakeholders have been restricted to their own parts of the process. Further tangible progress will now require the integration of all fields, and active co-operation by a critical mass of key stakeholders that can collaborate on new business logic towards common goals. The activities in this SIP are aimed at these key stakeholders, whose actions will have a major impact on other companies and organizations in the sector. The aim of the SIP is to leverage digitalization as a driving force in supporting changes in the strategic innovation area of built environment (as presented in the supporting Agenda) in order to meet the most important needs though the goals presented in Goals of the strategic innovation programme The SIP will address three of the VINNOVA impact goals and contribute to their sustainability aspects. Goals of the SIP Addressed VINNOVA Impact Goals Impact goal 1: Create conditions for sustainable solutions to social challenges on a global scale Impact goal 2: Sustainable social development that ensures supply, welfare, environmental and energy policy goals Impact goal 3: Greater competitiveness and an increase in exports for Swedish industry A sustainable life cycle: By 2025 a 40% reduction in environmental impacts (LCA and CO 2 footprint) and in life cycle cost (LCC) for new build and refurbished assets Faster delivery: By 2025 a 33% reduction in the overall time from planning to completion for new build and refurbished assets Lower costs: By 2025 a 33% reduction in the initial cost of construction Renewed business logic By 2025 several new value chains and business based on whole-life service, platforms, new companies and stakeholder partnerships X X X X 11

12 THE FOUR GOALS OF THE SIP: A SUSTAINABLE LIFE CYCLE There is no doubt that it is imperative to facilitate the conversion to lesser use of everything in the built environment sector to reduce its approximately 40% usage of raw material, waste generation, energy use, carbon dioxide emissions and transportation. The built environment sector needs to achieve a 40% reduction in environmental impact to support Sweden s political goals of a sustainable built environment. Integrated risk analysis using GIS and BIM data in LCA-based optimizations will facilitate the minimization of energy and material usage and CO 2 emissions from building processes and products. A sustainable life cycle for buildings and infrastructure will help meet Sweden s long-term environmental and energy policy goals. FASTER DELIVERY AND LOWER COSTS An increase in the number of housing units will enable Sweden to grow. The shortage of available and affordable residential housing is a major restriction to sustainable social development and welfare. Productivity in the Swedish built environment sector is internationally competitive but poor in comparison to other sectors, both nationally and internationally. As international competition increases, the utilization of modern digital and production technology and processes will be a key factor in consolidating Swedish industry. In order to deliver and maintain buildings and infrastructure, sustainable solutions related to digitalization are needed for a substantial increase in efficiency. Lowering costs and reducing the total construction time by 1/3 rd will have a significant impact. In addition, a higher level of user involvement through secured digital management in planning and design will achieve a better (total sustainability) quality for buildings and infrastructure. RENEWED BUSINESS LOGIC The new technologies and processes are partly in use at this moment. However, an increase in sustainability in society requires closer and longer collaboration between stakeholders, enhanced user influence and verified environmentally-friendly solutions. Developing profitable business opportunities requires an infrastructure for information management that ensures user involvement, the measurement of and the minimization of energy consumption, waste and CO 2 emissions, and that creates incentives for investment in robust solutions. Improved innovation and new business models must be tested, verified and adopted by stakeholders. Competitiveness and exports will be strengthened through co-operation with SMEs using business models based on digitalization from other sectors such as IT and telecom. New competences in digital and knowledge-based exports are needed to improve services and processes based exports and to complement existing products based exports THE SIP WILL CONTRIBUTE TO THE THREE ADDRESSED VINNOVA IMPACT GOALS AS DESCRIBED BELOW. IMPACT GOAL 1: CREATING CONDITIONS FOR SUSTAINABLE SOLUTIONS TO SOCIAL CHALLENGES ON A GLOBAL SCALE With a starting point in digitalization and the development of modern production methods, combined with the implementation of LCA and LCC methods for planning, design and construction, we can, for example, create energy-efficient solutions for meeting social challenges such as the need for more housing and a robust infrastructure. GIS-based demographics will support the analysis of existing services in planning a sustainable future for a population of varying ages and needs. Fully implemented BIM and industrialized construction will reduce wastage through the controlled construction platforms, reduce construction costs and accelerate public planning, thereby increasing the availability of homes and reliable infrastructure. However, the transition to sustainable solutions that leverage the benefits of digitalization requires renewed skills for all stakeholders. 12

13 IMPACT GOAL 2: SUSTAINABLE SOCIETAL DEVELOPMENT THAT SECURES SUPPLY, WELFARE, ENVIRONMENT AND ENERGY POLICY GOALS Total energy consumption in the built environment is about 150 TWh annually 7. It is not easy to estimate the heating and cooling required for houses, but according to Boverket it amounts to approximately 30% of total energy consumption, i.e. about 45 TWh annually. Thus the SIP has high relevance where the proposed actions in several ways will impact Sweden s energy policy goals. Managing a whole that comprises a large number of diverse ecological, economic and social sustainability aspects is a complex task. Integration of digitalization and industrialization in the built environment will provide increased opportunities for holistic analysis: Geographic data can be used during the planning stage to optimize resource and supply system deployment by taking into account population growth, jobs etc. In the planning and design stages, many (hundreds of) options can be analyzed from a range of perspectives. Parameters such as energy consumption, solar panel location, CO 2 emissions and the environmental impact of chemical products can be optimized and evaluated with the help of digital models. Buildings, infrastructure and supply systems can be analyzed on a city level from an LCA perspective. Energy and CO 2 minimization are increasingly required for resource-efficient production processes. Industrialized construction processes must be based on efficient resource utilization in order to be financially viable. Investments in robust (i.e. verified) and low-emission technology can be spread across a large number of products. Hence new production techniques and standardized platforms will lead to waste reduction and a safer working environment. In the long-term management of facilities and infrastructure, IoT-related digital models will contribute to the measurement and optimization of embedded energy, as well as energy consumption and environmental impact. By attaching sensors, measurements can be made visible and enable incentives for change. Full-scale digitized city milieus can be used to support informed decisions in urban management. IMPACT GOAL 3: GREATER COMPETITIVENESS AND AN INCREASE IN EXPORTS FOR SWEDISH INDUSTRY By 2030, the global demand for homes will have doubled in comparison to today. As the built environment sector is global, Swedish companies are already encountering intense competition in Europe (labour) and globally (products). The way to help fulfil the demand for homes, both in Sweden and globally, is through efficient industrialized processes in planning, construction and facility management. This will also increase competitiveness and complement exports through new digital and knowledge-based export opportunities. The drive to develop high-quality building solutions that can cope with Sweden s cold climate indicates good prospects for the export of technology and products. From an international perspective, Sweden can boast unique expertise that will enable growth related to digitalization and industrialization in the built environment sector as well as a strong IT-sector and manufacturing industry, which may well prove a competitive advantage since these system solutions are difficult to copy. 7 IVA, The Royal Swedish Academy of Engineering Sciences, 13

14 2.2 Expected results and effects The expected results of the SIP are a commonly defined information infrastructure as well as enhanced process integration, and new business applications. The key expected impacts are new knowledge and skills for innovating, managing, evaluating and commercializing digital processes, data management etc. The actions of the SIP are designed to support these impacts. A description of the nine proposed actions (five strategic projects, three open calls and one special activity) are presented in the table below and contrasted with the results/impacts and goals of the SIP (see section 5.2). The focus required to fulfil the needs of the strategic innovation area has been categorized as combinations of R (Research), D (Development) or I (Innovation). Goals of the SIP Results and effects of the SIP Actions and activities A sustainable lifecycle: a 40% reduction in environmental impact Faster delivery and Lower costs: 33% reduction in overall time, from planning to completion and a 33% reduction in the initial cost of construction Renewed business logic Energy efficiency of processes and products and structured maintenance has led to energy and CO2-efficient buildings Robust LCA analyses and methods are used in new build and renovation Established lifecycle perspective for the procurement and management of buildings and infrastructure that meets the EU's environmental and climate agenda Standards for managing concepts, formats and processes exist across the whole value chain and are widely available for free Established data standards and models and agreements of data sharing of GIS BIM and construction automation data Established digital models for maximum customer benefit and use of land with secured digital information Buildings and infrastructure are built with same productivity as in other sectors Validated and risk assessed integrated construction and design methods demonstrated in several operational environments Improved development networks with the IT, telecom and manufacturing industries Cross-industry market knowledge where actors work together using mass customization Value chains in new stakeholder constellations are tested and demonstrated Innovations are valued and industry stakeholders have an increased capacity for innovation and are more profitable Intelligent solutions for maintenance and IT availability Ability and competences of digital and knowledge-based exports Strategic project: Life cycle approach and actions, DR Strategic project: Innovation laboratory - test beds for integrated processes, ID Strategic project: Life cycle approach and actions, DR Strategic project: Knowledge leap for integrated processes, DI Strategic project: Integrated model and data standardization, DR Strategic project: Knowledge leap for integrated processes, DI Open calls: Legal and organizational impacts, DR Open calls: Data availability and innovations, ID Strategic project: Innovation laboratory - test beds for integrated processes, ID Strategic project: New value chains research school, RD Open calls: Risks, incentives and business models, DR Open calls: Data availability and innovations, ID Strategic project: Innovation laboratory - test beds for integrated processes, ID Strategic project: Knowledge leap for integrated processes, DI Strategic project: Innovation laboratory - test beds for integrated processes, ID 14

15 In order to achieve these goals, a catalyzing and co-ordinating role is required, as described in section 4. This will also contribute to results and impacts and is linked to the activities described below. Function Results and effects of the SIP Actions and activities Catalyst and coordination of change Ability to respond to global and structural changes and to take strategic actions Established and competitive RDI environments where the number of strategic agreements between society, companies and academia are increasing Special activities: Systematic communication and learning, RDI Strategic project: New value chains research school, RD The actions and activities of the SIP and their bearing on impacts and goals derive from an analysis of how the current situation will change and who will leverage the driving forces of digitalization to change it.. Who relates to the stakeholders that will drive this change and how relates to the design of activities in regard to RDI. IN REGARD TO STAKEHOLDERS The strategy involves utilizing digitalization, which on an operative level means utilizing the strengths and initiatives of the frontrunners that are already acting as market drivers, in order to build a critical mass (see section 1.2). These stakeholders support the SIP with contributions in accordance with their letters of intent. It is important to note that the commitment of public sector stakeholders is necessary. This will motivate late adopters to follow suit, which will ramp up the impact. IN REGARD TO RDI The focus on integration will escalate the innovation area to a higher technological readiness level than is currently the case for individual technological fields. This leap to technology validation and demonstrations in operational environments requires a focus on Development, but must be supported with activities in the following proportions: Research (20-30%), Development (50-70%) and Innovation (20-30%). The strategy in terms of types of activity by proportion: Open calls (30-40%): in accordance with chapter 5.2, calls will be formulated in such a way as to focus on changing the basic prerequisites, primarily for late adopters and new stakeholders, so that results and knowledge are gradually produced. The primary focus is Development and Research. Strategic projects (50-60%): in accordance with chapter 5.2, these will focus on coherent strategically important solutions primarily aimed at the early adopters of the SIP supported by new stakeholders. The primary focus is Development and Innovation. Special activities (10%): The main purpose of activities is to access and develop programme roles, and to ensure continuous (learning) and strategic development in the programme. 2.3 Renewal of the innovation area by the SIP The most significant renewal will be achieved through the internationally accepted information infrastructure and the enhanced process integration so that: Information can flow seamlessly and confidentially along the entire value chain of independent stakeholders and IT systems; Design and construction is performed using stable production systems based on mass customization and where information ensures an enhanced level of automation, experience sharing and product orientation; and Renewed business logic is applied that is legally and economic viable and that is based on robust techniques and products that comply with sustainability requirements and 15

16 provide good financial incentives for all stakeholders. An increase in exports based on digitalized business and knowledge. On a structural level, the strategic co-ordination and support of the SIP will in itself bring about renewal in the innovation area: MOBILIZATION OF STAKEHOLDERS FOR NEW BUSINESS APPLICATIONS The SIP will provide a catalyst for change for and between a large number of stakeholders, public sector, private, major companies, SMEs and academia. Support for the frontrunners and new stakeholders will be necessary and invited to consolidate renewal and change, particularly stakeholders from the IoT, IT, telecom and manufacturing sectors. INTEGRATION OF PROCESSES NEEDS OF R, D AND I The potential for co-ordinating strategic prioritization and funding of research, development and innovation will be accelerated by the SIP. It is a matter of urgency that financing and initiatives from both public sector and private stakeholders are increased and co-ordinated. 3 Actors CO-ORDINATOR (PROGRAMME OFFICE) The programme will be hosted by IQ Samhällsbyggnad (IQS), a membership association of 110 companies and organizations, which has facilitated an unprecedented gathering of all the stakeholders in the sector: real estate companies, architectural and consultancy firms, construction companies, building material manufacturers, as well as municipalities, public authorities and academia. As an organization, IQS is firmly established among the impacted stakeholders in its role as co-ordinator and network for joint R&I initiatives within the sector. IQS has an efficient and effective platform to create networks between industry, academia and the public sector, to conduct communication activities and to act as coordinator in joint research and innovation programmes within the sector. IQS currently manages the following programmes and initiatives: E2B2 (energy efficiency) in partnership with Energimyndigheten; parts of the JPI Urban Europe project (sustainable urban development) with VINNOVA, Formas and the 13 EU member states; the BIM Alliance association; and the Built Environment Sweden platform (advocacy platform for Horizon 2020) with VINNOVA. MAIN STAKEHOLDERS SUPPORTING THE PROGRAMME The programme brings together stakeholders from across the sector: municipalities, government agencies, property developers, architects, technical consultants, construction and installation companies, construction material companies, property owners and academia. The fact that all these different stakeholders are committed to the SIP is a success factor in itself as well as a prerequisite for achieving joint changes. The sector s division into subprocesses and its fragmentation into a large number of companies, which is described in section 1.1, calls for a common strategy and action plan. The following 23 companies and organizations are the main Swedish stakeholders that will participate in the programme and contribute with co-financing according to their letters of intent: Akademiska hus, BIM Alliance, BSK Arkitekter, Cementa, Lantmäteriet, Lindbäcks Bygg, Lund University, NCC, Peab, Projektengagemang, SBU (Swedish Universities of the Built Environment including Chalmers, KTH, LTH and LTU), SBUF (the Swedish Construction Industry Development Fund), Skanska, SP Technical Research Institute of Sweden, Specialfastigheter, Svensk Byggtjänst, Trafikverket, Tyréns, Urban planning officies in Göteborg, Malmö and Stockholm, Veidekke, White Arkitekter Vianova and WSP. At programme start-up, the above organizations constitute the Strategic Partners as described in section. 4. The above will contribute co-financing to strategic projects and open calls, when they opt to apply for project funding in various configurations. 16

17 In addition, 14 companies and organizations will also support the programme according to letters of intent, and contribute by, for example, co-financing in open call projects, providing human resources in reference groups etc. OPENNESS FOR NEW STAKEHOLDERS The companies and organizations listed above include both major stakeholders and SMEs. We continually invite new stakeholders in these categories to participate in the planned programme and to become strategic partners in accordance with the consortium agreement. Open calls will be open to all stakeholders from the sector and others. International stakeholders from leading countries (see section 1.3), companies from other sectors, such as the telecommunications industry, the IoT and the engineering industries, will also be invited. STAKEHOLDERS THAT WILL BENEFIT FROM THE PROGRAMME Every stakeholder that is actively involved in the programme will also benefit directly from its outcome. Benefits arise firstly from the ability to apply results tangibly and directly in operations with subsequent direct business benefits, and secondly through knowledge accumulation and acquired skills in the stakeholder organization via the individuals taking part. The programme is primarily targeted at active participants, who consist of early adopters. Other companies and organizations across the sector will gain indirectly from the new approaches to managing information, experience-based processes and business logic that the programme provides, and this will eventually result in a paradigm shift for the entire sector. Other stakeholders that will benefit directly from the results are built environment customers in the broadest sense, i.e. the occupants of homes, offices, factories, commercial buildings, roads, railways, hospitals, schools. The programme will also contribute to achieving political objectives such as more housing, a robust infrastructure, a stable transport system and sustainable urban development. 4 Coordination of the SIP programme 4.1 Organization and leadership GOVERNANCE AND DIVISION OF RESPONSIBILITIES The governance of this SIP has been organized into three distinct levels; a grouping of Strategic Partners, a Programme Board and a Programme Management Group. Figure 2. Programme Governance 17

18 Strategic Partners: Strategic Partners include all the stakeholders that have stated their intention to fund one or more projects or activities within the programme, and that have signed the programme consortium agreement. Strategic Partners hold meetings approximately once a year (during the first year 2-3 meetings will be held) and establish the programme direction and action plans, in addition to appointing the Board. Programme Board: The Programme Board consists of about 8-10 representatives from companies, public authorities and academia. Representatives from VINNOVA, Formas and Energimyndigheten can be co-opted to the Board. One board member is appointed as a representative in the Advisory Board. The Board decides on strategic projects, open calls and specific activities in accordance with the action plan. When an open call is undertaken or a strategic project established, the Board will draft a recommendation to the funding authority for funding. Furthermore, the Board deals with issues of confidentiality and intellectual property rights within the project and appoints a Programme Director and Advisory Board. Programme Management Group: The Programme Management Group comprising a total of one and a half full-time positions, including a Programme Director, and manages the programme operationally. It is responsible for the daily operations of the programme, coordination of activities, communications and business intelligence, as well as identifying and engaging new stakeholders. Follow-up activities related to the goals and vision of the programme and financial monitoring are important duties of the Programme Management Group. See section 4.2. The Programme Management Group initiates strategic projects in collaboration with the external experts of the Advisory Board. Finally, the Program Management Group has an overall coordinating and catalyzing role for the whole program; in this role they will be supported by the advisory board. Advisory Board: External experts are engaged in the programme as advisors for both new and ongoing projects. One important role is to co-ordinate strategic projects in the programme to ensure that they are aiming towards common goals, and that the work harmonizes with nearby initiatives and activities. The Advisory Board includes approximately three external experts (national and international) as well as the project managers for strategic projects and the Programme Director. One board member participates in the Advisory Board. STAFF AND KEY PERSONNEL The Programme Management Group will be hosted by IQ Samhällsbyggnad, which is an established node and catalyst for development in the built environment sector (see section 3). The interim programme director will be Olle Samuelson (IQ Samhällsbyggnad). The Programme Board will be appointed by the Strategic Partners during their first session. The table lists the key personnel that will make up the interim Programme Board and management. Suitable international individuals have been identified for representation on the Advisory Board but have not yet been approached. We have already established that there are currently about 10 experienced and qualified individuals actively engaged in companies, universities and organizations that would be well suited as project managers for the various activities. Name Ronny Andersson Jan Byfors Stefan Engdahl Anna Eriksson Title R&I Manager Senior Vice President, Techn. Development Executive Director Director of development Contact ( or phone) ronny.andersson@ cementa.se [email protected] stefan.engdahl@ trafikverket.se Organization IQS/Cementa NCC Construction Trafikverket Role in the programme Board member Board/Advisory board Board member [email protected] Lantmäteriet Board member 18

19 Kristina Gabrielii Kjell Klasa Birgitta Olofsson Monica von Schmalensee Corporate Sustainability Manager Director of purchasing Vice president CEO peab.se tyrens.se monica.von.schmalense Lars Stehn Professor Michael Walmerud Olle Samuelson Helena Gibson Ek NN Vice president R&I Strategist Communication manager akademiskahus.se iqs.se iqs.se Peab Skanska Tyréns White Arkitekter Sveriges Bygguniversitet /LTU Akademiska hus IQ Samhällsbyggnad IQ Samhällsbyggnad to be recruited Board member Board/Advisory board Board member Board member Board member Board member Programme manager Programme communicator Programme managem. group 4.1 Project plan for the coordination of the SIP-programme Co-ordination is divided in two phases: a start-up in 2015 and an operational phase THE START-UP PHASE WILL INCLUDE THE FOLLOWING ACTIVITIES: Establishing the programme Signature of consortium agreements with strategic partners, i.e. key stakeholders that are willing to finance projects in the SIP according to their letter of intents. The strategic partners will prepare a first action plan and appoint the Board. Establishment of a programme board and appointment of a Programme Director. Collaboration and discussion with the authorities VINNOVA, Formas and Energimyndigheten regarding the start-up of the SIP. Establishment of work methods and procedures for management, communication and accounting as well as for strategic orientation and decision-making in the financial process. Communication As an element in the start-up process, a communication strategy will be developed to meet the communication and knowledge transfer needs that are identified in the SIP. This strategy, which will include an overarching message, prioritized target groups and channels (our own channels such as newsletters, the web, seminars etc. as well as how we can leverage established communication channels that already reach our target groups) will be developed for the entire lifetime of the programme and supplemented with communication plans linked to the strategic projects, open calls and special activities carried out during the SIP. A programme website and newsletter will also be created during the start-up phase, as well as template communication plans for the various activities. Preparation for activities Plan for the first strategic projects and open calls. Preparing and conducting procurement for the strategic projects and initiatives THE OPERATIONAL PHASE WILL INCLUDE THE FOLLOWING ACTIVITIES: Competitive intelligence and communication 19

20 Communication represents a core programme activity. It will be subject to the aforementioned communication strategy and co-ordinated by the Programme Management Group. The Programme Management Group will communicate regularly both internally with the SIP partners and with external stakeholders. See section Competitive intelligence is a key element in the ongoing work, for example in order to find new stakeholders both within the built environment sector and in adjacent sectors. Continuous monitoring of new and ongoing initiatives both national and international within the SIP s sphere of interest will be an important task of the Programme Management Group to ensure programme development and the identification of new strategic partners and collaborators. Results will be made available via seminars, newsletters and the website. Strategic projects and special activities The Programme Management Group will initiate and administrate strategic projects, open calls and special activities. All projects will be monitored financially and their performance evaluated against programme goals. Results will be disseminated and communicated in accordance with the communication strategy. Ongoing contacts with the funding authorities regarding programme direction and monitoring of results. Open calls The Programme Management Group will plan, initiate and implement open calls in dialogue with the funding authorities and the Programme Board. The dissemination of results will take place in accordance with the communication strategy. 4.2 Budget for coordination of the SIP programme Budget for startup phase Activity 2015 (MSEK) 2016 (MSEK) 2017 MSEK 2018 MSEK Establishing the programme Programme management Communication Preparation for activities Summary Programme funding VINNOVA Budget for operating the SIP programme See section Actions and activities in the SIP programme 5.1 Existing actions and activities to be used within the SIP programme There are a number of valuable initiatives and activities in the field and these will be applied in various ways. The SIP will complement these activities and co-ordinate the results of these efforts. Below is a list of some of these activities. 20

21 International standardization National standardization Networks and organizations INSPIRE European Location Framework (ELF) buildningsmart international working groups ISO and OGC Swedish geo process (Lantmäteriet and SKL) Swedish standardization (SIS) initiating BIM/GIS-project BSAB 2.0 Svensk Byggtjänst, BIM Alliance and others BIM Alliance Sweden Lean Forum Bygg buildingsmart International RYM Shok, Helsinki, Finland Financing Bygginnovationen Development Fund of the Swedish Construction Industry (SBUF) EU Advocacy platform BEST, IQS Research and skills enhancement Produktionslyftet Research environment ProcSIBE, Chalmers SIP Internet of Things Existing companies and research groups (c.f. chapter 1.3) Other initiatives 3D city model strategies Gothenburg and Stockholm Municipalities dpbl digital management of planning and building permit process Boverket and Lantmäteriet Lantmäteriet Government assignment about 3D data Of the above-mentioned initiatives and activities, the following in particular will be incorporated within the SIP. Close links exist to these organizations and the way they participate in activities is described below and in the submitted letters of intent of the respective organizations. BYGGINNOVATIONEN Bygginnovationen is an innovation programme which is run jointly by VINNOVA and 24 built environment sector companies. The aim is to develop a strong and sustainable innovation environment. Priority areas include ICT and efficient processes. The focus of Bygginnovationen is developing ideas that are close to commercialization, particularly in SMEs. This SIP will provide opportunity for continuation of successful projects from Bygginnovationen that have received innovation and planning grants, e.g. through testing and demonstration activities (activity 2) or via the open calls for proposals (activity 6, 7 and 8). PRODUKTIONSLYFTET (THE PRODUCTION LEAP) Produktionslyftet is a national programme initiated and funded by VINNOVA, Tillväxtverket (the Swedish Agency for Economic and Regional Growth) and participating companies, the purpose of which being to support companies in the manufacturing sector to improve their competitiveness. Collaboration with Produktionslyftet will be a part of activity 3 in the SIP. Produktionslyftet s Lean-based principles and method the oblique wave will provide this SIP with necessary tools to systematically improve participating companies processes. SIP INTERNET OF THINGS Since work began on the strategic agendas of this SIP and the Internet of Things SIP there has been close collaboration and exchange between the two. There are ample synergies between the IoT field and the ongoing digitalization of the built environment. A collaboration between these two SIP:s will therefore be established on the program level, primarily for the work on standardization and information infrastructure (activity 1 and 6), but also in developing business applications (activity 7). 21

22 5.2 Describe in detail each action/activity financed by the programme The aim of the activities is to create a common Infrastructure for digitalization and at the same time support and drive digital Business Applications and to promote Integration of Processes within and between the operations of the active companies and organizations. Consequently, each activity has a different emphasis in Research, Development and Innovation (see section 2.2). An overall flow of activities over time is provided in figure 3. Figure 3. Activity plan. SA = Special Activity, SP = Strategic project, OC = Open Call The activities listed below relate to the strategic innovation Agenda Smart Built Environment. The headings under each activity refer to section 5 in the Agenda, Innovation areas and method of realization unless otherwise stated Activity 1: Integrated model and data standardization (strategic project) a) Description A key concept in the SIP is co-operation and data sharing between stakeholders in the built environment sector. This data sharing is indispensable to the priority project areas listed in the supporting Agenda Development of common standards and structures. In order to enable the data sharing, data formats and data models must be standardized to facilitate data linkage and data transfer within and between BIM and GIS environments. The standards must also relate to other standardization in digital developments, such as the Internet of Things and Big Data, where we will have cooperation with the SIP Internet of Things. The standardization work will result in new national profiles for international standards in the field. Standards should be developed independently of process application.10 key projects have been defined in a report and summarized in the supporting Agenda. 22

23 b) Expected results and impacts : Open available standards for concepts and classifications, data models and data delivery specifications, in which BIM and GIS data is co-ordinated. Five of the ten projects defined in the agenda have been completed. Enhanced data flow and data sharing that increases efficiency in the priority project areas. 2025: A long-term improvement in access to data will lead to changes in process chains and stakeholder responsibility, with new stakeholders, processes, products and services as a result. Furthermore, other sectors will benefit from the results, e.g. emergency services, defence and private service companies (in the emerging combined indoor and outdoor navigation field). c) Time plan and budget The project will run from , with a start-up phase in 2015, and treat five of the ten subprojects defined in the agenda. There is a need for a continuation project starting in The projects will include partners from the construction process (consultants and contractors), public authorities that produce and manage GIS data (e.g. Lantmäteriet and Trafikverket), local municipalities as well as users of BIM and GIS data. SIS (the Swedish Standards Institute) will be a natural contact partner during the work. Data suppliers and users can be all types of stakeholder that are included in the priority project areas of the supporting Agenda : In total 35 MSEK. The public sector share is about 5 MSEK/annually. The activity collaborates with the BIM Alliance Sweden organization in co-ordinating the project. d) Targeted groups Access to relevant data is vital for the entire built environment sector and a key issue in the other activities in this SIP. Standardization is a fundamental prerequisite for ensuring that data is accessible to all stakeholders. e) Communication and knowledge transfer Communication and knowledge transfer is carried out in accordance with an overarching programme strategy. See section Activity 2: Innovation lab Test beds for integrated business applications (strategic project) a) Description In the Innovation Laboratory, the SIP partners new, innovative applications related to the development of the information infrastructure and industrialized processes will be applied, verified and evaluated. This activity is a response to the needs as described in the supporting Agenda Development and Demonstration. The test beds comprise different forms of projects, among others construction projects in which industry, public sector and academic partners collaborate. It is considered the central process of the SIP (see Figure 3) to which all other activities provide knowledge, skills and development. Collaboration will take place with Bygginnovationen to accelerate innovations in digitalization and industrialization. Initiatives such as innovation procurement and activities of open innovation will be linked to test beds. The work will include collaboration with new sector stakeholders that have already been digitized. in close collaboration with users and the market and where appropriate, in the form of PhD students in Activity 5. Collaboration with existing national and international laboratories (such as Living Labs, visualization labs, GIS, BIM and configuration labs) as well as international centres (CIFE) will be established. 23

24 b) Expected results and impacts 2016: The plan for the Innovation Lab has been established with leading international partners, for example through agreements on test beds and pilots, in which different business applications are developed : At least 5 procurements of innovative solutions tested in 5-7 Pilots, including planning, construction and facility management, have been implemented and evaluated, and the technology has been developed. 10 innovations in digitalization/industrialization have been commercialized in collaboration with Bygginnovationen. 2025: The expected impacts are enhanced expertise in commercialization, faster market acceptance of innovations and an increased technology readiness level among participating companies. c) Time plan and budget As this strategic activity will remain in continuous progress during the programme period, it will act as the driving force for sector renewal. An evaluation will be conducted in 2018 in preparation for its continuation. Funding is expected from the public authorities (50%) and the participating partners (50%) : In total 40 MSEK. d) Targeted groups The target group for this activity is the Strategic Partners of the programme. e) Communication and knowledge transfer Communication and knowledge transfer is carried out in accordance with an overarching programme strategy. See section Activity 3: Knowledge leap for integrated processes (strategic project) a) Description The aim of this strategic action is to facilitate and co-ordinate skills development for the new integrated processes, and is described in the supporting Agenda Forum for change and dissemination and Implementation support. Utilizing digitalization to exploit the potential of BIM, GIS and industrialization will require improved knowledge and skills in order to break ingrained habits. The bulk of the changes will not concern technological issues but involve change amongst individuals at all levels and implementation through small steps. The knowledge leap programme will be conducted in partnership with Produktionslyftet. The methods will be adapted for contractors, clients, consultants and building material manufacturers, as well as to new digital processes. b) Expected results and impacts 2016: The knowledge leap programme for contractors and material manufacturers has been established : The knowledge leap programme has been adapted to construction clients, consultants and new digital processes. 2-4 companies annually participate in knowledge leap programmes : 4-8 companies annually participate in knowledge leap programmes. 2025: The expected impact is increased knowledge for employees that contribute to structural changes in the industry. c) Time plan and budget The activity will be conducted continuously to support change and innovation in companies. The first stage of the project will last from 2017 until 2018, and after evaluation it is expected 24

25 to continue from Funding is expected from the authorities (30%) and collaborative partners e.g. the production leap and participating companies (70%) : In total 10 MSEK. d) Targeted groups Two groups have been targeted: Primarily the frontrunners from all stakeholder disciplines but increasingly from 2018 early majority and late majority will also be engaged in SIP activities. e) Communication and knowledge transfer Communication and knowledge transfer is carried out in accordance with an overarching programme strategy. See section Activity 4: Life cycle approach and actions (strategic project) a) Description A sustainable society requires a life cycle perspective in regard to planning, design, construction and usage of built environment. Financial issues, LCC, and LCA, must be integrated into information structures and processes for improved efficiency from a life cycle perspective. The activity includes support for implementation and coherent research on quantification of scenarios for maintenance and operation; statistical analysis of model reliability; biodiversity as an environmental aspect; classification and driving forces in procurement. The activity is described in the supporting Agenda Development and demonstrations in collaboration. b) Expected results and impacts : CO 2 emissions and energy consumption are declared in Environmental Product Declarations (EPD) for facilities from a life cycle perspective, where applications have shown an approximate 20% average improvement compared to : Environmental impacts and life cycle costs are described in relation to the sector s digital data. 2025: The expected impact is that environmental impact and costs from a life cycle perspective have become the driving forces behind new innovative green business models. c) Time plan and budget The strategic activity will be conducted from 2016 to It will provide the other activities with knowledge of the life cycle perspective as a driving force for sector renewal. It is expected that the required work from 2019 will be optimally conducted in connection with the information structure and during open calls. Funding is expected from the public authorities (50%) and participating partners (50%) : In total 20 MSEK. d) Targeted groups In both economic and environmental issues, the focus is on synthesizing the existing skills of academia and commercial experts, and at public sector clients connected to public procurement. e) Communication and knowledge transfer Communication and knowledge transfer is carried out in accordance with an overarching programme strategy. See section Activity 5: New value chains research school (strategic project) a) Description 25

26 This is a strategic activity whose aim is to initiate new and cross-disciplinary knowledge, and to support and validate stakeholder implementations in the SIP. It is an element in the needs as described in the supporting agenda Centre of Excellence. The concept of a crossdisciplinary and multi-method research school is a prerequisite in supporting participants in other actions that evaluate the new value chains and test the impact of digital actions. The curricula must be jointly designed (not through open calls) by the research groups at SBU in collaboration with expertise from the fields of business and manufacturing. The activity will support Activity 2. b) Expected results and impacts 2016: Curricula established and course development initiated. Workshops with PhD supervisors conducted : 2 advanced courses and validation experiments annually. 2025: The expected impact is new knowledge in understanding and conducting risk management, integration analysis, new business models, stakeholder responsibilities, change management, productivity and optimization assessment, and development of BIM and GIS tools and digital data for automation in construction. c) Time plan and budget The activity will be conducted continuously in support of other RDI activities. Funding is expected from the public authorities (60%) and participating academic stakeholders as well as stakeholders via industrial or municipal PhD students (40%) : In total 12 MSEK. d) Targeted groups Two groups have been targeted: Researchers at universities in the innovation field and from supporting disciplines, and R&D personnel at the frontrunner companies. e) Communication and knowledge transfer Communication and knowledge transfer is carried out in accordance with an overarching programme strategy. See section Activity 6: Legal and organizational impacts (open calls) a) Description Utilization of a new information infrastructure requires new business models, practices and legislation regarding ownership of and liability for data, and laws that ensure access to data, etc. There are currently conflicting demands for data to be open and accessible whereas the owners/creators of the data are protective of their rights. However, the ethical dilemmas should also be highlighted. The legal and organizational aspects of procurement in the construction process are also a central issue during the transition to object and model-based data. Since the SIP IoT deals with the same issues, collaboration will be take place. The purpose of the activity is to conduct open calls in order to study these legal and organizational issues. The needs of the activity are described in the supporting Agenda Development and demonstration in collaboration. b) Expected results and impacts : New knowledge about how data access and data ownership can be managed. New knowledge about how existing regulations, forms of agreement and roles are impacted by the information infrastructure and new business models. Proven new business models as well as project and company organizations that are based on the new information infrastructure. 2025: New practices and legislation for sharing information related to the built environment. 26

27 c) Time plan and budget The activity includes one open call during 2016 and one during Funding is expected from the authorities (50%) and participating companies, authorities and universities (50%) : In total 20 MSEK. d) Targeted groups The main target groups are companies and authorities within the built environment sector and universities. e) Communication and knowledge transfer Communication and knowledge transfer is carried out in accordance with an overarching programme strategy. See section Activity 7: Data availability and innovations (open calls) a) Description The purpose of the open calls is to complement Activity 2. The aim of both activities is the same (to develop, test and evaluate new, innovative applications and business models based on the common information structure), but this open calls are targeted at a broader range of stakeholders. It is important that the calls reaches new stakeholders, e.g. from the IT sector, so that new innovations can be found that are based on the common information infrastructure and the Internet of Things, for example. Needs are described in the supporting Agenda Business-driven innovation. b) Expected results and impacts : Concepts have been tested and evaluated regarding new products, services and processes that utilize digitalization from a broad perspective. 2025: New innovative solutions are implemented and adopted in companies and processes. c) Time plan and budget The activity includes two open calls: one in 2017 and one in Funding is expected from the authorities (50%) and participating companies, public authorities and universities (50%) : In total 25 MSEK. d) Targeted groups The main target groups are companies from the built environment, IoT, IT, telecom and manufacturing sectors. Co-operation with universities and authorities will be encouraged. e) Communication and knowledge transfer Communication and knowledge transfer is carried out in accordance with an overarching programme strategy. See section Activity 8: Risks, incentives and business models (open calls) a) Description In order to maximize the potential of digitization, model-based data and the continuous learning enabled by industrialized processes, incentives and business models must be based on creating value for the end product and customers, and not for individual deliverables as is the case today. New knowledge is required about how sector stakeholders can create incentives, what business models might look like and how risks can be reduced and divided transparently among stakeholders. Needs are described in the supporting Agenda Development and demonstration in collaboration. 27

28 b) Expected results and impacts : New knowledge about how other incentives and business models based on digitalization and industrialized processes can transform value chains and the associated impacts. New business models applied in stakeholder operations. 2025: New stakeholder configurations and completely new stakeholders are active in the sector in entirely or partially new value chains. c) Time plan and budget Two open calls will be conducted during 2017 and The calls are aimed at researchers and companies, with funding of 50% from research financiers and 50% from participating partners. The focus of the calls will be on applied research and development : In total 25 MSEK. d) Targeted groups The target group is sector stakeholders, primarily companies that need to develop their business models and are given the right incentives via types of procurement and contract. However, other key target groups are potential new stakeholders from, for example, the IT, telecom and manufacturing industries. e) Communications and knowledge transfer Communication and knowledge transfer is carried out in accordance with an overarching programme strategy. See section Activity 9 Systematic communication and learning (Special Activity) a) Description Systematic communication and learning is the key to reaching the goals, changing the stakeholders and evaluating Activities; to collaborating and to maintaining the strategic leverage of the SIP. This special activity includes a number of dissemination and strategy plans based on an annual budget. Dissemination of knowledge for internal learning and development, and from the SIP to participating and external stakeholders, is performed by the Programme Management Group and designated project managers in the actions. IQS s advocacy platform BEST will be used for communication with and influence on Horizon b) Expected results and impacts 2015: Plans for strategic foresight for Horizon 2020 actions and industry overview, identification of new stakeholders and programme quality assurance plan-dochange-act cycle established. Communication and knowledge transfer plan established. 2016: Initiation of (open call) 1 supporting research project to analyse the impact of knowledge creation on business development and innovation : Information activities according to established strategy plan from start-up phase Annual updating and work with the strategic change plans. 2025: The expected impact is ability to respond to global and structural changes, to take strategic action and to utilize knowledge created for business development and innovation. c) Time plan and budget The activity will be conducted continuously based on an annual plan. Funding is expected from the authorities (50%) and participating stakeholders (50%) : In total 18 MSEK. 28

29 d) Targeted groups The main target groups are companies and researchers from the built environment, new stakeholders and the Programme Management Group itself to enable response to changes. e) Communication and knowledge transfer Communication and knowledge transfer are core programme activities that will be conducted continuously throughout the entire programme period in accordance with an overarching strategy developed during the start-up phase. The various programme activities require customized actions for their goals and target groups, for example knowledge transfer is an essential element in open calls. Each activity must therefore receive relevant communication support through dialogue with the Programme Management Group. 5.3 Budget for actions and activities Budget etapp I (MSEK) Actions/activities Total Description Target groups 1 Integrated model and data standardization, (strategic project) All stakeholders in the sector, Agencies Other financing Innovation lab Test beds for integrated business applications (strategic project) Strategic partners of the SIP Agencies Other financing Knowledge leap for integrated processes (strategic project) Strategic partners of the SIP, forerunners Agencies 2 1 Other financing Life cycle approach and actions (strategic project) Academia and commercial experts, clients Agencies Other financing New value chains research school (strategic project) Researchers, R&D personnel at companies Agencies Other financing Legal and organizational impacts, (open call) Companies, authorities, academia Agencies 5 5 Other financing Data availability and innovations (open calls) Companies, sector and others Agencies 6 6 Other financing Risks, incentives and business models, (open call) Companies, sector and others Agencies 6 6 Other financing Systematic communication and learning (special activity) Sector stakeholders, SIP management Agencies Other financing Total Weaknesses and threats for the SIP programme The programme has a number of strengths and opportunities that should be seized. The weaknesses and threats are described in more detail below. 29

30 A LONG-TERM HOLISTIC FOCUS This SIP is a programme whose aim is to transform the sector through digitization. Maintaining a long-term holistic focus on change over time in a fragmented sector with its current short-term commercial approach is a major challenge. The programme can manage this risk with a strong organization and experienced programme management, and by ensuring that strategies and activities are continuously evaluated, questioned and revised. Other success factors are actively to seek new and adaptable stakeholders, both amongst SMEs and in other sectors, to operate in an international context and to prioritize the deliverables and the business opportunities they create. The need described above for stable long-term public participation is also a prerequisite for the successful management of this risk. ACCEPTED AS A LEADING STAKEHOLDER Information management is only a minor consideration for most sector stakeholders and subprocesses, although it is an important consideration. The fact that this SIP is taking a leading role in this regard is a prerequisite for the development of good generic and efficient information management. The programme must be an established organization with strong, well-entrenched partners and underlying organizations. The work must be strongly focused on the identified areas and interact openly with other related development initiatives. This, in combination with forceful initiation, financial ability and work operations, will enable the programme to unify and lead, thereby managing this risk. WILLINGNESS TO CHANGE The SIP entails a transition to business logic underpinned by a common information infrastructure, industrialized processes, innovation and collaboration. This requires public participation in deciding which innovation procurements are used to concretize the benefits that facilitate business opportunities. This places great demands on all stakeholders in the sector, even on an individual level. It is essential that programme participants represent a broad range of stakeholders, both in regard to discipline and company size, and that all of them are committed to change and continuously able to attract new partners, especially partners that operate in other sectors. Identification of driving forces for change for different stakeholders is essential. Programme activities are structured so that stakeholders can receive support in the research, development and innovation of new and international business models, products, processes and services. Quantifying economic and environmental values from a life cycle perspective creates incentives for change. COMMON PLATFORM VERSUS COMPETITIVE SOLUTIONS A lack of clarity or a conflation of industry-specific and stakeholder-specific activities, like the monopolization of the information structure, involves the risk that stakeholders will not conduct their priority projects within the SIP, but monitor their competitors and developments instead. This risk can be managed by the Programme Management Group by ensuring that the various activities are clearly defined and that their respective contents are controlled, by ensuring that confidentiality is maintained, and by ensuring that stakeholders sign the necessary agreements in regard to confidentiality, liability and rights in addition to intellectual property rights. KEEPING UP WITH THE PACE OF DIGITALIZATION Digitalization around the world is taking place very rapidly. One possible risk is that the SIP develops its own structures that fail to take into account the external changes that have occurred over time. This risk can be managed by ensuring that activities related to Business Applications start and continue in parallel with activities connected to the shared infrastructure (see Figure 3). 30