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BIM Q&A: How Can BIM Improve Cost Control for Businesses?

In the engineering construction sector of our country, there has long been a tendency to focus solely on calculations, often leading to significant cost overruns. For example, in the Jiuquan Satellite Launch Base project, the final settlement revealed cost overruns of 31 million yuan, which accounted for 71% of the total profit, indicating severe budget excesses by the construction team.

BIM Q&A | Can BIM Control Costs? How to use BIM to enhance the cost control effectiveness of enterprises?

Additionally, many domestic companies still experience significant resource waste during construction. Statistics show that the construction industry wastes up to 57% of resources annually, in stark contrast to the manufacturing industry, which has a waste rate of only 26%. This high level of waste stems from a persistent lack of focus on cost control within China’s construction field. Common issues include receiving materials beyond required limits, over-reporting quantities, serious material waste, and frequent rework on construction sites.

Traditional, broad-based construction management practices hinder effective cost control throughout the project lifecycle. Waste during construction is a clear symptom of lax cost management. Design flaws and other issues often lead to repeated rework, making it difficult for construction companies to maintain budget discipline. Moreover, outdated cost management methods complicate the tracking and control of materials and other resources, resulting in budget overruns. Many companies still rely on obsolete list analysis techniques for cost estimation, causing significant discrepancies between projected and actual project quantities and costs, thus weakening cost control effectiveness.

Building Information Modeling (BIM) technology offers a solution by creating a detailed three-dimensional model that integrates all engineering data of the project. This information model serves as a centralized platform to collect and coordinate data, enabling BIM to be applied throughout the construction process. Introducing BIM into project workflows allows for comprehensive control of construction activities, early detection of drawing errors, and reduction of rework. It also enforces strict material expenditure controls to minimize waste. By continuously comparing and calculating costs during construction, BIM significantly enhances an enterprise’s ability to control expenses effectively.

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