How has the company’s production and operational efficiency changed compared to traditional methods after implementing the new BIM system? Our services align closely with the company’s actual situation, focusing on Income and Cost. The empirical formula is as follows:
Here, A represents labor cost (person/month); B is the labor output value (person/month); C stands for hardware input costs related to labor tools; D is the software investment cost in labor tools; E indicates the production efficiency lost during the training period (%); F measures the increase in production efficiency after training (%); G represents the average additional costs starting from the second year, including software and hardware upgrades, as well as Speedobo services; H is the training period (in months); N refers to the investment duration (in years); N also denotes the number of cycles for updating labor tools (typically every 3 years); A is the average correction coefficient for the annual sustained growth of A (simulated as 1.1, based on China’s CPI); B is the average correction coefficient for the annual continuous growth of F (simulated at 1.18, based on domestic design management experience); and C is the annual average correction coefficient for continuous growth under conventional CAD work efficiency (simulated at 1.08, based on domestic design management experience).
Within this formula, the returns primarily reflect employees’ production efficiency. The term B × (12N − H) × (1 + F) × B^(N − 1) represents the average annual increase in profit output generated by employees through improved work efficiency and reduced labor costs. The term (12 × N − H) denotes the effective production cycle within a year. Investments mainly consist of software and hardware expenses, output value lost during training, labor costs, and average annual additional expenses. Through exchanges with international counterparts, we have observed that architectural design firms with advanced BIM application worldwide typically achieve an ROI exceeding 400% on their BIM systems.
Does this mean that BIM implementation necessarily requires raising design fees? The ROI value theoretically answers this question clearly.
Architectural design firms that must increase design fees to implement BIM have generally failed to achieve reasonable returns from BIM. Consequently, their only reactive strategy to increased workload and costs is to raise fees. On the other hand, firms that truly apply BIM and benefit from substantial improvements in production efficiency find fee increases unnecessary and optional. For example, in 2011, design services spanning hundreds of thousands of square meters were delivered without the client even realizing that Guoheng Company had employed BIM methods for high-quality designs. Naturally, no fee increases were discussed. Yet, the overall project team efficiency improved, reducing work time and effort required for revisions, resulting in fair returns for both the company and its staff.
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