Innovating Steel Procurement With an Integrated Service Model

To view the figures and tables associated with this article, please refer to the flipbook above.

As the U.S. races to rebuild its semiconductor manufacturing industry, New York-based DeSimone Consulting Engineering was able speed up delivery of a new chip fabrication plant in Texas based on a new integrated delivery model. Chip fabrication plants are hugely complex and expensive ventures that involve thousands of construction workers and usually long construction timelines, so DeSimone’s ability to shave five weeks off the project timeline resulted in cost savings and a faster time-to-market.

Following an acquisition of Canadian detailing firm DOWCO (now DOWCO—A DeSimone Company), DeSimone launched a fabricated steel procurement service that, integrated with engineering and detailing, provides clients more options and presents a new delivery model for steel-structured building projects. This integrated service model offers an increased level of control over an often-unpredictable aspect of construction, saving both time and money for clients.

On the chip fabrication plant, the project team worked collaboratively in a connected digital construction environment, enabling structural engineers and detailers to bring added value to the project by developing accurate digital structural models early in the design process. Procuring steel in-house and employing integrated structural steel design and detailing services enabled the detailing team to apply AISC and CISC specifications rapidly and accurately with increased productivity, improving quality and lowering costs for all project stakeholders.

The steel construction industry has recently experienced significant challenges related to steel procurement. Price fluctuations and material availability have made it increasingly difficult to manage project budgets, especially for large-scale developments that require extensive design, permitting, and planning time. Historically, steel prices have remained relatively stable, with typical changes occurring annually or quarterly. However, due to unprecedented market dynamics in recent years, prices have increased unexpectedly—and at a more rapid pace—making long-term forecasting a risky endeavor.

By integrating steel procurement with design and detailing, more price transparency is provided from the outset of a project which can mitigate risks associated with price volatility. The complete shop fabrication steel details can be used for the bidding and procurement process, which eliminates the time usually needed for detailing, RFIs, and design revisions that may postpone a project and create the need for change orders in the fabrication process.

For clients, this enhanced offering reduces project risk and change orders, expedites the project schedule, minimizes the cost, and produces better outcomes all around.

An integrated service model sets a new paradigm for how project teams can collaborate. Traditionally, communication between structural engineers, detailers, fabricators, and general contractors has been complex, time-consuming, and labor-intensive. Requests For Information (RFIs) often pass through multiple channels before reaching the appropriate party, causing delays and increasing the potential for miscommunication.

The integration of steel design, detailing, and procurement forges a direct line of communication between the architect, structural engineer, and fabricator much earlier in the process. The result is a faster, more cohesive process that empowers the project team to deliver higher-quality results in less time—and shorter timelines translate into significant cost savings.

This streamlined process eliminates friction, enhances accuracy, and reduces the likelihood of errors while ensuring that key decisions are made quickly and efficiently.

This new approach, integrating steel procurement with engineering and detailing, transforms the way project teams can operate and better meet clients’ needs. In initiating a close collaboration between procurement, structural design, detailing, and the steel fabricator from the earliest stages of a project, engineers can influence design and material costs, leading to more informed decision-making and better outcomes for their clients. ■

About the Author

Dain Drake, PE, is a principal at DeSimone Consulting Engineering.