Increasing Productivity with Prefabrication and Modular Construction


Prefabrication and modular construction are construction processes that the industry has used for centuries. However, these processes have not stayed stagnant over the years. Everything about prefabrication and modular construction has been reinvented, and their reemergence as a new trend is tied to the rise of Building Information Modeling (BIM) and green building. The emergence of BIM is influencing design and construction processes and how project teams collaborate. A key benefit of BIM is enabling the increased use of prefabrication and modular construction, which in turn improves worksite productivity and overall project return on investment. Contractors were especially excited, with 77% believing that BIM would allow them to use prefabrication on larger, more complex projects in the future.

In this SmartMarket Report, we take a new look at prefabrication and modularization and their impact on a major initiative within our industry, improving productivity. Through our survey of hundreds of architects, engineers and contractors, we gathered data on the impact of prefabrication and modular construction on key industry productivity metrics including project schedules, costs, safety, quality, eliminating waste and creating green buildings. Some of the most significant productivity findings from prefabrication and modularization users include:

  • 66% report that project schedules are decreased, with 35% by 4 weeks or more
  • 65% report that project budgets are decreases, with 41% by 6% or more
  • 77% report that construction site waste is decreased, 44% by 5% or more

We would like to thank our premier partners including NIST, the Modular Building Institute, Island Companies, and Syntheon; and our other corporate & association partners for supporting this study.

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