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The Warren Centre
Engineering Building J13
Sydney University NSW 2006
T: (02) 9351 3752
F: (02) 9351 2012
E: warrenc@eng.usyd.edu.au

 ISSUE 48 November 2006
Steel Industry Shapes Up for Greater Hi-rise Share

Steel is used as the basic framing material in large Australian buildings only some 15% of the time by comparison with 70% in the UK and 50% in North America. That can only mean the developers in North America and the UK see steel framing as a more attractive package than their counterparts do here in Australia. However, those who are involved in delivering steel framed buildings have good reason to be optimistic … provided they grasp the nettle of change.

The Warren Centre's "Steel: Framing the Future" project is drawing the conclusion that large amounts of both cost and risk can be removed from the decision to use steel provided the industry learns how to collaborate and communicate more effectively and provided it upgrades its capabilities.

Collaborate

Like all of us, developers find it much easier to deal with a smaller number of suppliers. Members of the steel framing supply chain must find ways of working together so that the builders and developers effectively get to deal with a single source supplier; a one-stop shop. While there are many ways of achieving this it will not be easy in a complex, fragmented and at times litigious industry. Fabricators, designers, architects, engineers and detailers, for example, must (initially) build relationships and focus on working together. Over time they will learn how best to do this and to trust each other. As always, there is no time like the present to start!

Communicate

To some extent the complexity of the industry makes it difficult for any individual organisation to listen to the ultimate customer and thus to tailor product offerings to their needs … however that is a fundamental requirement in building the sector. In a global sense the ASI surveys provide input but buildings are created one by one and the builder’s and developer’s needs must be understood long before tenders are called. Of course collaboration will help this process, but it is not the only answer.

Armed with information about what is important to the customer, the industry must develop fact based information to support their claims of strength, to combat their legitimate areas of weakness and to overturn myth and misunderstanding. As part of this the industry must ensure that reliable useful data is available to decision makers and influencers so that when they are making design decisions they are well informed regarding current costs, understand how to build that information into their models and have a realistic view of risk.

Capability

There is no doubt that Australia suffers from a skills gap in building steel framed buildings. On the other hand, Australian design teams are creating world class steel framed buildings around the world, and project managing their erection! The industry needs to grapple with that.

Possibly the biggest opportunity from a capability perspective is presented by 3D modelling software. Used fully, this can cut time, labour, risk and rework from the system for everyone’s benefit. Will companies have to change the way they do business? Yes. But its been demonstrated elsewhere to be very worthwhile.

Within the fabrication sector too there are large opportunities to adopt modern technology and practices to cut time, labour, risk and inventory out of the system to the benefit of all.

Spurred by the disparity between steel’s use in Australia and elsewhere referred to in the first paragraph, and informed by about a dozen case studies, the reasons became clear. Firstly, the cement and concrete sector in Australia provides an excellent service and quite likely leads the world in its product, technology and service delivery. Secondly it became clear that there were real issues in the steel framing sector in terms of a lack of leadership, a relative value proposition that was unclear to the promoters of steel framing and an absence of information supporting it, particularly in terms of costing, and that the segment was lagging the world in implementing new technology. The last point is unusual in a country that perceives itself as being early adopters of technology, but not surprising given the fragmentation and self-perception as an industry in decline.

Finally, a detailed comparison of costs and time within 5 building projects showed that the fundamental cost of using steel framing and concrete framing were more similar than industry perception would indicate (even given the opportunity to improve substantially). Moreover, the cost of implementing modifications and changes during the project far outweighed the differences between the costs of either type of frame.

So, can the steel industry drive economy in the development industry? The answer would seem to be yes, but not without commitment, leadership and change!

All of these issues and more will be debated and workshopped at the seminars from 8.30am to 3pm at the following venues:
Melbourne – 21 November Melbourne Business School
Brisbane – 22 November QUT
Sydney – 23 November University of Sydney

For bookings please call Fiona Hearne on 02 9351 7205, or visit the website, www.warren.usyd.edu.au.

Background to The Warren Centre’s “Steel Framing the Future” project:

Steel framed buildings account for over 70% of buildings in the UK and over 50% in the USA. At 15%, there must be something very different about Australia! The reason can only be that on balance steel structures are more attractive in those markets. But why? “Steel: Framing the Future” aims to identify and clarify the reasons behind this difference in performance and to work with the industry to develop ways to take advantage of opportunities and rectify identified deficiencies. The ultimate beneficiaries of this process will be the development industry generally and its whole steel supply segment in particular.

The collective deliberations of about 50 leaders from the building construction industry over the last 18 months indicate that the development and building construction industries would benefit if the players in the "steel segment" of the industry were to lift their game in terms of Communication, Capabilities and Collaboration. The project also considered case studies of actual buildings across Australia and around the world.

This project has received cash support from BlueScope Steel, One Steel and the Federal Government’s Industry Cooperative Innovation Program, has received significant in-kind support from the Australian Steel Institute, Evans & Peck, Lucis, Minter Ellison, and at least 20 other organisations, and approximately 180 people have contributed to it in one way or another.

More information can be found by clicking on Steel: Framing the Future at www.warren.usyd.edu.au/projects.htm or by calling Robert Mitchell on 02 9351 4048 or Sandy Longworth on 0417 497 365.

Disclaimer: The Warren Centre publishes articles relating to new technology and innovation that are often based on information supplied by third parties. While an editorial process is applied, we make no exhaustive investigation into the accuracy of the information, thus no liability will be accepted for its accuracy. Please note that in providing this information, The Warren Centre is not supporting or promoting any technology or company, merely seeking to inform. Interested readers should take their own steps to verify the information prior to relying on it in any way.

 

Steel: Framing the Future

21 November 2006 – Melbourne

22 November 2006 – Brisbane

23 November 2006 – Sydney

www.warren.usyd.edu.au or

http://tinyurl.com/yjqja5

 

2007 Innovation Lecture

5 June 2007 – Melbourne

6 June 2007 – Sydney

7 June 2007 – Brisbane

 

Contact Fiona Hearne (02) 9351 7205 or fionah@eng.usyd.edu.au

Others Events

New Technology for Infrastructure- The World of Tomorrow

20 to 21 November 2006 - Sydney
ATSE

www.atse.org.au/?sectionid=35

 

Bioenergy Australia 2006
6-7 December Esplanade Hotel, Fremantle, Western Australia

http://tinyurl.com/ymt8b9
 www.bioenergyaustralia.org

 

Web Accessibility Workshop
15 December 2006 – Adelaide
Vision Australia
http://tinyurl.com/typ6j
http://tinyurl.com/ynf9fh

 

3rd Annual Australian Water Summit 2006

2 & 3 April 2007

Sydney Convention and Exhibition Centre

www.acevents.com.au/water2007

 

Rainwater and Urban Design 2007
21 to 23 August 2007 - Sydney
rainwater2007@tourhosts.com.au
www.rainwater2007.com

 

Contents  


Steel Industry Shapes Up For Greater Hi-rise Share

UK Steel Fabricators Do It Differently
Biomimetics Promises Commercial Harnessing Of Ocean Energy
NICTA Improves Reliability of Critical Embedded Systems
Pushing the Engineering Envelope With The Warren Centre
 

 

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(c) The Warren Centre for Advanced Engineering, November 2006