May 16, 2020

Steligence: ArcelorMittal aims to transform building design with new steel-centric approach

Construction Technology
Tom Wadlow
2 min
Steel construction
Industrial conglomerate ArcelorMittal is championing a new approach regarding the use of steel in construction.

Named Steligence, the concept treats b...

Industrial conglomerate ArcelorMittal is championing a new approach regarding the use of steel in construction.

Named Steligence, the concept treats buildings as holistic entities and integrates all elements of design, calling for greater dialogue between specialist architectural and engineering disciplines.

It also purports the use of cutting-edge technologies to produce steel parts for buildings, including modularisation which would create efficiencies when compared to traditional design and construction methods.

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ArcelorMittal also wants designers to consider the recyclability and re-usability of steel, and says that buildings designed with a Steligence approach can be assembled easily and quicker than traditional methods.

Greg Ludkovsky, ArcelorMittal's Global Head of Research and Development, said: “Buildings play a huge part in all our lives, so creating a construction concept that improves their social, economic and environmental impact while dramatically enhancing their functionality and aesthetics has been a huge but important challenge.

“By combining this R&D with extensive consultation of leading players in the construction industry, we have landed on a radical new approach to construction which is underpinned by a clear philosophy: to build a sustainable business around a sustainable construction industry that delivers for future generations.”

As well as sustainability benefits, ArcelorMittal says that it is possible for a building of a certain height to contain more storeys as its new approach to design, one of 10 key benefits it outlines in its announcement of the concept.

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Jun 20, 2021

Contractor issues head disputes list in 2020: Arcadis report

Dominic Ellis
2 min
The average value of disputes globally rose to $54.26 million in 2020 - but the numbers were much the same as 2019, according to an Arcadis report

The average value of disputes globally rose from $30.7 million in 2019 to $54.26 million in 2020, while the length of disputes fell from 15 months in 2019 to 13.4 months, according to an Arcadis report.

The data, featured in Arcadis' 11th annual report, illustrates industry-wide ripple effects of the COVID-19 pandemic although interestingly the overall volume of disputes stayed relatively the same in 2020 as in 2019.

While trends in the value and length of disputes varied from region to region, all regions surveyed saw an increase in "mega disputes" related to bigger capital programs and private projects. Notably, more than 60% of survey respondents encountered project impacts due to COVID-19.

Owners, contractors, or subcontractors failing to understand and/or comply with their contractual obligations became the leading cause of construction disputes in 2020 (jumping from 3rd place in 2019), followed by owner-directed changes and third-party or force-majeure changes as the second and third-leading causes, respectively.

Highlights from the report include:

  • Proper contract administration was a theme across the globe for the successful and early resolution of disputes
  • Most disputes were settled through party-to-party negotiation, and a willingness to compromise played a key role in early resolution
  • Among regions surveyed, the buildings (education, healthcare, retail/commercial, government) sector saw the most disputes
  • In North America, construction dispute value rose from $18.8 million in 2019 to $37.9 million in 2020, while the length of disputes shortened from 17.6 to 14.2 months.

While cost and length have changed since 2019, risk management was still seen as the most effective claims avoidance tactic, while owner/contractor willingness to compromise was once again the top-ranked factor for the mitigation/early resolution of disputes.

"COVID-19 irrevocably changed every industry," said Roy Cooper, head of contract solutions for Arcadis North America. "Construction disputes experts will have to continue to adapt, even post-pandemic, as workforce expectations, climate events and government infrastructure funding change how projects are designed and contracted in the future."

The research presented in the report was compiled by Arcadis based on survey responses, global construction disputes the team handled in 2020 and contributions from industry experts.

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