Digitalization and model-based construction in Sweden Evaluating competitiveness within the consultant industry Master’s thesis in Design and Construction Project Management LUDVIG OOM DEPARTMENT OF ARCHITECTURE AND CIVIL ENGINEERING CHALMERS UNIVERSITY OF TECHNOLOGY Gothenburg, Sweden 2025 www.chalmers.se MASTER’S THESIS ACEX30 Digitalization and model-based construction in Sweden Evaluating competitiveness within the consultant industry Master’s Thesis in the Master’s Programme Design and Construction Project Management LUDVIG OOM Department of Architecture and Civil Engineering Division of Construction Management and Engineering Examiner: Mathias Gustafsson Supervisor: Mathias Gustafsson CHALMERS UNIVERSITY OF TECHNOLOGY Gothenburg, Sweden 2025 Digitalization and model-based construction in Sweden - Evaluating competitiveness within the consultant industry Master’s Thesis in the Master’s Programme Design and Construction Project Management LUDVIG OOM © LUDVIG OOM, 2025 Examensarbete ACEX30 Institutionen för arkitektur och samhällsbyggnadsteknik Chalmers tekniska högskola, 2025 Department of Architecture and Civil Engineering Division of Construction Management and Engineering Chalmers University of Technology SE-412 96 Göteborg Sweden Telephone: + 46 (0)31-772 1000 Department of Architecture and Civil Engineering Göteborg, Sweden, 2025 I Digitalization and model-based construction in Sweden Evaluating competitiveness within the consultant industry Master’s thesis in the Master’s Programme Design and Construction Project Management LUDVIG OOM Department of Architecture and Civil Engineering Division of Construction Management and Engineering Chalmers University of Technology ABSTRACT The construction industry face challenges with innovation and efficiency compared to other industries. The Swedish need of construction of both infrastructure and housing in the near future is high. Building Information Modelling (BIM) has been rising over the past decades, where modular-based construction is the core concept to increase productivity for the different construction phases. BIM work as informative hub where components in the construction contains necessary information instead of only a visual model. Collaboration can increase, design-phase decision can be made with precision and facility management can be performed with better efficiency. This is one of the areas where digitalization affects the whole industry and something the stakeholders can benefit from. Creating a city or environment where construction is made with higher productivity can impact various parameters such as environmental impacts, costs for inhabitants and lower service-related costs. The aim of the thesis is to evaluate the incentives clients and facility owners have to order a digital project delivery with BIM, instead of traditional project deliveries. Further, the consultant perspective is taken to investigate how consultant companies can work with knowledge management and how their organization to position themselves for future opportunities within digitalization. The method information has been gathered is abductive and combines a questionnaire with semi-structured interviews with experts and leaders in the Architecture, Engineering and Construction (AEC) industry. Summarized, the thesis demonstrates benefits of BIM from various perspectives, with provided incentives for its implementation. Increasing collaboration with cost-efficient solutions give competitive advantages for many different stakeholders within the sector. Lastly, recommendations are made for the different stakeholders such as clients and consultant companies with the purpose to lead the change of digitalization and BIM implementation within the construction sector. Key words: BIM, model-based construction, total BIM, digitalization in construction, innovation construction, organizational knowledge management, increased competitiveness, digital project delivery. II Digitalisering och modellbaserat byggande i Sverige Undersöker konkurrenskraft inom konsultbranschen Examensarbete inom mastersprogrammet Design and Construction Project Management LUDVIG OOM Institutionen för arkitektur och samhällsbyggnadsteknik Avdelningen för Construction Management Chalmers tekniska högskola SAMMANFATTNING Byggbranschen står inför utmaningar vad gäller innovation och effektivitet jämfört med andra branscher. Det svenska behovet av byggnation, både av infrastruktur och bostäder, är stort inom en snar framtid. Building Information Modeling (BIM) har ökat under de senaste decennierna, där modulbaserat byggande är ett kärnan för att öka produktiviteten i de olika byggfaserna. BIM fungerar som en informationshubb där komponenter i byggnationen innehåller nödvändig information istället för att enbart utgöra en visuell modell. Processens samarbete kan öka, beslut i designfasen kan fattas med precision och förvaltning av fastigheter kan ske mer effektivt. Detta är ett av de områden där digitalisering påverkar hela branschen och något som intressenter kan dra nytta av. Att skapa en stad eller miljö där byggnation sker med högre produktivitet kan påverka flera parametrar såsom miljöpåverkan, kostnader för invånare och lägre kostnader kopplat till service. Syftet med examensarbetet är att utvärdera vilka incitament olika beställare och fastighetsägare har för att beställa en digital projektleverans med BIM, istället för traditionella projektleveranser. Vidare tas konsultperspektivet för att undersöka hur konsultföretag kan arbeta med kunskapshantering och hur deras organisation kan positionera sig för framtida möjligheter inom digitalisering. Metoden för informationsinsamling är abduktiv och kombinerar en enkät med semistrukturerade intervjuer med experter och ledare inom AEC-branschen. Sammanfattningsvis påvisar examensarbetet fördelar med BIM ur olika perspektiv, med angivna incitament för dess implementering. Ökat samarbete med kostnadseffektiva lösningar ger konkurrensfördelar för många olika intressenter inom sektorn. Slutligen ges rekommendationer till olika intressenter såsom beställare och konsultföretag i syfte att leda förändringen mot digitalisering och BIM- implementering inom byggsektorn. Nyckelord: BIM, modellbaserat byggande, Total BIM, digitalisering inom byggande, innovationsbyggande, organisatorisk kunskapshantering, ökad konkurrenskraft, digital projektleverans. III ACKNOWLEDGEMENTS This report is a master’s thesis was conducted during the spring 2025 for the master’s program Design and Construction Project Management at Chalmers University of Technology. The consultant company Norconsult has collaborated and provided insight in the industry, more specifically the department of Project- & Construction Management. First and foremost, I would like to thank the whole department at Norconsult. You have all helped and given great insight in the consultant industry. This insight has shaped the aims of the thesis. Also, thanks to everyone taking part in my interviews and answering the questionnaire. I would like to give an extra star towards the group manager Caroline Larsson. Thanks for trusting and mentoring me, supporting my ideas - and making me feel as a part of the team. Additionally, I would like to thank my supervisor and examiner from Chalmers Mathias Gustafsson. You have continuously provided great insight in your thoughts about my thesis. Not only for the expertise within the area, but your commitment to helping me has been very helpful. Thank you all! Gothenburg. June 2025. Ludvig Oom CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 IV Contents ABSTRACT I SAMMANFATTNING II ACKNOWLEDGEMENTS III CONTENTS IV LIST OF FIGURES VII LIST OF TABLES VIII 1. INTRODUCTION 1 1.1 Background 1 1.2 Aim 2 1.3 Research questions 2 1.4 Limitations 3 1.5 Context of the Study – Norconsult 3 2. THEORETICAL FRAMEWORK 4 2.1 Construction Sector 4 2.1.1 Success factors and KPI:s for construction projects 4 2.1.2 Uniqueness of Architecture, Engineering & Construction industry 5 2.2 Building Information Modelling 7 2.2.1 BIM implementation 9 2.2.2 Challenges with BIM 11 2.2.3 Total BIM 12 2.2.4 Digital twins 13 2.2.5 Digital transformation & Smart cities 14 2.2.6 Potential incentives for a client to order BIM 15 2.3 Organizational structure & Competitive advantage 15 2.3.1 Competitive advantage in the construction sector 16 2.3.2 Implementing BIM as a competitive advantage 16 2.3.3 Managing knowledge in an organization 17 3. METHODOLOGY 19 3.1 Research strategy 19 3.2 Literature study 20 3.3 Questionnaire Survey 20 3.3.1 Development of the survey 20 3.3.2 Analysing the Results 21 3.4 Interview study 21 3.4.1 Development of the interview study 21 3.4.2 Analysing the results 22 CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 V 3.5 Use of Artificial Intelligence 22 3.6 Research ethics 23 4. RESULTS 24 4.1 Results from questionnaire survey 24 4.1.1 Background 24 4.1.2 In-depth questions 25 4.1.3 Project- & Construction management 29 4.1.4 Differences between departments 32 4.2 Results from interview study 32 4.2.1 BIM in Sweden 33 4.2.2 Positive outcomes with implementation of BIM 34 4.2.3 Hinders & barriers 37 4.2.4 Organizational knowledge management 39 5. ANALYSIS AND DISCUSSION 43 5.1 BIM within the construction industry 43 5.1.1 Driving factors 44 5.1.2 Limitations and barriers 45 5.2 Incentives 46 5.3 Transferring knowledge 47 5.4 Discussion of methodology 48 6. RECOMMENDATIONS 49 6.1 Recommendations for the consultant industry 49 6.2 Recommendations for clients 50 6.3 Recommendation for other stakeholders 51 7. CONCLUSION 52 7.1 Answers on the research questions 52 7.2 Further research 53 8. REFERENCES 54 APPENDIX A – QUESTIONNAIRE 57 APPENDIX B – INTERVIEW STUDY 61 APPENDIX C – QUESTIONNAIRE ANSWERS 63 CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 VI CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 VII LIST OF FIGURES Figure 2.1: Success factors for construction projects. Modified from Takim & Akintoye (2002). ............................................................................................................. 4 Figure 2.2: Investments respondents expect the most in near future. Modified from Bosch-Sijtsema et al. (2021). ......................................................................................... 6 Figure 2.3: Successful BIM implementation. Modified from Ulutas & Gustafsson (2025). .......................................................................................................................... 10 Figure 3.1: Schedule for the thesis with different phases. .......................................... 20 Figure 4.1: Departments for the respondents. ............................................................ 24 Figure 4.2: Age spans of the respondents. .................................................................. 25 Figure 4.3: Answers on Q13 & Q14 – Importance of digital strategies and internal efficiency work. ............................................................................................................ 27 Figure 4.4: Answers to Q17 and Q18 – Interdepartmental work and employee’s beliefs on internal shortcomings. ................................................................................. 30 Figure 4.5: Comparison time spent with BIM-tools, Q11. 1 - All respondents. 2 – All except Project- & Construction management. 3 - Project- & Construction management. ................................................................................................................ 32 Figure 5.1: Incentives for implementing BIM in an organization. .............................. 47 CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 VIII LIST OF TABLES Table 2.1: Examples of KPIs for the three phases of construction projects. Modified from Takim & Akintoye (2002). ..................................................................................... 5 Table 4.1: Answers from Q11. .................................................................................... 26 Table 4.2: Answers on Q15 – Hinders with digitalization an BIM implementation. .. 28 Table 4.3: Answers on Q16 – Benefits of BIM in your work. ..................................... 29 Table 4.4: Answers on Q19 – Shortcomings in coordination. .................................... 30 Table 4.5: Interviewees and their background. ........................................................... 33 CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 IX CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 1 1. Introduction Building Information Modelling (BIM) used in the construction industry presents both great potential and challenges. Digitalization in the modern world is moving forward, and the systems develop constantly. This chapter will give a brief background to the report along with limitations and research questions. 1.1 Background The building sector stands for a rapid change. Environmental issues, energy consumption and increasing housing prices are among many others issues important to address (Fink, H. S. 2011). Worldwide, the building sector stands for 30% of Greenhouse Gas Emissions and 40% of energy consumption (Fink, 2011). Decision making during the design phase is important to align to the impacts both related to costs and environmental issues later in the process (Z. Liu et al., 2015). Covered areas in which decisions can be taken during the design phase relates to waste minimalization, material choices and alternatives lowering transportation emissions. Economic conditions, infrastructure and population is essential for calculating the need of construction. Boverket (2024a) predict construction of housing to turn around and increase during 2025 followed by the economic situation for the past years. The Swedish central bank has decreased the interest during 2024, which give incentive for construction and better market conditions for customers. High costs of construction have led to a tough market for companies and their customers. Both companies and household’s flourishes when the economic stability increases. The amount of completed housing was during 2023 at its peak in Sweden just under 70 000. The forecast shows a significant change for the year of 2025 where it is expected to be around 33 000 completed housing. In another report, Boverket (2024b) emphasizes that the amount of housing in Sweden for the period between 2024 and 2033 is estimated to be around 523 000 new housing to have a balanced housing market. However, the estimation is 77 000 households lower than the calculation made three years ago. The reasoning behind this is a lower rate of population growth together with the high completion of housing over the past years. Digitalization is constantly developed in many different sectors around the world. Doan et al. (2019) describes a concept called BIM which has rapidly been developed for the AEC industry during the past decade. The concept is about digital drawings instead of traditional drawings in 2D. Utilization can be made during all stages for the project, but it is necessary with correct design. Power plants, infrastructure and buildings are examples of projects where BIM can be implemented. The model is both used for visualization purposes but contains more than just an architectural 3D-model. It contains detailed information about the model and different elements. Insulation values, density and lengths are examples of information the BIM model contains. Bryde et al. (2013) explains how project management focuses on parameters such as coordination, quality, time, cost and communication which is enabled by BIM. The most significant parameter is the economic gains. Harder to measure is the increase in collaboration and communication with the help of the digital model especially when CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 2 related to initial investments. Software training for project employees and licenses are examples on those initial investments. A described unique nature of the AEC industry creates complex working environments (Dolenc, 2023). Paper-based and traditional 2D documentation leads to manual coordination which has not worked sufficiently and satisfactory. A need of innovative ideas, technology and digital solutions has shown to be widely recognized by stakeholders within the construction industry. Ways to improve efficiency and collaboration while still delivering successful projects is an approach the stakeholders have, searching for tools and opportunities to do so. The goal is to drag the industry more towards manufacturing where efficiency would lower construction costs, leaving room for improvements in other sustainable areas such as constructing more environmentally friendly or increasing affordable housing, which all are areas where BIM can contribute (Al-Ashmori et al., 2020). 1.2 Aim The report aims to find BIM-related solutions which can increase the knowledge with digital solutions for clients operating in the construction industry and be adapted into a consultant company’s organization. The aim is to focus on knowledge raising within the project organization when it comes to BIM especially in Sweden. Providing clear incentives for clients to start thinking about digital solutions, and transition from ordinary 2D-drawings to model-based is a part of the thesis. Mapping how BIM has been developed over the past years and how the tool is used today is necessary to understand and develop the potential with digital transformation. A part of the target is to find the path a consultant company should take when it comes to digital solutions within project management, to ultimately gain a competitive advantage and develop the business area. The background itself does not provide an ultimate answer for the future. However, thoughts from project managers, BIM Coordinators, clients and pilot projects with different angles helps to reach an understanding and answer the research questions which relates to the aim. 1.3 Research questions The research question has been developed to reach the aim of the thesis. Finding incentives for clients to start using digital solutions in the construction industry relates to the first research question. The second question relates to how consultant companies can work to gain a competitive advantage. Question 1: What incentives are there for clients to order services related to digital solutions in the construction industry? Question 2: In which way can a consultant company use digital solutions to gain a competitive advantage within construction project management and how can knowledge transfer utilize this? CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 3 1.4 Limitations The aim of the report is balanced with limitations with the purpose to focus on the same questions during the process. Even if there is interest for further research, the thesis is bound to be performed within five months during the spring of 2025. Digitalization of the construction industry is developed in the whole world. However, the thesis aims to the Swedish construction and consultancy sector. Focusing on the Swedish sector is although enabled by literature and results from other countries as well, such as Norwegian cases and global studies. Even though the legal framework can shift from different countries in the literature, lessons can be drawn in what works well abroad. The thesis is performed with a perspective of consultants and the organization on how to minimize mistakes. Gains from all phases of a constructions project are taken into consideration to understand digital solutions and BIM in a complete perspective. 1.5 Context of the Study – Norconsult This thesis is written with the consultant company Norconsult as a case, but more specifically the Swedish department for Project- & Construction management West. Norconsult ASA is company listed publicly originally from Norway (Norconsult, 2024). The company provides services related to architecture, engineering and digital expertise to both public and private clients. Over 6000 employees are spread over 140 offices in Norway, Denmark, Iceland, Poland, Finland and Sweden. Local presence is combined with interdisciplinary knowledge. The business model clearly states that the most important asset the company has is the employees. Motivation, attraction and development is vital and the major resource Norconsult contains (Norconsult, 2024). Also, the CEO states in the same report that Norconsult aims to be a top three industry employer in the Nordics. The Swedish side has around 1400 employees and the head office in Gothenburg (Norconsult, 2024). The divisions Buildings & Architecture, Infrastructure and Energy & Industry makes Norconsult cover a lot of areas within Swedish development. As a part of the division Buildings & Architecture – Project- & Construction management is the spider in the net for various construction projects. On the given department, project- & construction managers focus on helping the clients lead construction projects. Digital technology is an area the company focus on (Norconsult, 2024). Together with sustainability, technology and innovation, Norconsults ambition is to grow on the Nordic market. The company has various offers to its customers during the entire lifecycle of projects just like competitors within the industry. CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 4 2. Theoretical framework The theoretical framework is divided into three areas with different focus. Firstly, the construction sector is described in general setting the tone for what to be developed. Secondly, Building Information Modelling is covered regarding both implementation but also barriers. Thirdly, the chapter report how competitive advantage within the AEC industry works also providing a basis for an implementation of BIM to gain the competitive advantage. 2.1 Construction Sector This chapter provides theoretical framework about the construction sector in general. Success factors, digital transformation and uniqueness of the sector is highlighted. 2.1.1 Success factors and KPI:s for construction projects The AEC industry plays a crucial role for the development of any country, and Sweden is not excluded (Takim & Akintoye, 2002). Physical infrastructure including buildings, roads, railways and bridges can progress and grow the economy for a country. Clients, consultancy companies, facility owners, transportation companies and other stakeholders develop the construction projects together. Independent on sector, or if the project is on a private or public level, all stakeholders aim to be successful. Organizational capabilities, the financial situation, managerial works and technical solutions are all aspects which work as success factors in construction projects. A map how Takim & Akintoye (2002) present how success factors can be categorized and seen in Figure 2.1. The landscape outside of the project also plays a role with stability of economic and political situation together with business environment. Figure 2.1: Success factors for construction projects categorized. Modified from Takim & Akintoye (2002). Takim & Akintoye (2002) conclude that benchmarking and evaluation the success factor for a construction project is difficult. Different projects have different criteria which is evaluated. Key performance indicators (KPIs) can be benchmarked between projects, but since all projects differ in size and scale, it is hard to compare. The fact that the different construction projects does not use the same success factors Success factors Project level Public & Private Organizational capabilities Financial situation Managerial works Technical solutions Landscape Political situation General economy Business environment CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 5 complicates the evaluation. A rebuild of a hospital would have different factors compared to a newly built apartment building. In most cases and projects, some criteria are fully met but not others. Stating the success for different parts of the construction is easier. Numerous key performance indicators show the success factor for different stakeholders during the different stages of the construction development process. For instance, the client can arrange and measure KPIs during the procurement stage regarding their social obligations, effectiveness in decision- making, contractual arrangements and project viability. The project- and out phasing can also be benchmarked with indexes in management structure, quality of work life, time and budget. Other criteria which can be measured for stakeholders such as consultants, supplier, contractors and community is exemplified in Table 2.1. Table 2.1: Examples of KPIs for the three phases of construction projects. Modified from Takim & Akintoye (2002). Client Consultant Contractor Supplier End-User Community Procurement Briefing process Commitment Performance Value of replacement Joint evaluation Demands Project phase Conflicts Coordination Efficiency Coordination Continuous participation Environmental effect Phasing-out phase Control measures Possible jobs in future Market penetration Commitment Minimum cost (ownership) Safety 2.1.2 Uniqueness of Architecture, Engineering & Construction industry The AEC industry is special in many ways. One of them is the uniqueness of its projects, teams and processes (Dolenc, 2023). Varying site characteristics, location and constraints make the different projects unique. Project management and construction techniques must take the unique project into consideration, making standardization hard. The lack of standardization can be compared to the manufacturing industry which has a production constantly repeating. Buildings, infrastructure and bridges always have varying needs and designs. This fact leads to challenges for productivity in construction with lacking collaboration, coordination and a high level of complexity. The processes could be described as phases during the construction. Procurement, planning, execution, monitoring and demolition are all processes for a construction. Multiple stakeholders must be involved, shifting between the different processes (Dolenc, 2023). An architect might not be needed for monitoring, suppliers might not be involved during the early stages and engineers work heavily during the design phase. Effective project management is important for all processes to follow along the construction and succeeding with the project delivery. Unique teams are described as the third and last aspect differentiating the AEC industry by Dolenc (2023). Just like processes, this involves stakeholders. Responsibilities are divided between the different stakeholders depending on their specialty. Architects, contractors, engineers and clients work in multidisciplinary CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 6 teams to reach a successful project delivery. All stakeholders have different agendas and focus differently on issues. The different perspectives give room for conflicts, so communication and management are also important to consider when designing a team. The uniqueness of the AEC sector is further analyzed by Bosch-Sijtsema et al. (2021) with an analysis of how the Swedish side works with eleven different digital technologies. The paper focus on BIM, AI, sensors, 3D-scanning, robots, virtual reality (VR), 3D-printing, drones, cloud computing, digital twins and self-driving vehicles portrayed in hype curves. Performed workshops showed different barriers and hinders for usage and implementation of the technologies. A major barrier finding was lack of competence, where 19% of the respondents mentioned that training of people to higher the competence was needed and in some cases introduction from different disciplines. Business models used in Sweden was also hindering implementation in a large scale for the technologies. Other hinders mentioned is need of communication, legal issues, data security and a short-term focus approach. A survey was also conducted, where the expectations on Swedish investments was measured from people working within the AEC sector (Bosch-Sijtsema et al., 2021). The respondents’ expectations were that BIM is the area to be invested to the most, followed by AI (including machine learning), 3D scanning, sensors, robots and digital twins shown in Figure 2.2. Figure 2.2: Investments respondents expect the most in near future. Modified from Bosch-Sijtsema et al. (2021). Differences between different stakeholders was seen during the survey. Contractors, clients and lead designers all has different opinions (Bosch-Sijtsema et al., 2021). For instance, 79% of contractors and lead designers choose BIM but only 69% of the clients. Related to BIM, 60% of the respondents answered that they thought BIM would be fully implemented within a maximum of 5 years. 70% 42% 38% 37% 34% 32% BIM AI & ML 3D Scanning Sensors Robots Digital twins CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 7 2.2 Building Information Modelling Building Information Modelling is a major subject for both digitalization of buildings, but also the whole construction industry as a game changer. Universities, authorities and companies research and dig deeper into the benefits of BIM implementation. Awareness of benefits drawn from research and pilot projects can increase a construction projects efficiency, cost savings and productivity significantly (Al- Ashmori et al., 2020). Research shows how clash detections, time and construction cost decreases with a well implemented BIM coordination. Communication between different disciplines is an important factor to reduce those three success factors. The AEC industry is described to be slower than other engineering fields when it comes to efficiency (Cepa et al., 2023). Digitalization in general, and specifically BIM, is providing AEC a future for productivity. BIM is model-based construction, which has evolved in a rapid pace for the past years (Doan et al., 2019). It is a digital model which is used in the design phase for real objects. BIM can be used for many objects such as buildings, bridges and power plants. The model does not only give a vision for a project, but also provides information about the different parts of the construction such as windows, concrete and insulation. Using digital tools give advantages related to the model itself, lowering clashes and optimizing the objects performance during the whole lifetime. Designers realize and can correct mistakes and clashes in the early stages rather than adjusting later in the process (Kubba, 2012). Calculations and extractions of material and quantities in the model can easily be made since they build the 3D model and is not only a visualization with geometric structures (Ignatova et al., 2018). The digital model contains characteristics of the real object “as built” so all information needed is reliable to use as drawings and necessary calculations. Drawings themselves does not provide values, weights and other characteristics. Software using BIM is enabling extractions related to these values, weights and other parameters for the construction. Examples of different software which can be used is Tekla, Autodesk, Dalux etc. (Dolenc, 2023; Ignatova et al., 2018.). Tools and functions in the software differ but all remain the core concept of enabling model-based construction, working as both a 3D model and at the same time a collaborative working environment. However, the potential is greater than model advantages and efficiency for the designers. Collaboration and utilizing digital transformation for project management plays a crucial role for productivity and cost efficiency (Bryde et al., 2013; Doan et al., 2019). Model based construction can act as a bridge between the different stakeholders and parties involved in a project such as clients, the main contractor and consultants. Designers visualize the construction for stakeholders in a higher grade with digital models, leading to higher involvement and a better understanding of the construction compared to original 2D-drawings (Kubba, 2012). Scheduling, planning and collaboration are important factors for a construction to be performed on time and within the set budget (Takim & Akintoye, 2002). Cepa et al. (2023) describes how efficiency and productivity in the AEC is behind other engineering fields. The suggested solution is model-based construction. Scheduling, planning and collaboration can be performed in a more efficient way with systematic CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 8 approaches and a well utilized BIM model. Traditional scheduling does not involve BIM, and a common system used is the Critical Path Method (CPM) or Gantt charts (H. Liu et al., 2015). The critical path is what limits the progress of a construction relating to time. CPM is performed manually and seeks the critical path when there are many different disciplines operating on a construction simultaneously. Reducing the critical path ultimately reduce the total time. If time is reduced outside of the critical path, it does not affect the total time for the construction. Errors related to the human factor when designing a CPM is a fact leading to misleading results. Computer Aided Design (CAD) and BIM is developed to go from this manual 2D system to a better integrated and reliable scheduling. Planning and scheduling must always take the critical path into consideration. An important aspect to consider is to identify conflicts even before they occur (H. Liu et al., 2015). A visualization of the construction will help with this, since it is easier for different disciplines and specialist to understand each other’s needs and demands. Identifying conflicts even before they arise is not only limited to a person’s former knowledge, but a construction sites visualization with 4D-CAD can be used. Following the progress of the project already during the design phase is a game- changer when it comes to planning and scheduling. The foundation to predict and decrease conflicts and clashes during the construction phase is a developed digital model, with characteristics in the construction parts used for information gathering and visualization. H. Liu et al. (2015) conclude that construction schedule with information from the digital model drastically can reduce the risks of human error and support site management. Stakeholders in the AEC has historically been dependent on communication with two- dimensional models (Goh et al., 2014). Technologies such as CAD and BIM enable new ways of thinking, not only for designs and planning, but also for communication within projects. The potential with digitals tools regarding communication is high. Different stakeholders within a construction project can communicate on the platform in many ways such as commenting, taking pictures and reporting. Ultimately, the digital model can be a tool to coordinate the project. Goh et al. (2014) remarks how communication and collaboration between the stakeholders reflect upon the cost, time and quality significantly. Poor communication is major factor for unsuccessful projects, and traditional methods lays the foundation for lack of collaboration. Relying on email conversations and phone calls leave room for human error. Azhar et al. (2012) describes how BIM is developing and replace CAD systems so communication must be planned accordingly. BIM models are digital and can be used in smartphones leading to fast responses and a rapid decision- making process independent on where the stakeholders are and during which phase the construction is in. Other than reduced costs, increased quality, improved efficiency and collaboration, BIM potential are also linked to data reuse and automation (Sundquist et al., 2020). Automatic quantity take-offs and generation of other specifications can significantly increase the efficiency for many different stakeholders and disciplines. CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 9 2.2.1 BIM implementation Professions change and develop over time since the technology around us develop. BIM implementation in AEC has developed in a rapid change for the past 25 years (Ghaffarianhoseini et al., 2017). During the period from early 2000s, technical advancements has severely increased the potential for implementing BIM in different projects and even though pilot projects have been performed with success BIM is not used to its full potential. Implementation of BIM varies among the different parts of the world and Sampaio (2021) states that the digital transition is driven by competitiveness in the industry. Traditional 2D-drawings evolved to CAD, where designers increased their productivity with the digital tool. Next step is widely implementation of BIM. Compared to CAD with the geometrical structures, BIM involves all disciplines. Centralization of information gives both major advantages but also problems. Initial investments are necessary for implementation. The technology and software do not limit modular building, but regulations and people can be seen as barriers (Sampaio, 2021). Several projects can work as pioneers when it comes to BIM implementation. The Swedish projects New Slussen in Stockholm and Celsius in Uppsala has been performed with a model-based construction and exemplifies how efficient digital solutions can be (Ulutas & Gustafsson, 2025). New Slussen was performed before Celsius, and because of the results two virtual design construction (VDC) managers from Slussen also formed the project in Uppsala. The digital project delivery during Celsius worked as a legally binding source, and even if this fact set a much higher standard for details early in the design process it led cost savings for the total budget. Increasing the BIM related skill-level of people involved in a project enables the transformation (Sampaio, 2021; Ulutas & Gustafsson, 2025). Building as-usual was challenged in New Slussen especially for personnel on-site. Lacking digital knowledge was solved with integration between the designers and site-construction. An important aspect in the training of the personnel to rely on the model instead of 2D-drawings was transformation in small steps, slowly moving towards construction with digital tools compared to the option of a quick decision, demanding people to adjust from one day to another. The software itself was also challenging for implementation in New Slussen, since it was not initially designed for site usage. Technology and software have evolved over the years, becoming more user-friendly for all stakeholders in the industry. Contractors and designer who did not want to apply the new system in Celsius were excluded from the project, leading to all parties involved in the project was eager to learn more and test the program together with the construction management company (Disney et al., 2024). Stakeholders within the project could open and access information on their own devices leading to time reduction for the on-site entrepreneurs. The completely model-based construction was further used, as two of the VDC managers from New Slussen also followed along to the construction of Celsius (Ulutas & Gustafsson, 2025). Those managers increased and embraced collaboration in both given projects with regular VDC meetings. The detailing in the model for Celsius was precise and not only used for collaboration between stakeholders, but also for measurements and ordering. A main target for the 3D model CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 10 was to work as a legally binding document which enabled this data extraction for measurements and ordering basis. This is called Total BIM (Disney et al., 2024). Clear responsibilities and a defined information strategy from the beginning increase the efficiency. For instance, early contractor involvement in the design phase leads to less change orders later in the process and reduce delays. Training for the different stakeholders to use the digital tools is also crucial, especially for on-site personnel to understand the functions. The training is simplified by user-friendly software and leads to trust among the different stakeholders. However, the most important aspect to cover for successful implementation is to address problems together in a collaborative approach between the different stakeholders such as the client, the design team and on-site personnel. Figure 2.3: Successful BIM implementation. Modified from Ulutas & Gustafsson (2025). BIM is seen as innovative in the AEC sector. An innovative mindset is required for a successful implementation, but there are uncertainties on if the innovation should be client- or supplier led (Lindblad & Guerrero, 2020). Disney et al. (2024) gives a clear understanding on how important the innovative mindset was for Celsius. The construction management company led the implementation of BIM in the project, with clear support from the client. Active participation and demands in the procurement regarding BIM technology by the client is called client-led innovation (Lindblad & Guerrero, 2020). On the other side, supplier-led innovation is competitiveness between suppliers to gain an advantage with improved and more efficient services and products. Influential clients in the construction sector are crucial for development within many different areas. An active client demanding BIM implementation during the early stages, often the procurement, pushes the BIM workways forward (Lindblad & Guerrero, 2020). The client-led innovation also enables and creates the supplier-led innovations since suppliers compete for the same project. This could be seen in the Successful BIM implementation Early Contractor Involvement & Need of Design Team Knowledge for On-Site Personnel Clear Defenitions of Responsibilities Digital Tool Training & User-Friendly Software Enhanced Information Usage & Automated Processes Utilization of Open Data Formats CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 11 project Celsius, as designers and contractors not willing to adapt was not chosen during the procurement (Disney et al., 2024). Disney et al. (2024) states that data ownership is important for implementation of BIM and an aspect to consider, which otherwise can work as a barrier. To fulfil its full potential of BIM adoption, delivering full ownership of the model to the client extends the usage (Olatunji, 2011). There are several areas to explore with the BIM model after the construction phase is completed. Facility management is one of those (Disney et al., 2024: Olatunji, 2011). Developing a digital twin requires the model, which later can be used for facility management. Designers and the construction management company’s submission of the model to the client also enables the client to increase the efficiency in potential re-works, interventions in the construction and demolition. Demolition of constructions could potentially take place in hundreds of years, where 2D drawings could be significantly harder to understand than a modular- based digital drawing with all elements and information about them. Project management focuses on cost, time, quality, coordination and communication. All areas where BIM is a tool to be used (Bryde et al., 2013). Cost impacts were the most significant according to the studies of Bryde et al. (2013), but the other aspects also had improvements because of BIM implementation. The iron triangle (cost, quality and time) is a core concept, but integration and coordination are vital especially for complex constructions with many involved disciplines. High initial costs cannot be overcome by just cheaper investments. Seeing the big picture is crucial. One of the initial costs is training in software knowledge for the project participants, something that will be paid off over time since employees get educated and bring on the knowledge to upcoming projects. 2.2.2 Challenges with BIM Digitalization does not happen by itself over night. Hinders, barriers and challenges are also the case for adopting BIM in the construction sector. Sundquist et al. (2020) presents how gains and hinders for implementation has been shown over the years. Notable patterns emerge both for pros and cons. Poor model-quality and insufficient education has been challenging and could also be seen from the findings in Celsius and New Slussen (Ulutas & Gustafsson, 2025). Related to insufficient education is also the lack of on-site technical support (Sundquist et al., 2020). However, Ulutas & Gustafsson (2025) presented this as a factor for success in Celsius. The software itself is also discussed as crucial for projects, specifically when the software is described with lacking ease of use (Sundquist et al., 2020). Bryde et al. (2013) also emphasizes that soft- and hardware issues was the most challenging for the evaluated projects. Problems addressed with stakeholder involvement and training in the digital tools. Documented tendencies to use regular 2D solutions when projects are put under pressure is also slowing down adoption to digital 3D solutions and high initial costs of investment for BIM are another factor which is challenging a full-scale implementation, related to reduced project costs and increased efficiency. Cepa et al. (2023) further discusses how these initial investments are hindering implementation since it is time-consuming and in complex processes. Lack of liability for cyber security is also an issue, and not only the ownership itself. Data thefts, hacking and viruses is problematic for all digital systems (Olatunji, 2011). CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 12 Cyber security issues are an aspect to overcome to guarantee full customer satisfaction, an issue much wider than just implementation of BIM, but for digital transformation in all sectors such as banking, journal management in healthcare and personal information on social media platforms. Hence, the AEC sector cannot oppose the problem alone to implement digital transformation. Laws and regulations both global and nationally must increase the possibility for cyber security but still leave room for digital transformation. Another issue relating to digitalization is rights regarding the databases. Companies see their databases and models as own property (Smith, 2014). This is problematic and provides a clear competitive disadvantage for works to be done later in a construction’s lifetime. Smith (2014) gives an example of cost data bases of different management consultants. This is a critical consideration specially related digital solutions – data ownership. Data ownership is not only important during the construction phase, but also when the construction is finished since the digital model has possibilities such as digital twins and efficient re-works. The legal liability can be uncertain since many different disciplines often work in a project with BIM, and important to solve in the early stages of a project. Decisions about BIM together with associated costs are typically made in companies project levels, leading to a project implementation of BIM rather than an overall implementation for the company (Sundquist et al., 2020). Organizational implementation is enabled with communication of benefits with BIM to strategic important managers. Another major issue is related to sectors limited to laws and other regulations hinders a complete digital transformation (Sundquist et al., 2020). BIM does not work as a legally binding document, which requires users and pioneers to also work with a 2D- model even if a complete BIM model is in place. Those problematics delay a full- scale implementation of BIM severely. Hence, investments will drag more to 2D- drawings which is the required way of documentation. Ultimately, our rules and laws make implementation on macro-level inconsistent. Standards and regulations for the AEC sector is what companies and authorities adapts to, independent on if it hinders digitalization. Legal responsibilities must be taken into consideration for all construction, since this cannot be solved by investments or other tools to overcome problems with construction. 2.2.3 Total BIM Total BIM refers to an even higher ambition in the approach than original BIM. This is made by utilization of BIM in its totality as a sole source through the whole design and construction process and not only as a tool (Disney et al., 2024). The reliance of traditional 2D drawings is completely abandoned. In contrast, traditional BIM is supplemented using 2D solutions in processes where it is necessary. The work can lead to excess of information since its processed both in the 3D-models and 2D- drawings. The biggest risk of this might not only be extra work, but disconnections between the two models leading to various disadvantages. Using Total BIM has several key components for successful projects. A single source where all stakeholders constantly work with the same model is important to lower the CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 13 risks of clashes and mistakes. The central hub minimizes the amount of communication, and updates in the model will be seen by everyone involved since one format is used. Paper drawings are not generated, and the digital workflow is easily accessible for also site workers and entrepreneurs. Disney et al. (2024) also states that the approach with Total BIM involves the model to work as a legally binding document. An example of this is presented by both Disney et al. (2024) and Ulutas & Gustafsson (2025) with the project Celsius where the BIM model was accepted as legally binding source. IFC files can dictate the contractual aspects and are important for implementation of not only traditional BIM but also Total BIM. The primary contract document clearly states responsibilities and commitments and with Total BIM it is easy to track which stakeholder who fails or fall behind. Change orders can also be handled with the help of Total BIM, just because the model is contractual. Enhanced collaboration is the overall advantage with Total BIM, just like traditional BIM. The difference is that Total BIM can force all project participants to integrate better to the digital world with all kinds of communication and collaboration. Disney et al. (2024) presents crucial factors to keep in mind when planning for Total BIM. The advantages are clear, but programs must be chosen carefully especially for the on-site personnel. The contractor’s perception of digital workways is dependent on powerful and useful mobile BIM-viewers. Another success factor is the strong and clear management and leadership the construction management company can implement with Total BIM as a tool. 2.2.4 Digital twins A potential outcome of BIM is digital twins (Mihai et al., 2022). Digital twins are described as a part of the fourth revolution with an accelerating digital transformation. A digital twin is a copy of an existing structure. It may be a bridge, power plant, building or city. The object is reporting the status to the digital twin in real time which give room for a numerous number of benefits. The twin can for instance simulate what will happen if actions and renovations are done in a cost-efficient way. Traffic situations on bridges, productivity in power plants or water flow in buildings are examples of simulations in the digital twin which increase the productivity and can work as a basis of decision-making. Similarities of BIM and digital twins are many (Ignatova et al., 2018; Mihai et al., 2022). Ignatova et al. (2018) states that BIM is a developed CAD model, including more than just structures. The information within a BIM-model is what later can build a living construction in digital twins. The virtual twin differs from BIM since BIM is a model used in design- and construction phases. Digital twins are used after the project delivery. However, digital twins depend on exact information both from the construction and sensors updating the twin constantly. Digital twins are dynamic compared to BIM and is therefore similar to BIM but taken a step further. Mihai et al. (2022) describes how different technologies drive the fourth industrial revolution. Constructing with the help of BIM lays the foundation for digital twins, but there are other technologies also driving the evolution. Machine learning and artificial intelligence enables predictive analysis. Virtual reality can increase CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 14 interaction for users of the digital twin. Giving real-time updates in the digital twin is enabled using different sensors. Upsides with digital twins are like the benefits with BIM. However, the digital twin does not focus on the construction part but instead more of maintenance, monitoring and reduction of emissions. Enhanced monitoring and maintenance are a main area enabled with digital twins (Mihail et al., 2022). Condition and performance of the existing physical assets works proactive when it comes to maintenance. It may also prevent unexpected failures and solve problems early and directly when the occur instead. The decision-making working with objects which has a twin on the computer is improved by the opportunity to better simulate the decision to be made and the corresponding impacts. Similar to efficient decision-making is potential cost savings. Identifying outliers such as energy consumption can severely improve utilization of resources and decrease operational costs. Gathered information in the digital twin can serve as a platform for integration of other technologies as well, such as evaluations of the environmental impacts with emissions a construction has during the daily operations. Barriers and hinders for implementation of digital twins are similar to the barriers with BIM (Mihail et al., 2022; Sundquist et al., 2020). Many different stakeholders are involved in these projects where the digital solutions are used, leading to problems regarding governance and data ownership. Expensive investments are also contributing as a hinder for implementation, since the return of interest (ROI) is not obvious for all stakeholders. 2.2.5 Digital transformation & Smart cities Smart cities are described by Ignatova et al. (2018) to be a concept that includes environments which are safe, eco-friendly and comfortable for inhabitants and visitors. Forming a city and society which fulfils these parameters is based on information processing. Understanding how humans move and behave is crucial for planning a smart city. Digitalization and technology enable this. Usage areas for technology are both human movements, but also how we use our buildings. The goal when designing a smart city is reaching sustainability within the whole construction. Sustainability is divided into three areas – Social, Environmental & Economic. Usage of buildings and other construction in a smart way enables sustainability and decision-making (Ignatova et al., 2018). The sources water, gas and electricity can be utilized better and improved with digital transformation in cities. Creating satisfying conditions with the sources is crucial for human comfortability. Digital transformation involves technologies which are advanced and integrated to enhance the operation of buildings, potentially lowering their footprint. Creating efficient and data-driven processes throughout the constructions lifecycle is emphasized by Ignatova et al. (2018) to be important for the industry. Ignatova et al. (2018) shows clear possibility to go from traditional construction practices to more data-driven ones. This is something smart cities rely on to reach safe, eco-friendly and comfortable areas for us humans. Urban areas and countries differ, but the possibility for incorporating IT infrastructure and digital solutions is a fact and ready to implement. Concluded in the article Ignatova et al. (2018), is that the technologies are rapidly evolving and choosing the right method depends on each CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 15 project and construction. How companies involve the technology regarding digital transformation can and will reflect upon their efficiency and profitability. 2.2.6 Potential incentives for a client to order BIM One of the gains for the client when ordering and working with digital solutions and BIM is facility management. Extraction and analysis of the building during the long operation-time give clear advantages related to facility management which otherwise can be problematic (Ignatova et al., 2018). BIM enables advantages for the whole process, from early design phases to re-works and demolition 50-100 years from the construction. Clear incentives to order services related to BIM comes from productivity and cost-efficiency (Moreno et al., 2019). The client is placing the order most beneficial when it comes to time, costs, safety and sustainability. Owners in the public sector has also seen higher quality products and reduced costs during the life cycle when BIM is implemented. The digital way of working is enabling the other disciplines to work efficiently. Designers and contractors will be able to also work with the digital model and involve the client during both the design and construction phase. Moreno et al. (2019) showed that most of the stakeholders within construction used BIM, primarily led by MEP-engineers (mechanical, electrical & plumbing), architects and structural engineers. Since the client is taking decisions during the process, understanding the decisions to be taken can for instance be visualized with BIM. Better decision making is crucial for the client and an incentive to consider when evaluating the use of BIM in a project. Reduction of costs for construction projects will ultimately lower the costs for the client. With well implemented digital tools also the contractors can perform in a more efficient way, reducing costs and saving time during all stages of construction (Moreno et al., 2019). Cost-efficiency are important for the client. Controlling the budget with accurate cost estimations is also made with the information from the digital model. Miscommunication is also an aspect reduced with BIM and additional works with change orders can be influenced with a higher degree of communication. When the construction phase is over, stakeholders such as contractors, designers and consultants leave. Clients remain with ownership over the construction so all the advantages from the BIM model is directly linked to the client. Lin et al. (2022) states that 3D illustration allows the owner to use benefits from the model in daily operations such as facility management. Energy analysis, tracking material and fulfilling the sustainability goals are examples of how the clients can use BIM in their facility management. Repairs is also an important thing to consider, and future costs is reduced with the correct digital models. 2.3 Organizational structure & Competitive advantage This chapter provides theoretical framework about organizational structure and competitiveness. Gaining competitive advantage in construction, BIM implementation as a competitive factor and knowledge management is highlighted. CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 16 2.3.1 Competitive advantage in the construction sector Leontie (2022) states that the construction sector drives the society and economies around. The harsh climate within the sector can be survived with highly competitive advantages. Management and organizational advantages are one of the aspects, and technical solutions and efficiency is another within the area. A driving factor is related to economy. Having the ability to cost less than competitors will give a clear upper hand in the procurement phase, since contracts and projects are won this way. Putting a lower price at your services compared to competitors is usually done by performing your activities in an efficient way reducing own costs. Cost advantage together with differentiation is general competitive advantages (Leontie, 2022). Differentiation specifically can be made in four different categories: 1. Organization & Management 2. Financing 3. Technology & Innovation 4. Size of entity Organization and management for example relate to safety culture, sustainability and alliances between companies (Leontie, 2022). Financing relates to investments and funding, and a possible investment relates to available resources which can be invested into new digital technologies. To gain an advantage with technology and innovation, productivity is a driving factor which reduces time and costs. The fourth and last category states that companies with different sizes have different advantages such as reputation and oligopoly. Determining the strategy for a company operating in the construction industry is complex. The location and size of the company give openings for different strategies, which must be considered to evaluate and create an appropriate strategy (Leontie, 2022). Adoption of existing technology, even if it is sometimes obvious, can give advantage related to competitors. Organizational structures are the framework around which can both promote and limit digitalization, giving the opportunity to adopt the existing technology. Since the AEC industry in Europe is focusing on lowering the CO2-emissions and increasing the energy-efficiency in buildings, technology works as an enabler and a crucial ingredient for gaining a competitive advantage. 2.3.2 Implementing BIM as a competitive advantage Companies investing in BIM position themselves favourably (Smith, 2014). Taking advantage of the wave with digitalization increase the competitiveness for most companies. Skill development and personnel training must be taken into consideration when implementing BIM as a competitive advantage, also emphasized in Ulutas & Gustafsson (2025). The industry involves heavy investments, but the profit margins are narrow (Smith, 2014). Long-term benefits with digital investments such as BIM can relate to differentiation within the area of size of entity. The ability to invest can be limited for companies which are small or have other financial issues, such as narrow profit margins. Macro-economics and recession also affect the decisions made. A large company or cooperation with stable economy does not directly lead to heavy investments with technology, since different cooperate regulations can limit new systems. On the other hand, small companies might adjust quick to gain the CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 17 competitive advantage directly also relating to the fourth category stated in Leontie (2022). Innovative ideas and adoption of BIM is driven by industry leaders (Smith, 2024). Those leaders can operate in fields such as government, firms, public and private sectors within the AEC industry. The leaders shape the landscape of the industry, and work as pioneers for driving the industry forward. Decision makers enable other companies and businesses to follow and create an environment where all strive forward to gain the competitive advantage. Minimizing risks and reducing costs is a major factor decision makers evaluate when choosing between options. Success for construction businesses is described by Smith (2024) to depend on their adaption to the new digital landscape. Competitors seek opportunities to reduce their costs and minimizing risks, and adaption to the digital landscape is a factor which is highly related to this. The organization and management set the frames, and the digitalization can flourish in an environment filled with people with a mindset towards innovation and technology (Leontie, 2022). Even though the AEC sector is characterized by an approach saying: “Wait and see”, Smith (2014) states that competitive advantage is a trigger for implementation of BIM in a larger scale. Minimizing risks and reducing costs is a factor, and a good way to evaluate an investment is the method where profit/return is related to the investment – Return On Investment (ROI). The core of a business is profitability, and decision makers will always take decision if there is a clear positive ROI. Communication regarding the ROI can work as a barrier if done poorly. 2.3.3 Managing knowledge in an organization Knowledge and an efficient possibility to overcome obstacles is developing companies in many industries. Knowledge management can work as a tool to gain competitive advantages in several areas (Rowley, 1999). Transferring information and learning from each other is crucial for survival and something companies struggle with even today. Using accessible knowledge to make informed decisions will lead to more efficient processes. The risks when knowledge management does not work is that information is lost when people quit their jobs, and time consuming even in cases when there is a quick solution internally which cannot be found. Mistakes cannot be eliminated in all cases, but knowledge management can minimize costly mistake where a pattern can be seen, foreseeing actions and struggles before they occur with prior knowledge and lessons learned. Depending on a single person for a successful project has a clear room for error and failure. The core concept of knowledge management minimizes this risk, since information is gathered, knowledge is embedded in the processes and growth is facilitated in the culture (Rowley, 1999). While many organizations recognize the value of managing their knowledge and have initiatives to improve processing, few organizations have fully adopted. Implementation of a full-scale knowledge management system reshaped the structure of the organization together with culture and responsibilities which both managers and employees have. This is a transformation and implementation which must be decided by senior leaders and top management, who must carefully evaluate critical questions. CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 18 Questions which could be related to which technologies and techniques to be used but also the central objective of why the organization should focus on knowledge management and in which roles. There might be a need of support both in the beginning and during the process so questions will occur on who should handle and support this aspect. One of the areas where knowledge management may be important is BIM. BIM possess great potential, but all stakeholders and employees not working directly with BIM have less knowledge about the advantages (Ulutas & Gustafsson, 2025). Embracing and embedding knowledge management has a nature which is likely to always change depending on things such as technologies and which business area a company operates in (Rowley, 1999). Knowledge management provides a great opportunity for companies and organizations to accelerate their competitiveness on the market and is a vital ingredient for survival. CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 19 3. Methodology A literature review has been conducted to explore how the industry operates today. A mixed sampling method was used combining both quantitative and qualitative research approaches. The empirics in the mixed sampling method came from both an internal questionnaire and interviews with different experts within the industry. 3.1 Research strategy Research can be approached in three different ways: Deductive, inductive or abductive (Bell et al., 2022). Inductive reasoning takes observations and the generalise them to a conclusion. The suggestions are likely but not always entirely true. Deductive reasoning is the opposite. Generalisations are implemented for specific cases and concludes the specific case by the generalisation. Just like inductive reasoning, deductive reasoning is not always true. The third and last alternative has been used more frequently nowadays, abductive reasoning. During abductive reasoning, the best possible explanation is used. An observation give room for the explanation and even if there is a possibility for another explanation, the one which makes the most sense is used since the probability is high. The approach method should be chosen according to the aims of the report. Abductive reasoning is described in Bell et al. (2022) to work well in interpretive research. This thesis is conducted with a mixed research approach, involving a qualitative analysis. Abductive reasoning works well with the qualitative part since empirics and theory has a dialogical process. Abduction can be seen as a combination of inductive and deductive reasoning, but it works in a way to overcome the limitations and risks with these approaches. With the abductive research this thesis starts with an observation with the need of digitalization within the AEC industry and tries to find the most simple and likely solution. Even though the abductive reasoning is not completely certain, it is probabilistic. Research methods can be quantitative, qualitative or mixed (Bell et al., 2022). This thesis will sample information from both a questionnaire and semi-structured interviews. The questionnaire is sampling of information and data in a quantitative way. However, interviews are a qualitative analysis where strict numbers cannot be seen. Combing these two makes the research method used in this thesis mixed. The abductive approach enables combination of literature study and empirical information gathering during the same time and adjusting to the necessary literature depending on the findings from the empirics. Information is therefore studied simultaneously. The study consists of different parts and phases during the spring year 2025 presented in Figure 3.1. The first part consists of problem formulation, evaluating which problem in need of development. Formulation of the problem will later lead to finding research questions fitted to the addressed problem. A major part of the report is the literature analysis, which is performed after the addressed research questions, a part which follow the report and is updated until the end. The empirics starts with a questionnaire study, providing a base for how employees at the company see the problem. The base is then developed with semi-structured interviews both internal and external. Results and CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 20 discussion are based on both the literature study and empirics which later become conclusions and suggestions to stakeholders within the industry. Figure 3.1: Schedule for the thesis with different phases. 3.2 Literature study The first phase of the thesis consisted of analysing literature regarding the subject to gain knowledge about the Swedish AEC sector and digitalization. Building a ground to stand on was of essence, to understand which questions that had been researched and where there was a need of further research. Gathering information from different angles in relation to the research questions and aims of the report also led to an efficient questionnaire and interview questions, since the ability to ask correct questions was developed. Reviewing literature was done with the help of platforms such as Google Scholar and Mendeley. Keywords were used to filter out and find relevant articles. Those keywords were for instance: BIM, model-based construction, total BIM, digitalization in construction, innovation construction, organizational knowledge management, increased competitiveness and digital project delivery. Depending on the findings in different articles, further research about the given subject was either done or excluded. 3.3 Questionnaire Survey This chapter provides information on how the questionnaire was conducted. Both development of the survey and how the results were analysed is highlighted. 3.3.1 Development of the survey The purpose of the questionnaire study was to analyse how the company works with digitalization and collaboration in digital systems and what the employees think about it. This was performed with the help of an invitation to four specific departments that work with the construction process together with the department of Project- and construction management. Managers of the departments helped with invitations. CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 21 The questionnaire was divided into three chapters. Background, digitalization at the company and project- and construction management was evaluated in the structured survey. To get results easy to examine and possibility to align together with questions easy to answer. An important aspect was the feasibility of the questionnaire. Since the trustworthy of the questionnaire depends on the number of answers, constructing an efficient questionnaire was crucial to gather a high percentage of answers within the study. Alternatives for answering the questions vary from multiple-choice, closed- and open-ended depending on the purpose of the question and feasibility. The questionnaire aimed towards employees at Norconsult working on either of the four departments: Installation Technology, Structural Engineering, Project- and Construction Management or Architecture. With the help of department managers, the questionnaire was sent out to the employees at their departments with 60-80 potential respondents. 33 out of these responded to the survey (n=33). Titles among the respondents vary between building designer, plumbing designer, civil engineer, case manager, BIM coordinator, construction manager and architect. The ages, genders and experience also differed and there were representatives from ages between 20 to 60 years old. 3.3.2 Analysing the Results Since the questions was asked differently with alternatives differing from closed- ended questions such as “Yes/No” and “0 to 5” to open-ended questions where the respondent answered with short sentences, analysing the results was adjusted to the best fitting method. The multiple-choice and closed-ended questions works well to evaluate statistically with methods to see trends and means. The open-ended questions did not provide exact statistics such as close-ended do. The respondents answered in their own words, making it harder to find exact values and means. Although, open-ended questions provided great insight in what the employees think and believe about their situation and how it can be improved. There is a correlation between the closed- and open-ended questions where the unstructured data from open-ended questions are developed from statistical multiple-choice questions. However, the first chapter with background questions regarding age, gender and role was not furthered developed with open-ended questions. 3.4 Interview study This chapter provides information on how the interview study was conducted. Both development of the study and how the results were analysed is highlighted. 3.4.1 Development of the interview study The interview study lays the foundation for a qualitative analysis, aiming to understand the issues registered via the questionnaire survey. Open-ended questions were used so the interviewees could give their full perspective on the subject. However, the interviews were not limited to these exact questions, presented in Appendix B, but adjusted depending on the respondent. The interview structure consisted of two parts. A presentation about the thesis was given for the interviewee to understand the purpose, before asking questions about the interviewee. After that, CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 22 questions regarding the respondent’s background were asked to gain insight in the persons knowledge and profession. The second part of the interview consisted of deeper questions regarding BIM. Two alternatives were developed for the second part. The first alternative was aiming for those interviewees which works with BIM daily. The second alternative for the second part aimed for those active within the AEC sector, but with other roles with less use of BIM. The open-ended questions build on the issues registered in the questionnaire study. Experts were contacted and interviewed both internal and external. The external interviewees were supposed to give another perspective, including their beliefs on how the consultancy business operates and what can be done better. Internal interviewees on the other hand, were supposed to present how the company operates and what they believe can be done better to gain competitiveness. The interviewees were selected with a purpose. Internal employees at the company were selected with the help of the group manager at the department of Project- & Construction management but not limited to the department itself. Strategists and project managers came from both Project- & Construction management and other departments such as Digital transformation and the Electrical department. The external interviewees were found via personal connections and checked if they had relevant background and information to contribute to the thesis. 3.4.2 Analysing the results Analysing the results in the interviews was made by both notes during the meetings and going through and read the different transcripts. Citations were drawn out from the transcripts which had powerful and important meaning. Plenty of material was gathered, but also filtered to fit into the categorizations made by headings in the results. This was performed to stick to the subject. Many interviews contained great information but not necessarily within the limitations of the thesis which was filtered out. 3.5 Use of Artificial Intelligence AI is enabling efficiency for many industries and efficiency together with productivity is what the thesis aims to investigate. Since the report is written during the spring of the year 2025, AI is a hot topic for all stakeholders. The thesis does not dig deeper into how AI can be utilized within the AEC industry. However, different tools are used for inspiration and solutions for the report. The main tool used to help the project is ChatGPT but has been limited. AI is used for two purposes in the thesis. The first purpose was to explore and get inspiration. AI generated material is not used as a source for any parts of the thesis, but it possesses inspiration and answer easy questions which are important for the writer to understand. The second purpose was to use AI for translations and transcriptions. Both the interviews and questionnaire were in Swedish, so the translation was made with AI to fit with the thesis which is written in English. However, all this material was reviewed and adjusted manually. CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 23 3.6 Research ethics The thesis involves multiple people from both the interviews and questionnaire. Respondents were informed about the background and purpose of the study. Interviewees were also asked if they consent to the interviews being transcribed. However, anonymization was made to gather results where they contribute with their own thoughts. This consent was given before transcriptions. Due to anonymization names and personal information are not presented, just their title and which company they work for. The study does not contain material, which is neither personal nor sensitive, since the focus is on how the industry should develop. Sensitive personal data was not gathered. Additionally, the author focus on generalizations on the industry where multiple stakeholders and competitors can benefit from recommendations or conclusions. This higher the grade which the society can benefit and focus on development. Another ethical aspect relates to sustainability. Digitalization is indirectly linked to efficient use of resources, which this report contributes to. The focus area and aim of the thesis is not environmental issues, but an area which indirectly can be affected with material from this report. CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 24 4. Results This chapter present findings from both the questionnaire and interviews. First, results from the questionnaire study are presented. It varies between short citations from the open-ended questions and statistics regarding how the close-ended was answered. Secondly, results from the quantitative analysis are gathered both in the format as citations and summaries of the beliefs from the interviewees. 4.1 Results from questionnaire survey This chapter present results from the questionnaire. A complete list of the questions is presented in Appendix A and the answers from questions 6, 9, 20, 21 and 22 are presented in Appendix C. Citations are used in the chapter to represent the full picture with different perspectives. 4.1.1 Background The first part of the survey consisted of questions regarding the respondent’s background. Out of the 33 answers the department of HVAC contributed with 13 answers, Project- & Construction management with 7 answers, Structural Engineering with 5 answers, Architecture with 6 answers and Installation – Electricity with 2 answers. Summarized the responses have different perspectives from the different departments which is important for trustworthiness of the study. Figure 4.1: Departments the respondents work for. The point of view may also vary between people educated in different decades, especially when it comes to digitalization. It was therefore important to gather answers from representatives with various ages. Almost half of the respondents were between 31 and 40 years old, 16 out of 33. 41 to 50 years had similar respondents as 20 to 30 years old employees with 7 and 6 respondents. 4 respondents were between 51 and 60 years old and none were over 60 years. Another measured factor was the gender of the employees. Three options were given: Male, Female or Other/Don’t want to answer. 22 out of 33 were men and the other 11 employees were woman. Even if not all the employees which was invited to answer the survey contributed, this statistic gives an insight on the background for the employees with age and gender. CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 25 Figure 4.2: Age spans of the respondents. 4.1.2 In-depth questions The in-depth chapter explored what the respondents think of the company and digitalization in general for the whole construction industry. This chapter consisted of 11 questions both open- and close-ended. The sixth and first question of the second part was open-ended and requested the respondents to summarize what they know about BIM. Answers varied a lot between limited and basic knowledge from the school to much about how and where BIM can be utilized. Some of the respondents work daily with BIM and others has just heard about it. All depending on experience, role and department. Examples on answers from Q6 are: “I would say I have good knowledge of BIM since it was a topic that came up many times during my education at Chalmers, but also something I work with daily. It stands for Building Information Modelling and is an information model that, for example, contains information about building components in a structure.” “Limited, but it is part of many projects I am involved in.” “I mainly work with calculations and do not draw much, nor am I particularly knowledgeable in the subject. I know that we work in the cloud in Revit on larger projects, but I have little understanding of how it impacts the work. I know who is responsible on the team, so I have someone to turn to.” “It is a digital tool for gathering information about a building structure to facilitate coordination within and between disciplines and to avoid unnecessary costs in later stages.” The seventh question was close-ended with the alternatives “Yes” or “No” to the question if they had heard about designs with the help of only digital solutions instead of the traditional 2D workflow. Almost 85% (28 of 33) answered that they had heard about it. Following up on these responses, almost 70% answered that they had been working in projects where the client requests 3D models instead of 2D models. It is completely logical that more has heard about it than people being involved in real projects. CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 26 The following answers were given as the reason for clients not raising the issue and order digital designs (Q9): “I work a lot with municipal operations, and they are probably not at the forefront in this area. At least that is my guess.” "It is new compared to paper drawings, and clients are likely inexperienced with it. Therefore, they choose something they are more comfortable with instead.” “I think it becomes too expensive to model everything in the smallest detail.” “Because they have too little knowledge about what a 3D model entails and how it can be used. I believe many are quite locked into using 2D drawings, as they have done for many years, simply to stay in their comfort zone." “I have been involved in projects where we, as consultants, decide to include a 3D drawing to provide more clarity. I assume that clients feel they do not need to bring up the issue because we consultants make the assessment ourselves as to whether it is needed or not.” The answers show that the perception and knowledge about BIM and digital solutions are limited. Having a comfort zone is also limiting the innovative mindset, doing the same things now as twenty years ago. However, over 90% (30 of 33) answered that they have been working in projects together with a BIM coordinator. The question only had two alternatives, “Yes or No”, with no opportunity to develop further. Even if descriptions on how and why BIM coordinators are involved in their projects, these respondents clearly have been involved in project where stakeholders find an interest with BIM. The eleventh and following questions asks the respondent to answer if they work with programs linked to BIM, with a clarification on how much time they spend working with these programs. The alternatives ranged from 0 to 100%. The question was not mandatory which led to 32 answers out of 33 presented in Table 4.1. Table 4.1: Answers from Q11. Number Percentage Answers 0 0% 3 1 20% 9 2 40% 4 3 60% 4 4 80% 11 5 100% 1 The following question (Q12) explored which programs the respondents use in their daily works linked to BIM and digitalization. Revit, Dalux, Solibri and Other was fixed answers with the possibility to add programs. A clear majority answered Revit, 22 out of 33. 15 out of 33 answered Dalux as used in their work. Also important to mention is that 13 out of these 15 Dalux users also answered Revit. The same amount CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 27 answered Solibri, 15 respondents. Other answers were Navisworks, ArchiCAD, Bluebeam, Rhino, Grasshopper, Dynamo, Tekla and FEM-design. Regarding what the employees believes of digitalization and the importance of an offer related to digital solutions to gain a competitive advantage, question 13 asked the respondents to scale their beliefs of this between 1 and 5. Option 1 was named “Irrelevant” and option 5 was “Very important”. Two respondents did not answer the question since it was not mandatory. The lowest chosen alternative was 3, and only 2 out of the 31 respondents chose that option. 4 out of 31 chose a 4 on the grading scale. This means that the majority, 25 of 31, chose “Very important” which was a 5 (mean = 4,7). Question number 14 was similar to Q13. The respondents rated how important the company’s internal work on efficiency using digital tools for maintaining competitiveness. The same pattern as the prior question, 31 respondents with a majority rating the internal work as very important. 21 employees answered the highest grade which was a 5. 8 responded with a grade of 4, and 2 respondents answered the neutral number 3 (mean = 4,6). Answered are visualized in a diagram in Figure 4.3. Question 13 - How important do you think digitalization, and an offer of digital solutions will be for maintaining good competitiveness in the construction sector in the future? Question 14 - How important do you think Norconsult's internal work on efficiency improvement using digital tools is for maintaining competitiveness? Figure 4.3: Answers on Q13 & Q14 – Importance of digital strategies and internal efficiency work. Question number 15 explored what the employees think hinders digitalization and implementation of BIM within the sector. Fixed alternatives were presented with an option to ad own alternatives, so on top of the fixed alternatives, some respondents gave own sentences on what they believe hinder digitalization. The fixed alternatives 0 0 2 4 25 0 0 2 8 21 0 5 10 15 20 25 Irrelevant Neutral Very important Q13 - Digitalization to gain a competetive advantage Q14 - Internal efficiency work CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 28 are presented in Table 4.2 together with the number of responses. One person did not answer on the question, so the total respondents were 32. Table 4.2: Answers on Q15 – Hinders with digitalization an BIM implementation. Alternative Number of answers Nothing. 3 Laws and Regulations. 3 Large proportion of projects with hourly rate (where efficiency is not always economically beneficial). 13 Customers are not asking for BIM or any other type of digitalization. 12 High costs. 4 Unfortunately, I have no/too little knowledge. 4 Attitude question for consultants. 11 In addition to the fixed alternatives in Q15, the following answers were given: “Increased cost in the initial stage if you want to use BIM in existing buildings, which is what we work with the most.” “Ignorance.” “I have never heard of anyone asking for it and if we don't have to, I don't think we will take the first initiative to start with drawing free projects. Otherwise, we often use Revit/Enscape/Solibri etc. in projects.” “IT Infrastructure, Management's attitude towards investment perhaps, we are not keeping up with AI development that could help us keep up with good BIM models.” “I can see that the interest in BIM is greater on the contracting side than on the consulting side.” “I would say that there is a need for a skills upgrade on the client side.” The final question of the second chapter explored what the employees believe are the benefits of BIM in their own work. Question 16 also presented alternatives for multiple-choice with the alternative to ad own alternatives. Also, this question had 32 respondents. CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 29 Table 4.3: Answers on Q16 – Benefits of BIM in your work. Alternative Number of answers No benefit. 0 Perform collision checks at an early stage. 28 Increase understanding and communication between departments at Norconsult. 20 Increased visualization. 31 Better project management linked to time and budget. 14 Efficient maintenance work. 17 More efficient renovations in the long term. 22 In addition to the fixed alternatives in Q16, the following answers were given: ”Automated processes.” ”Increased quality of documents.” “Efficient way of working.” “More efficient management/digital twins.” 4.1.3 Project- & Construction management Question 17 asked the employees to estimate what proportion of their projects they work together with other departments. Ranging from 0% to 100%, options were given with 20%-intervals. Only 1 out of the 33 respondents answered 0%. 5 out of 33 answered 20% of the projects, and 3 employees answered 40%. This means that most of the respondents work interdepartmental in above 50% of their projects. 9 responses on 60% and 7 on 80%. This leads to 8 out of 33 employees work in interdepartmental projects 100% of their time. The following question, question 18, explored what percentage of projects where coordination is lacking according to the employees. Like question 17, respondents were asked to grade from 0% to 100% and options were given with 20%-increments. Question 18 was also mandatory. 3 out of 33 responded that no projects had shortcomings in coordination. A majority answered 20%, 17 respondents. 6 employees answered 40%, and 3 responded 60%. The 4 remaining all responded 80% which leads to no answers on the option 100%. CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 30 Figure 4.4: Answers to Q17 and Q18 – Interdepartmental work and employee’s beliefs on internal shortcomings. Question number 19 explored the reasons of shortcomings in coordination. Fixed alternatives were given together with an option to ad own sentences. Table 4.4: Answers on Q19 – Shortcomings in coordination. Alternative Number of responses No deficiencies 1 Poor understanding of other disciplines 13 Lack of communication 26 A view where different departments/disciplines consider themselves the most important 10 Poor planning and understanding of time 17 In addition to the fixed alternatives in Q19, the following answers were given: ”Do not know” “Sometimes unclear what is expected of our delivery.” “Low interest in modeling correctly, thinking that it should look good on the drawing and not in the model. Understand the meaning of classifying objects according to BIP, BSABwr or CoClass.” “There are tendencies where coordination issues are taken more lightly, i.e. within NOAB.” The following three questions, Q20 to Q22, were open-ended where respondents answered in their own words. The first of the three asked the employees to describe on what they believe the company must do to strengthen their position regarding digitalization (BIM, digital twins, programs, education, AI etc.). In total, 25 responses were collected. The common theme in the answers is education and most of the answers relates to education in tools and how BIM can be utilized. Other answers 1 5 3 9 7 8 3 17 6 3 4 0 0 2 4 6 8 10 12 14 16 18 0% 20% 40% 60% 80% 100% Interdepartmental Coordination shortcomings CHALMERS Architecture and Civil Engineering, Master’s Thesis ACEX30 31 relate to management commitment and guidelines together with a more proactive approach. “More structured mandatory training and permission to allocate time for it. Not everything can be learned solely through projects.” “Clear design guidelines on how we can work most efficiently with BIM in projects.” “A clearer strategy from management regarding BIM. Hire a BIM manager, an experienced BIM specialist who sees the bigger picture and the needs.” - Answers on Q20. In question 21, the employees were asked with a broad question what the company can do to minimize risks and costly mistakes. 20 out of the 33 responded with sentences and their thoughts. A big variety of answers, but knowledge management is a key takeaway. The company must work and coordinate with transferring knowledge between projects and employees. “Have a well-developed and clear coordination strategy for general consulting assignments. Continue developing staff in BIM.” “A clearer strategy from management regarding BIM.” “Project managers should be involved at an early stage to ensure that the correct materials are included as soon as possible. Changing materials later is a common cause of incorrect materials being included in BIM models.” - Answers on Q21. The final question of the questionnaire asked the employees to think freely and reflect on how they believe they will work with digitalization and BIM within five years. 24 answers were gathered with a wide variation of themes. BIM and AI are main areas the employees discussed together with the emerging digitalization for the sector. Efficiency with digital tools is stated in most of the answers. Some are nuanced with skepticism regarding a full implementation shown in the citations below. Others believe that AI will replace BIM. “It will become an absolute prerequisite for working with design and planning. I believe our industry is on the verge of a major leap in digitalization.” “Probably similar to today… But hopefully, AI development will have made it easier to automate workflows in modeling software so we can spend more time on other tasks.” “It will probably never completely replace drawings on construction sites. However, it will play an increasingly important role throughout the entire construction and management process.” CHALMERS, Architecture and Civil Engineering, Master’s Thesis ACEX30 32 “As a project manager, visualization and clash detection are the most important aspects and will continue