Business Case

The $10,000 Eraser: Calculating the Real Cost of Preconstruction Catches

Why finding issues early isn't just good practice—it's the highest-ROI activity in construction

Everyone in construction knows that catching errors early is better than catching them late. It's obvious. But when you're justifying the cost of a new tool or an additional preconstruction review cycle, "better" isn't enough. You need numbers.

So let's put real numbers on it.

The 1-10-100 Rule

There's an old axiom in construction that goes like this:

$1
In Design

Cost to fix an error while still on the architect's screen

$10
In Preconstruction

Cost to fix via RFI before construction starts

$100
In the Field

Cost to fix through rework after construction begins

The exact ratios vary by project, but the principle is consistent: errors compound. A missing dimension costs almost nothing to add to a CAD file. The same missing dimension, discovered when the framer is standing there waiting for an answer, costs an RFI cycle plus idle labor. Discovered after the framing is complete? Now you're looking at rework.

The 1-10-100 rule is actually conservative. Some studies put the field multiplier at 150x or higher for certain types of errors.

Hard Clashes vs. Soft Clashes

When people think about coordination issues, they usually think about hard clashes—the duct that runs through a beam, the pipe that conflicts with a column. These are dramatic. They're also, paradoxically, easier to catch. BIM software excels at finding them. They're visually obvious when you federate models.

The bigger cost driver? Soft clashes. These are the issues that don't involve physical overlap but still require rework:

Missing Information

A dimension that isn't shown. A material that isn't specified. A detail reference that leads to a blank page.

Conflicting Information

The plan says one thing, the schedule says another. The spec contradicts the detail. The elevation doesn't match the section.

Code Violations

Egress widths that don't meet code. Fire ratings that aren't continuous. ADA clearances that fall short.

Constructability Issues

Sequences that can't be built as drawn. Access that doesn't exist for maintenance. Tolerances that can't be achieved.

These soft clashes are harder to find because they require reading and understanding the documents, not just overlaying 3D models. They're also responsible for a disproportionate share of RFIs and change orders.

The Math: A Single Missed Conflict

Let's walk through a realistic scenario. This is a composite of actual project data, not a hypothetical.

Scenario: Plumbing Riser Conflicts with Structural Column

The plumbing drawings show a 4" waste stack in a chase location that conflicts with a structural column shown on the framing plans. The issue isn't discovered until the plumber arrives to rough in.

Plumber standby time (4 hours @ $85/hr)$340
Emergency RFI processing (architect + engineer review)$450
GC coordination time (PM + Super)$320
Reroute design and approval$800
Additional materials (offset fittings, longer runs)$275
Plumber rework labor (reroute installation)$680
Schedule impact: 2 days (framing crew idle)$2,400
Drywall patch (wall opened for reroute)$450
Total Cost of One Missed Conflict$5,715

That's one conflict. One. On a typical commercial project, preconstruction review might catch 20-50 issues that, if missed, would have similar or greater impact.

The ROI Calculation

Now let's compare the cost of catching issues in preconstruction versus the cost of missing them.

Example: $15M Commercial Office Project

Without Enhanced Precon Review
Issues caught in precon:25
Issues discovered in field:18
Avg. field issue cost:$4,500
Field rework cost:$81,000
With AI-Assisted Precon Review
Issues caught in precon:40
Issues discovered in field:3
Avg. field issue cost:$4,500
Field rework cost:$13,500
$67,500
Rework Avoided
~$3,000
Annual Tool Cost
22x
ROI

This is a conservative calculation. It doesn't include:

  • Schedule acceleration costs when multiple issues compound
  • Relationship damage with owners and architects from repeated RFIs
  • The time your PMs and engineers save on manual review
  • Reduced exposure to claims and disputes

The Compound Effect

Here's what the ROI calculation misses: issues don't occur in isolation. One missed conflict can cascade.

Consider: The plumbing reroute from our example might push the waste stack into a different wall cavity. That cavity might have been sized for a 2" pipe, not 4". Now the drywall framing has to change. The electrical boxes in that wall have to move. The finish schedule for the adjacent room might shift because the wall thickness changed.

One issue becomes three. Three becomes eight. The $5,700 problem becomes a $25,000 problem—and it all started with a conflict that was visible in the drawings, if someone had looked.

Why "We Already Review Drawings" Isn't Enough

Every GC reviews drawings before construction. The question isn't whether you review—it's how thoroughly, and how consistently.

Manual review has limits:

Time Pressure

The bid deadline is Thursday. The IFC package is 400 sheets. Your PE has two other projects. Something is going to get skimmed.

Attention Limits

After 4 hours of reviewing mechanical plans, your eyes start to glaze. You're not finding issues—you're looking at pages.

Expertise Gaps

Your best PM knows commercial interiors cold. But this is a healthcare project with medical gas requirements she's never seen before.

Revision Fatigue

You reviewed the 50% CDs thoroughly. The 100% set arrives with 47 sheets revised. Who has time to re-review everything?

Automation doesn't replace human judgment. It extends human attention. It ensures that every sheet gets the same level of scrutiny, every time, regardless of schedule pressure or fatigue.

Making the Business Case

When you're pitching preconstruction tools to leadership, focus on these numbers:

1
Your Current Change Order Rate

What percentage of project cost goes to owner-caused vs. design-error change orders? Industry average is 5-10% of contract value.

2
Hours Spent on Manual Review

How many PE hours go into preconstruction document review per project? What's the fully-loaded cost of that time?

3
RFI Volume

How many RFIs does each project generate? What percentage are for issues that were visible in the documents but missed?

4
Recent Expensive Misses

What was the last field issue that cost more than $10,000? Could it have been caught in document review?

If you can prevent one $50,000 change order per year—just one—you've paid for the tool many times over. Most teams find dozens of issues per project.

Find the Issues Before They Find You

Tired of discovering coordination issues after construction starts? Articulate's AI can scan your PDFs and flag missing information, conflicting details, and coordination issues in seconds—while the cost to fix them is still measured in dollars, not thousands.

The cheapest change order is the one you never have to process.

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