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Proper Mechanical Commissioning Cuts Whole-Building Energy Use by a Median of 13%, JDI Industrial Services Analysis Finds

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Lawrence Berkeley National Laboratory studied 643 U.S. commercial buildings and found that structured commissioning during new construction pays for itself in under five years. Lawrence Berkeley National Laboratory (LBNL), U.S. Department of Energy — 2009

WESTMINSTER, S.C., June 25, 2026 /PRNewswire/ — JDI Industrial Services has released an analysis of federal and industry research examining one of the most persistent challenges in industrial and commercial construction: integrating new mechanical systems with existing facility infrastructure during turn-key projects.

Drawing on studies from the U.S. Department of Energy, Lawrence Berkeley National Laboratory (LBNL), Pacific Northwest National Laboratory (PNNL), and construction-industry research organizations, the analysis finds that coordination failures and poor system integration create billions of dollars in avoidable costs each year. At the same time, structured commissioning and controls optimization consistently deliver measurable returns through reduced energy consumption, lower rework costs, and improved operational performance.

The findings reveal a striking imbalance between the cost of integration failures and the cost of preventing them. According to the 2018 FMI Corporation and Autodesk Construction Disconnected Report, poor project data and communication account for 52% of all construction rework, resulting in approximately $31.3 billion in rework costs across the U.S. construction industry. The same report estimates that construction professionals spend roughly 35% of their working time, more than 14 hours per week, on non-productive activities such as searching for information, resolving conflicts, and correcting avoidable errors.

For facility owners undertaking turn-key mechanical projects, the implications extend far beyond construction schedules. Mechanical systems operate at the intersection of process requirements, building infrastructure, controls networks, utility services, and safety systems. When integration planning is incomplete, the resulting failures often emerge after equipment installation, when correction costs are highest and operational disruptions become unavoidable.

Mechanical Integration Failures Create Costs Before Systems Go Online

Mechanical integration problems rarely begin with equipment installation. Most originate during project planning, when incomplete documentation, poor coordination among trades, or insufficient understanding of existing facility conditions introduce risks that remain hidden until commissioning or startup.

According to the FMI Corporation and Autodesk Construction Disconnected Report (2018), construction workers spend approximately 35% of their time on non-productive activities, representing an estimated $177.5 billion in annual labor costs across the U.S. construction industry. Much of that lost time stems from locating project information, resolving conflicts between disciplines, and addressing work that must be corrected because of coordination failures.

For mechanical contractors, integration challenges often involve mismatches between new equipment and existing infrastructure. Electrical loads may differ from documented conditions. Building automation systems may require communication protocols that were not identified during design. Existing utility systems may have less available capacity than anticipated. Structural, process, and mechanical requirements may compete for the same physical space.

The analysis finds that these issues frequently appear during late-stage construction because integration planning is treated as a documentation exercise rather than a system-performance exercise. By the time problems become visible in the field, schedule pressure often encourages temporary workarounds rather than permanent solutions.

Industry research suggests that this approach creates a compounding cost effect. Every unresolved integration issue increases the likelihood of downstream rework, startup delays, performance deficiencies, and operational inefficiencies that persist long after construction is complete.

Rework Remains One of the Highest Hidden Costs in Construction

Available research indicates that the financial impact of rework remains significantly underestimated. According to data cited by Autodesk from the Navigant Construction Forum, direct rework costs typically account for between 4% and 6% of total project value. When indirect impacts such as schedule delays, management overhead, productivity losses, and operational disruptions are included, the figure approaches 9% of total project cost.

For a facility modernization project valued at $10 million, indirect and direct rework costs can represent hundreds of thousands of dollars in avoidable expenditures. Mechanical integration failures often contribute disproportionately because they affect interconnected systems rather than isolated components.

A misconfigured control sequence, for example, may require mechanical, electrical, automation, and operational teams to revisit completed work. A poorly coordinated equipment replacement can trigger modifications across multiple disciplines. What appears initially as a localized issue frequently expands into a project-wide coordination challenge.

The analysis concludes that successful turn-key construction depends less on equipment selection and more on the ability to coordinate mechanical systems within the broader operational environment of the facility.

According to a 2018 study by FMI and Autodesk, poor communication and data management are significant drivers of inefficiency in the construction industry. Rework attributable to these issues accounts for 52% of total rework, translating to an annual cost impact of $31.3 billion across the United States. The same study found that non-productive labor consumes 35% of all work hours, representing an annual labor impact of $177.5 billion. Complementing these findings, the Navigant Construction Forum estimates that direct rework costs alone account for 4 to 6% of total project cost, with the broader impact climbing to approximately 9% of project cost once indirect costs are factored in (Navigant Construction Forum; FMI / Autodesk, 2018).

Commissioning Delivers Measurable Performance Improvements

While construction-industry research highlights the cost of integration failures, federal research demonstrates that structured commissioning provides a reliable method for reducing those risks.

A landmark Lawrence Berkeley National Laboratory study published for the U.S. Department of Energy examined 643 commercial buildings across the United States and found that commissioning new-construction facilities produced median whole-building energy savings of 13%. The same study found a median payback period of 4.2 years.

The significance of these findings extends beyond energy efficiency. Commissioning serves as a verification process that confirms systems operate according to design intent while functioning properly within the facility’s existing infrastructure.

During commissioning, project teams validate equipment performance, controls integration, sequence-of-operations logic, system interactions, and operational readiness. Problems that might otherwise remain hidden until occupancy are identified and corrected before they become operational liabilities.

The LBNL analysis also found that commissioning costs represented a relatively small portion of overall project value compared with the performance benefits achieved. This finding reinforces the conclusion that commissioning functions primarily as a risk-reduction investment rather than a project expense.

For facility managers evaluating turn-key projects, commissioning represents one of the few integration safeguards with extensive federal performance data supporting its effectiveness.

Existing Facilities Often Achieve Greater Savings

Integration challenges are not limited to new construction. Existing facilities frequently experience performance degradation as building systems evolve over time through renovations, equipment replacements, and operational changes.

Lawrence Berkeley National Laboratory’s 2013 analysis of existing-building commissioning found median whole-building energy savings of 16%, with savings ranging from 10% to 30%. Notably, approximately 25% of buildings studied achieved energy reductions exceeding 30%. These results suggest that many facilities operate with significant inefficiencies created by integration issues that accumulate gradually and remain undetected during normal operations.

Mechanical systems may continue functioning while operating outside optimal performance parameters. Controls may no longer reflect current occupancy patterns. Equipment schedules may conflict with actual operational requirements. Sensors may provide inaccurate information to automation systems. Because these deficiencies often develop incrementally, they can remain unnoticed for years while increasing operating costs and reducing system reliability.

The analysis finds that commissioning provides a structured process for identifying and correcting these hidden integration failures before they generate larger maintenance or replacement costs.

Building Automation and Retuning Extend Integration Benefits

Mechanical system integration does not end when construction is completed. Long-term performance depends on the ongoing alignment between equipment operation, facility requirements, and building automation systems.

According to Pacific Northwest National Laboratory research conducted through the U.S. Department of Energy’s building retuning program, facilities that optimize controls and correct integration faults typically achieve energy savings ranging from 5% to 25%.

The program reports average energy-cost savings of approximately $0.185 per square foot annually, with simple payback periods ranging from 0.3 to 3.5 years. These findings illustrate the importance of viewing integration as a lifecycle process rather than a construction milestone. Mechanical systems operate within dynamic environments where occupancy patterns, production requirements, utility costs, and operational priorities continually evolve.

Facilities that maintain alignment between automation systems and operational needs tend to preserve performance gains achieved during commissioning. Facilities that neglect optimization frequently experience gradual declines in efficiency and reliability.

The analysis concludes that integration planning should extend beyond project turnover to include long-term performance verification and controls management.

Commissioning Costs Remain a Fraction of Potential Losses

One reason organizations defer commissioning is the perception that it adds unnecessary project costs. Federal research suggests otherwise.

According to research conducted by Lawrence Berkeley National Laboratory and the Building Commissioning Association, funded by the U.S. Department of Energy’s Building Technologies Office, the median commissioning cost for new construction projects declined to approximately $0.82 per square foot by 2018. That figure represents roughly 0.25% of the total construction cost.

When compared against potential rework expenses, operational inefficiencies, startup delays, and energy waste, commissioning costs remain comparatively small. The available evidence indicates that the financial consequences of inadequate integration substantially exceed the cost of implementing structured verification processes.

For facility engineers and project managers, the question therefore shifts from whether commissioning is affordable to whether the risks of skipping commissioning are acceptable.

Methodology

JDI Industrial Services synthesized publicly available findings from the FMI Corporation and Autodesk Construction Disconnected Report (2018), the Navigant Construction Forum as referenced by Autodesk’s 2024 construction-industry statistics analysis, Lawrence Berkeley National Laboratory’s Building Commissioning: A Golden Opportunity for Reducing Energy Costs and Greenhouse-Gas Emissions (2009, reaffirmed by the U.S. Department of Energy in 2018), Lawrence Berkeley National Laboratory’s 2013 existing-building commissioning research, and the Pacific Northwest National Laboratory Building Re-Tuning program. No proprietary survey or original research was conducted. All statistics were drawn from named third-party sources and reflect publicly available information current through June 2026.

Frequently Asked Questions

What does “seamless integration” mean in a turn-key mechanical project?

Seamless integration refers to the successful coordination of new mechanical systems with a facility’s existing infrastructure, utilities, controls, operational processes, and physical constraints. Integration extends beyond equipment installation and includes ensuring that HVAC systems, piping networks, automation controls, electrical systems, safety systems, and operational requirements function together as intended. Federal commissioning studies involving 643 commercial buildings found that projects using structured verification processes achieved median whole-building energy savings of 13%, demonstrating the measurable value of coordinated system integration.

Why do mechanical integration problems show up so often during turn-key construction?

Mechanical integration problems frequently emerge because existing facility conditions differ from assumptions made during planning and design. Construction-industry research from FMI and Autodesk found that 52% of rework originates from poor communication and project data issues. When documentation is incomplete or coordination among disciplines is insufficient, conflicts often remain hidden until installation, testing, or startup reveals them.

What should a turn-key contractor do before construction begins to protect existing systems?

Turn-key contractors should conduct detailed site investigations, verify existing conditions, document utility capacities, review automation-system requirements, identify operational constraints, and establish coordination procedures before construction begins. Early verification reduces the likelihood of downstream rework, which industry research estimates can account for 4% to 6% of project cost directly and approximately 9% when including indirect impacts.

What role does commissioning play in mechanical system integration?

Commissioning functions as the formal verification process that confirms mechanical systems operate according to design intent and integrate properly with existing facility infrastructure. Lawrence Berkeley National Laboratory research found that commissioning new construction projects produced median energy savings of 13% and achieved a median payback period of 4.2 years. Commissioning identifies performance deficiencies before they become operational problems and provides documented validation that systems are functioning correctly.

What questions should facility managers ask a turn-key contractor about integration before signing a contract?

Facility managers should ask contractors how they will verify existing conditions, how they will test control integration, how they will minimize operational disruptions, what commissioning procedures they will use, and how they will validate system performance after installation. Building owners should also request documentation regarding startup procedures, controls optimization, and long-term performance verification. Federal research indicates that structured commissioning and re-tuning programs can deliver energy savings ranging from 5% to 25%, making verification procedures an important indicator of project quality.

About JDI Industrial Services

JDI Industrial Services is a Westminster, South Carolina-based industrial mechanical contractor founded in 1997. The company provides turn-key mechanical construction, maintenance, installation, and industrial services for facility engineers, plant managers, and industrial operators throughout the Southeast. More information is available at https://jdiindustrial.com/service-types/mechanical-contractor/.

Media Contact

Contact: Kevin Nealey
Email: keviCheckn.nealey@jdiindustrial.com
Location: Westminster, SC

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Howard Hughes Holdings Set to Join S&P SmallCap 600

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NEW YORK, Oct. 23, 2026 /PRNewswire/ — Howard Hughes Holdings Inc. (NYSE: HHH) will replace Arcosa Inc. (NYSE: ACA) in the S&P SmallCap 600 effective prior to the opening of trading on Wednesday, October 28. S&P 500 constituent CRH plc (NYSE: CRH) has acquired Arcosa in a deal that closed today, October 23.

Following is a summary of the changes that will take place prior to the open of trading on the effective date:

Effective Date

Index Name  

Action

Company Name

Ticker

GICS Sector

October 28, 2026

S&P SmallCap 600

Addition

Howard Hughes Holdings

HHH

Real Estate

October 28, 2026

S&P SmallCap 600

Deletion

Arcosa

ACA

Industrials

ABOUT S&P DOW JONES INDICES

S&P Dow Jones Indices is the largest global resource for essential index-based concepts, data and research, and home to iconic financial market indicators, such as the S&P 500® and the Dow Jones Industrial Average®. More assets are invested in products based on our indices than products based on indices from any other provider in the world. Since Charles Dow invented the first index in 1884, S&P DJI has been innovating and developing indices across the spectrum of asset classes helping to define the way investors measure and trade the markets.

S&P Dow Jones Indices is a division of S&P Global (NYSE: SPGI), which provides essential intelligence for individuals, companies, and governments to make decisions with confidence. For more information, visit www.spglobal.com/spdji/en/. 

FOR MORE INFORMATION:

S&P Dow Jones Indices
index_services@spglobal.com

Media Inquiries
spdji.comms@spglobal.com

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SOURCE S&P Dow Jones Indices

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Chelsea FC announces multi-year sleeve partnership with Sokin, the business payments and FX platform

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Chelsea FC name fast-growing fintech platform as Principal Partner

LONDON, Oct. 23, 2026 /PRNewswire/ — Chelsea Football Club has today announced a multi-year partnership with Sokin, the embedded finance and payments company used by businesses worldwide. Sokin will be named a Principal Partner and Official Business Payments and FX Partner of Chelsea FC and Chelsea FC Women.

As a Principal Partner, Sokin will be represented on the sleeves of the Chelsea FC men’s, women’s and academy home, away, and third kits from the 2026/27 season.

The partnership brings together two ambitious London-headquartered organisations with worldwide reach – a club with millions of fans across the world and a fintech platform through which businesses move more than $11 billion a year. A club of Chelsea’s scale works in many currencies every day, with partners, competitions and supporters around the world, and needs a financial partner built to handle that.

Sokin gives finance teams business payments, multi-currency accounts, foreign exchange, checkout and treasury in one place, so they spend less time juggling banks and providers and keep more of what they move.

As Official Business Payments and FX Partner, Sokin will simplify how Chelsea FC sends, receives and manages money in the currencies the club operates in.

The Sokin logo will feature on the sleeve of the Chelsea shirt for the first time [when the men’s team host Tottenham Hotspur at Stamford Bridge on Saturday 24th October.]

Jason Gannon, President at Chelsea FC said:

“At Chelsea, we seek to partner with organisations that share our ambition and innovative mindset. Sokin’s expertise in business payments, and their focus on making both simpler for the businesses they serve, makes them a natural fit for the Club. We are pleased to welcome Sokin to the Chelsea family and look forward to working together in the years ahead.”

Vroon Modgill, CEO and founder at Sokin said:

“Chelsea plays on the biggest stage in world football, and its business runs in dozens of currencies. Sokin was built for that with regulated, multi-currency payments and foreign exchange for organisations that operate internationally. We’re proud to be the platform behind the business payments and FX of one of the most iconic teams in football. Sokin’s platform serves businesses in more than 170 countries. We’re thrilled to be partners for the season ahead. An organisation as sophisticated as Chelsea doesn’t leave its finances to chance.”

About Sokin

Sokin is the financial layer global business runs on. Businesses can transact, convert and hold money in 70+ currencies across 170+ countries. Some businesses use Sokin to manage global finance in-house. Others build it into their products to power financial experiences for their customers. Businesses move more than $9 billion a year on licenses Sokin holds in 36+ countries and infrastructure Sokin owns. Founded in 2019, Sokin has raised over $100 million from investors including Morgan Stanley Expansion Capital and Prysm Capital.

About Chelsea Football Club

Chelsea Football Club is one of the biggest, most successful football clubs globally and our men’s team are reigning world champions, having won the four-yearly FIFA Club World Cup in 2025. Our women’s team, Chelsea Women, are also multiple trophy winners.

Founded in 1905, Chelsea is London’s most central football club, based at the iconic 40,000-capacity Stamford Bridge stadium. Nicknamed the Blues, the club lifted the Champions League for the first time in 2012 and domestically has won the Premier League five times, the FA Cup eight times, the Football League Cup five times and the Football League Championship once, in 1955.

The Chelsea Women’s team have enjoyed a huge amount of success and in 2025 won the FA Women’s Super League for a sixth consecutive year and the eighth time overall. The Women’s FA Cup has been won on six occasions. We have also captured the FA Women’s League Cup four times as well as reaching the UEFA Women’s Champions League final in 2021. In two seasons, 2020/21 and 2024/25, a domestic treble of trophies was secured.

The Chelsea Foundation boasts one of the most extensive community initiatives in sport, helping to improve the lives of children and young people all over the world.

Media Contacts:

Taina Biggs
taina.biggs@sokin.com 

Nerissa Chesterfield
nerissa.chesterfield@chelseafc.com 

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Amy Johnson Appointed President of GDIT

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RESTON, Va., Oct. 23, 2026 /PRNewswire/ — General Dynamics (NYSE:GD) announced today that Amy Johnson has been appointed as president of GDIT, effective November 3.

Johnson is a 27-year veteran of General Dynamics Mission Systems, where she held increasingly senior roles in engineering, engineering management and business leadership across cybersecurity, defense electronics, space and intelligence systems, most recently as vice president and general manager for Space, Cyber and Intelligence. She earned bachelor’s and master’s degrees in computer science and computer systems engineering. 

“Amy has a proven track record of leading teams to solve complex and highly technical challenges for our customers,” said Phebe Novakovic, CEO of General Dynamics. “I am confident that her dynamic leadership, operational rigor and deep commitment to our values and culture will deliver value to our customers, employees and shareholders.”

GDIT delivers digital modernization, cloud computing, artificial intelligence, cybersecurity and software development solutions to the U.S. federal government, defense, intelligence agencies and other customers. It is a business unit of General Dynamics, a global aerospace and defense company that offers a broad portfolio of products and services in business aviation; ship construction and repair; land combat vehicles, weapons systems and munitions; and technology products and services. General Dynamics employs more than 120,000 people worldwide and generated $52.6 billion in revenue in 2025. More information is available at gd.com.

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SOURCE General Dynamics

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