The Blueprint for Scale: Kit-of-Parts and Collaborative Networks
In my last post, we discussed: to fix the housing crisis, we must build homes in batches, not one-by-one. That means industrializing construction. But we must be precise about how we industrialize.
The biggest misconception is that "modular" only means volumetric modular (the full, finished box). The truth is, a more flexible and scalable solution for Canada is a hybrid approach that leverages both Volumetric and the Kit-of-Parts (KOP) method, which requires a new era of collaboration.
Volumetric vs. Kit-of-Parts: The Right Tool for the Job
The term "Modular" is an umbrella for methods of achieving off-site efficiency. The most powerful strategy is often a combination of the two:
Method: Volumetric Modular ("The Box")
What it is: 80-90% complete modules (rooms, baths, kitchens) shipped fully finished.
Best application: Highly repeatable, simple designs (hotels, student dorms).
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Method: Panelized/Kit-of-Parts (KOP)
What it is: Precision-manufactured, flat-packed panels (walls, floors, roof) for the building shell.
Best application: Complex footprints, large open spaces, and custom architectural features.
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Method: Hybrid Modular
What it is: Structural KOP shell combined with finished volumetric components (like service pods).
Best Application: Maximum speed and customization; mid-to-high-rise residential, mixed-use buildings, and fast-track housing developments.
While volumetric modular offers the highest time savings for standard designs, KOP unlocks the market for affordable, customizable homes without the road-limit restrictions of shipping a massive box. The Hybrid method uses the KOP's flexibility for the main structure while integrating high-value, repetitive elements like bathroom and kitchen pods manufactured volumetrically.
The Foundation for Scale: Collaborative Networks and DfMA
The KOP model, especially in a hybrid application, requires a major supply chain shift—the very solution needed for mass-market affordability of any product. Since KOP delivers separate components (structural panels, bathroom pods, MEP systems), the efficiency relies on multiple specialty manufacturers working in perfect alignment.
This shift—from isolated projects to an integrated component supply chain—is the modern industrial answer being proven across advanced global economies. Achieving this integration requires two fundamental changes to the current construction paradigm:
1. Integrated Project Delivery (IPD) / Design for Manufacture and Assembly (DfMA): This is the mandatory framework. Modular/KOP projects succeed only when owners, designers, and manufacturers collaborate from the outset. The Design for Manufacture and Assembly (DfMA) methodology ensures components are easy to manufacture and simple to complete the assembly on site, accelerating production and cutting costs.
2. The Component Ecosystem: Success is not about one factory doing everything. It’s about creating a network where multiple specialized suppliers—those who make bathroom pods, those who make panelized framing, those who make modular MEP systems—integrate their product designs digitally (using BIM) and ship directly to the regional assembly site. This is the essence of Industrialized Offsite Construction (IOC).
This distributed KOP/Hybrid model is how we achieve the affordable pricing targets: We centralize the design and manufacturing standards, but we decentralize the production and specialized assembly.
Why Light Gauge Steel (LGS) Is the Superior Framework
To make this Kit-of-Parts model work efficiently, the material matters. As a Continuous Improvement Manager, I operate at the intersection of practical manufacturing execution and strategic systemic design.
This experience—combining on-the-ground work with advanced LGS manufacturing, deep-dive research into global industrialized construction models, and a dedication to continuous performance scrutiny— leads to one unavoidable conclusion: LGS provides financial, structural, and long-term advantages that wood-framed KOP struggles to match. This isn't just a preference; it's a decision based on manufacturing predictability and long-term asset value.
LGS Superiority (The Financial Truss)
Cost Certainty: Eliminates budget volatility. LGS removes the risk of lumber prices swinging by up to. Further predictability is locked in through DfMA.
Speed & Rigidity: LGS is robotically manufactured and dimensionally stable. Its superior rigidity ensures faster, safer crane cycles and stacking with less temporary bracing than wood modules.
Long-Term Asset Value: LGS is non-combustible (leading to better fire ratings and lower insurance premiums) and it won't rot, warp, or host mold or pests. This minimizes maintenance costs for decades.
The ultimate goal is to move from the fragmented, site-based craft model to a fully integrated Hybrid Modular (KOP + Volumetric) network. This is how Canada can finally meet its housing needs with resilience, speed, and genuine affordability.
Join the Conversation
What is the biggest non-structural component (like a service pod or staircase) that you think should be standardized and supplied by a separate KOP manufacturer to facilitate this Hybrid Modular approach?
Share your thoughts below!
Speak soon!
