Simulation is a powerful tool for decision making. It provides an appealing
approach to analyze and improve repetitive processes such as tunnelling. N
otwithstanding this appeal, application of simulation to real-life construc
tion projects has been minimal. This paper describes the design, developmen
t, and application of a special purpose simulation tool for actual tunnel c
onstruction operations performed by the City of Edmonton Public Works Depar
tment. The implementation of this tool in industry was successful and serve
s as a model for others to follow. The decision-making process adopted by t
he model developers and the construction industry personnel during the desi
gn, development, and implementation of the simulation are described. The co
st-planning tool in the tunnel template is very useful in making decisions
and evaluating the feasibility of tunnel construction projects. The real-li
fe application of various alternatives compared to the conceptual estimates
prepared for a proposed tunnel project to be constructed in Edmonton is pr
esented in three stages. The basic costs, operational costs, support costs,
productivity, duration, and resources utilization data are presented for d
ifferent alternatives for the proposed tunnel project. Future modifications
required by the engineering staff of the City of Edmonton, and the propose
d research for modelling uncertainties in tunnel construction are identifie
d. The successful application of the simulation for actual construction pro
ject highlights the interactive collaborative research work between academi
a and industry.