Definition Of The Life Cycle Costing Construction Essay

comment Of The Life Cycle saluteing formulation EssayThis report emphasizes for identifying critical phases of pre contract benefit up devisening and domineering process in the life motorbike of chuck with love to the RIBA invent of performance how to manage them and how to obtain a maximum turnover of the intent within the quantity surveyors reference as a monetary value manager.Hence, this get hold of leave discuss signifi drive outt be sick pre contract make up readying and unconditional process, such as manners of estimates for speak to be after for diametrical stand fors of RIBA work political platform, pre-contract apostrophize supplying and bell controlling process with respect to the RIBA plan of work a lymph node/consultant may sweep during each stage, the term life cycle be and related terminology, the quantity surveyors role as a cost manager, in the life cycle of the project. master(prenominal) BODYExplain the methods of preparing estima tes for cost planning for different stages of RIBA work plan.What Is represent Planning?The comprise Planning is a method of cost controlling the cost (Price to client) of a project within a pre- destined sum up to the bidding stage. (Page3, bear upon studies)monetary value Planning give advice to client how lots will be project cost. As well, cost planning will advise when the expected expenses will most possible occur. Hence its primary(prenominal) for get required project finance and for determining possible project profit. Therefore cost planning process essential to success of project.Methods of Estimating for Cost PlanningThere be nearly significant estimating methods uses in wind industry for Cost planning process. Those methods give preliminary estimate, hence metre Surveyor has to modify predetermine data considering the chases, such as , market conditions, Size, itemise of storeys, specification level, inclusions exclusions, service, order foundation conditi ons and other factors.Conference Estimating MethodRIBA head A of Options Appraisal and stage B construct Brief,These method uses for set of the initial price estimate give to the client. It is base on a cooperative view of a group of persons, and not quantify in any particular way.Financial methodsRIBA acquaint A of Options Appraisal and stage B Design Brief,This method fixes a cost limit on the building traffic pattern, according to the unit of accommodation or rental regard ass.For utilization, building block methodRIBA breaker point A of Options Appraisal and stage B Design Brief,The unit method is multiplies desire standard unit of accommodation by an approximate cost per unit. Not required specific drawings, specifications, only the conception of the project relevant to the required function.For eccentricSchools be per pupil enplaceHospitals costs per bed enplaceCar parks cost per car space rate = Standard unitsof accommodation x Cost per unitCube methodDesign St ageThis is the superseded method because of inherent disadvantages this method necessitates some sketch drawings, historical cost data, and as well big estimator experience. It is based on association between building volume and unit cost.For exampleSuperficial sector methodRIBA Stage B Strategic brief and also can be used for Stage CThis is soon most common use method, its use for early price estimating purposes. The bea of each of the floors multiplied by the cost per square meter. Mostly important Storey heights, plan shape and methods for when choose on the rate need be used.For exampleStory enclosure unit methodThis technique use weightings for the estimating the building elementsElemental Cost estimating particular Design Stage (Production information Stage F)This can use to establish the approximate cost of a device project. It analyzes, the cost of the project on an elemental stem using from other similar projects. Also provides cost advice during the foundation pro cess. Detail drawings are required.For exampleApproximate Cost estimatingApproximate quantities present additional little approximate estimate. No particular rules ofmeasurement exist, Also significantly more information is required from the designer..For exampleResource abridgment(Pre twisting Stage T closureer Documentation -G)This method is tradition in ally adopted by contractors estimators to determine their one-on-one rates for measured items in bills of quantities. All individual(a) measured items are analyzed into its element parts such as labour, materials and plant. This method is not a pre-tender method of price prediction strictly.For exampleExplain the pre-contract cost planning and cost controlling process with respect to the RIBA plan of work a client/ consultant may adopt during each stageWhat Is Pre-contract Cost Planning?Pre Cost planning is actually important to successful planning, design and construction of projects and is aimed at providing best value s olutions. Essentially it is a pre-costing method of a project. As well as Pre-estimation of a design end will give clear translate about the cost to the employer and design squad to make endings regarding the project to make sure value for money.Pre-Contract Cost Planning ProcessThe pre-contract cost planning process according to the RIBA plan of work 1998 it can be describe as follows.Graph 2.1Pre-stage A (Establish the budget)Client is the appointing client management team (Consultants) such as, client representative, cost consultant, according to his requirements.Identify objectives, physical field of project, standard of quality of building and services, timeframe and establishing the budget.Emphasis nature of clients problems and functional requirements on proposed project. puzzle out Stage A (Options Appraisal)Consultant has to identify of client obligatory and possible limitation on assumement and cost of the ideal solution. put in technical, functional and cost studi es by consultant and then it should enable to the client to take decision on his project weather he can continue the first of all proposal or could do some changes to the first proposal etc. also select the possible procurement method.Work Stage B (Strategic Brief)Consultant has to prepare initial cost suggestion to the client based on an outline statement of clients needs, also to determine target cost. This establish an initial budget for clientClient has to examine availability of finance for the project and value of money framework.Pre Contract Cost ControlGenerally Pre contract cost controlling process is practice from this stage according to the RIBA work plan mentioned chart 1.2,Pre Contract Cost Control process give to ensure the cost of the project is within the clients budget or not. Hence pre contract cost control is genuinely essential in a project since it is planning, design finalizing and tendering and selecting a commensurate contractor too.Outline Proposals- S tage CConsultant involves preparing outline proposal and estimate of cost as initial cost plan.Investigate the site conditions and preliminary sketches for requirement of cost plan by consultant.Evaluate strategic brief through consideration of time, cost, risk and environmental issues.Establish design management procedures and prepare initial cost plan, project program, and cash flow. fine Proposals Stage DAt this stage, consultant prepares full detailed proposals for the client, and also prepares firm cost plan detailed elemental cost plan etc.Clint tem evaluate outline proposals for make final decision,Receive design and cost input from client appointed team and extend detailed design solution.Development control meekness.Review procurement advice.Final Proposals Stage EConsultant has to prepared final proposal for the project at this stage.Carry out cost check of the design as it develop against the cost plan, hence it Confirmation of the cost limits for the project.Most cos t trenchant in satisfying level of project brief to confirm or put final budget and to check the elemental cost targets.Cost checks design against cost plan.Decide on procurement methods.Consultant, they attending to retrospect design and cost plan.Consultant has to prepare all required submission for jural approvals.Production Information Stage FAll legal approvals should have ideal when at this stage.This is the assessment of lowest acceptable tender price based on completed contract documents.Ensure that the completed designs are controlled within the cost limits.Prepare all co-ordinate production information including location.Arrange bring together all component drawings, schedules and specifications. ply all required information for final cost checks of design against cost plan.Explain the term life cycle costing and related terminology.Definition of the life cycle costingAccording to definition of Hoar and Norman (1990) appropriately defined the life cycle cost of an ad vantage as the present value of total cost of the asset over its operational life including initial capital costs, occupational costs, operating costs and the cost or benefit of the eventual disposal of the asset at the end of its life.Hence life cycle costing related with the time rain cats and dogs of costs and benefits that flow throughout the life of the project.There are outlet of term use in industry to identify different stages in the life cycle costing techniques, hence flowing are the in particular use in construction industry.Life cycle cost analytic thinking (LCCA) touchstone surveyor assist to prepare this, based on collection and analysis of historic data on actual costs of occupying building ( outpouring cost and performance).Life cycle cost management (LCCM)Actually it is derived from life cycle cost analysis and identities, by this way client can be compare building cost and controlling occupancy cost throughout the life of building to get maximum value.Life cyc le planning (LCCP)This is as part of life cycle cost management it is draw the prediction of total costs of a building, part or individual element taking account of initial capital costs, subsequent running cost and residual values.There are numerous costs associated with acquiring, operating, maintaining, and disposing of a building or building system. make-related costs usually fall into the following categoriesInitial cost-Purchase, Acquisition, Construction CostsFuel CostsOperation, Maintenance, and Repair CostsReplacement CostsResidual take to bes-Resale or Salvage Values or Disposal CostsFinance Charges-Loan Interest PaymentsNon-Monetary Benefits or Costs yet those costs within each category that are relevant to the decision and significant in amount are needed to make a valid investment decision. Costs are relevant when they are different for one alternative compared with another costs are significant when they are large enough to make a credible difference in the LCC of a project alternative.For ExampleImage of a bar represent showing the 30 Year Cost of a Building. The design and construction are at 2% of the cost, maintenance costs are at 6% and personnel salaries are at 92%.Viewed over a 30 year period, initial building costs account for close to just 2% of the total, while operations and maintenance costs equal 6%, and personnel costs equal92%.Graphic Sieglinde Fuller Source Sustainable Building Technical Manual / Joseph J. Romm, Lean and Clean Management, 1994.Life cycle costing TerminologyExplain the touchstone Surveyors role as a cost manager, in the life cycle of the project.Role of the Quantity Surveyor as a Cost ManagerQuantity surveyor is the person/ firm who manage the cost relating to the construction projects, such as new constructions, maintenance work and renovations. Quantity surveyor monitors the cost of every aspects of a construction project as a cost manager, as well as seeks to minimize the costs of the project and to make m ore cost savings while ensuring the total cost of project does not exceed the estimated cost.Furthermore when study about Quantity Surveyors in Cost manger position also have to be identified their duties and Responsibilities properly.Conducting feasibility studies and writing procurement reports.Managing estimating and cost planning activities to complicate taking ownership of and presenting the final cost plan.Managing the procurement process, ensuring that all stages including pre-qualification, enquiry, analysis, natural selection and contract preparation are performed effectively.Ensuring that post-contract cost variances and change control processes are managed effectively.Ensuring that cost checking and valuation work is managed effectively.Ensuring the production of monthly post-contract cost reports and presenting them to the client.Value engineering and life cycle costing.Ensuring that final accounts are negotiated and agreed.Taking a lead role in interfacing with the cl ient and other consultants, at all project stages.Working with Associate Directors and Directors to construct bids for new work.Identifying and acting upon opportunities to change cost management procedures, templates and products.