Quantification & Costing Flashcards
(124 cards)
How do you Value / Assess Variations?
- Pricing Document - works similar in character
- Fair rates - works not similar
- Dayworks - works can’t be quantified
What are Dayworks?
Prime cost (materials, labour, plant, OHP). e.g. breaking out obstructions. Dayworks sheets must be submitted within 7 days and approved my contract administrator.
CESMM4 vs NRM 2
CESMM4 - civil engineering projects - higher quantities but less variety of materials.
NRM2 - building projects - lower quantities with great variety
Different approaches make quantification efficient & more accurate.
How do you quantify inflation?
- Apply BCIS cost indices to the Base Cost Estimate;
- Tender Inflation - cost plan date to tender return)
- Construction Inflation - tender return to the mid-point of the construction programme
Why are measurement rules important?
- Consistency in measuring construction works on a like for like basis.
Strip Foundation Take Off
Excavation
disposal
compaction,
formwork
blinding
hardcore
concrete
Drainage Take Off
- Excavating (stating average depth (500mm increments)
- Granular bed
- Pipe type and size
- Backfill
- Disposal of excess excavated material
Why use digital measurement software?
- Superimpose measurement
- Save & share
- Update/amend
NRM1 Cost Plan Structure
0; Facilitating Works
1-8; Building works (see separate breakdown)
9; Preliminaries
10; Overhead & Profit
Works Cost Estimate (Construction)
11; Design Team Fees:
Architect, Civils, M&E, Project Manager, Quantity Surveyor, Principal Designer
12; Other development:
Finance, Planning, Insurances, Party wall, Marketing, Ecology, Archaeology etc.
Base Cost Estimate (Development)
13; Risk Allowances:
Design Development, Construction Risk, Employer Change, Employer Other
Cost Limit exc. Inflation (Dev & Con x Inflation)
Tender Inflation (cost plan date to tender return)
Construction Inflation (tender return to the mid-point of the construction programme)
Cost Limit Inc. inflation (Dev & Con inc. Inflation)
VAT assessment (requirement to be assessed by a tax specialist)
Design Development Allowance Levels
Stage 0/1 – 20%
Stage 2 – 15%
Stage 3 – 10%
Stage 4 – 5%
Employer Change Risk
Client type?
Experienced developer or occupier not experienced in construction - significant post contract changes? (e.g. UPS).
A commercial developer might allow 2%
Employer Other
Depends on the client.
Postponement, acceleration and funding issues
Can’t readily foresee
Commercial developer might allow 2%
Provisional Sums
Allowance for work that cannot be sufficiently quantified pre-contract due to lack of information.
Defined; included within the programme e.g. kitchens – scope of work is known but exact detail is not confirmed.
Undefined; cannot be included within the programme.
e.g. underground petrol tanks (unclear if removed and/or extent of issue/contamination level)
Prime Cost Sum
Included in pricing documents to cover expenditure for the purchase of materials.
Prime Cost Sums exclude Main Contractors OH&P, preliminaries and attendances as they are already allowed for.
Material costs only. e.g. tiling allowance where client has not confirmed material but knows they will need tiling
What is a Final Account?
Legally binding agreement ties together:
Variations
Loss and expense claims
Provisional sum expenditure
Formalizes the financial settlement of the contract with the contractor
UPS - Worst case vs lowest case
L3 - Best to have all info before agreeing final account
RICS Code of Measurement Practice
- GLOBAL BEST PRACTICE FRAMEWORK FOR MEASURING PROPERTY AREAS
- Provides consistency, internationally.
GIA - GEA - NIA
GIA - calculation of building costs, basis of measurement for the marketing and valuation
e.g. internal face of ext. wall excludes internal balconies
GEA - planning conditions, measurement for council tax banding
e.g. external face of ext. wall
NIA - Estate agent and valuation to measure sale/lettable space
excludes communal shared areas
International Property Measurement Standards (IPMS)
IPMS 1, 2 and 3 are more inclusive in measurement then GEA, GIA and NIA.
Included but stated separately;
areas with limited height (less than 1.5m),
Areas with limited natural light,
Principles of Measurement International (POMI)
International guidance for producing a BoQ (RICS). Widely used on international contracts
International Equivalent to NRM2
BIM – Building Information Modelling
1. Describe
2. 2D etc
3. Why not widely used
Manages information over the course of a construction project lifecycle
2D Traditional drawings
3D Visual model
4D Time / programme
5D Cost
6D Sustainability
7D Facilities management
Not widely adopted due to:
cost
training
software integration
Schedule of Works
“Without quantities’ instructional lists - Smaller, uncomplicated projects
Failure to describe may result in a claim by the Contractor.
E.g. works to ceiling of existing building were not outlined so contractor had not made allowance.
Less detailed than BoQ
Quick to produce
Schedule of Rates
Labour, Plant & OH&P rates
Cost reimbursable contracts
Larger scale ‘measured / term contract’
Nature of work is known but cannot be quantified
e.g. Road Construction
OR
Continuity of programme cannot be determined.
e.g. Ongoing estate management
Loss and Expense
- Contractor can recover loss and expense to put them back in the financial position that they would otherwise have been in.
- Events which cause delay or disruption to the regular progress of the works.
- Typical causes might include;
- Failure to provide possession or access,
- delays in instructions
- UPS – Omission by Employer (HV power to site) = Prolongation of works
Preliminaries
Set out how the work is to be undertaken.
e.g. working hours,
planning conditions (noise),
site records(contamination & H&S)
site waste management plan.
Contractor site preliminaries;
Staff
Welfare/offices
Scaffolding
Temporary services
PPE