Cost Management

Assessment Details: Deliverable 1 (contributes to 50% of the overall assessment) 1) Knowledge of elemental cost estimating (20%) 2) Assessment approach to costing exercise (30%)

3) Accuracy and explanation of assessment (40%)

4) Overall presentation, Assumptions, report writing and referencing (10%) ----------------------

Total: 100 %

Background Your company has been asked by a developer to estimate the construction cost for 10 residence houses. The site area is 4000m². The proposed development is in its conceptual design stage. The designer has created the preliminary building plans, elevations and a section for the dwelling (See drawings as shown on Appendix A). The drawing shows the architectural design only. No structural, plumbing, drainage, and electrical services drawings have been developed. In addition to the drawings in Appendix A, the designer has given a brief specification and a finishes schedule (See Tables 1 and 2).

Table 1: Brief specification for proposed 2-storey residence houses

Ref Works Descriptions

Proposed Project Past Project

1 Foundations -750 x 500mm deep reinforced concrete strip foundations

-750 x 500mm deep reinforced concrete strip foundations

2 G/F floor slab - 225mm thick in-situ G25,160mm thick concrete slab

- 225mm thick in-situ G20,180mm thick concrete slab 3 1/F floor slab - 160mm thick concrete slab with

beams - 180mm thick concrete slab with beams

4 Roof - Pitched roof with timber rafters and purlins,250mm thick timber joist suspended floor

- Pitched roof with timber rafters and purlins,250mm thick timber joist suspended floor

5 Stairs - 1100mm wide concrete staircase

- 1000mm wide concrete staircase

6 Windows - Aluminium double glazed windows

- Aluminium double glazed windows

7 External walls - 215mm (overall thickness) containing block wall

- 215mm (overall thickness) containing brick wall

8 External wall Finishes

- Refer the table 2 -

9 Internal walls - 1 hour fire rated 102.5mm thick block walls for kitchen and 100mm thick stud partitions for the rest of the dwelling

-1 hour fire rated 102.5mm thick block walls for kitchen and 100mm thick stud partitions for the rest of the dwelling

10 Doors - Timber panel door - Timber panel door

Table 2: Finishes Schedule with prime cost

Floor and Skirting

Wall Ceiling

Garage - Cement and sand screed (QAR 90/m²)

- Plaster and paint (QAR 70 /m²)

- Plaster and paint (QAR 51 /m²)

Kitchen - Porcelain tiles and screed (QAR 34 /m²) - Porcelain tiled skirting (QAR 15 /m)

Approx. 5m2 Porcelain tiles to wall and screed (QAR 33 /m²) - Plaster and paint to the rest (QAR 70 /m²)

- Plaster and paint (QAR 51 /m²)

Bathroom - Porcelain tiles and screed (QAR 34 /m²)

- Ceramic tiles and screed (QAR 30 /m²)

- Plaster and paint (QAR 51 /m²)

Lounge, Dining,

- timber flooring (QAR 50 /m²) - Timber skirting with paint (QAR 20 /m)

- Plaster and paint (QAR 30 /m²)

- Plaster and paint (QAR 51 /m²)

Corridor, Staircase and Bedrooms

- Carpet flooring (QAR 34 /m²) - Timber skirting with paint (QAR 20 /m)

- Plaster and paint (QAR 30 /m²)

- Plaster and paint (QAR 51 /m²)

Note: The student should use the prime cost to calculate the finishes works for this proposed project.

Assessment Criteria:

As a cost consultant, Task 1 Measure the gross internal area (GIA) for the building from the appended drawings. The definition of GIA can be found in the New Rules of Measurement (NRM).

Task 2 According to the fourth edition of the Standard Form of Cost Analysis (SFCA), measure the element unit quantities for the following elements of the typical building:

• Substructure

• Upper floors

• Stairs

• Roof

• External Walls

• Windows & External Doors

• Internal Walls & Partitions

• Internal Doors

• Wall Finishes

• Floor Finishes

• Ceiling Finishes

Task 3 Your colleague has identified the elements for the development as shown

in Table 3. W ith reference to the element unit quantities calculated in Task

2 and u s in g th e p ri m e co st in t ab l e 0 2 with necessary assumptions,

estimate the cost of the development using elemental cost estimating

approach.

You should make use of unit rates from appropriate cost databases

estimate. You should also describe all assumptions made including the

arguments for the assumptions, and explain all the inclusions and

exclusions of your estimate.

Please find the location of the project as Doha.

Table 3: Element unit rates for proposed 2-storey residence house

Element Element Unit Rate

1 Substructure To be determined

2.1 Frame To be determined

2.2 Upper floors To be determined

2.3 Roof To be determined

2.4 Stairs To be determined

2.5 External walls To be determined

2.6 Windows and external doors To be determined

2.7 Internal walls and partitions To be determined

2.8 Internal doors To be determined

3.1 Wall finishes To be determined

3.2 Floor finishes To be determined

3.3 Ceiling finishes To be determined

4 Fittings, Furnishings and Equipment 5% of floor finishes item

5 Services 15% of the total of items 1 to 4

6.1 Site works 5% of the sub structure item

6.2 Drainage 5% of the service item

6.3 External services 10% of the service item

7 Preliminaries Allow 10% of the total of items 1 to 6

8 Risk Allowances Allow 5% of the total of items 1 to 7

Table of Assessment Criteria and Associated Grading Criteria

Assessme

nt Criteria

→

1. Knowledge

of

elemental

cost

estimate

2.

Assessment

approach

to costing

exercise

3. Accuracy

and

explanation of

assessment

4. Presentation

Weighting: 20 %

30% 40 %

10%

Grading

Criteria

0 – 29%

Fail to demonstrate

even a superficial

understanding of the

use of cost data and

preparation of element

cost estimate.

Fail to make use of

a proper approach

to evaluate cost

An

unexplained

presentation

or missing of

a cost

estimate. A lot

of significant

calculation

errors are

found.

A poor presentation that is

very difficult to read, no

references are made,

calculations are impossible

to be traced.

30 – 39% Demonstrate a

superficial

understanding of

the use of cost data

and preparation of

element cost

estimate. No

consideration of

model assumptions

is made.

Lack a

methodological

approach to analyse

and draw

conclusions for the

costing exercise.

A very weak explanation of how and why the cost estimate is arrived at. A few significant calculation errors are found.

A presentation that is

difficult to follow. A lot of

grammatical or typo

errors are found

suggesting the report

has not been proof-

read, references used

are generally not cited or

referenced, a lot of

calculations and build-

ups are not provided.

40 – 49% Demonstrate a

superficial

understanding of the

use of cost data and

preparation of element

cost estimate. Cost

model assumptions

are somewhat

considered but some

essential

considerations are

missed out.

Present an ill-defined

logical approach to

analyse and draw

conclusions for the

costing exercise.

A weak explanation of

how and why the cost

estimate is arrived at.

A lot of minor

calculation errors are

found.

A presentation that lacks a

consistent style. Some

obvious grammatical or

typo errors are found

suggesting the report has

not been proof- read, A lot

of references used are not

cited or referenced, a lot of

calculations and build-ups

are difficult to follow.

50 – 59% Demonstrate a clear

understanding of the

use of cost data and

preparation of element

cost estimate. Some

relevant assumptions

are stated although a

few essential

considerations are not

taken into account fully.

Allude to a

methodological

treatment to analyse

and draw conclusions

for the costing

exercise.

An explanation of

how and why the cost

estimate is arrived

at. A few minor

calculation errors are

found.

A presentation which

has a consistent style but

the report format is not

followed strictly, some

minor grammatical or typo

errors are found,

References used are

cited in general but some

used materials are not

referenced, some

calculations and build-ups

are difficult to follow.

60 – 69% Demonstrate a

clear understanding

of the use of cost

data and

preparation of

element cost

estimate, and

supported by

evidence of some

reasonable

considerations in

assumption setting.

Describe a practical

approach for

analysis and

drawing

conclusions,

arguments in

general are support

with evidence for the

costing exercise.

An explanation of how and why the cost estimate is arrived at. Generally, there is no major calculation error found that affects the conclusion.

A presentation, which is

clear and easy to follow. No

major grammatical and typo

errors, report format is

observed, References

used are cited in general,

calculations and build-ups

are by and large

traceable.

70 – 79% Demonstrate a

clear understanding

of the use of cost

data and

preparation of

element cost

estimate, and

supported by

evidence of some

reasonable

considerations in

assumption setting.

Data are sourced

appropriately and

arguments for the

use of them are

explained clearly.

Describe a practical

approach for

analysis and

drawing

conclusions,

arguments in

general are support

with evidence for the

costing exercise.

An articulated

explanation of how and

why the cost estimate

was arrived at. No calculation error is found.

A good presentation

which is easy to read, free of grammatical and typo errors, and in a cost report format, references used are clearly cited and listed, calculations and build- ups are fully traceable.

80 – 100% Demonstrate a clear

understanding of

the use of cost data

and preparation of

element cost

estimate, and will be

supported by

evidence of both

deep and wide

ranging

consideration in

setting

assumptions. Data

are sourced

appropriately and

arguments for the

use of them are all

explained clearly

with strong

justifications.

Describe a rigorous approach with scientific methodology for analysis and conclusions for the costing exercise.

A clearly

articulated

explanation of how

and why the cost

estimate was

arrived. No

calculation error is

found.

A polished

presentation,

which is stylish

references

used, are cited

and listed

strictly following

a particular

referencing

system, cost

report format is

professionally

presented,

calculations and

build-ups are

traceable.

Checklist Assumptions

Inclusions Exclusion Element units

Application of

NRM1 and other relevant rules

Arithmetic errors

Dimensions Calculation

Use of diagrams and

tables Arguments for

data choice

Spelling

Grammar Punctuation Paragraphs Titled diagrams Referencing Page breaks

Submission Details:

Work should be submitted electronically via Moodle upload. You are required to submit one file in Word of PDF vector format containing your answer for each of the tasks in the format of a cost report and one file in Excel format containing the calculations and working of your answer. The maximum file size

for each of file is 10MB. Drawings are drawn in a scale of 1:150 in A3 (Appendix 1). Therefore, the measurement can be taken from the scaled drawings.

Prices and rates can be obtained from the given hypothetical cost data ((Appendix 2) and do necessary adjustments to arrive for the current date with index. If indices are not available in your country, adjustment is then carried out based on discretion and argument.

If you submit an assessment late at the first attempt then you will be subject to one of the following penalties:

· If the submission is made up to two hours following the deadline, the mark

that you achieve will be deducted by 10%. If this deduction takes you below the pass threshold then you will be capped at that threshold, ie 40%; (*For example: work awarded a mark of 60% would become 54%)

· If the submission is made between two hours and up to 5 days following the deadline, your mark will be capped at the pass threshold;

· If the submission is made after 5 days following the deadline, your work will be deemed as a fail and returned to you unmarked.

If you submit a reassessment late then it will be deemed as a fail and returned to you unmarked.

Workload:

This is primarily a cost report with a significant part of the works coming from calculations. The report has a word count limit of 1200 words not including any reference list, appendices, figures and tables.

Typically, students are expected to take up to 27 hours to complete this assignment.

Feedback:

Your submission will be marked against the assessment criteria described above. You shall expect to receive a mark sheet showing your achievement for each criterion and an overall feedback of your submission in the format of written feedback or recorded audio feedback that highlights your strengths and weaknesses, and areas for potential improvement.

Marks and Feedback on your work will normally be provided within 20 working days of its submission deadline.

Revised 17/05/2017

Appendix Check the attachments