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All methods of controlling the cost of

building projects.

Within the limits of predetermined

sum.

Throughout the design and

construction stage

Purposes:
To give client good value for money, in term

of performance, cost and time.


To achieve a balanced and logical

distribution of available funds between the


various part of the building.
To keep total expenditure within the amount

agreed by the client.


Initial Estimate = Tender Figure = Final Account

PROJECT COST CONTROL


Need For Cost Control:
Greater urgency for completion of project.
Client expects high level of efficiency and

expertise from their professional advisers.

Rising prices, restriction on use of capital

and high interest rates.

New constructional techniques, materials

and components.
Greater

problem in assessing the capital and


maintenance cost.

PROJECT COST CONTROL


Establishment of Project Brief:
Be abroad and flexible statement of objectives
Defining matters such as:
Site
Building

type
Space requirement
General comfort standards
Desired approximate total budget
Timescale for design and construction
Estimated useful life of building

COST CONTROL PROCEDURES


STAGES

TASK

INCEPTION

Establishment of brief

FEASIBILITY

Feasibility studies / budget

OUTLINE PROPOSAL

Alternatives / Cost Plan

SCHEME DESIGN

Cost Plan / Cost Check

DETAIL DESIGN

Final Cost Check

PROJECT COST CONTROL


INCEPTION STAGE:
clients requirements / needs
Performance
The building must satisfy his needs, otherwise
the architect has failed in his design function.
Time
Design length, start date, hand-over &
completion
Building should be available for occupation on
the specified completion date.
Cost
Final cost should be closed to original estimate

PROJECT COST
CONTROL
FEASIBILITY STAGE:

Process of carry out studies of clients

requirements.
Architect will define physical limitation of

the building e.g. Site survey, plot ratio,


residential densities, maximum building
height, adjoining building, etc.

PROJECT COST CONTROL


OUTLINE PROPOSAL STAGE:
To determine general approach to layout, design

and construction.

To obtain approval of client outline proposal


During this stage architect will develop further

design i.e, carry out studies on user requirements,


technical problems, designs, planning, etc.

To consider the internal planning of the building

related to vertical and horizontal circulation


networks, etc.

Lead to a number of possible solution to be

tested for general viability.

PROJECT COST
CONTROL
SCHEME DESIGN:
Final development of brief
Full design by Architect
To select proposal
To obtain client approval
QS to prepare cost plan

PROJECT COST
CONTROL
DETAIL DESIGN:
Full design on the selected design
QS start preparing cost check i.e, compare

with cost target


Stage for preparing approximate quantities
Remedial action if necessary

PROJECT COST CONTROL


OVERALL TASK: From FS to Design Stage
Advice on strategic planning of a project
Whether
How

or not to build

quickly to build

Effect

of time on cost / price / profitability

Relationship
Cost

of capital cost to maintenance cost

implication of design variables

Differing

construction techniques