Construction Management and Construction Scheduling have a clear goal of cost control. A lot of paperwork cannot achieve this construction cost control. The manager’s ultimate decision is that something needs to be done differently, and their implementation of this decision is what will accomplish the actual power.
Cost control systems are composed of:
* Observation
* Compare the observation to a desired standard
* Take corrective action if needed.
A construction cost-control system should allow a manager to observe current costs, compare them to a standard plan or norm, and then institute corrective actions to keep the price within acceptable limits.
The response times of most construction cost control systems are excessively slow. Even the best methods for cost control would give information about what happened last week or last month. In construction projects, some activities may be completed in a matter of a few weeks or months. If the cost estimates for these activities are overrun, nothing can be done.
Cost Control Systems: New Developments
Three developments in construction management have the potential to improve cost control in the construction industry.
1. Short-term Scheduling and control.
This system was created at Loughborough University in conjunction with a contractor. The plan aims to merge planning and supervision and thus achieve a response time of less than zero.
. 2. Project Cost Model.
This is a system that Dr Martin Barnes developed to simulate future actions and guide the manager’s choice between them.
. 3. Quantitative Scheduling
CFF3 is a unique Construction Software that provides a futuristic cost-control tool for construction management. Version three takes into account the potential deviations in cost estimates and cash flow patterns. It provides a way to get back to the initial assessment by dampening these deviations over the remainder of the construction period. Each time a new figure is entered, updated estimates are given so that the final cost remains the same as originally estimated. This is a great tool for project managers to guide them through the entire construction process and capture the best actions possible in each activity. Quantitative Scheduling is based on labor rate and efficiency. It is recommended for cost minimization if productivity rates are to be maximized.
Construction cost is also directly related to material price, waste and usage, and fixed and variable overhead expenses. Managers should focus on these areas to make future adjustments to return to the original estimate or as close as possible.
Solar Energy
Solar energy is not just expensive panels on your roof. Consider a solar-powered home by investing in glazed, thick-paned windows or more complex photovoltaics. Solar is a costly upfront investment, but the benefits are seen in your monthly energy bills.
Landscaping
Consider Xeriscaped gardens and areas that have plants that need little watering. Consider rain barrels, which many cities offer through their water-and-energy programs. Or convert your outdoor water system into “graywater,” where you use recycled water from washing machines and dishwashers to water your yard or wash your vehicle. Plant trees native to your region that will shield your windows during hotter weather.
Neighborhood
Look at your locality. Are there community gardens or recycling programs? Public transport? Bicycle paths to avoid traffic? Do you have shops and restaurants nearby to encourage you to walk?