Remove Budgeting Remove Estimating Remove Infrastructure Remove Procurement
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Credible Construction Estimate Core Elements

Job Order Contracting

A credible construction cost estimate is required prior to engaging in procurement. The follow elements are common to a credible construction cost estimate. Credible Cost Estimate Core Elements #1 Objectivity – The information used and those invovled in the creation of the construction cost estimate must be objective.

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Area Cost Factors – Not a viable for Federal Construction Cost Estimating?

Job Order Contracting

Should Areas Cost Factors be used for Construction Cost Estimating? As a result, more than 40 years after the introduction of area cost factors (ACFs), the federal government is no closer to its goals of having construction cost estimates match actual construction costs, or properly adjusting for regional (location based) variances.

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STOP using ACFs – The inherent flaws of Area Cost Factors

Job Order Contracting

STOP using ACFs – The inherent flaws of Area Cost Factors There are multiple false assumptions associated with Military Construction Budgeting and Area Cost Factors. The use of area cost factors (ACFs) for capital planning and budgeting repair, renovation (sustainment) and new construction factors remains a flawed approach.

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Early estimates only part of the procurement problem

Construction Law

The UK’s poor procurement practices are highlighted yet again by the news that the £19bn Crossrail project can’t be completed with the money available to the project. Another chapter in the long history of analysing why the UK’s procurement practices are so poor has just been produced by the National Audit Office (see News).

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Framework for Integrated Facilities Planning, Procurement, and LEAN Project Delivery

Job Order Contracting

Any real property owner can develop and deploy a robust Framework for Integrated Facilities Planning, Procurement, and LEAN Project Delivery. People, Process, Information, and Technology are central components to optimally planning, planning, funding, maintaining, and managing facilities and other forms of physical infrastructure.

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Traditional Facilities Construction Cost Management Failure – Repair, Reno, Maintenance, and New Builds

Job Order Contracting

I can dynamically track every dollar in my budget and forecast critical costs with real time data from the field, while staying in sync with the accounting system. I can leverage data from previous projects to benchmark cost performance and improve future cost estimates.

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The FM Mismanagement Problem Defined

Job Order Contracting

Unless the fundamental root causes are addressed, there is little hope of for ending the endemic economic and environment waste associated with building and other forms of physical infrastructure. Decisions made using “bad data” are estimated to have cost the industry $88.69 Levels of waste currently average 20%-50%+. #4.

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