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LEAN Construction Cost Control

Job Order Contracting

Cost management systems should involve a set of robust processes required to ensure that a construction project is completed within the approved budget, on-time, and per specification, including cost estimating, cost control and cost projection. Tools and services are readily available to support Lean construction cost control.

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LEAN Construction Framework – A Robust Solution fully supported by tools and services

Job Order Contracting

Integrated internal and external planning, procurement, and project delivery teams. An introduction to a LEAN Construction Framework – A Robust Solution fully supported by tools and services. Efficient, balanced, and collaborative. Project team members are selected through value-based proposals and associated rankings/metrics.

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Characteristics of Strategic Collaboration and Efficient Construction Project Delivery

Job Order Contracting

Integrated planning, procurement, and project delivery processes and team. The benefits of strategic collaboration vs. traditional construction planning, procurement, and project delivery are well documented and partially listed below (Chan et al., Projects completed at or under budgeted cost. Shared boundaries. Edelman, L.,

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LEAN OpenJOC(TM) Job Order Contracting for Sustainable Facilities Repair, Renovation, and Minor New Construction

Job Order Contracting

Benefits of an OpenJOC Job Order Contract implementation include an expedited procurement process, and consistent completion of quality projects on-demand, on-time, and on-budget per owners/contractor expectations. Best value procurement. Owner technical and procurement staff is supplemented. 4, 2002, p.

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Why Projects Fail

Job Order Contracting

85%+of all projects are over budget (just 31% of all projects came within 10% of the budget in the past 3 years – KPMG) 52% of rework is caused by poor project data and miscommunication (2018 Industry Report – Construction Disconnected, FMI). 40-50% work is either rework or not “value-added work.” ORGANIZATIONAL MATURITY.

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Job Order Contracting Information

Job Order Contracting

Over time, however, design-bid-build has proven to be inefficient, antagonistic, and incapable of delivering the majority of construction project on-time, on-budget, and to everyone’s satisfaction. Construction Cost Workbook – 2002 – Conference on the International Comparison Program World Bank. Learn more… [contact-form].

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LEAN Job Order Contracting Intro 4

Job Order Contracting

Construction Cost Workbook – 2002 – Conference on the International Comparison Program World Bank. Job Order Contracting – A Procurement Success Story, 1998 – Moore, W., They also select the construction delivery method. LEAN Construction Detailed Overview – LEAN Construction Institute, LCI – An overview of LEAN Construction.

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