Construction Management W Integrated Design h y To succeed as a civil engineer, you need to be able to provide a client with t e a practical solution. Not only does the solution need to be technically fit-for- use, but it also needs to be cost-effective and time-efficient. Using case studies I and Cost Management n to illustrate the principles and processes it describes, Integrated Design and t e Cost Management for Civil Engineers is a guide to designing, costing and g r scheduling a construction project to suit a client’s brief. It emphasises the correct a t for Civil Engineers quantification and planning of works to give reliable cost and time estimates e d to minimise the risk of losing business through over-costing or losing profits D through under-costing. The text also outlines how to meet the necessary local e s ethical and legal requirements. The main territories covered are Australia, New i g Zealand, the UK, Southeast Asia and the Commonwealth countries, although the n principles are internationally relevant. Guiding you through the complete process a of project design, costing and tendering, this book is the ideal bridge between n d the study of civil engineering and its practice in a commercial context. C o s Andrew Whyte is the head of civil engineering at Curtin University, Western t Australia. He is also the coordinator of Curtin’s Master of Engineering Manage- M ment degree. a n a g e m e n t f o r C i v i Y132927 l 6000 Broken Sound Parkway, NW E Suite 300, Boca Raton, FL 33487 ISBN: 978-0-415-80921-4 n 711 Third Avenue 90000 an informa business New York, NY 10017 g 2 Park Square, Milton Park i www.crcpress.com Abingdon, Oxon OX14 4RN, UK n e 9 780415 809214 e w w w.sponpre ss.com r s Andrew Whyte A SPON PRESS BOOK Y132927 cvr mech rev.indd 1 7/15/14 11:02 AM Integrated Design and Cost Management for Civil Engineers Integrated Design and Cost Management for Civil Engineers Andrew Whyte A SPON PRESS BOOK CRC Press Taylor & Francis Group 6000 Broken Sound Parkway NW, Suite 300 Boca Raton, FL 33487-2742 © 2015 by Taylor & Francis Group, LLC CRC Press is an imprint of Taylor & Francis Group, an Informa business No claim to original U.S. Government works Version Date: 20140508 International Standard Book Number-13: 978-0-203-12760-5 (eBook - PDF) This book contains information obtained from authentic and highly regarded sources. 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Visit the Taylor & Francis Web site at http://www.taylorandfrancis.com and the CRC Press Web site at http://www.crcpress.com Contents List of figures xi List of tables xv Preface xix Acknowledgements xxi Author xxiii 1 Introduction 1 1.1 Civil engineering attributes 1 1.2 Design, construction and management of civil engineering projects 2 1.3 Chapter breakdown 5 2 Cost planning and control 9 2.1 Cost prediction and estimating in civil engineering projects 9 2.2 Cost estimating 11 2.2.1 Approximate estimating 12 2.2.1.1 Approximate estimating: Practice example 13 2.2.2 Preliminary estimating 16 2.2.2.1 Preliminary estimating: Practice example 17 2.2.3 Detailed estimating 18 2.2.3.1 Detailed estimating: Practice example 22 2.2.4 Cost plan inclusions 28 2.2.4.1 Preliminary items 29 2.2.4.2 Preamble items 29 2.2.4.3 Prime cost sums 29 2.2.4.4 Provisional sums 30 2.2.4.5 Contingency and daywork amounts 30 2.2.4.6 Profit markup 30 v vi Contents 2.3 Cash flow prediction and income/revenue monitoring 31 2.3.1 S-curve cash flow 33 2.3.1.1 S-curve cash flow: Practice example 34 2.3.2 Cost and income monitoring 38 2.4 The time–value of money and (civil) engineering economics 39 2.4.1 Present, annual and future worth project assessment techniques 41 2.5 Life cycle cost analysis: Civil engineering applications 43 2.5.1 LCCA case study: Review of road alternatives 44 2.5.2 LCCA case study: Pavements 48 2.5.3 LCCA case study: Floating structures 52 2.5.4 LCCA framework towards roof covering comparison 54 3 Timelines and scheduling civil engineering projects 57 3.1 Scheduling techniques 58 3.1.1 Gantt charts 58 3.1.2 Network and precedence diagrams 59 3.1.3 Critical path method 61 3.1.4 Programme evaluation and review technique 62 3.1.5 Project scheduling and plan review: Practice example 64 3.2 Rescheduling techniques to improve and adapt project timelines 69 3.2.1 Project programme condensing and crashing 70 3.2.1.1 Project programme condensing and (cost) crashing: Practice example 71 3.2.2 Resources and time frame 72 3.2.2.1 Project resources deployment: Practice example 73 3.3 Risk: Structured reporting 75 3.4 Alternative scheduling techniques for civil engineering projects 80 3.4.1 Linear scheduling: Practice example 81 3.5 Method statements 83 3.5.1 Method statements and risk 83 3.5.2 Method statement continuity 85 3.6 Value management 86 3.6.1 Value management techniques and tools 87 3.7 Critical chain project management scheduling 91 Contents vii 3.7.1 Implementation of critical path project management 93 3.7.1.1 Cutting estimated task durations 93 3.7.1.2 Buffer period installation and management 94 3.7.2 Updating project schedules in CCPM 95 3.7.3 CCPM application opportunities in civil engineering 96 3.7.4 CCPM variables already in use in the construction industry 98 3.7.5 Potential CCPM uptake factors 99 3.8 Agile management 102 3.8.1 Agile management and project scope 104 3.9 Delay and (oil price) fluctuations in civil engineering projects 105 3.9.1 Fluctuation and escalation clauses to address oil prices 107 4 Quality control in civil engineering projects 109 4.1 Quality systems and quality standards 110 4.1.1 Quality system checklist: Practice example 114 4.2 Quality and contractual requirements 116 4.3 Quality and continuous improvement 118 4.4 Occupational health and safety in construction 120 4.4.1 Industry initiatives in occupational health and safety in civil engineering 122 4.4.2 Safety: Concrete and formwork 123 4.4.2.1 Formwork failure: Case study examples 125 4.5 Prefabrication and modularisation productivity 128 4.5.1 Assessing benefits and disadvantages of prefabrication 131 4.6 Prefabrication and design specification decisions 134 4.7 Predicting defects in civil engineering activities 142 5 Contract documentation for civil engineering projects 149 5.1 Contractual arrangements 150 5.1.1 Elements of a contract 152 5.1.2 Contractual category type selection: Practice example 156 5.1.3 Project progression via GCC: International/national standard forms 159 viii Contents 5.1.4 Project progression: Variations, quality, extensions of time and claims 163 5.1.5 Contractual administration practice examples 165 5.1.6 Contractual dispute and resolution 166 5.1.6.1 Standard forms of contract selection guideline 168 5.1.6.2 Standard and bespoke forms of contract 176 5.1.6.3 Overseas contractual arrangements: Malaysian payment clauses 180 5.1.7 Environmental law 188 5.1.7.1 Methods of environmental assessment: Federal and state 191 5.2 Specifications for design solutions 193 5.2.1 Specifications systems suppliers 194 5.2.2 Specifications exemplars 195 5.2.3 Specification types: General, technical, prescriptive and performance 196 5.2.4 Specification decisions: Practice example 199 5.2.4.1 Specification requirements for infrastructure in mountainous regions 202 5.2.5 Design specifications to facilitate environmental savings 207 5.2.5.1 Specifications and the use of recycled materials 209 5.2.5.2 Demolition protocol and specifications for recycling 212 5.2.5.3 Sustainable specification options for recycling demolition materials 218 5.2.5.4 Life-cycle assessment (LCA), waste reuse and recycling 226 5.2.6 Specifications and BIM 237 5.2.6.1 BIM, the construction industry and specifications standards 238 5.3 Design measurement and mensuration: Civil engineering bills of quantities 246 5.3.1 BQ preparation 248 5.3.1.1 BQ preparation: Practice example (site clearance) 249 5.3.1.2 BQ practice example (concrete strip foundation) 251