-
Development of Construction Contracts and Case Law
Labor laws regulate working relations between employers and employees to protect the fair conduct of business, reduce risks, and prevent accidents. Construction organizations are tasks with the challenges of performing and competing in an environment fraught by delays and inefficiencies. Lean production, total quality and earned value were developed as methods of analyzing and managing…
-
Roles, Conflicts and Resolution Within Construction Contracts
Construction projects have become more complex during the past century requiring more detailed contracts to facilitate the relationships between owners, designers and builders. Standard agreements and delivery methods should define the roles and procedures to minimize risks and resolve disputes. Clear and common language must be utilized to prevent misinterpretation or misunderstanding that can lead…
-
Utilization of Artificial Neural Networks for Construction Productivity
Artificial neural networks provide methods of processing complex data through simulations that resemble human problem solving. Groups of decision nodes are arranged in multiple layers to predict outcomes based on weighted parameters. These applications include cost estimating, productivity forecasting, energy modeling, structural analysis, collision detection, and flow calculation. Combined with earned value management, critical factors…
-
Theory and Measurement in Construction Productivity
Technological advancements continue to enhance most industries including manufacturing, though labor productivity in construction has actually decreased over the past decades. There is a growing need to streamline operations to increase value and reduce costs, yet complexity and fragmentation remain as barriers to implementation. Productivity metrics and performance indexes provide analytical data but offer no…
-
Lean Principles in Construction Management
The construction industry is experiencing greater client demands and higher rates of failure with rising costs, labor shortages and poor performance. Technologies brought forth by the fourth industrial revolution are beginning to shape the future of construction. Translating concepts successfully from manufacturing into construction requires technical training and stronger leadership. Human activities, environment impacts and…
-
Towards Common Standards in the Construction Industry
Globalization and the fourth industrial revolution have brought a myriad of changes to processes throughout the construction sector. In a heavily regulated industry, standards must be adapted to promote innovation and technology while maintaining the common practices of traditional methods. Implementing new procedures can be time-consuming and labor-intensive, but the benefits of efficiency and cost…
-
Measuring and Comparing Construction Activities
Critical path method and project evaluation and review technique were developed for scheduling of important tasks. Analysis of these schedules resulted in several project performance and labor productivity indexes. The construction industry remains a dangerous and physically demanding one. It consumes vast amounts of natural resources and is major producer of environmental waste. Project managers…
-
Comparing Prices and Cost for Construction Projects
The construction industry produces enormous amounts of carbon emissions and demolition waste. Incorporating modern manufacturing techniques has the potential to revolutionize the global market through modularity and prefabrication. Increasing productivity while improving quality and reducing environmental impact have been the focus of much research and continued efforts in recent decades. Understanding international cost comparison, comparable…
-
International Construction Cost Comparison
Rapid urbanization is creating greater demands on engineers and infrastructure while straining resource supply and natural ecosystems. Growing economies are leading to construction delays and cost overruns. Research in project life cycle explores the cost benefits of these improvements. Green building and zero-energy goals come at a higher cost, but is necessary to reduce CO2…
-
Time Value of Money in Construction Projects
Construction management seeks to optimize the time, cost and quality of projects by increasing the profitability and value of improvements for stakeholders. Financial analysis, utilizing earned value management, aids in decision making by predicting budget and duration. Cash flow modeling that includes risk distribution through a holistic approach will increase the accuracy of these projection.…
-
Cash Flow Analysis for Construction Projects
Cash flow management provides a means for analyzing the value of construction projects. These calculations are used to determine cost and schedule variance, and to estimate final costs. This information aids in decision-making throughout the project lifecycle, reduces a variety of risks, and mitigates budget discrepancies. With proper understanding of project financing, property owners and…
-
Lean Construction for Cost Control and Quality Improvement
Lean thinking and sustainability are shaping the future of the construction industry. Many of the lessons learned and implemented in the manufacturing sector have begun to enhance building design and performance, while reducing waste and controlling costs. Just-in-time production, off-site fabrication, and construction automation are emerging as modern methods and new technologies become integrated into…
-
Earned Value Management in Construction Cost Analysis
Earned value management measures project performance based on scope, schedule and cost. Utilization of these methods improves planning, tracks progress, and mitigates risks. Analysis of planned value, actual cost, and earned value provide key indicators in estimating budget, duration and probability of success. These tools offer greater cost control, assess and predict performance, help achieve…
-
Cost Control in Construction Project Management
Cost management is a key factor if project success and profitability for construction companies. Market fluctuations on material and labor costs must be considered in accurate cost estimating. Integration of big data and internet applications improve decision making throughout the entire lifecycle of construction projects. Understanding of earned value and actual costs is essential to…
-
Cost Estimating and Profitability in Construction
Accurate cost estimating is essential to project success. Budget shortfalls may lead to production delays, reduction in quality, and failure by abandonment. Monitoring and adjusting estimates will reduce uncertainty. Understanding funding requirements throughout the project lifecycle aids in decision-making. While labor productivity is a major factor affecting profitability in construction, proper financial management and positive…
-
Construction Budgeting and Cost Control Measures
Construction projects should be completed on time, within budget and to high quality. Cost management focuses on the financial status of projects and implements control measures to mitigate variances and reduce risks. The decision to bid a project can significantly impact the profitability of a construction company. Proper management of those projects and strategic planning…
-
Decision Making During Uncertain Conditions
Uncertainty will affect decision making on any construction project. Various risk factors can lead to greater costs and longer durations. Planning is essential in the financing, design, build, and operation. Modeling the lifecycle and energy efficiency will aid in sustainable development. Calculating the benefit-to-cost ratio will determine the value of money to begin construction, start…
-
Scenario and Sensitivity Analysis in Construction
Construction projects are full of risks and uncertainties. These range from physical hazards to financial threats and legal burdens. Scenario analysis can be used to address safety concerns and formulate prevention measures. Utilization of sensitivity analysis will aid in decision-making in land development, sustainable design and material selection. Relying on expert experience and historical data…
-
Managing Uncertainty in the Construction Industry
The success of construction projects depends greatly on management of risks throughout its life cycle. It is imperative that project managers be able to make informed decisions given the level of uncertainty inherent in the industry. Analyzing statistical data and historical experiences with probability methods will provide information necessary for improvements. Cost estimating must be…
-
Risk Assessment Tools for New and Existing Construction Projects
Risk management identifies risks, examines impacts, forms responses and monitors results. Construction supervision is effective at reducing risks through documentation, compliance, conformity and selections. Information about risk can be analyzed with qualitative and quantitative methods. By understanding the source of uncertainties, project managers can reduce adverse risks and learn from them, resulting in better project…
