Estimating_Practice_23CVB126_Expanded_Flashcards
What are the two main categories of construction costs?
Project Costs and Head Office Costs.
What factors influence labour and project productivity?
Workforce motivation, skill level, site conditions, weather, technology, and project management.
What are the key components of project cost planning?
Material costs, labour costs, overheads, and contingencies.
What is a common method to control project costs?
Using cost control software and regular financial reviews.
What factors should be considered when hiring or purchasing plant?
Cost, duration of use, availability, maintenance, and resale value.
What are the two key methods of approximate estimating?
Superficial Area Method and Functional Unit Method.
What is the main purpose of approximate estimating?
To provide early cost predictions for feasibility studies and budgeting.
What are ‘Spot Items’ in estimating?
Specific cost items priced individually rather than using standard unit rates.
What is an advantage of operational estimating?
It allows for a more detailed breakdown of construction activities.
What is the purpose of Bills of Quantities (BQs)?
To provide a fair basis for tendering and to control costs during construction.
Who is responsible for preparing the BQs in traditional procurement?
The Client’s Quantity Surveyor.
How are BQs used in interim valuations?
By multiplying the bill rates with the completed quantities of work.
What is a key error that contractors should look for in BQs?
Items specified in drawings but missing from the BQ.
What is the role of a Risk Register in construction?
It identifies, analyzes, and monitors potential project risks.
What is the Expected Monetary Value (EMV) method?
A risk assessment tool that calculates risk exposure as Impact × Probability.
What is a common risk factor for contractors in construction?
Unforeseen ground conditions.
How can risks be mitigated in project planning?
By conducting feasibility studies and thorough risk assessments.
What are examples of Temporary Works?
Formwork, scaffolding, and cofferdams.
What is the purpose of a Method Statement?
It outlines the step-by-step construction process while considering safety and quality.
What is the role of the Construction (Design and Management) Regulations (CDM)?
To ensure health, safety, and welfare in construction projects.
What is a Storyboard Method Statement?
A visual representation of construction sequences using text and images.
How does technology improve plant selection?
It enhances efficiency through GPS-controlled equipment and automation.
What is Building Information Modelling (BIM)?
A digital representation of a building that facilitates collaboration and decision-making.
How does automation impact construction?
It improves productivity by reducing manual labor and errors.
What is Lean Construction?
A method that minimizes waste and maximizes value in construction processes.
What is the impact of negative cash flow in construction?
It can lead to project delays and financial instability for contractors and suppliers.
How long does it take for interim payment money to reach the contractor’s bank account?
Typically a minimum of 28 days.
What is the key goal of cash flow management in construction?
To ensure that income covers expenses to prevent financial issues.
What is a retention payment?
A portion of payment withheld until project completion to ensure quality.
What is the purpose of contract documents in construction?
To define the legal relationship between the employer and the contractor.
What is a Common Data Environment (CDE) in BIM?
A shared digital workspace for project stakeholders to manage and exchange information.
What is the risk of using non-standard contracts in a recession?
It poses severe financial risks to contractors.
What are key contract risks for contractors?
Delays, unforeseen site conditions, and disputes over scope.
What is the primary purpose of estimating in construction?
To systematically calculate project construction and overhead costs.
What factors allow a Commercial Director to reduce profit margin on a tender?
Clearly defined scope, standard contract form, and acceptable cash flow.
Which method helps in identifying initial project risks?
Brainstorming sessions with experienced team members.
What defines a qualitative risk assessment?
Evaluating risks based on nature, probability, severity, and mitigation.
What is a key factor in ensuring a successful subcontractor agreement?
Clearly defining scope, terms, and responsibilities in the contract.
