Quantification and Estimating New

Question 1

How did you normalize bids on Beckton depot enabling works?

Answer 1

• Bidders did not all offer the same solution
• Requested 2 bidders to submit a mains foul connection solution.
• Only one bidder submitted a price so had 2 bidders with mains connection price and one with sceptic tank.
• I decided that the highest figure would be applied to the missing tenderer
• That then enabled each bidder to have comparative solutions to the mains connection.

Question 2

How did you create the tender documentation for the bidders to value?

Answer 2

• I created an activity schedule for the bidders to price.
• This detailed out the preliminaries so they would all be priced in the same way.
• As well as the main works descriptions
• The bidders could then apply assumptions

Question 3

How have you negotiated and agreed the valuation of construction works at various stages of a project such as contract sum, construction and final account?

Answer 3

On Beckton depot enabling works it was decided by the client that the mains foul water connection was no longer needed.
The contractor priced the work in the activity schedule at £110k as part of the tender.
The PM assumed they would receive back the value from the activity schedule price.
I advised the PM it would not be a case of removing the activity and returning the cost.
Under NEC3 ECC option A the cost would should be calculated on I built up a price from forecasted defined cost and the costs already incurred.
I advised that we Issue a PMI for the contractor to provide a quotation for the descope based on:

(i) the Defined Cost of the work already done
(ii) the forecast Defined Cost of the work not yet
done
(iii) the resulting fee (fee percentage applied to
the amount of Actual Cost covering specific
costs, mainly head office overheads and
profit).

Question 4

How have you advised on appropriate methods of measurement and costing?

Answer 4

…

Question 5

Describe advice given to a client in the valuation of variations, what was your advice? How did you arrive at this decision? why was it better than alternatives?

Answer 5

…

Question 6

What is the Civil Engineering Standard Method of Measurement?

Answer 6

CESMM – has been well established for over 20 years as the standard for the preparation of bills of quantities in civil engineering work

Question 7

When was the latest edition of the CESMM?

Answer 7

Volume 4 revised in 2019 published by ICE

Question 8

How is the CESMM categorised?

Answer 8

26 classes - A-Z – Ground investigation, site clearance, earthworks, pipework, roads..etc

Question 9

How would you advise your client on dealing with an error that was contained within a bid?

Answer 9

On identification of the error I would advise the client that…

• If identified prior to the contract being signed then this could be discussed with the contractor & amended in accordance with the option notified in the Instruction to Tenderers.
• Once the contract has been signed both parties must stand by the rate within the contract, even if it were wrong. Only through agreement would the parties be able to amend the rate.

Question 10

What is the purpose of the RICS Code of Measuring Practice?

Answer 10

Provides precise definitions to permit the accurate and consistent measurement of buildings

Question 11

What methods can be used to form an order of cost estimate?

Answer 11

• Floor area method
• Functional unit method (per bed per house)
• Elemental method (individual elements)

Question 12

What is an elemental cost analysis?

Answer 12

Is a full appraisal of cost involved in previously constructed buildings and is aimed mainly at providing reliable information that will assist in accurately estimating the cost of future buildings. It provides a product-based cost model providing data which initial elemental estimates and elemental cost plans can be based on.

Question 13

What are preliminaries?

Answer 13

Are items which cannot be allocated to a specific element, sub-element or component. Main contractor’s preliminaries include the main contractor’s costs associated with management and staff, site establishment, temporary services, security, safety and environmental protection, control and protection, bonds, guarantees and warranties.

Question 14

What are enabling works?

Answer 14

Enabling works are the preparation of a site in readiness for the first stage of development. Examples include installing perimeter fencing, carrying out ground clearance, building access routes and putting up safety signage. Enabling works may also include preliminary construction work, such as groundworks.

Question 15

What are facilitating works?

Answer 15

Facilitating works is a term used to describe specialist works which, normally, need to be completed before any building works can commence (e.g. demolition works, works involving the removal of hazardous and deleterious materials, and soil stabilization

Question 16

What is defined cost?

Answer 16

Broadly speaking, Defined Costs are the actual costs incurred by the Contractor on the Works minus retention and any costs which would fall within the overheads covered in the Fee

Question 17

What are disallowed costs?

Answer 17

Disallowed Costs are those which the contractor has incurred, but for which the employer does not have to pay. This could include costs which cannot be justified, those which should never have been paid to a subcontractor or supplier, or those incurred because the contractor did not follow certain stated procedures

Question 18

What is a schedule of cost components?

Answer 18

The Schedule of Cost Components contains rules for the reimbursement of people employed and not employed within the Working Areas.

• People
• Equipment
• Plant and Materials
• Manufacture and fabrication
• Design
• Insurance

Question 19

What is a bill of quantity?

Answer 19

A bill of quantities (commonly known as BOQ or BQ) is a document prepared by a quantity surveyor or cost consultant to define the quality and quantity of works required to be carried out by the main contractor to complete a project.

Question 20

What is the black book?

Answer 20

The ‘Black Book’ is a suite of guidance notes that define good technical standards for quantity surveying and construction professional.

Question 21

Talk me through how you would measure concrete foundations.

Answer 21

For piles the pile mat would need to be measured in m2. A cost for the piling plant and moving the piling rig would need to be factored in and measured by nr. The pile details would need to include diameter (mm) and depth of piles (m) and measured in nr. The disposal of excavated material would need to be cost and measures in m3. Cutting off tops of the pile would need to be measured by nr.

Question 22

What are the ways of valuing change?

Answer 22

• Pricing schedule
• Contractors quotes
• Dayworks
• First principle

Question 23

What are the benefits of having a standard method of measurement?

1) Provides structure for information
2) Defines units of measurement for different items (m, m2, m3, t)
3) Provides rules as to what is included within each item
4) Defines terms used to avoid disputes
5) Allows familiarity to development so measurement becomes quicker and easier
6) Provides clear system of structuring other project information

Answer 23

1) Provides structure for information
2) Defines units of measurement for different items (m, m2, m3, t)
3) Provides rules as to what is included within each item
4) Defines terms used to avoid disputes
5) Allows familiarity to development so measurement becomes quicker and easier
6) Provides clear system of structuring other project information

Question 24

What are the different methods of measurement for a Cost Estimate?

Answer 24

1) Functional Unit
2) Floor Area
3) Elemental
4) Approximate Quantities
5) Bill of Quantities

Question 25

What is a Prime Cost Sum?

Answer 25

The term ‘prime cost sum’ (PC sum) is an allowance for the supply of labour, plant and materials to be provided by a contractor or supplier that will be nominated by the client. The allowance is exclusive of any profit mark up or attendance (such as material handling, scaffolding and rubbish clearance etc) by the main contractor.

Question 26

What is the Contractor deemed to have allowed for within a prime cost sum?

Answer 26

A prime cost is exclusive of profit or attendance by the contractor.

Question 27

How are prime costs adjusted?

Answer 27

They are finalised based on invoices of the supplied items, plus an amount for overheads and profit for the main contractor.

Question 28

How have you advised on a pricing document?

Answer 28

On Elephant and castle id survey a supplier submitted an activity schedule that included a lot of costs at the start of the work - front loading,

I advised the PM that we would be paying for completed activities early and later activities which were the production of the survey document weren’t priced sufficiently to represent its value or give enough incentive for the contractor to complete the works.

Requested the contractor to re consider the list of prices.

Question 29

How have you advised on the most appropriate pricing document?

Answer 29

On Elephant and castle I advised the use of NEC3 option A priced contract with activity schedule.

Scope was well defined
lower risk
less cost fluctuation

Not BoQ as quantities were not easily quantifiable.
As client wanted to minimize risk not any other pricing documents.