Quantification & Costing (of Construction Works) (Level 3) Flashcards
Why do quantities need to be measured in a uniform way?
To provide consistency and greater accuracy of pricing
What are the different methods of measurement?
CESMM
NRM
ICMS & International Property Measuring Standards
Can tell me what is your understanding of RICS code of Measuring Practice?
Provides guidance and standards for the measurement of buildings and land, ensuring consistency and accuracy in measurement practices within the property and construction industry.
When would the RICS code of Measuring Practice be used in your day-to-day employment?
When quantifying materials for new orders on construction projects, for example measuring the amount of fill required for trenches.
GEA, GIA and NIA how are they each measured?
the Code contains a hierarchy of definitions. The core definitions are:
- GEA (Gross External Area) - area of a building measured externally at each floor level
- GIA (Gross Internal Area) - area of a building measured to the internal face of the perimeter walls at each floor level
- NIA (Net Internal Area) - usable area within a building measured to the internal face of the perimeter walls at each floor level
In the document suite the New Rules of Measurement (NRM) what are the key differences between NRM 1 and NRM 2?
NRM 1 provides guidance on the quantification of building works for the purpose of preparing cost estimates and cost plans. Cornerstone of good cost management
NRM 2 is written mainly for BoQ’s and quantified schedules of works.
Which method of measurement would you consider is the most appropriate for measuring civil engineering works?
CESMM (Civil Engineering Standard Method of Measurement)
CESMM covers a wide range of civil engineering activities, providing detailed RULES and GUIDELINES for measurement and description.
Class E - Earthworks
Class F - Concrete
Class J - Pipework
What is the purpose of NRM 3?
Provides guidance on the quantification and description of maintenance works for the purpose of preparing initial cost order estimates.
How do the Building Regulations affect the measurement of construction works?
o Space requirements
o Accessibility and inclusivity
o Structural stability
o Fire safety
How do British Standards affect the measurement of construction works?
Quality, accuracy and consistrency of measurement and provide
(QAC)
STANDARDISATION OF
- measurement methods,
- measurement conventions (units, terminology)
- and quality assurance/ compliance.
Have you used a method of measurement?
I have used CESMM in university when taking off a shaft with connecting drainage and other manholes.
What is your understanding of the shorter schedule of cost components?
It is a shorter version of the Schedule of Cost Components (SCC) which is used to define various cost components to be included in a contractor’s prices.
The SSCC is a simplified version of the SCC and is used when a more detailed breakdown of costs is not required. It’s there to provide a streamlined approach to cost management.
What was the last element of work you measured? Can you describe the ‘to-take’ list you used?
Various direct delivery works on Forton.
- Concrete slabs.
- Drainage and ducting runs.
- Labour and plant to go with it.
How did you determine appropriate daywork rates for inclusion in the sub-contracts you have procured?
I would ask the subcontractor for their proposed daywork rates to be entered into the subcontract in the event of a compensation event occurring. I would check that each rate was in line with the latest industry benchmarks.
Why did you choose an activity schedule for the pricing document on Forton? (Also, Level 3)
Due to the nature of the contract, an activity schedule provides granular level detail for the activities they are to complete. The work is a critical part of the project and therefore incentivises the subcontractor to achieve activities in order to be paid.
Why did you not choose a bill of quantities?
o BoQ are extensive for larger subcontracts.
o Requires more time and effort for all parties.
o More items lead to more errors and disputes, impacting project progress.
o Limited subcontractor flexibility.
Which method of measurement did you use for the direct works, and why?
It was based on resource based measurement, which the subcontractor provided for initial review against a draft programme.
How did you cost the plant and materials for the pump station works?
o Sat with the project team to discuss the scope of works.
o Identify durations/ programme and assign to labour and plant requirements.
o Check price with other schemes.
o Input into the forecast.
How did you deal with risk in your analysis for comparison with the civil contractor’s quote?
I factored in the risks which we were to be exposed too vs letting it on a subcontract. The main one being weather which we factored in a risk amount of 3 additional weeks of prelims to complete the works. This included labour, plant and prelim prolongation.
What did you do regarding prelims and other attendances that would be required?
Prelims were calculated for the requirements of the works and multiplied by the number of weeks in the programme. This included welfare, generators, water etc.
Can you provide an example of advising on the appropriate method measurement?
Due to working as a main contractor, my experience with methods of measurement such as NRM and CESMM is limited.
However, I under this competency I have advised on selecting the appropriate pricing documents and agreeing valuations.
Can you provide an example of selecting appropriate pricing documents?
Forton Electrical Subcontract
Option A over Option B
Not quantifiable enough and requirement for fixed price payment incentive
What determines whether an item is 100% complete?
o Dependant on what the WI says.
o Fully delivered, installed, tested etc.
How was your advice regarding the application against an activity schedule received?
Some subcontractors would complain and state that this is not the industry norm and they are suffering cashflow wise. I would work with subcontractors to renegotiate the activity schedule to aid then with cashflow which provided beneficial to the works being complete.
How do you deal with accruals on the Option C contract?
- Two sections in the AFP for accruals (Subcontractor accruals and other cost components).
- Subcontractor accruals are substantiated with applications for payment.
- Other cost component accruals are derived from the agreed FTC.
- Costs which we will incur by the time we are paid.
How do you deal with elements that are disallowable before you meet the client?
o Identify items which are disallowable in accordance with the contract.
o Present the information to the client for discussion.
o Any disagreements are disputed and discussed framework wide.
How did you prepare for your negotiation of the final account on Williamsgate?
o Familiarised myself with the contract documents.
o Prepared a CE register with all relevant info on each parties’ position.
o Methodology for quantum disputes for discussion.
o Anticipated further contractual disagreements.
How much of the final account had been agreed prior to the meeting?
o 10/80 CE’s were not agreed.
o Combination of quantum and principal disputes.
o Both parties clearly defined their position and negotiated fairly such that the account was finalised in a spirit of mutual trust and cooperation.
What are the three NRM documents?
NRM 1 is Order of cost estimating and cost planning for capital building works
NRM 2 is Detailed measurement of building works
NRM 3 is Order of cost estimating and cost planning for building maintenance works
What is the structure of NRM 1?
- General introduction
- Measurement rules for order of cost estimating
- Measurement rules for cost planning
- Tabulated rules of measurement for elemental cost planning
- Appendices
What is SPONS and its content?
It is a series of cost guides that help you calculate and check the cost of projects.
It content is:
- Material costs
- Labour costs
- Plant and Equipment costs
- Overheads and profits
What is the structure of NRM 2?
- General introduction
- Detailed measurement of building works
- Rules of measurement for building works
- Appendices
What is an order of cost estimate?
An estimate based on benchmark data for a similar type of project based on the clients brief.
What is a cost plan?
An estimate based on a specific design.
What different classes are covered in CESMM 4?
The ones relevant to me are:
A = General Items
E = Earthworks
F = In Situ Concrete
P = Roads and Paving
What is the BCIS?
A service provided by the Royal Institution of Chartered Surveyors (RICS) that offers cost data, analysis, and benchmarking tools for the construction industry.
When would you use SPONS over the BCIS?
SPONS for detailed cost information with extensive breakdowns.
BCIS for broader cost benchmarking and early stage cost planning.
How is Risk defined under NRM?
Design development risk
Construction risk
Employer change risk
Employer other risk
Can you revise an activity schedule under and NEC Option A?
Yes under 54.2 only if activities no longer align with the Accepted Programme
