Quantification & Costing (of Construction Works) Flashcards
Why do quantities need to measure in a uniform way?
Quantities must be measured uniformly to:
Ensure consistency and comparability between tenders or cost plans.
Provide a standardised basis for pricing and valuation (e.g. BoQs, interim payments).
Enable fair competition between contractors and subcontractors.
Avoid disputes through transparent scope definition.
Align with RICS standards and statutory guidance.
This uniformity is typically achieved using formal methods like the RICS New Rules of Measurement (NRM) or CESMM.
What are the different methods?
Key methods of measurement include:
RICS NRM1 – Order of cost estimating and elemental cost planning.
RICS NRM2 – Detailed measurement for building works (BoQs).
RICS NRM3 – Maintenance and lifecycle costing.
CESMM4 – Civil Engineering Standard Method of Measurement.
MMHW – Method of Measurement for Highway Works.
SMM7 – The predecessor to NRM2 (now largely phased out).
Each method suits a different stage or type of project.
Are they not standard so not different?
They are all standardised, but each applies to a different purpose or sector:
NRM1 is used for cost planning.
NRM2 is used post-contract for detailed pricing and tendering.
CESMM is used for civil engineering works. Thus, they differ in structure, rules, and measurement focus, even though all are standard methods.
Can tell me what is your understanding of RICS code of Measuring Practice?
The RICS Code of Measuring Practice (6th Edition) provided guidance on measurement of areas (e.g. GIA, NIA, GEA), and was widely used in property and construction. It was superseded by the RICS Property Measurement (2nd Edition), which aligns with the International Property Measurement Standards (IPMS).
Its purpose was to ensure consistent area reporting across property types and valuation/appraisal work.
When would it be used in your day-to-day employment?
I use these measurement codes when:
Measuring floor areas for benchmarking or feasibility studies (e.g. GIA/NIA).
Preparing or validating gross and net lettable areas in development appraisals.
Ensuring consistency in client cost plans.
Advising design teams on how changes in area affect cost or value.
GEA, GIA and NIA how are they each measured?
GEA (Gross External Area): Measured to the external face of external walls; includes external projections. Used for industrial or planning purposes.
GIA (Gross Internal Area): Measured to the internal face of external walls. Includes internal partitions. Used for cost planning and construction.
NIA (Net Internal Area): Usable floor area measured to internal face of walls; excludes toilets, plant, corridors. Used for lettable space and valuations.
Defined in RICS Property Measurement, aligned with IPMS.
Will the Employer’s Requirements be available at cost plan stage?
Not always.
Typically, at RIBA Stage 2 or 3, the Employer’s Requirements (ERs) are still being developed.
At cost plan stage, especially early stage (Stage 2), cost estimates are based on:
Concept designs.
GIA estimates.
Benchmarking. By Stage 4, ERs may be sufficiently developed to support a more accurate cost plan.
Which method of measurement would you consider is the most appropriate for measuring civil engineering works?
The most appropriate is CESMM4 – the Civil Engineering Standard Method of Measurement.
It provides:
Structured measurement rules for earthworks, roads, drainage, etc.
Compatibility with ICE and NEC forms of contract.
Detailed rules for provisional items, items of risk, and temporary works
In the document suite the New Rules of Measurement (NRM) what are the key differences between NRM 1 and NRM 2?
NRM1: Used during pre-contract stages for cost planning and elemental breakdowns (e.g. by substructure, superstructure).
NRM2: Used post-design for detailed Bill of Quantities preparation and contractor pricing.
Key differences:
NRM1 = Elemental format; NRM2 = Trade-based format.
NRM1 supports budgeting; NRM2 supports tendering and contracts.
What is the purpose of NRM 3?
NRM3 is used for:
Maintenance and lifecycle costing, helping clients assess long-term operational and replacement costs.
Facilities management and asset budgeting.
Whole-life cost analysis in support of sustainable design.
How do British Standards affect the measurement of construction works?
British Standards (e.g. BS 8536) provide:
Best practice guidance for the design and delivery of operational assets.
Standards for how elements should be specified and classified (e.g. BS EN 1990 for design principles).
Influence the format and structure of cost plans, particularly in MEP and civil works.
They ensure compliance and consistency in specification and documentation.
How do the Building Regulations affect the measurement of construction works?
Building Regulations influence measurement by:
Defining minimum space standards and area thresholds.
Affecting cost through design implications, e.g. thicker insulation affecting GIA/NIA.
Imposing fire separation and accessibility requirements, influencing wall types and circulation space.
Driving specification which in turn affects quantification.
What current challenges is Covid and/or Brexit bringing to Quantification & Costing?
Increased volatility in pricing, making cost forecasting more difficult.
Material shortages (e.g. steel, timber, insulation) delaying procurement and skewing historic cost data.
Reduced labour availability, impacting preliminaries and labour productivity assumptions.
Greater reliance on early market testing and real-time data to inform accurate quantification.
What is the IPMS?
The International Property Measurement Standards (IPMS) are globally recognised measurement standards that provide a consistent method for measuring property across all asset types and international markets.
What are the different versions?
There are different versions of IPMS tailored to property types, including:
IPMS for Office Buildings
IPMS for Residential Buildings
IPMS for Industrial Buildings
IPMS for Retail Buildings
Each includes defined measurement components such as:
IPMS 1: Gross External Area of a building (used for planning or cost appraisal).
IPMS 2: Internal common areas (used for internal planning or management).
IPMS 3: Occupier area (used for valuation or leasing purposes)
How did you go about creating an order of cost estimate?
To create the order of cost estimate for LUX 14.3, I:
Reviewed early design information at RIBA Stage 2, including GA plans, massing models, and a schedule of accommodation.
Measured the Gross Internal Area (GIA) using the RICS Property Measurement standard to ensure accuracy.
Applied benchmark £/m² rates sourced recent comparable projects within my office database, adjusted for:
Project complexity.
Location factor (e.g. London premium).
Programme duration and procurement risks.
Applied allowances for contingency, preliminaries, professional fees, and inflation using indices.
Produced an elemental breakdown following NRM1, including substructure, superstructure, finishes, and MEP elements.
Talk me through how you created a pricing document?
To create the pricing document, I:
Reviewed the latest design drawings and specifications with the design team.
Developed a Schedule of Works structured around work sections and trade packages (e.g. groundworks, steel, cladding).
Ensured items were detailed enough to enable accurate contractor pricing but concise for clarity.
Incorporated provisional sums, PC sums, and defined/unmeasured work where design was still evolving.
Included tender-specific details such as preliminaries, allowances for contractor design portions (CDP), and dayworks if required.
Formatted the document in line with NRM2, allowing the client to assess return pricing in a consistent structure.
What method of measurement did you use to create the pricing document?
I used NRM2 (New Rules of Measurement 2), which is the RICS-approved method for the preparation of Bills of Quantities and pricing documents in the post-contract stage.
NRM2 provides:
Clear measurement rules and coding structure by element and trade.
Consistency in contractor pricing and tender evaluation.
Compatibility with standard forms like JCT and procurement best practice.
Can you give an example of how you measured partitions using NRM2 in a BoQ?
Yes. On the LUX 22 project, I prepared a BoQ for the internal fit-out package, including drywall partitions, in accordance with NRM2 Work Section 7: Internal Walls and Partitions.
Here’s how I approached it:
Reviewed Design Information:
I received detailed partition setting-out plans, types (e.g. single layer, acoustic rated, glazed), and specifications showing stud size, board type, acoustic performance, and height.
Classification and Measurement:
I classified the partitions under NRM2 Section 7.1. Each partition type was listed separately, measured in square metres (m²) to the finished face, as required by NRM2.
Why was the client advised to do a negotiated tender?
The client wasn’t advised to do a negotiated tender, but wanted to do one with the contractor of a recently completed project in which they built a relationship and believed they would get best value for money
Why did they have larger quantities?
They had larger quantities due to a software area error on their side which didn’t scale the drawings accordingly and they didn’t notice this when submitting their tender.
How did your measures differ?
The measures differed across all measured items, i.e partitions, external wall, substructure. For enumerated items they were the same.
How did you negotiate an allowance for the striking of the scaffolding?
I obtained substantiation from the contractor which highlighted the allowance to strike the scaffolding. I then worked out how many man hours it would take and if it was reasonable for the works
