33
Mark Wearen – Associate Director, Bruce Shaw MSCSI MRICS MCInstCES MCIOB March 2013 An introduction to Civil Engineering Cost Management

Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

  • Upload
    phamtu

  • View
    217

  • Download
    0

Embed Size (px)

Citation preview

Page 1: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

Mark Wearen – Associate Director, Bruce ShawMSCSI MRICS MCInstCES MCIOB

March 2013

An introduction to Civil Engineering Cost Management

Page 2: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

Bruce Shaw an internationally-acclaimed group of 300construction professionals.

We service clients in 150 cities in over 40 countries.

Highest standards of quantity surveying, project management andconsultancy to the global construction industry.

Global Expertise, Local Knowledge

An introduction to Civil EngineeringCost Management

Page 3: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

ISO 9001/14001 accredited

Dedicated Specialist Divisions Include:

Cost Management / Quantity Surveying - Civils/ Industrial/Retail/ Leisure/ Healthcare/ Education/ Residential/MEP

Project Management Procurement Insurance Program Management Health & Safety

Global Expertise, Local Knowledge

An introduction to Civil EngineeringCost Management

Page 4: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

Global Construction Consultants

Office Locations20 Global Offices throughoutthe GCC, Europe, USA & Asia Pacific

Project Locations150 cities in over 40 countries

March 2013

Page 5: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

Key Clients Include…

March 2013

Page 6: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

What is Civil Engineering ?

An introduction to Civil EngineeringCost Management

Page 7: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

What is Civil Engineering ?

‘The whole of non-military engineering at the timing of the founding of the ICE in 1818, but nowexcluding chemical, electrical, electronic, marine, mechanical engineering etc…it includes airfields,bridges, canals, docks, foundations, harbours, offshore construction, railways, river basis management,roads, sewage treatment, soil mechanics, structural design, traffic engineering, tunnels, water supplyetc…’

Penguin Dictionary of Civil Engineering, Fourth Edition

‘…civil engineering (the branch of engineering concerned with the design and construction of suchpublic works as dams or bridges)…’

http://wordnetweb.princeton.edu/perl/webwn?s=civil%20engineering

‘Civil engineering includes the planning, designing, construction, and maintenance of structures andaltering geography to suit human needs. Some of the numerous subdivisions are transportation (e.g.,railroad facilities and highways); hydraulics (e.g., river control, irrigation, swamp draining, water supply,and sewage disposal); and structures (e.g., buildings, bridges, and tunnels).’

http://www.reference.com/browse/engineering

‘The technical design and construction of public works (buildings, roads, harbours, public greens ...)and/or technically equivalent private (usually corporate) ones’

http://en.wiktionary.org/wiki/civil_engineering

An introduction to Civil EngineeringCost Management

Page 8: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

An introduction to Civil EngineeringCost Management

Sectors

Highways

Railways – Light and Heavy Rail

Marine Engineering – Ports and Coastal Protection

Airports – Runway Construction

Energy – Power Distribution and Generation

Utilities

Environmental – Water and Waste (e.g. Landfill)

Site Development

Page 9: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

ESTIMATING – APPROACHES AND KEY RISKS

An introduction to Civil EngineeringCost Management

Page 10: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

An introduction to Civil EngineeringCost Management

Estimating (1 of 4)

Identify Key Features and Risks

Key Quantities – fewer items…less transparent…sub-division

Method Related Charges – ‘not proportional to the quantities’*

Temporary Works

Preliminaries

Bulk Earthworks – Materials Management

Project Specific Variables - RESOURCES AND TIME – whatproblem does this pose ?

*CESMM3 Handbook, Section 7, Para 5

Page 11: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

Estimating (2 of 4)

Key Risks Location - Access Ground Conditions / Unforeseen Obstructions – Proportion

of Work Below Ground… Archaeology Utilities / Statutory Undertakers Possessions – Railways/Ports/Roads Environmental Inflation Weather – Seasonal Impacts

An introduction to Civil EngineeringCost Management

Page 12: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

Estimating (3 of 4)

Bulk Earthworks

Materials Classifications

Earthworks Balance - Equation

Import – Borrow Pits and Quarries

Bulking

Mass Haul

Cycle Times

Weather – Materials and Productivity

An introduction to Civil EngineeringCost Management

Page 13: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

Estimating (4 of 4)

Measurement Software – Areas and Volumes

Atlas SCC

Trimble Terramodel

LSS DTM Software

Earth

Mudshark

Design Software – Volumes

Bentley MX Moss

CivilCad

An introduction to Civil EngineeringCost Management

Page 14: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

Estimating – Measurement Example

Bulk Earthworks 100m x 100m site – toll plaza approach – total plan area 10000 m2 Site is split level – 2 m differential at mid-point – could be sloping 100mm Topsoil 100mm unsuitable/unacceptable (US) 50% of balance is Hard Material – Granite (no weathered material) – unsuitable

in it’s natural state – 100% suitable for processing as capping/suitable Balance is suitable/acceptable (general fill) Soft Spots – 100m3 – spread evenly around the site – filled with suitable (<25m3

– US if greater) 500mm Capping (Rockfill/Hardcore) Final Surface – Formation – Average level plus 1 m Ignore transition detail Assume no Bulking

An introduction to Civil EngineeringCost Management

Page 15: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

Estimating & CM Approach - Bulk Earthworks Example

Proposed Level Existing Level

2 m

100 m

Site Cross-Section

An introduction to Civil EngineeringCost Management

Page 16: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

Estimating & CM Approach – BULK EARTHWORKS EXAMPLE

An introduction to Civil EngineeringCost Management

AveDepth

Width CSA Length Volume Notes

m m m2 m m3

Cutting Cut TS 0.1 50 5 100 500US Soft 0.1 50 5 100 500US Hard Rock 0.15 50 7.5 100 750 Capping DisplacementSU 0.15 50 7.5 100 750 Capping DisplacementSoft Spots 50 50% Allocation

Total Dig Volume 2550

Fill Capping 0.5 50 25 100 2500 Capping MaterialVoid 0 50 0 100 0Embankment Seat TS 0

US 0Soft Spots 50 Suitable Material

Total Fill Volume 2550

Fill (Embankment) Cut TS 0.1 50 5 100 500 Topsoil DepthUS Soft 0.1 50 5 100 500 USUS Hard Rock 0 50 0 100 0SU 0 50 0 100 0Soft Spots 50 50% Allocation

Total Dig Volume 1050

Fill Capping 0.5 50 25 100 2500Suitable (Void) 1.5 50 75 100 7500 Underside of Capping to EGLEmbankment Seat TS 500

US 500Soft Spots 50

Total Fill Volume 11050

Page 17: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

Estimating & CM Approach – BULK EARTHWORKS EXAMPLE

An introduction to Civil EngineeringCost Management

AveDepth

Width CSA Length Volume Notes

m m m2 m m3

Topoil Strip 1000

Excavation Suitable 750Unsuitable 1750

EO Rock 750

Processing Rock to Capping 750

Disposal Topsoil 1000 Typically for Resoiling/StockpilingSuitable 0 All utilisedUnsuitable 1000 Excavated less Processed

Import Capping 4250 Total less ProcessedSuitable 6750 Total less excavated

Compaction 13600 Total Fill - Capping plus Suitable

Soft Spots 100 Measured Seperately

Page 18: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

QUANTIFYING CONTINGENCY

An introduction to Civil EngineeringCost Management

Page 19: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

An introduction to Civil EngineeringCost Management

March 2013

Risk Management and Contingency

Guess

Historical Precedent

Defined Allowances (e.g. Optimism Bias)

Quantified Risk Analysis

Page 20: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

March 2013

An introduction to Civil EngineeringCost Management

The British Department forTransport Procedures for Dealingwith Optimism Bias in TransportPlanning - Guidance DocumentJune 2004

Risk Contingency -Optimism Bias

Page 21: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

Post Contract Cost Management

An introduction to Civil EngineeringCost Management

Page 22: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

An introduction to Civil EngineeringCost Management

March 2013

Post Contract Cost Management

Read and Apply the Contract

The 3 R’s…..Records Records and more Records

As-Built Information – Quantities / Surveys / Classifications

Returns v Allocation Sheets

Photo and Video Records – High Definition

Site Diaries

Progress Reports

Cost Management tools – Registers / Scott Schedule (see NRA CAG)

Page 23: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

FORMS OF CONTRACT

An introduction to Civil EngineeringCost Management

Page 24: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

An introduction to Civil EngineeringCost Management

March 2013

Forms of Contract

Ireland IEI 3rd Edition 1980 Rev and Reprinted Oct 1990 PWC – Minor Works and Civil Engineering Options

International FIDIC Suite (1999) – Red and Yellow Books ICE NEC3 Suite of Contracts – Options A, B and C IChemE Suite of Contracts – ‘Brown Book’

Page 25: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

METHODS OF MEASUREMENT

An introduction to Civil EngineeringCost Management

Page 26: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

An introduction to Civil EngineeringCost Management

March 2013

Methods of Measurement

ARM

SMM

CESMM3 / CESMM4 (recently published)

NRA Method of Measurement

MMRB (Roads and Bridges)

MMHW (Highway Works)

POMI (Principles of Measurement International)

Page 27: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

USEFUL LINKS

An introduction to Civil EngineeringCost Management

Page 28: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

An introduction to Civil EngineeringCost Management

March 2013

Useful Links :

Contract Administration on Public Works Projects:http://www.nra.ie/Publications/ContractAdministrationGuidelineswww.constructionprocurement.ie (CWMF)

Contracts Overview :http://fidic.org/node/149

http://www.icheme.org/resources/forms_of_contract/history.aspx

http://www.neccontract.com/about/ContractDownloads.asp

http://www.out-law.com/en/topics/projects--construction/construction-standard-form-contracts/

Risk Analysis :http://www.palisade.com/risk/

Page 29: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

An introduction to Civil EngineeringCost Management

March 2013

Useful Links :

Rates and Prices : NRA Schedule of Rates

http://www.nra.ie/Publications/DownloadableDocumentation/CostEstimationDocumentation/file,10429,en.pdf

CECA Schedule of Dayworks Rates (previously the FCEC)http://www.ceca.co.uk/publications/ceca-schedules-of-dayworks-carried-out-incidental-to-contract-work-(august-2011).aspx

Professional Institutions: Society of Chartered Surveyors Ireland http://www.scsi.ie Chartered Institution of Civil Engineering Surveyors http://www.cices.org/ Engineers Ireland http://www.ei.ie Institution of Civil Engineers http://www.ice.org.uk/

Page 30: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

An introduction to Civil EngineeringCost Management

March 2013

Useful Links :

Plant and Equipment – Productivity: Caterpillar Handbook

http://www.warrencat.com/images/pdf/CaterpillarPerformanceHandbook42.pdf

Further Education DIT Masters in Applied Construction Cost Management

http://www.dit.ie/postgrad/programmes/dt164mscinappliedconstructioncostmanagement/

Page 31: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

Civil Engineering Experience

An introduction to Civil EngineeringCost Management

Page 32: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

Hilton Barbados600Nr Beds

Some of our Projects…

March 2013

East West InterconnectorAghada Power Station

NRA Service Areas

DolWin1 Baltic Cable

New Black Sea Port

Metro North

Bord Gais Wind Farms

Abu Dhabi International AirportM50 Widening

Saudi Aramco

Dublin Port Tunnel

Irish Rail Coastals

Greater Dublin Area Transportation Strategy

Bruce Shaw Engineering

Page 33: Mark Wearen – Associate Director, Bruce Shaw March 2013 · Mark Wearen – Associate Director, Bruce Shaw ... POMI (Principles of Measurement International) ... Mark Wearen –

Mark Wearen – Associate Director, Bruce ShawMSCSI MRICS MCInstCES MCIOB

March 2013

An introduction to Civil Engineering Cost Management

Thank You