Suggestions for Reducing the Cost of a Structure - Business Plan Example

Engineering and Construction] [Suggestions for Cost Reduction] Suggestions for reducing the cost of a structure Introduction It is the target in the field of construction that any building that is to be constructed has to use the least cost possible. This has been done effective by innovating building technologies that will reduce the cost but also be productive. Research has always been done constantly so that possible ways of reducing building costs can be discovered and implemented in the building industry. This does not mean that the buildings should be constructed with low cost with poor quality and design which will later make it more expensive to maintain. It should be constructed at a low cost but at the same time the quality and standard of the building is being maintained. Many ways have ever since been discovered and are being used in most parts of the world in construction. Ways of reducing construction cost 1. Discover new Building technologies The industry should be able to develop new technologies that will assist in increasing the efficiency of the construction 2. Reduce the time set for the construction The time for the construction if reduced, it will help save on the salary spent to pay the workers, the cost of the hired equipment and company sites (Pries & Quigely 2013, p.54). 3. Reuse waste materials and resources Materials that have been used as formwork can be reused in the site until they are completely worn out. 4. Understand the current cost of construction materials and dwellings It is one of the most essential parts of construction and for any contractor who is cost sensitive, it is important to know the cost of property, building permit charges, taxes, and fee for connection of electricity, sewerage and water supply, interest loans that will offer profit to the project. The construction management should also be able to know the current construction cost. 5. Construction methods Construction methods that are effective and not time consuming can be used so that the time that is used could be reduced. This can be done with the arising construction effective technologies. 6. Break down the parts of the building The entire structure is to be divided and classified as per the order of construction and grouped in the way they are related so that it can be possible to know the materials that can be reused and the workers grouped according on their area of skills. This will make the work pore simplified and organized to reduce on excessive costs. 7. Cost allocation The management team should put the costs and the specific work that it will be spent on and see how it can be reduced so as not to affect the quality of the work and not to overwork the stake holders. It can be divided into the following subs as the will be operating: Materials Labor Sub-contractors; this is the sect that receives a larger percentage of the construction cost. Other expenses like the establishment of the project, machines that will be hired or bought and used on the site, and the management of the site and the construction. Technical consultations from other professionals Contractor remunerations If the construction will be able to implement more reliable and industrialized methods of construction then they will able to decrease the hours spent working on the site and also there will be the reduction of the waste materials that may arise in the process of construction. These new methods that will be used on the site will be able to reduce the services of the subcontractors (Younker 2003, p.16). Arranging the production into posts will also help simplify the scope of the construction of the four storey building. The posts may be classified into: Landscaping and Foundation Structure: This is inclusive of the material that will be used and the working hours that will be related with the construction of the structures that will be installed for load bearing. The climatic shells will involve the construction of climate controlling parts of the structure like the roof, outer walls, work that will be done on the finishing the exterior façade including the gutter, plating etc. Installations refers to management able to estimate the cost of plumbing, electrical cabling, and that of the HVAC (heating, ventilation, and air conditioning) systems that will be installed in the four storey building. Interior finishes refers to the cost of the interior amenities should also be estimated and work towards the cost that will be used for construction and the maintenance. Interior finishes include: washrooms, partition walls, painting, cabinetry etc. Establishment refers to the cost that will be used to put up the hoarding of the construction site and any other necessary fencing that will enhance security in the site. And other temporary roads that will be used for movement of machines on the site and the workers to avoid accidents and injuries. Management will be the cost that to be used during the life cycle of the construction to ensure its target is met. The things that will require such costs include: the cost of hiring the materials for scaffolding, machines, and the cost of the managers on site, offices, and other rooms. Technical design will include the cost of other designs except that of the architectural design Remunerations amount to be 10% of the cost of contract. All these costs should be calculated basing on the data of the current costs and those that can be reduced on the estimated costs are reduced. The cost of management will rely on the time that the construction will take, so if the time is minimized as much as possible then the cost to be spent on management will also be reduced. Therefore, the contractor should be able to check the prefabrication and the efficient technological industrial methods because they have a huge impact on the cost of the construction of the structure (Park 1998, p.45). 8. Cut the costs that are not value adding Many constructions have faults and one of the major sectors that form these faults are those that are linked with costs that do not add any value to the building erection. This can be countered by improving on the methods of construction and planning strategically. There should be reduction on the cost that is spent on waste which involves the purchase of excess material that cannot be reused and reduce the theft of construction materials. Some of the things that formulate the costs that are not value adding include: Moisture damages of the exterior walling and other parts that are not well damp proofed. Logistic problems that are brought up by the planning that has different people with different goals in the project. Waste has been analyzed to be arising from all sections: buying excess material, unnecessary transportation, avoidable accidents, therefore it is possible to reduce the cost that is brought up by waste on site (Heller 1971, p.63). Thermal Bridges should be brought up by the varying temperatures between the exterior wall and the exterior parts of the slab, especially the connection between the wall and the balconies. These can lead to growth of moulds due to the low temperatures that are brought by the thermal bridge. The regulations of how to reduce the thermal bridge should be followed to reduce the cost that will be used for maintenance after the walls have been damaged by moisture (Pourghazian 2008, p.12) Conclusion By looking at the development of effective construction methods from the whole process of building, it is possible to reduce the costs and use the minimal amount as much as possible. The knowledge of these methods will depend on the experience that will be available during the first phases of the development process. Reference List Heller, E. D. (1971). Value Management: Value Engineering and Cost Reduction, Addison Wesley Publishing Company, London; U.K. Park, R. (1998). Value Engineering: A Plan for Invention, CRC Press, Cambridge; U.K. Pourghazian H., Sep 2008, Industrial Construction Methods for Cost-Effective and Sustainable Multi-Storey Buildings, Stockholm, Sweden. Pries, K. & Quigely, J. M. (2013). Reducing Process Costs with Lean, Six Sigma, and Value Engineering Techniques, CRC Press, Cambridge; U.K. Younker, D. (2003). Value Engineering: Analysis and Methodology, CRC Press, Cambridge; U.K. Read More