John Ray D.

Cuevas ACTIVITY 12/3/18

CE42-B06

1. What is the purpose of estimating?

Construction cost estimating is the process of forecasting the cost of building a physical structure. Project
owners use cost estimates to determine a project’s scope and feasibility and to allocate budgets. Contractors
use them when deciding whether to bid on a project. You usually prepare estimates with the input of
architects and engineers to ensure that a project meets financial feasibility and scope requirements.

A good cost estimate prevents the builder from losing money and helps the customer avoid overpaying. It’s
a core component of earned value management, a project management technique that tracks a project’s
performance against the total time and cost estimate.

2. Enumerate and explain the different types of estimates.

General

a. Design Estimates: These estimates, prepared during a project’s pre-design and design phases, start with
an order of magnitude estimate, or screening estimate, which determines which construction methods and
types are most feasible. Next comes the preliminary estimate, or conceptual estimate, which you base on
the schematic design. Then comes the detailed estimate, or definitive estimate, which you base on design
development. The last of the design estimates is the engineer’s estimate, which you base on the
construction documents. A simple template can help give an initial assessment of costs involved in a
project.

b. Bid Estimates: Contractors prepare bid estimates when bidding to construct the project. Contractors will
draw from a number of data points to prepare their estimates, including direct costs, supervision costs,
subcontractor quotes, and quantity take-offs.

c. Control Estimates: Prepared after one signs a contractor agreement and before construction gets under
way, the control estimate functions as a baseline by which you assess and control actual construction costs.
The control estimate also allows contractors to plan ahead to meet upcoming costs and determine the
project’s cost to completion.

Specific

a. Preliminary Cost Estimate

Preliminary cost estimate is also called as abstract cost estimate or approximate cost estimate or
budget estimate. This estimate is generally prepared in initial stages to know the approximate cost of
the project. By this estimate, the competent sanctioning authority can decide the financial position
and policy for administration section. Preliminary estimates are prepared with reference to cost of
similar type projects in a practical manner.
b. Plinth Area Cost Estimate
Plinth area cost estimate is prepared on the basis of plinth area of building which is the area covered
by external dimensions of building at the floor level and plinth area rate of building which is the cost
of similar building with specifications in that locality.

c. Cube Rate Cost Estimate

Cube rate cost estimate of a building is obtained by multiplying plinth area with the height of building.
Height of building should be considered from floor level to the top of the roof level. It is more suitable
for multi storied buildings.

d. Approximate Quantity Method Cost Estimate

In approximate quantity method cost estimate, Total wall length of structure is measured and this
length is multiplied by rate per running meter which gives the cost of building. Rate per running meter
is calculated separately for foundation and superstructure. In case of foundation, rate per running
meter is decided by considering quantities such as excavation cost, brick work cost up to plinth. While
in case of superstructure quantities like brickwork for wall, wood works, floor finishing etc. are
considered for deciding rate per running meter.

e. Detailed Cost Estimate

Detailed cost estimate is prepared when competent administrative authority approved the preliminary
estimates. This is very accurate type of estimate. Quantities of items of work are measured and the
cost of each item of work is calculated separately.

f. Revised Cost Estimate

Revised cost estimate is a detailed estimate and it is prepared when the original sanctioned estimate
value is exceeded by 5% or more.

g. Supplementary Cost Estimate

Supplementary cost estimate is a detailed estimate and it is prepared freshly when there is a
requirement of additional works during the progress of original work. The estimate sheet should
consists of cost of original estimate as well as the total cost of work including supplementary cost of
work for which sanction is required.

h. Annual Repair Cost Estimate

Annual repair cost estimate is also called as annual maintenance estimate which is prepared to know
the maintenance costs of building which will keep the structure in safe condition. White washing,
painting, minor repairs etc. are taken into consideration while preparing annual repair estimate for a
building.
i. Parametric estimating
Parametric estimating entails the analysis of cost, programmatic and technical data to identify cost
drivers and develop cost models. The approach essentially correlates cost and manpower
information with parameters describing the item to be costed. This process results in sets of
formulae known as “Cost Estimation Relationships” (CERS), which are applied to produce cost
outputs for different elements of an estimate. Parametric Method generally involves the use of a
regression analysis (linear and nonlinear) to determine the best algorithms for a model.

j. Equipment factored estimating

An equipment factored estimate is produced by taking the cost of individual types of process
equipment, and multiplying it by an "installation factor" to arrive at the total costs. In practice, th is
has proven to be quite a useful method since a substantial part of total project costs are made up of
equipment. As a result, it’s the basis for many factor estimating methods.

k. Lang method
A method that is slightly more detailed and therefore needs some more project information is the
so-called Lang method. Its basis is the equipment prices free at site, of which it’s best to have
quotations. The method differentiates for solids, liquids and mixed solids/liquids.

l. Hand method
This method, developed by W.E. Hand, is an extension of the Lang method and proposes to use
different factors for each type of equipment (columns, vessels, heat exchangers and other units)
rather than per process type. Hand’s factors exclude indirect field costs (IFC), home off ice costs
(HOC), and the costs for OSBL facilities, all of which must be estimated separately.
3. Identify the different cost components of a construction project.

The capital cost for a construction project includes the expenses related to the inital establishment of
the facility:

 Land acquisition, including assembly, holding and improvement

 Planning and feasibility studies
 Architectural and engineering design
 Construction, including materials, equipment and labor
 Field supervision of construction
 Construction financing
 Insurance and taxes during construction
 Owner's general office overhead
 Equipment and furnishings not included in construction
 Inspection and testing
The operation and maintenance cost in subsequent years over the project life cycle includes the
following expenses:

 Land rent, if applicable

 Operating staff
 Labor and material for maintenance and repairs
 Periodic renovations
 Insurance and taxes
 Financing costs
 Utilities
 Owner's other expenses

 Material Prices: Since the cost of materials is prone to fluctuation based on market conditions and
such factors as seasonal variations, cost estimators may look at historical cost data and the various
phases of the buying cycle when calculating expected material prices.
 Equipment Costs: Equipment costs refer primarily to the cost of running, and possibly renting, heavy
machinery, such as cement mixers and cranes. It’s important to note that the equipment in use
influences how quickly you can complete the project, so the use of equipment actually impacts many
costs outside of those directly associated with running the equipment.
 Indirect Costs: Indirect costs are expenses not directly associated with construction work, like
administrative costs, transport costs, smaller types of equipment, temporary structures, design fees,
legal fees, permits, and any number of other costs, depending on the particular project.
 Profits: Of course, in order to make a profit, the contractor adds a margin on to the cost of completing
the work. Subcontractors do the same when preparing their own quotes.
 Contingencies: Since even the most accurate estimate is likely to be affected by unforeseeable
factors, such as materials wastage, an estimate will usually have a predetermined sum of money built
in to account for such added costs.
 Escalation: Escalation refers to the natural inflation of costs over time, and it’s especially vital to take
into account for long-running projects. Some projects have escalation clauses that address how to
handle this inflation.
 Bonds: An owner will usually require a contractor to arrange for the issuance of a performance bond
in favor of the project owner. The bond functions as a kind of guarantee of delivery. Should the
contractor fail to complete the project according to the terms of the contract, the owner is entitled to
compensation for monetary losses up to the amount covered by the performance bond.
 Capital Costs: Capital costs are simply the costs associated with establishing a facility. These include
the following: the cost of acquiring land; the cost of conducting feasibility studies and the pre-design
phase; paying the architect, engineer, and specialist members of the design team; the total cost of
construction, which covers not just materials, equipment, and labor, but also administrative, permitting,
and supervision costs, as well as any insurance fees or taxes; the cost of any temporary equipment or
structures that are not part of the final construction; the cost of hiring a commissioner; and the cost of
inspecting the structure when it’s near completion.
  Operations and Maintenance Costs: More a concern for the owner than the contractor, one
accounts for operations and maintenance costs during the design phase. Making choices that lower
the total lifetime cost of a building may result in higher construction costs. Operating costs include land
rent, the salaries of permanent operations staff, maintenance costs, renovation expenses (as needed),
utilities, and insurance.
 Variances: Owners will often allocate construction budgets that are larger than cost estimates
because even good, thorough cost estimates have a tendency to underestimate actual construction
costs. This can happen for a number of reasons. For example, wage increases, which can be difficult
to forecast, will make construction costs rise. Seasonal or natural events, such as heavy rainfall, may
call for action to protect construction or restore the construction site. Large projects in urban areas may
face regulatory or legal issues, such as a demand for additional permitting. And lastly, owners who
begin construction without finalizing the project’s design will over-budget to account for design
changes and the inevitable cost increases that result from throwing a project off schedule

4. Describe the process of estimating by using flowchart or schematic diagram.

1. DETRMINE ESTIMATE BASIS 2. PREPARE BASE ESTIMATE

 Scope documents  Documentation of estimate

 Drawings that are available assumptions, types of cost data,
 Project design parameters and adjustments to cost data
 Project complexity  Application of appropriate
 Unique project location estimating techniques,
characteristics parameters
 Coverage of all known project
elements and conditions
4. REVIEW TOTAL COST ESTIMATE

 Methods used to develop

estimate parameters and
associated costs
 Completeness of estimate
relative to project scope
 Application of cost data,
including project-specific 3. DETRMINE RISK AND SET
adjustments CONTINGENCY
 Reconciliation of current
 Project knowns and unknowns
estimate with the baseline
 Potential risks associated with
estimate
these uncertainties
 Preparation of an estimate file
 Appropriate level of contingency
that compiles information and
congruent with project risks
data used to prepare the project
estimate
John Ray D. Cuevas
CE142-B06
Identify and briefly describe the different construction equipment used in the following:
A. EXCAVATING AND LIFTING
1. Backhoe
Backhoe loaders are mounted on tires and can be
used in suburban areas. They share many
similarities with tractors. The main difference is they
contain a shovel at the front which can be adjusted
and a bucket at the rear which is used to dig.
2. Face, Front or Loading Shovel
Face, front or loading shovel is constructed in a
similar manner to a back-actor except the boom;
bucket arm and bucket operate in the opposite
direction, i.e. up and away from the machine.
Generally used for excavating faces up to about 8m
high and stockpiles.
ACTIVITY 12/5/18
3. Grab
Grab consists of a cable or hydraulically controlled
bottom-opening bucket suspended from a crane or
a lifting arm. The bucket is opened and dropped on
to a material to be removed. It is then closed and
the material caught between the jaws lifted in the
grab bucket and discharged onto stockpiles or into
waiting haulage vehicles. Grabs are typically used
for the excavation of pits or trenches and loading to
and from stockpiles.
4. Wheeled Excavator
This whole arrangement is similar to the tracked
excavator except that the movement of vehicle is
done by wheels. It can move quickly when
compared to tracked excavator but it is not suitable
for uneven grounds or hilly areas because of
slippery nature.
5. Bulldozer 7. Trenchers

Trenchers are the equipment’s used to dig trenches

in the ground. These are also available in many
sizes based on our requirement. The trenches dug
are generally used for drainage purpose, pipeline
Bulldozer consists of hard steel plate with sharp
laying, cable laying. The trenchers are generally
edge at its front. This sharp edge is helps the plate
available in two types - Chain trenchers & Wheeled
to cut the soil and for excavation. The metal plate
trenchers.
can be raised and lowered with the help of
hydraulic arms. The bulldozers are available in both 8. Excavators
tracked and wheeled form. These are widely used
for the works of soil excavations, weak rock strata
removal, lifting of soil etc.

6. Dragline Excavator

Excavators can be utilized over wheels or treads

and are used most often to shovel dirt or lift heavy
pieces of machinery.
Dragline equipment is operated from cranes or
B. LOADING AND HAULING
similar plant with a long boom. Excavation is done
by pulling a bucket suspended on a cable towards 1. Loaders
the machine by a second cable. Thus, draglines are
especially suited for the excavation of soft and
loose materials from a distance at a level beneath
or slightly above their tracks and may be used to
excavate under water.

These vehicles are used to load loose materials,

such as sand, dirt, or gravel, and take them to
another machine, such as a dump truck or
conveyor belt.
2. Shovels established roads. Their low hauling costs also
allow for flexibility when determining the total
hauling capacity or in the event of a change in
destination/route.

5. Conveyers

Shovels are used for digging and loading rocks and

soil for mineral extraction. Conveyers are built up with a number of units of
endless flat belt conveyers placed in series and
3. Tractors
major changes in direction can be made at transfer
points where material from one belt falls and is
channeled on to next. Loading is generally carried
out via a hopper, which may be designed to screen
out over size material.

7. Scrapers

Though most commonly used for pulling and

pushing other equipment in construction, the great
advantage of tractors is the available parts that can
be used to accomplish different jobs.

4. Trucks
Used for loading, hauling, dumping, and spreading
loose materials.

8. Wagons

Their high travel speeds allow for quicker

transportation of materials when traveling on
Earth moving trailers pulled by tractors
9. Bulldozers
Used for pushing and pulling loads typically in
earthwork operations and demolition work
C. COMPACTING AND FINISHING
1. Tamping Foot Rollers
Utilize a compaction drum equipped with a number
of protruding feet to achieve compaction.
2. Grid or Mesh Rollers
Utilize a compactor drum made up of a heavy steel
mesh. They can operate at high speed without
scattering the material being compacted. It is most
effective in compacting gravel and sand.
3. Vibratory Compactors
Available in a wide range of sizes and types – Size:
ranges from small hand-operated compactors
through towed rollers to large self-propelled rollers)
– Type: include plate compactors, smooth drum
rollers, and tamping foot rollers. It is most effective
in compacting non-cohesive soils.
4. Smooth Steel Drum Rollers
Widely used for compacting granular bases,
asphaltic bases, and bituminous pavements. The
compaction achieved primarily through static
weight.
5. Pneumatic Rollers
It is well suited for compacting thick soil layers to
high density and least suited for compacting sands
and gravel.
6. Segmented Pad Rollers
It is similar to tamping foot rollers except that they
utilize pads shaped as segments of a circle instead
of feet on the roller drum.
7. Tampers or Rammers
A concrete plant, also known as a batch plant or
batching plant or a concrete batching plant, is
equipment that combines various ingredients to
form concrete.
It can also be used for mixing asphalt.

2. Concrete Pumps

Small impact-type compactors primarily used for

compaction in confined spaces. A concrete pump is a machine used for transferring
liquid concrete by pumping.
8. Graders
3. Crushers

Crusher is an equipment for aggregate

Multi-purpose equipment used for: finishing, crushing. It comes in three types – Gyratory,
shaping, bank sloping, ditching, mixing, Roll, and Jaw
spreading, side casting, leveling and crowning,
site striping operations, Earth road E. PAVING AND SURFACE TREATMENTS
maintenance
1. Aggregate Spreaders
D. PRODUCTION OF AGGREGATES,
CONCRETE, AND ASPHALT

1. Batching and Mixing Plant

A vehicle or accessory used for constructing road

foundations, spreading materials over surfaces,
including: aggregates, graded aggregates, cement,
concrete and hot or cold bituminous materials.
2. Asphalt Pavers mainly used in various industries, such as mining,
smelting, road and railway construction, water
conservation and chemical industry etc. screw,
returning spring, fixed jaw plate and
moving jaw plate.

2. Mobile Screeners

A paver is a piece of construction equipment used

to lay asphalt on roads, bridges, parking lots and
other such places.

3. Pavement Profilers

Screeners together with crushers help you process

rock in the toughest conditions. This selection
includes jaw crushers, impactors, cone crushers,
screens and scalpers for quarrying and rock
excavation projects.

G. CRANES

1. Mobile Cranes

A pavement profiler is used to remove and grind

the old asphalt surface off the road for recycling.

F. ROCK EXCAVATION

1. Jaw Crusher

Mobile Cranes are the most standard and versatile

type of crane used in construction. The mobile
hydraulic crane consists of a steel truss or
telescopic boom mounted on a mobile platform,
which could be a rail, wheeled, or even on a cat
truck. The boom is hinged at the bottom and can be
either raised or lowered by cables or hydraulic
cylinders.

Jaw Crusher has the features of high crushing and

even product size ratio. Jaw crusher is
2. Telescopic Crane
Telescopic cranes offer a boom that consists of a
number of tubes fitted one inside of the other. A
hydraulic mechanism extends or retracts the tubes
to increase or decrease the length of the boom.
3. Tower Crane
The tower crane is a modern form of a balance
crane. When fixed to the ground, tower cranes will
often give the best combination of height and lifting
capacity and are also used when constructing tall
buildings.
4. Truck Mounted Crane
Boom trucks or picker trucks are cranes mounted
on a rubber tire truck and provide great
mobility. Outriggers that extend vertically or
horizontally are used to level and stabilize the
crane during hoisting.
5. Rough Terrain Crane
A rough terrain crane is a crane that is mounted on
an undercarriage with four rubber tires, designed
for operations off road.
6. Loader Crane
A loader crane or a folding boom crane is a
hydraulically powered articulated arm fitted to a
trailer, used to load equipment onto a trailer.
7. Overhead Crane
An overhead crane, also referred to as
a suspended crane, this type is normally used in a
factory, with some of them being able to lift very
heavy loads.