Time and Cost Variance of Construction Projects Monitored by Bank Investment Supervision

Author(s):  
J. Konior ◽  
M. Szóstak
Author(s):  
Jithin Arakkatt Shaji

The paper briefly explains the importance of quantitative procedures of risk analysis in large and medium scale projects for the sustenance of project economic sustainability. Globally, several construction projects are being descoped and tend to close out before attaining the initial project deliverables due to cost and schedule overruns. The quantitative methods can sieve the key factors and forecast the tangible impacts that can lead to schedule or cost variance in a project. It can guide the project stakeholders for timely decision making and mitigate the risks associated to achieve the project goals. Today, the quantitative methods are pivotal to analyze the impacts of Covid-19 crises in Construction industry which are increasingly apparent. Keywords- Project economic sustainability, Risk analysis, Quantitative methods


2020 ◽  
Vol 12 (8) ◽  
pp. 3370 ◽  
Author(s):  
Jarosław Górecki ◽  
Manuel Díaz-Madroñero

More and more construction projects are closed before they ever start. Among the most significant reasons for project failures is cost risk. Construction companies have many problems with reliable cost management. Rising demands of the key market players insist on making construction projects more sustainable according to the simultaneous improvement of the economic, environmental and social responsiveness dimensions. In order to investigate these problems, a four-phase research methodology has been followed consisting of: (1) literature review to identify research trends and gaps, (2) survey to construction experts to detect their subjective perspectives about risk costs and analyse the corresponding costs structure for the investment in sustainable projects, (3) simulations based on Monte Carlo simulation with an author’s methodology for calculating the cost risk with an additional statistical analysis, (4) ending questionnaire to obtain the final feedback from the experts and the validation of obtained results. A contribution to the development of knowledge about cost risk is the observation that the changing probability distributions of individual cost-generating components may include both economic as well as technological and organizational aspects. Thus, with the proposed approach, often complex, global challenges of sustainable construction projects can be tackled in an accessible way.


2021 ◽  
Vol 147 (3) ◽  
pp. 04021002
Author(s):  
Clara Mariana Katsuragawa ◽  
Gunnar Lucko ◽  
Shabtai Isaac ◽  
Yi Su

The issues of determining the estimated cost of capital construction projects with the involvement of Federal budget funds at the stage of development of project documentation, during verification of the accuracy of determining the estimated cost and the initial (maximum) contract price are considered. On the basis of the assessment of amendments to urban planning legislation for the purpose of implementing a state contract by the contractor ( based on the results of competitive procedures or without competitive procedures by decision of state authorities), the procedure for forming the estimate as part of a state (municipal) contract, the price of which is firm, is presented. For the purpose of mutual settlements between the customer and the contractor for the work performed, the formation of primary accounting documentation, as well as for checking the work performed by regulatory authorities, an example of drawing up an estimate of the state (municipal) contract on the basis of grouping costs according to structural elements and complexes of work is given. The result of the research conducted was the development of regulations and the formation of criteria for their practical application by state bodies, institutions, organizations and other participants in the investment-construction process, as well as recipients of budget funds, who perform the functions of the state (municipal) customer, developer and technical customer.


Improving the efficiency of life cycle management of capital construction projects using information modeling technologies is one of the important tasks of the construction industry. The paper presents an analysis of accumulated domestic practices, including the legal and regulatory framework, assessing the effectiveness of managing the implementation of investment construction projects and of complex and serial capital construction projects, as well as the life cycle management of especially dangerous technically complex and unique capital construction projects using information modeling technologies, especially capital construction projects, as well as their supporting and using systems, primarily in the nuclear and transport sectors. A review of modern approaches to assessing the effectiveness of life cycle management systems of complex engineering systems in relation to capital construction projects is carried out. The presented material will make it possible to formulate the basic principles and prospects of applying approaches to assessing the effectiveness of the life cycle management system of a capital construction project using information modeling technologies.


The international experience of integrating building information modeling (BIM) into project management system with innovation implementation accent has been revealed in this article. The events carried out on federal and regional levels concerning the President of Russia directive on building construction industry modernization and construction objects transferring to life cycle management by means of BIM were analyzed. The large company experience of implementing BIM was summarized with describing some examples in different cities and regions of our country and thus the main directions of this technology development were determined. The key points of BIM and project management system pairing and impacting an innovation choice witch determine the project economic efficiency in the integrated management system were shown. The main reports of "Building construction projects technology and management: new practices and prospects" conference by Moscow Trade and Commerce Chamber were reviewed in this direction and problems of the new investment and construction project management technology implementation were shown. The ways to solve these problems were disclosed by work examples of PAO "Sberbank", and successfully working in our country firms Bilfinger Tebodin - BIM design and Beiten Burkhard -jurisdiction support. Some economic efficiency questions of BIM implementation were disclosed in the report delivered by The Plekhanov University of Economics (project and program management base department of Capital Group). Management system suggestions, regarding BIM implementation in Moscow construction were given.


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