A Performance-Specified and Reliability-Based Approach for Life-Cycle Cost Analysis of Long Term Pavement Maintenance Contracts

2013 ◽  
Vol 723 ◽  
pp. 721-728
Author(s):  
Jih Chiang Lee ◽  
Jyh Dong Lin ◽  
Chin Rung Chiou ◽  
Han Yi Wang
Keyword(s):  
Life Cycle ◽  
Cost Analysis ◽  
Life Cycle Cost ◽  
Risk Estimation ◽  
Life Cycle Cost Analysis ◽  
International Roughness Index ◽  
Pavement Maintenance ◽  
Performance Specification ◽  
Pavement Deterioration

The objectives of this paper are to present the feasibility of utilizing reliability-based method to quantify life-cycle cost associated with performance specification. And a framework develops for quantifying the life-cycle cost. The framework consists of three components: (1) the pavement deterioration performance prediction; (2) the reliability-based risk estimation; and (3) the life-cycle cost analysis. An example is illustrated using the International Roughness Index (IRI) data to demonstrate how the approach works. The approach has potential for use in valuation of long term pavement maintenance contracts.

Life-cycle cost analysis (LCCA): a comparison of commercial flooring

Facilities ◽  
2017 ◽  
Vol 35 (5/6) ◽  
pp. 303-318 ◽  
Author(s):  
Debra Harris ◽  
Lori Fitzgerald
Keyword(s):  
Life Cycle ◽  
Cost Analysis ◽  
Life Cycle Cost ◽  
Decision Makers ◽  
Life Cycle Cost Analysis ◽  
Content Type ◽  
Cost Of Ownership ◽  
Informed Decisions ◽  
Building Systems

Purpose The business case for facility expenditures is grounded in the knowledge that life-cycle economics is significant to the continued viability of the facility. The aim of this study is to develop an algorithm for life-cycle cost analysis (LCCA) and evaluate flooring products to inform decision makers about the long-term cost of ownership. Design/methodology/approach The protocol for executing an LCCA is defined by the National Institute of Standards and Technology, including defining the problem, identifying feasible alternatives and establishing common assumptions and parameters, as well as acquiring financial information. Data were provided by an independent third-party source. Findings The results of this study are twofold: assess functionally equivalent flooring alternatives to determine the best financial value and develop a replicable protocol and algorithm for LCCA. The study found that modular carpet was the best financial solution. As a tool for decision makers, this LCCA informs asset management about the long-term cost of ownership, providing a protocol for making practical, informed decisions for the lowest cost solution for functionally equivalent alternatives. Research limitations/implications Projecting LCCA beyond 15 years may have limited value based on potential changes in the financial climate. Further research should focus on the implications of changes in the discount rate over time and testing the algorithm on other building systems. Practical implications Maintenance costs are considerable when compared to initial cost of flooring. Equipment costs have a significant impact on long-term cost of ownership. Using LCCA to inform specifications and to determine the best solution for a building system such as flooring provides an evidence-based process for building design and facility management. Social implications Life-cycle costs have a significant impact on the financial health of an organization. Using LCCA to make informed decisions about facility design and specifications may contribute to increased financial stability and resources to benefit the organization’s long term goals. Originality/value This study contributes an algorithm instrument for buildings and building systems. The flooring tested with this protocol provides evidence to inform flooring selection based on lowest cost while considering other factors that inform appropriate selection of flooring materials.

Mechanistic-Empirical and Life-Cycle Cost Analysis for Optimizing Flexible Pavement Maintenance and Rehabilitation

2012 ◽  
Vol 138 (5) ◽  
pp. 625-633 ◽  
Author(s):  
Venkata Mandapaka ◽  
Imad Basheer ◽  
Khushminder Sahasi ◽  
Per Ullidtz ◽  
John T. Harvey ◽  
...  
Keyword(s):  
Life Cycle ◽  
Cost Analysis ◽  
Life Cycle Cost ◽  
Flexible Pavement ◽  
Life Cycle Cost Analysis ◽  
Pavement Maintenance ◽  
Maintenance And Rehabilitation

Life-Cycle Cost Analysis of a Low-Volume Road Bridge Alternative

2000 ◽  
Vol 1696 (1) ◽  
pp. 8-13 ◽  
Author(s):  
M. E. Fagen ◽  
B. M. Phares
Keyword(s):  
Life Cycle ◽  
Cost Analysis ◽  
Life Cycle Cost ◽  
Primary Objective ◽  
Steel Beams ◽  
Steel Beam ◽  
Life Cycle Cost Analysis ◽  
Cost Models ◽  
Low Volume

Life-cycle cost models offer engineers a means to evaluate the anticipated long-term economic performance of prospective design and construction alternatives. Traditionally, only initial investment costs and past experience were used to economically evaluate possible bridge designs. A more logical approach requires that all short- and long-term costs be considered in relation to project location, purpose, and performance specifications. The primary objective of life-cycle cost analysis is to evaluate the total ownership cost of all suitable alternatives. Recent reports indicate that a significant number of the nation’s bridges are either structurally deficient or functionally obsolete. In Iowa, a large portion of these types of bridges are on the secondary road system and fall under the jurisdiction of county engineers. Typically, Iowa county engineers have limited resources. In response to this, a bridge-replacement system was developed that county engineers can design and build with limited staff. The system, which is made up of precast (PC) double T units, involves the fabrication of PC units that consist of two steel beams connected by a thin concrete deck. To illustrate that this bridge system may be an economically viable bridge-replacement alternative for use on low-volume county roads, a life-cycle cost analysis was completed for an actual replacement-repair-rehabilitation project. Various alternatives were economically analyzed and compared with the steel beam PC unit bridge alternative. This analysis indicates that, when lower-cost salvaged steel beams and county work forces are used, the steel beam PC unit bridge can be a viable low-volume road bridge alternative.

Incorporating Variability into Pavement Performance, Life-Cycle Cost Analysis, and Performance-Based Specification Pay Factors

2005 ◽  
Vol 1940 (1) ◽  
pp. 13-20 ◽  
Author(s):  
Leanne Whiteley ◽  
Susan Tighe ◽  
Zhanmin Zhang
Keyword(s):  
Life Cycle ◽  
Service Life ◽  
Cost Analysis ◽  
Life Cycle Cost ◽  
Service Performance ◽  
Pavement Performance ◽  
Life Cycle Cost Analysis ◽  
Asphalt Overlay ◽  
Design Life

This paper describes a recent research study that examined how changes in design life affected the pavement life-cycle cost and ultimately how the reduction in or addition to life-cycle cost attributed to superior or inferior in-service performance could be used as a basis for establishing a pay factor for a performance-based specification. Previous models were developed with data from the Canadian Long-Term Pavement Performance Program, which indicated that overlay thickness, total prior cracking, annual freezing index, annual days with precipitation, and accumulated equivalent single-axle loads (ESALs) after 8 years affected the slope of pavement deterioration for asphalt overlay pavements. One of these models, as well as data from the U.S. Long-Term Pavement Performance test sites, is used to determine the service life of asphalt overlay pavements. This paper examines how the variability associated with overlay thickness, total prior cracking, and accumulated ESALs after 8 years affects the service life of asphalt overlay pavements. Furthermore, this paper considers the variability associated with the discount rate and incorporates all associated variability into the life-cycle cost analysis (LCCA). LCCA is performed by using Monte Carlo techniques. On the basis of a recent study, distributions for service life and life-cycle costs are developed by using both normal and lognormal distributions for overlay thickness. With the LCCA values for typical design lives, a sensitivity analysis is subsequently performed to evaluate the impact of 10%, 20%, and 30% differences in the in-service performance as compared to the design life. These LCCA differences are then used as a basis for establishing pay factors. Overall the paper attempts to relate design to in-service performance life-cycle cost and the ultimate use of pay factors.

scholarly journals A life-cycle cost analysis for flooring materials for healthcare facilities

2015 ◽  
Vol 4 (4) ◽  
pp. 92 ◽  
Author(s):  
Debra D. Harris ◽  
Lori Fitzgerald
Keyword(s):  
Life Cycle ◽  
Cost Analysis ◽  
Life Cycle Cost ◽  
Product Information ◽  
Life Cycle Cost Analysis ◽  
Healthcare Facilities ◽  
Cost Of Ownership ◽  
Flooring Materials ◽  
Over Time

Objective: In this study, hard, resilient and soft flooring materials are compared using a building service life of 50 years, an established life span for healthcare facilities. The purpose of this study is to evaluate the life-cycle cost of flooring products and inform decision-makers about the long-term cost of ownership along with other key factors, such as safety, durability, and aesthetics.Methods: The protocol for executing an life-cycle cost analysis (LCCA) is defined by the National Institute of Standards and Technology (NIST), including defining the problem, identifying feasible alternatives, and establishing common assumptions and parameters, as well as acquiring financial information. Product information for the flooring materials that met inclusion criteria based on characteristics of the products consistent with use in healthcare facilities was acquired including maintenance, installation, warranty, and cost data. LCCA calculations recognize the time value of money and use discounting to project future value.Results: The results generated from the LCCA using present value to project future costs provide a useful tool for projecting costs over time for the purpose of planning operational and maintenance costs associated with the long-term investment of ownership. The findings suggest that soft flooring is more cost effective for initial purchase and installation, equipment assets, and maintenance over time of facilities.Conclusions: Cost is an important factor when considering flooring materials for healthcare facilities. Other factors to be considered are safety, durability and aesthetics, cleanliness, acoustics and sustainability to realize the overall return on investment. This study developed a tool for projecting costs of ownership for facility materials, in this case, flooring. The selection of flooring material has a significant impact on the cost of ownership over the life of the facility.

Economic Evaluation of Multislice Computed Tomography Scanners Through a Life Cycle Cost Analysis

2011 ◽  
Vol 4 (5) ◽  
pp. 158-161 ◽  
Author(s):  
A. Morfonios A. Morfonios ◽  
◽  
D. Kaitelidou D. Kaitelidou ◽  
G. Filntisis G. Filntisis ◽  
G. Baltopoulos G. Baltopoulos ◽  
...  
Keyword(s):  
Computed Tomography ◽  
Life Cycle ◽  
Economic Evaluation ◽  
Cost Analysis ◽  
Life Cycle Cost ◽  
Multislice Computed Tomography ◽  
Life Cycle Cost Analysis ◽  
Tomography Scanners
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