Formalization of Construction Sequencing Rationale and Classification Mechanism to Support Rapid Generation of Sequencing Alternatives

Resequencing construction activities is a critical task for project planners for effective project control. Resequencing activities require planners to determine the impact or “role” an activity has on successor activities. They also need to determine the status of activities, i.e., which activities may or may not be delayed. Distinguishing the role and status of activities in turn requires planners to understand the rationale for activity sequences. The current critical path method (CPM) framework, however, represents sequencing rationale using precedence relationships and distinguishes activities only with respect to their time-criticality. Thus, planners find it difficult to keep track of individual sequencing logic, and manually inferring the role and status of activities becomes practically prohibitive in complex project schedules. The research presented in this paper addressed this limitation of the CPM framework by formalizing a constraint ontology and classification mechanism. The ontology allows planners to describe their rationale for activity sequences in a consistent and intuitive way, whereas the classification mechanism leverages the ontology to automatically infer the role and status of activities. The ontology and mechanisms were implemented in a prototype tool. With this tool, users can quickly verify which activities to delay to expedite critical milestone or bottleneck activities, thus making it possible to quickly evaluate and generate sequencing alternatives in CPM-based schedules.     

Time Series Analysis of ENR Construction Cost Index

Every month, Engineering News-Record (ENR) publishes the construction cost index (CCI), which is a weighted aggregate index of the 20-city average prices of construction activities. Although CCI increases over the long term, it is subject to considerable short-term variations, which make it problematic for cost estimators to prepare accurate bids for contractors or engineering estimates for owner organizations. The ability to predict construction cost trends can result in more-accurate bids and avoid under- or overestimation. This paper summarizes and compares the applicability and predictability of various univariate time series approach for in-sample and out-of-sample forecastings of CCI. It is shown that the seasonal autoregressive integrated moving-average model is the most-accurate time series approach for in-sample forecasting of CCI, while the Holt-Winters exponential smoothing model is the most-accurate time series approach for out-of-sample forecasting of CCI. It is also shown that several time series models provide more-accurate out-of-sample forecasts than the ENR’s subject matter experts’ CCI forecast. Cost estimators can benefit from CCI forecasting by incorporating predicted price variations in their estimates and preparing more-accurate bids for contractors and budgets for owners. Owners and contractors can use CCI forecasting in reducing construction costs by better-timed project execution.     

Computer-Integrated System for Estimating the Costs of Building Projects

The cost estimate is considered one of the most important and critical phases of a construction project. Preparing reliable and accurate estimates to help decision makers is the most challenging assignment that cost engineers and estimators face. For decades, practitioners in the construction industry focused only on estimating the initial cost of a facility, neglecting costs associated with operating and maintaining it. Today, more interest lies in investigating the economics of facility management, which include the cost of owning and operating a building over its useful life. This paper presents a methodology that can be used for an integrated conceptual cost estimating and life-cycle cost analysis for construction projects during their initial phase. The methodology describes the development and implementation of a system that automates the preparation of parametric cost estimates and forecasts future running costs of building projects. The system integrates relational databases, a parametric cost estimate module, an AutoCAD module, a global module, a cost estimate forecasting and decision support system module, and a life cycle costing and sensitivity analysis module. The system will automatically generate a new parametric estimate upon any modification in building design. Once the capital costs are identified, the system forecasts the cost of running and maintaining the new building throughout its expected service life. After assigning the range of deviation, a sensitivity analysis is conducted, which identifies the most sensitive parameters for further consideration and analysis. Designing the system in a user-friendly environment allows owners and decision makers to envision the feasibility of new building projects within their anticipated life cycles. Moreover, it assists architects and cost engineers in generating parametric cost estimates in a dynamic environment. A numerical case example is presented to illustrate the usefulness and capabilities of the developed system.     

Improving Design Coordination for Building Projects. II: A Collaborative System

The objective of this paper is to utilize recent advances in information technology and computer collaboration tools to improve coordination and increase productivity in the design of building projects. Based on a structured information model, presented in a companion paper, a collaborative design system is developed incorporating (1) a client-server environment for representing building data, recording design rationale, and effectively managing design changes; and (2) Internet-based collaboration tools for sharing documents, reviewing changes, and conferencing among remote design participants. Implementation issues and the perceived changes imposed on the traditional design process are discussed, and an example application is worked to demonstrate the applicability and features of the developed prototype. The developments made in this paper provide guidelines for modeling complex information-dependent processes in the construction domain.     

Managing Construction Projects Using the Advanced Programmatic Risk Analysis and Management Model

Risk management is an important part of construction management, yet the risk-based decision support tools available to construction managers fail to adequately address risks relating to cost, schedule, and quality together in a coherent framework. This paper demonstrates the usefulness of the Advanced Programmatic Risk Analysis and Management Model (APRAM) originally developed for the aerospace industry, for managing schedule, cost, and quality risks in the construction industry. The usefulness of APRAM for construction projects is demonstrated by implementing APRAM for an example based on an actual building construction project and comparing the results with other risk analysis techniques. The results show that APRAM simultaneously addresses cost, schedule, and quality risk together in a coherent, probabilistic framework that provides the information needed to support decision making in allocating scarce project resources.     

Contextual Information Requirements of Cost Estimators from Past Construction Projects

Past project data sources provide key information for construction cost estimators. Previous research studies show that relying only on one’s own experience during estimation results in estimators’ bias. Having and referring to historical databases, containing objective information on what happened in past projects, are essential for reducing estimators’ biases. The first step toward development of useful project history databases is to understand what information estimators require from past projects. The research described in this paper targets estimators’ information needs identified through interviews, brainstorming sessions, task analyses, and card games conducted with estimators with different experience levels and specialized in heavy/civil and commercial construction projects, and exploration of historical and standard databases available in companies to determine what is being currently represented. Findings show that estimators need contextual information, depicting the conditions under which specific production rates were achieved, so that they can identify which production rate would be more realistic to use during the production rate estimation of an activity in a new bid. Comparison of the contextual information needs identified in this research with information items available in historical data sources (such as company cost reports, RSMeans, previous studies) highlighted some gaps and important opportunities for improvements in those sources. The identified contextual information items are significant for practitioners in developing ways to augment their existing project history databases to make them more beneficial for estimators.     

Production System Loading–Cycle Time Relationship in Residential Construction

Production home building possesses characteristics similar to manufacturing processes, such as the construction of more or less similar houses repeatedly and a growing demand for mass customization of homes. As a result of these similarities, larger homebuilders often attempt to view their production system as an assembly line process. However, the management tools generally utilized by these home builders are those used in other sectors of the construction industry, such as critical path method scheduling, cost estimating, and earned value analysis. These management tools do not provide an explanation or control/prediction tools for many undesirable situations that arise during home building, such as increasing cycle time which slows delivery of product to consumers and increases project capital costs, and increasing amounts of work in process that increases capital investment and thereby decreases company financial performance. In order to bring better management tools to the residential construction industry, this study examines relationships between cycle time, work in process, system throughput, new construction starts, and the capacity of the production system using building permit data for new single family homes in Chandler, Ariz. The applicability of Little’s law, a basic equation used in factory production management models, to a residential production system is examined. This study shows a definite, predictable relationship between cycle time, work in process, and production system throughput. It provides a pathway for further study of production system characteristics that have historically not been included in construction management models, with the expectation of developing new construction management tools that will account for more of the characteristics of construction production systems that affect project performance and company financial performance.     

Cost Optimization Model for the Multiresource Leveling Problem with Allowed Activity Splitting

Resource leveling aims at minimizing the resource usage fluctuations, which is accomplished by moving noncritical activities within their float. The project duration is fixed and is not affected by the leveling. Most of resource leveling techniques assumes that activities cannot be split. Although this assumption is valid for most construction activities, there are several activities that can be split to achieve better resource leveling. However, there is an added cost associated with splitting such as startup and restarting costs. This paper presents an optimization model for resource leveling that allows activity splitting and minimizes its associated costs. The objective is to level resources in a way that provides a tradeoff between the extra cost of acquiring and releasing resources versus the extra cost of activity splitting. The model can be used to determine at what values of the splitting cost, the preemption of an activity is recommended. One example problem is solved at the end of the paper in order to illustrate the proposed model.     

Optimal Allocation of Construction Planning Resources

Efficient allocation of resources for construction planning activities requires construction planning resource requirements to be determined on a cost-effective and value-adding basis. However, although some research studies have indicated that increasing resource allocations to construction planning activities will lead to improved project performance, other research studies have indicated that investing in construction planning beyond an optimum point will lead to a deterioration in project performance. This study explored the concept of optimal planning of construction projects by examining 52 building projects undertaken in Australia. The relationships between planning input (ratio of planning costs to total project costs) and the probabilities of achieving poor performance and good performance were modeled using logistic, linear, and curvilinear regression analyses. A probable optimum planning input based on the sample studied was derived. It is suggested that any additional planning efforts beyond this optimum point would be essentially wasted because the additional planning costs would not achieve any savings in project cost but merely add to the overhead costs and therefore increase the overall project cost. A model for optimal planning is presented and discussed.     

SIM-UTILITY: Model for Project Ceiling Price Determination

Before considering bids submitted by competing contractors for a public procurement project, the owner should determine a project ceiling price or cost estimate to use as a reference point for evaluating the bids. A high ceiling price conflicts with the owner’s interests in minimizing costs. Meanwhile, a low ceiling price can jeopardize the project if all bids exceed the ceiling price. This paper proposes a model for determining a reasonable project ceiling price. The model, called SIM-UTILITY, is based on a utility theory and facilitated by a cost simulation approach. The utility theory is applied to reflect the owner’s preferences regarding the determination criteria, while the simulation approach is used to generate more objective project cost data to support execution of the utility theory. The advantages of SIM-UTILITY are proven by its successful application to three construction projects in Taiwan. A computerized SIM-UTILITY is expected to be broadly applicable to public construction projects in Taiwan.     

Development and Application of the Specialist Task Organization Procurement Approach

The study focuses on the development of an innovative procurement method in order to improve owners’ contracting strategies. The aim of this paper is to develop a procurement system that improves the overall project implementation process, in order to meet the project objectives of time, cost, and quality. The Specialist Task Organization (STO) approach is suggested based on a constructive research approach, where extensive theoretical development of the STO concept is developed. The analogical validation was carried out through the review of four case study examples in order to find the analogies between the positive outcomes of four case studies and the elements of the STO route. The proposed task-oriented approach utilizes integrated product (task) development, integrated management, and fragmented execution via task organizations. The merits of the STO approach include, the shifting of competition from only single design and cost based to multiple designs, life-cycle costs, alternative materials, and maintainability implications. The STO approach assumes a modular approach to design, and allows experts knowledge in design and construction through their involvement from preconstruction through project starts up. The suggested STO route is a potential tool in realizing complete sustainability in construction in terms of environmental and social sustainability, as well as economic sustainability.     

Simulation of Concrete Paving Operations on Interstate-74

The objective of this paper was to study and optimize the concrete paving operations taking place in the reconstruction project of Interstate-74 using computer simulation. To achieve this objective, field data were collected during construction, and were then used to determine adequate probabilistic density functions for the activities’ duration and to test a developed simulation model. Upon testing, the developed model was used to study the impacts of resources on the flow of operations and on the cost effectiveness of the construction process. In general, application of simulation methods to concrete paving operations was successful and its accuracy was acceptable as compared to field measurements. Based on the results of a sensitivity analysis of the critical resources, multiple factors were considered in the decision-making process to ensure that all aspects of the operation are evaluated. This includes total operation time, productivity, costs of the operation, average truck delay, and idle times for the paver and the spreader. For the conditions pertinent to this construction site, ten trucks, one paver and one spreader, and three finishing and plastic-covering crews are recommended. Using this set of resources would result in a prompt and effective execution of the operation. Practical implementation and limitations of the developed model in similar construction operations is discussed.     

Long‐Range Forecasting Highway Construction Costs

In the process of decision making for design and execution of highway construction projects, long‐range cost forecasting is one of the most significant and complicated problems. This paper describes the development of a model that enables the user to make long‐range cost projections, taking into consideration general characteristics of the highway construction industry, as well as pertinent local conditions. The model presented uses conventional statistical methods to represent the main categories of typical jobs in the highway construction industry. From these categories, a composite model is created by assigning different weights to the input elements costs and then choosing a series of indicators to predict price trends for each separate element of the composite model. Use of this model reveals that bid volume in a certain area is a factor that has significant influence upon cost forecasts. This paper is accompanied by a case study based on actual data from highway construction projects performed for the Florida Department of Transportation in the years 1968–1981.     

Efficient Repetitive Scheduling for High-Rise Construction

A new scheduling and cost optimization model for high-rise construction is presented in this paper. The model has been formulated with a unique representation of the activities that form the building’s structural core, which need to be dealt with carefully to avoid scheduling errors. In addition, the model has been formulated incorporating: (1) the logical relationships within each floor and among floors of varying sizes; (2) work continuity and crew synchronization; (3) optional estimates and seasonal productivity factors; (4) prespecified deadline, work interruptions, and resource constraints; and (5) a genetic algorithms-based cost optimization that determines the combination of construction methods, number of crews, and work interruptions that meet schedule constraints. A computer prototype was then developed to demonstrate the model’s usefulness on a case study high-rise project. The model is useful to both researchers and practitioners as it better suits the environment of high-rise construction, avoids scheduling errors, optimizes cost, and provides a legible presentation of resource assignments and progress data.     

Ontology for Relating Risk and Vulnerability to Cost Overrun in International Projects

Risk management is about identifying risks, assessing their impacts, and developing mitigation strategies to ensure project success. The difference between the expected and actual project outcomes is usually attributed to risk events and how they are managed throughout the project. Although there are several reference frameworks that explain how risks can be managed in construction projects, a major bottleneck is the lack of a common vocabulary for risk-related concepts. Poor definition of risk and patterns of risk propagation in a project decrease the reliability of risk models that are constructed to simulate project outcomes under different risk occurrence scenarios. This study aims to extend previous studies in risk management by presenting an ontology for relating risk-related concepts to cost overrun. The major idea is that cost overrun depends on causal relations between various risk sources (namely, risk paths) and sources of vulnerability that interfere with these paths. Ontology is used to develop a database system that represents risk event histories of international construction projects and to construct a model for estimation of cost overrun. It will form the basis of a multiagent system that can be used to simulate the negotiation process among project participants about sharing of costs considering the risk allocation clauses in the contract, sources of vulnerability, and causal relations between risk events and their impacts. The ontology is constructed by interaction with Turkish contractors working in international markets and extensive literature review on risk-related concepts. The validation test results provide evidence that the ontology is fairly effective to help Turkish contractors to assess cost overrun by considering sources of vulnerability and risk in international construction projects.     

Acute lymphoblastic leukemia in children. Progress in life expectancy

Heuristic construction knowledge generated while contracting is seldom recorded and transferred to other workers. Experiences of past mistakes as well as efficient work practices are crucial means for saving money, time, and improving the safety and quality of construction. With the rising costs of construction and the increased demand of time constraints on contractor schedules, few members of the construction industry can afford to waste time and resources on errors or ineffective work practices. The Constructability Lessons Learned Database (CLLD) prototype described in this paper is a leading edge method of automatically gathering, systematically organizing and efficiently applying vital construction information to a contractor's daily activities. This paper presents a review of previous and current attempts at database constructability programs, uses of constructability feedback systems, challenges to develop and utilize such systems, and an overview of the design and development of the CLLD prototype. The overview describes knowledge elicitation techniques used to gather constructability knowledge, the design of the system (organizing and classifying construction information for efficient retrieval and expansion), and system's implementation, validation, and operation. The conclusion discusses future extensions of the CLLD concept in the construction industry.     

Greening Project Management Practices for Sustainable Construction

Environmentally sustainable building construction has experienced significant growth during the past 10 years. The public is becoming more aware of the benefits of green construction as prominent politicians, celebrities, documentarians, and journalists highlight the built environment’s impact on greenhouse gas emissions and natural resource consumption. Other factors, including higher energy prices, increased costs of building materials, and regulatory incentives, are also pushing the green building market to grow and expand. However, barriers to green building continue to exist, including the ability to deliver a green project within acceptable cost constraints. In order for project managers to deliver sustainable construction according to clients’ cost expectations, modifications must be made to traditional project management processes and practices. The objective of this paper is to suggest specific modifications to conventional building practices to optimize the delivery of cost-efficient green building projects. This paper presents an overview of research related to the costs and trends of green building and uses these research findings to make recommendations for greening project management practices for the construction industry. Our research results show that greening project management practices can add significant value to a sustainable construction project while delivering it within acceptable cost constraints. A detailed analysis using matrix present specific adjustments to traditional project management practices, with a premise that a green project improves its chances for financial success if a cross-discipline team is involved at the earliest stages and throughout the project.     

Automated Generation of Customized Field Data Collection Templates to Support Information Needs of Cost Estimators

While estimating activity production rates, cost estimators rely on historical production rates. To have realistic and useful cost estimates based on historical production rates, such production rate data should be augmented with historical contextual information that depict conditions under which activity production rates were achieved in past projects. This information is needed in determining which production rate to use among alternates for a similar activity existing in a new bid. Estimators need contextual information especially when they are unfamiliar with the work being estimated. Hence, such information items need to be identified, collected, and stored for estimators’ use in new projects. This paper details a construction-method specific and an extensible approach that is developed for enabling cost estimators to define contextual information items that need to be collected on job sites and stored as part of project histories. Based on this approach, the writers implemented a prototype system, called as ContextGen, and performed user-tests with estimators with different experience levels. Results showed that the developed approach captures method-specific information needs of estimators and is extensible to incorporate new contextual information items that can have different data representations. The developed approach is also precise in retrieving contextual information items specific to a construction method from a set of predefined contextual information items available in a library.