1 / 27

Project Cost Control

Project Cost Control. Reasons for Project Cost Control. PROGRESS PAYMENTS CHANGE IMPACT CONFORMANCE TO PLAN PROJECT FINAL COST PROJECT DATE OF COMPLETION. Reasons For Project Cost Control. PLANNING PERFORMANCE MEASURING PERFORMANCE COMPARING ACTUAL AND

krysta
Download Presentation

Project Cost Control

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Project Cost Control

  2. Reasons for Project Cost Control • PROGRESS PAYMENTS • CHANGE IMPACT • CONFORMANCE TO PLAN • PROJECT FINAL COST • PROJECT DATE OF COMPLETION

  3. Reasons For Project Cost Control • PLANNING PERFORMANCE • MEASURING PERFORMANCE • COMPARING ACTUAL AND • PLANNED PERFORMANCE • ADJUSTING PLANS AS REQUIRED

  4. WORK BREAKDOWN • REDUCTION OF COMPLEXITY • SHORT PLANNING INTERVALS • COST ESTIMATING SIMPLIFICATION • COST COLLECTION SIMPLIFICATION • COST / SCHEDULING

  5. VARIANCES • DEVIATION FROM BUDGET. • NO CONSIDERATION FOR PLANNED SEQUENCE. COST : SCHEDULE : A COMPARISON BETWEEN PLANNED AN SCHEDULED ACTIVITIES.

  6. REPORT DATE % COST % COST BAC 100 90 80 70 60 50 40 30 20 10 BCWS BEHIND SCHEDULE AV ACCOUNT. VARIANCE ACWP CV COST VARIANCE TO DATE SV SCHEDULE VARIANCE BCWP (EARNED VALUE) 10 15 5 TIME PERIOD

  7. Progress by DISCIPLINE

  8. ENGINEERING

  9. DRAWING MILESTONES START DRAFT - 20% DRAFT COMPLETE - 65% OFFICE CHECK - 80% OWNER REVIEW - 85% FINAL DRAFT - 90% APPROVAL WITH HOLDS - 95% FINAL OWNER APPROVAL - 100%

  10. DISCIPLINE WGT. VALUE % BUDGETED MANHOURS ESTIMATED DRAWINGS DISCIPLINE CIVIL ARCHITECTURAL STRUCTURAL MECHANICAL PIPING ELECTRICAL INSTRUMENTATION 20 35 20 20 50 40 15 200 1250 2500 1250 1500 4000 3000 1500 15000 8.3 16.7 8.3 10.0 26.7 20.0 10.0 100 TOTAL ENGINEERINGVALUE

  11. TOTAL PIPE DWGS. MILESTONE VALUE % DWGS. IN MILESTONE DISCIPLINE % COMPLETE MILESTONE 10 5 5 5 5 5 10 50 50 50 50 50 50 50 20 65 80 85 90 95 100 4.0 6.5 8.0 8.5 9.0 9.5 20.0 START DRAFT DRAFT COMPLETE OFFICE CHECK OWNER REVIEW FINAL DRAFT APPRV. W/ HOLDS FINAL APPROVED TOTAL PIPING DISCIPLINE PROGRESS 65.5

  12. PROJECT CONTRIBUTION WEIGHTED VALUE % COMPLETE DISCIPLINE 7.5 11.7 6.6 7.5 17.4 12.0 5.0 8.3 16.7 8.3 10.0 26.7 20.0 10.0 CIVIL ARCHITECTURAL STRUCTURAL MECHANICAL PIPING ELECTRICAL INSTRUMENTATION 90 70 80 75 65.5 60 50 TOTAL ENGINEERING PROGRESS 67.7 %

  13. PROCUREMENT MEASUREMENT

  14. PROCUREMENT MEASUREMENT • MATERIAL TAKE OFFS • PURCHASE REQUISITIONS • PURCHASE ORDERS

  15. FUNCTION % WEIGHTED VALUE ESTIMATED MANHOURS ESTIMATED QUANTITIES FUNCTIONS 26.6 46.7 26.7 MATERIAL TAKE-OFF (DWGS) PURCHASE REQUISITIONS PURCHASE ORDERS 150 200 100 400 700 400 TOTAL PROCUREMENT VALUE 1500 100

  16. TAKE OFFS DRAWINGS REQUIRING TO'S DRAWING WITH TO'S COMPLETE PHYSICAL PROGRESS 150 75 50%

  17. PURCHASE REQUISITIONS ESTIMATED PR's PR's APPROVED FOR PURCHASE PHYSICAL PROGRESS 200 50 25%

  18. PURCHASE ORDERS QUANTITY PLACED = 50% DOLLAR VALUE SHIPPED = 50% 28 PO's OUT OF 100 = 14% 1 MILLION DOLLARS EXPLANTED OUT OF 50 MILLI0NS = 1% PHYSICAL PROGRESS = 14 + 1 = 15%

  19. WEIGHTED VALUE PROCUREMENT CONTRIBUTION FUNCTIONS % COMPLETE 13.3 11.7 4.0 MATERIAL TAKE-OFFS PURCHASE REQUISITIONS PURCHASE ORDERS 50 25 15 26.6 46.7 26.7 TOTAL PROCUREMENT PROGRESS 29.0

  20. WEIGHTED PERCENTAGE ESTIMATED MANHOURS MILESTONE 2000 4800 3600 5600 1000 6800 5200 2000 5 12 9 14 25 17 13 5 MOBILIZATION & GRADE FOUNDATION COMPLETE STRUCTURAL COMPLETE EQUIPMENT ERECTION COMPLETE PIPING COMPLETE ELECTRICAL COMPLETE MECHANICAL COMPLETION COMMISSIONING TOTAL PROJECT VALUE 40000 100

  21. % COMPLETE PROJECT CONTRIBUTION WEIGHTED % MILESTONE 100 80 30 10 MOBILIZATION & GRADING FOUNDATION STRUCTURAL STEEL EQUIPMENT ERECTION 5 12 9 14 5 9.6 2.7 1.4 TOTAL PHYSICAL PROGRESS 18.7

  22. TOTAL ENGINEERING PROGRESS

  23. DESIGN/ENGINEERING OVERALL COMPLETE BUDGETED MANHOURS WEIGHTED VALUE % % COMPLETE PROJECT CONTRIBU- TION 67.7 29.0 60.6 2.6 15000 1500 90.9 9.1 ENGINEERING PROCUREMENT TOTAL CONTRACT PROGRESS 16500 100 63.2

  24. PRODUCTIVITYPROFILES

  25. FACTORS AFFECTING PRODUCTIVITY PROFILES • PROJECT LOCATION • JOB COMPLEXITY • WORKING HOURS • LABOR DENSITY • SUPERVISION QUALITY • WEATHER • MIXTURE OF NATIONALITIES • DISCIPLINE

  26. THEORETICAL % BUDGET MANHOURS UTILIZED PRODUCTIVITY 12 23 33 42 50 57 63 76 87 100 1.2 1.1 1.O 0.9 0.8 0.7 0.6 0.5 * * * * * * * * * * 10 20 30 40 50 60 70 80 90 100 PHYSICAL COMPLETION %

  27. CREDIT BY EARNED MANHOURS ORIGINAL ESTIMATE ESTIMATE REMAINING EARNED 2000 MHRS 1000 MHRS 1000 MHRS

More Related