COST ESTIMATION AND VALUE ENGINEERING
During development of a project the client normally requires probable construction cost estimates to an architect at completion of the schematic design, design development, and construction documents phases. The final and most accurate estimate of construction cost at completion of construction document can be used for comparison with the bid documents submitted by bidders.
Value engineering may be performed by consultants and construction managers and effectively should be undertaken prior to construction document phase so any VE items can be reflected on construction documents as needed.
Value engineering should address operating and maintenance costs as well as first costs, to provide true life-cycle cost estimates and this can be generally performed as early as the conceptual design phase of the project by cost consultants.
Cost analysis should be also performed concurrently with technical evaluation of the Architectural, Structural, MEP systems proposed by the architects or engineers, to provide the client with proper information to make an nformative decision. The architect and engineer should address cost equivalents, such as structural materials (ie, concrete, reinforcement, steel tonnage) without compromising the building program, building safety, or desired design and performance of the facility and respond to the client in a professional manner regarding cost estimating and value engineering.