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Creating Cost Certainty

Creating Cost Certainty

 

— 22nd March 2018 —

 

As one of our Intelligent Consulting pillars, cost certainty is an important part of our unique delivery process. Volatility / uncertainty in the national (and international) financial & property markets can lead to many consultants claiming that providing a cost from the outset of a project is impossible. Well we are here to dispel that myth!

Developing certainty in cost, design and buildability reduces clients’ risk (by managing building owners CapEx / tenant’s project budget) and creates better projects with sustainable profits. The aim is to instil professional confidence and in end, foster long term relationships.

At the feasibility and concept design phase, our cost strategy considers all aspects of the project, the client’s brief, the designer’s vision, site & building constraints.

Project elemental costs (i.e. each trade costs) are tested through benchmarking, that is cost intelligence from past experiences and actual project cost data to critique / evaluate and compare the initial concept estimate is in line with similar projects and client budgets

Each revision of cost planning forms the basis for which alternative designs, different construction methods and materials can be considered to suit budget. This pre construction estimation is an ongoing process, not a one-off event. These constant collaboration will identify inefficiency and highlights opportunities that will benefit the overall project budget. And in end, establishing a lump sum. 

So how do we ensure we are providing relevant and up to date costs and budgets on every project? We recognise the segmented labour market as marked geologically in each major cities, and this is one of the reasons we can provide accurate pricing no matter where our clients are. 

To support and maintain our benchmarking cost strategy, we on a half yearly basis, review and update our cost template against local labour & material costs movements. Just another value add for the Valmont client!

 

Author: Jacqui Esdaile - Creative Director