• Journal of the Korea Institute of Building Construction
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• v.10 no.6
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• pp.137-143
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• 2010

Target Costing is a modern cost management technique used in changeable market conditions. The target cost is set by subtracting the sum of production costs and profits from the market price. The purpose of this present study is to review Target Costing as a useful concept which integrates the project development process with cost management. "Minimum Waste, Maximum Value" could be achieved by setting up guidelines for optimal building design at the beginning of the project development phase. This effective budget management method will help rectify Korea's overspending problems in the area of government building construction projects.