• International conference on construction engineering and project management
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• 2007.03a
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• pp.30-40
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• 2007

The demand for light-rail construction projects has recently been increasing, and they are mostly supervised by private construction companies. Therefore, a private construction company that aim to raise gains from the operation of the facilities during the contract period greater than what they invested should b able to accurately calculate the costs from the aspect of Life Cycle Cost (LCC). In particular, a light-rail transit bridge that has a heavier portion from the aspect of the cost of light-rail transit construction requires a more accurate calculation method than the conventional LCC calculation method. For this, an LCC analysis model was developed and a cost breakdown structure was suggested based on literature review. The construction costs by shape of the upper part of a light-rail transit were calculated based on the cost breakdown system presented in this paper, and the cost generation cycle and cost unit price were collected and analyzed based on records on maintenance costs, rehabilitation and replacement. In addition, after forming some hypotheses in order to perform the LCC analysis, economic evaluation was conducted from the aspect of the LCC by using performance data by item.

• Proceedings of the Korean Institute Of Construction Engineering and Management
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• 2006.11a
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• pp.435-439
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• 2006

The purposes of study is to propose a new method contract price adjustment in construction projects. The research method of this study includes a case analysis and questionnaire survey. The results of this study are as follows: 1) For improvement method of contract amount adjustment, enactment for legislation pertaining to computation methods such as military's organization through total unit cost, and price flexibility computation at the point of design modification were presented. 2) Arithmetic formulas for cases in which volume is deleted or modified below the price flexibility exemption amount or in which there is no change to quantity, at the occurrence of design modification resulting from price flexibility, were proposed.

• Korean Journal of Construction Engineering and Management
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• v.10 no.4
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• pp.50-57
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• 2009

The Korea Standard of Estimate which has been used as the only basis of Cost estimate of public construction projects is failed to reflect the fluctuation of current construction cost. Therefore, the government decided to gradually introduce historical construction cost into cost estimate of public construction projects from 2004 and to reduce the use of Korean Standard of Estimate. This paper presents a series of process and the methodology for computing Actual Cost and analyzing the fluctuation patterns based on not only previous contract prices which made a successful bid but also all of the other bid prices. Also, this paper mainly handles a device for extracting strategic bid price such as low price bid for assuring reliable data and for predicting the construction cost which is built by Wavelet Analysis of Time series Analysis data and Neural Network. It is anticipated that the effective use of the proposed process for estimating actual unit cost would make the cost estimation more current and reasonable.

• Journal of the Korea Institute of Building Construction
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• v.12 no.1
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• pp.108-114
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• 2012

Escalation method examining the changes in price index has been widely utilized in public construction projects. The previous escalation method determined estimated changes in price based on the average unit price of contract items over a period of time. In relation to this method, the issue has been raised that the fluctuation rates of previous method show different trends compared with other related price indices, as the influence of the small group of contract items with large unit prices overwhelms the others. This research suggested an improved escalation method which estimates the fluctuation rate by examining the changes in CCI (construction cost index) and applies it to the total amount or the partial amount deducted for labor cost in price escalation for previous bid price method. To verify the improvement, a case study is conducted on an educational facility, and the fluctuation rate was estimated in two different base periods (short term, long term). The results over the long term showed similar tendencies to those of related price indices, as well as significant differences in fluctuation rates compared to those of the previous method.

• Korean Journal of Construction Engineering and Management
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• v.13 no.1
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• pp.67-76
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• 2012

There are index adjustment method and item adjustment method in estimation methods for price fluctuation rate of public constructions. A relevant regulation has put item adjustment method as a principle, but in most construction, contract sum adjustment has been made by index adjustment method. Hence, this study, by figuring out width and causes of the gap between index adjustment method and item adjustment method through direct comparative analysis, solved inequality caused by difference between them and suggested a rational way against irrationality of each method. For building operations of public housing construction, a detailed fluctuation rate by index adjustment method and item adjustment method of construction cost elements of the same construction, that is, direct material cost, direct labor cost and historical construction cost was estimated to analyze difference between two adjustments and establish its cause. Across the analysis, it was found that fluctuation rate by item adjustment method was estimated lower than that by index adjustment method and difference between methods for estimating fluctuation rate of quotation unit price and application of index unrelated to construction type and construction nature are main causes of the difference. This study has a significance in that, for smooth contract sum adjustment between contracting parties, it practically proved the real difference between adjustment methods by conducting comparative analysis of the difference in direct correspondence way.

• Proceedings of the Korean Institute Of Construction Engineering and Management
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• 2007.11a
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• pp.499-502
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• 2007

The government abolished the existing method to calculate the construction price by the quantity take-off and pricing. It has introduced a new estimating system which uses the actual cost data on the basis of actual contract unit price. However, in the case of the current method to calculate the estimate price of BTL educational facilities, it is difficult to prepare an accurate ground for calculating unit prices due to a lack of standardized work breakdown structure (WBS) and guidelines for the detailed bidding documents. Thus, this research aims to establish WBS using the actual construction price on the basis of the actual bidding documents for the previous construction of BTL educational facilities. This specific WBS can be differentiated from the general WBS which is not suited for construction of the educational facility. It makes possible to build the construction information classification system and it helps to systemize the maintenance and repair cost items.

• Journal of the Korea Institute of Building Construction
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• v.2 no.1
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• pp.155-162
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• 2002

In this research, I finally came to a conclusion analyzing the connection among managing of each items in management expenses, the size of each complex and stories, and the term of using. (1) In the managing cost regarding to the management manner, although the managing cost of self-governing management is less imposed than the one of commission management, there is slight difference between those Costs. And it is more important to consider the effectiveness of management than to emphasize reduction of management cost. (2) The higher the stories, the higher the managing cost of elevator per the unit area. It Is caused by the fact that the father the distance of the elevator operating, the higher the electric charges. (3) The third of one of total management cost goes to pay the personnel expenses. So I found that the effective management of the expenses is available to reduce management cost. (4) The higher the stones, the lower the cost of personnel expenses including the cleaner cost. (5) The sum of costs assigned in repairment and management increases in proportion to the term of using. The costs assigned in special repairment and management are interacting to each other. (6) To reduce the management cost, we have to cut down the personnel in security guard that occupies one third of total management cost with application to the joint security system and operation of the self-governing guard. Through this process, it will be easy to accomplish the rationalization of contract with an outside order. Because the improvement of management service is not only the responsibility of owner but also the one of dwellers. And it Is imperative to realize the importance of cooperation and trust between the owner and dwellers. And the establishment of effective managing system which has convenience and rationality must be settled without delay.

• Proceedings of the Korean Institute Of Construction Engineering and Management
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• 2008.11a
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• pp.540-545
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• 2008

The purpose of this study is to suggest problems and improving plan of process of calculating escalation rate of the Historical Cost by price fluctuation. In order to implement this research, we analyzed problems by calculating the rate of price fluctuation with Historical Cost and measurement applying method making on-site with historical cost data were included as samples and suggested improving plan to the adjustment of contract cost. The results of research according to this are same as followings:1) Of all construction details, it is more appropriate to calculate price fluctuation by applying measurement method to the contents of historical cost unit. 2) To avoid confusion in calculating method, it was indicated that amendment in part should be achieved in order to calculate by measuring the part of calculating escalation rate of Historical Cost at related law and regulation.

• Proceedings of the Safety Management and Science Conference
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• 2000.05a
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• pp.41-53
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• 2000

This paper is an integrated system with Manure Pallet Pool System(MPPS) and Agricultural products Pallet Pool System(APPS). This is an management tool that helps to successfully reduce logistics cost and improve pallet availability. It allows enterprise leaders to create profit through system structure improvement. Already traditional PPS is implemented by pallet rental company, but it is irrationally. In the integrated system proposed MPPS-and-APPS, this describes how to combine and implement and measure rental pallet rate. Using a newly developed management technique for MPPS-and-APPS, i.e., 2-dimensional contract, this system can motivate manager and employee to develop their company Furthermore, this paper is useful of performance measure and application in operational unit.

• Korean Journal of Construction Engineering and Management
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• v.8 no.2
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• pp.109-117
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• 2007

The construction environment has the trend of oversizing and professionalizing, the increase of the construction period, and the risk factors and the uncertain factors which are important in the construction bid. The misunderstanding and the lack of knowledge of the subcontractor result in the decrease of the profit or the deficit. In conclusion, these are supposed to give the financial burden to the subcontractor. So, it is very important to predict the construction preparation cost calculation by the risk factors in the bidding stage and to calculate the bid unit cost considering the target profit of the subcontractor in the process of the mutual agreement and performance of the contract. In these points of view, this study analyzes how the importance of the risks influencing the bidding cost calculation affect the construction cost, and this analysis can be used as the basic data to establish the suitable bid strategy of the subcontractor.