The importance of actionable construction cost data cannot be overstated. From preconstruction through procurement and project delivery, actionable construction cost data is required in order manage multiple aspects of any size repair, renovation, maintenance, or new build project.
Characteristics of actionable cost data:
- Organized using a standard data architecture – example CSI Masterformat
- Objective and verifiable
- Granular components – Individual construction tasks, each with a Description (in plain English and using industry standard terms), Unit of Measure, Labor type and cost, Material type and Cost, Equipment Type and Cost, Productivity rate (based upon associated crew)
- Locally researched – (national average cost data and location factoring provides insufficient cost visibility)
- Current – (Cost data should be updated quarterly at a minimum, or more frequently based upon market events)
Granularity and Specificity: Locally researched cost data offers detailed, project-specific information, capturing variations in costs within specific locals, regions, or even specific sites. It considers the exact materials, labor, and equipment required for the project’s location. The use of construction cost indexes or area location factors, or other generalized adjustment factor does not capture these fine details, potentially leading to inaccuracies of up to 30% to 40%+ or greater.
Curret actionable cost is is critical in an economic environment where costs can fluctuate rapidly. It is directly sourced from the market where the project is being executed. It can account for local variations in labor, material, equipment and site conditions.
