Industry Leading Cost Data
Are you using “industry leading cost data” and “following the pack”? If so, you are likely not optimizing either construction cost visibility or cost management.
Author: peter.cholakis@verizon.net
Construction Work Packages
Construction work packages are the scalable standard for construction processes. All data is structured around it, and all workflows are designed inside the work package.
Comprehensive Unit Cost Database – Construction
Improve construction cost visibility and management with a LOCAL, CURRENT, OBJECTIVE, and VERIFIABLE Comprehensive Unit Cost Database with 90,000 granular construction tasks including labor, material, equipment, and productivity.
Commerical Construction Costs 2024
Commercial Construction Costs 2025 increased 0.1% for the month of November 2024, while overall construction input prices are 0.5% higher than a year ago, and nonresidential construction input prices are 0.3% higher. Prices decreased crude petroleum prices were down 3.3%, while unprocessed energy materials prices were down 2.0%., while natural gas prices were up 2.6% in November.
FM Productivity Constraints – Public Sector
FM productivity constraints remain a barrier for most public sector areas.
To address rising sustainment (repair, renovation, maintenance) and new build costs, robust, integrated Planning, Procurement, and Project Deliver Frameworks increasing needed to maximize resource utiization.
Facilities asset lifecycle management
A robust facilities lifecycle management process (FLMP) is required to sustainably manage any building portfolio. The good news is that adapting to and implementing a robust FLMP is not difficult and frameworks are readily avaialable that can measurably reduce financial and environmental waste.
Managing Change Orders
Managing change orders for any size of repair, renovation, maintenance, or new build project, whether IPD, alliance job order contracting, DB, DBB, ‘et al’, simply requires a robust preconstruction process in most instances.
A granular, well communciated (among owner and design/builders), well organized (using a standardized data architecture such as expanded CSI MasterFormat) DETAILED SCOPE OF WORK, eliminates of 90% of change orders.
Change orders should not result from errors and omissions, coordination issues, means and methods, or material substitutions as these are all manageable via application of robust, detailed scope of work (SOW) development.
Challenge and Improve Construction Cost Estimating
Challenge and Improve Construction Cost Estimating by improving methods, and ensuring both and data and process standardization are central to significantly enhancing cost visibility and cost management.
Alliance Job Order Contracting 2025
While traditional JOC Programs use national average cost data and location factoring, or pay “JOC Consultants” a percentage of total JOC construction volume, neither maximize the potential of Alliance Job Order Contracting.
Early Contractor Involvement & Improved Sustainment / Construction Cost Management
Early contractor involvemen ensures consistent quality, timely delivery, adn cost control. for government real property owners.
Circular Construction and Its Benefits
The benefits of circular construction and a consistently applied programmatic approach to all repair, renovation, maintenance, and new build projects include a […]
Construction Advanced Work Packaging AWP
Construction Advanced Work Packagin is a construction-driven planning and collaboration system for building capital projects that is sharply focused on creating a constraint-free work environment in the field. It requires that detailed work packages be created early in the project life cycle; i.e., in advance.
Cost Saving Public Sector FM Solution
An innovative cost saving public sector FM solution is now available that enables 0rganizations to save 30%-40%+ vs. traditional methods for renovation, repair, and maintenance projects.
Practical LEAN Construction
Practical LEAN construction frameworks involve robust approaches inclusive of multi-level training, detailed workflows, clear responsibilities, and a common data environment (CDE)
Active Construction Cost Management – Government, Healthcare, Education, Transportation
Active Construction Cost Management is important to any repair, renovation, maintenance, or new build activity.
Construction Cost Management Methods – Public Sector
Underutilized construction cost management is largely reponsible for high levels of public sector waste across the architecture, engineering, construction and facilities operations (AECO) domains
Construction Cost Optimization
The Guide to Construction Cost Optimization provides a road map for applying best management practices to drive financial visibility and transparency.
Improve Construction Cost Certainty
The need to improve construction cost certainty is critical regardess of whether repair, renovation, maintenance, or new build projects are invovled.
Better CONSTRUCTION COST ESTIMATION workflows
Better CONSTRUCTION COST ESTIMATION workflows can be used by owners and design-builders to better navigate the journey to improved cost visibility and cost management.
MINIMIZING TIME AND COST OF Commercial Construction PROJECTs
MINIMIZING TIME AND COST OF Commercial Construction projects without sacrificing quality requires the following elements, owner leadership and accoutability, an integreated planning, procurement, and project delivery team, and a well defined and well communicated detailed Scope of Work, and a robust process focused upon mutually beneficial outcomes.
Transform Construction Cost Estimating
If your projects are overbudget, late, and continue to go “off the rails”, it may be time to transform construction cost estimating practices.
Better Tools For Estimators Drive Significantly Improved Construction Cost Visibility
significantly improved contruction cost visibility
Data Driven Cost Estimating
Engage in data driven cost estimating with objective, verifiable, and current local market labor, material, and equipment price books from 4BT (Four BT, LLC).
Improving Multi-Trade Construction Cost Estimates
Improving Multi-Trade Construction Cost Estimates is critical for any CM or real property owner
Advancing Construction Cost Estimating
Advancing construction cost estimating data, tools, communications, and technology is central to achieving sustainable facilities management.
Benefits of Collaborative Job Order Contracting
Collaborative Job Order Contracting
Robust Management Practices Lead to Sustainable Lifecycle Building Management
ROBUST PRACTICES IMPROVE SUSTAINABLE LIFE CYCLE MANAGEMENT OF BUILDINGS. Sustainable lifecycle building management requirements and solutions are readily available.
Target Value Deliery – How to Apply TVD with 5 Steps.
Target Value Delivery (TVD) is “a management practice that drives the (design and construction) to deliver customer values within project constraints”
Job Order Contracting Audit – Tampa 2024
PURCHASING DEPARTMENT JOB ORDER CONTRACTING AUDIT
Validate a Construction Takt Plan
Validating an “optimized” TAKT plan is challenging, if not impossible, without access to an objective and granular local market database of construction tasks.
Actionable Construction Cost Data
From preconstruction through procurement and project delivery, actionable construction cost data is required for cost control.
Master Builder Concept, LEAN, and Job Order Contracting
Master Builder Concept
Buildings Over One Billion Birds Annually in U.S. Alone
Buildings Kill Over One Billion Birds Annually as they cannot see glass.
STOP Thinking about ACCURATE CONTRUCTION COST ESTIMATES
“Accurate construction cost estimates” is a misnomer, however, and estimate can and should be Objective, Current, Granular, and reflect LOCAL Market Labor, Material, and Equipment costs.
Sustainability and Preventive Maintenance = Environmental Stewardship
Sustainability and Preventive maintenance are linked in several ways; Energy Efficiency, Resource Conservation, Waste Reduction, Environmental Impact, Health and Safety, Cost Savings, and Compliance and Standards
FSRM – Facilities Sustainment, Restoration, and Modification
Facilities sustainment – The maintenance and repair activities necessary to keep an inventory of facilities in good working order. It includes regularly scheduled adjustments and inspections, preventive maintenance tasks, and emergency response and service calls for minor repairs.
Construction Cost Data Information
Current, objective, verifiable, and detailed construction cost data is critical to achieving any useful level of cost visibility and cost management.
Aggregates Pricing – Crushed Stone
Construction Aggregates The U.S. Geological Survey (USGS) defines the construction aggregates industry as those companies that mine and process crushed stone and […]
6 Steps to Construction planning, procurement, and project delivery integration and significantly improved outcomes.
Construction planning, procurement, and project delivery integration
4BT JOC Program Management Solution
4BT JOC Program Management Solution?
1. Critical management functionality
2. Current, objective, verifiable, LOCAL MARKET labor, material, and equipment costs
3. Achieves unparalled value, cost savings, and ROI
4. Builds and retains owner and design-builder knowledge
FM Professionals engage, inspire, and harness the full potential of your teams
It’s critical that FM professionals engage, inspire, and harness the full potential of internal and external teams.
Unlocking the door to Objective Verifiable Construction Cost Estimates
Unlocking the door to Objective Verifiable Construction Cost Estimates is now possible with current, locally research line item labor, material, and equipment data from Four BT, LLC (4BT).
Balancing Job Order Contracting Objectives and Costs
Balancing Objectives and Costs for Job Order Contracting in alignment with an organization’s overall mission is a critical consideration for any JOC Program.
Major Construction Cost Estimating Improvement
An important construction cost estimating inprovement is the use of current, objective, verifiable, and locally researched granular labor, material, and equipment construction tasks.
Improving Construction Services Procurement – JOC
Improving Construction Services Procurement is critical to sustainable facilities management. JOC, Job Order Contracting can play a major role, if, JOC Programs as not used to simply “speed procurement” and robust, collaborative processes are leveraged.
Job Order Contract Cooperatives – WHEN and HOW to Use Them
Job Order Contract Cooperatives serve a purpose, however, it’s important to know WHEN and HOW they should be used.
GSA PBS JOC Program Management Audit – Issues Continue
GSA PBS JOC Program Management Audit shows continues issues with cost control and accountability.
Robust Construction Productivity Tools
Robust Construction Productivity Tools measurably reduce costs by 30%-40%+.
Sustainable Facilities Management and Leadership
Sustainable Facilities Management and Leadership
DoD Facilities Sustainment Practices NOT KEEPING PACE with Changing Landscape
DoD Facilites Sustainment Practices are NOT KEEPING PACE with Changing Landscapes. Most DoD and non-DoD organizations fail to use objective, verificable, and current granular local market construction labor, material, and equipment information, organized in a fully standardized and transparent manner.
Relearn Construction Cost Estimating – 4 Critical Learnings
Relearn Construction Cost Estimating – 4 Critical Learnings. Technology will not solve your problems. Tech is an enablers.
People, Process, and Information are the three kings. Focus on working with professions with experience, yet willing to learn, listen, and share information. Robust process is critical. Move away from “project-based thinking”, to program thinking. This simply means, fundamental steps/workflows work for ALL projects. Stick with them. As to information, there is only one critical aspect. Use and share objective, granular, current, and locally researched line item data that is organized using a standard data architecture (for example, expanded CSI Masterformat).
Focus on a developing a detailed Scope of Work from day one and work collaboratively with all constituencies (owners, design-builders, planners, procurement, facilities management…).
Work as part of an integrated planning, procurement, and project delivery team.
AI – caveat emptor – FM
AI – caveat emptor – FM. AI is basically “pattern recognition”. Algorithims sort throught avaiable data, look for relevant information based upon statistically high conformance, and output a result. The issue is the rarely is the “consensus” of available data the answer when it comes to complex or innovative solutions. Secondly, the problem of assuming biased or misinformation is accurate is very real.
Six Reasons Construction Project Fail
These are the top six reasons construction projects fail.
2024 JOC Program
Is your 2024 JOC Program up to date? FACT: Most JOC Programs have not kept pace with current robust processes, cost data sets, or technologies.
FM Perspectives – Public Sector #124
Public sector facilities management has not measurably improved for decades. The reason is simple. Lack of organizational development readiness. Despite the availability […]
Enhance Construction Cost Estimating – 5 Steps
Enhance Construction Cost Estimating – 5 Steps.
Improve construction cost estimating?
1. A detailed, well-communicated Scope of Work is critical to the success of any project whether repair, renovation, maintenance, or new construction and the associated use of commonly understood, standardized terms, definitions, and data architectures (expanded CSI Masterformat, UNIFORMAT…).
2. Early and ongoing communication and collaboration among owners and design/builders during the planning, procurement, and project delivery phases based upon a robust integrated framework.
3. Development of a shared detailed Scope of Work
4. A detail quantity take off and associated objective current, locally researched line item construction cost database.
5. Owner leadership, capacity, and accountability.
Improving Job Order Contracting Outcomes
Improving Job Order Contracting outcomes requires transformational change. We have yet to reach a point where JOC is valued for more than simply speeding procurement times.
The BETTER Job Order Contracting Solution
Looking for a better Job Order Contracting application? The 4BT OpenJOCTM Solution is just that!
Looking for a BETTER Job Order Contracting Solution?
If you are looking for a better job order contracting solution, it’s time we talked.
Collaboration and informed decision-making in the construction industry
Cost visibilty and transparency promotes a culture of collaboration and informed decision-making and can ensure greater efficiency across the facilities management and AECOO sectors.
Introducing LEED v5 – For what it is worth.
Introducing LEED V5, the next version of the globally recognized comprehensive framework for green building practices. Embracing market demands for greater accountability, v5 will champion solutions to aligning the built environment with critical imperatives including decarbonization, ecosystem conservation and restoration, equity, health, and resilience. LEED v5 will drive real-world impact and positive change worldwide.
Lifecycle facilities management is so wasteful. Why?
Lifecycle facilities management is so wasteful because we put off the hard work of reflecting on what we did wrong.
JOC Coefficients Less than 1.0
JOC Coefficients less than 1.0 are unfortunately common however represent sinficant risk to both real property owners and JOC contractors.
Why Sustainable FM Matters
Here’s a simple reason why sustainable FM matters. Construction/land use will be responsible for up to the loss of 5 million natural species.
Circular Economy and Sustainable FM
Efficiency of facilities repair, renovation, maintenance, and new build projects is diectliy linked to a circular economy and sustainable FM.
FedRAMP limits Construction Productivity and Innovation
While the concept of providing a standardized security approach may have been sound, FedRAMP limits Construction Productivity and Innovation,
Public Procurement of Construction Services
Public Procurement of Construction Services
Sustainable Facilities Management Practices
Sustainable Facilities Management Practices involve a clear set of objectives, methods, and processes aimed at maximizing performance of the built environment with respect to economic and environmental resources in concert with meeting organizational mission needs.
Linking Program Management and Project Management – A Proven Construction Productivity Solution
Linking Program Management and Project Management and enhancing this relationship aligns single projects to a robust programmatic approach to significantly improve overall outcomes for owners, architects, engineers, and builders.
Facilities Leaders NOT Facilities Managers
Attaining a sustainable built environment requires Facilities Leaders NOT Facilities Managers. Leadership focused upon people first, then process, information, and finally technology.
ISO – FM & Data Management
“ISO 55000/1 are standards that define a management system for asset management. The focus of these standards is not the asset (in […]
How to Efficiently Manage Dynamic Projects – The Solution to FM and Construction Waste
Learning how to effciently manage dynamic project is the first step toward solving FM and construction waste.
FEDRAMP is Hindering Facilities Management in the Federal Sector
We have all been dealing with FEDRAMP for years along with associated misinformation, ambiguity, and missteps. FEDRAMP is Hindering Facilities […]
The REAL Barrier to Improved Facilities Lifecycle Management
The REAL Barrier to Improved Facilities Lifecycle Management lies in the four cohorts of the status quo
Improving Facilities Project Outcomes
Improving Improving Facilities Project Outcomes, whether, repair, renovation, maintenance, or new build, isn’t difficult. It does, however, require that relationships that lead to mutual benefit formed by internal and external teams who might otherwise be competitors fighting head-to- head and cause the traditional fragmentation provide major obstacles to efficient project delivery.
Construction Cost Factors – What you should know
Construction Cost Factors
ChatGPT Answers – RSMeans versus locally researched cost data
RSMeans versus locally researched cost data
2024 Job Order Contracting
2024 Job Order Contracting is efficient and provides full cost visibility for reducing deferred maintenance, renovations, repairs, and even new construction.
2024 Commercial Construction Cost Trends
2024 Commercial Construction Cost Trends continue downward.
Agile Facilities Management – Deferred Maintenance – Public Sector – Federal, State, County, Local
Agile Facilities Deferred Maintenance Management
Non Residential / Commercial Construction Stats 2023
Non Residential / Commerical Construction Stats 2023
Job Order Contracting Quick Facts
Job Order Contracting Quick Facts
Integrated Project Delivery Critical Component
A critical component of Integrated Project Delivery is objective, verifiable, granular local market cost data and and associated and an associated detailed scope of work (SOW) fully communicated with and agreed to by all participants and stakeholders.
STOP using ACFs – The inherent flaws of Area Cost Factors
STOP using ACFs – The inherent flaws of Area Cost Factors
Beware of Using Assemblies for Job Order Contracting
Beware of Using Assemblies for Job Order Contracting. Some suppliers of Job Order Contracting software and cost data use “Assemblies” within what is supposed to be a unit price book (UPB). Line item estimating provides a detailed and transparent breakdown of costs, making it easier to track expenses and communicate with stakeholders.
Sustainable Public Sector Facilities Management
Sustainable public sector facilities management is long overdue. “All” that is required, is …
• Compentent owner leadership, commitment, and accountablity.
• The application and continuous improvement of systems thinking based frameworks/process.
• A common, shared technical and cost data environment.
• Adoption of systems thinking and a fundamental change from current planning, procurement, and project delivery practices.
FM 2024 and Beyond!
FM 2023 and Beyond requires 1) Owner Leadership, Commitment, & Accountability
2) Integrated Planning, Procurement, and Project Teams, Processes, and Workflows
3) Standards and Guidance – Shared Objective, Granular, Local Market Construction Task & Cost Data, Expanded Masterformat, Expanded UNIFORMAT
4) Frameworks and Contracts Focused Upon Mutually Beneficial Outcomes for ALL Participants and Stakeholders
5) Manditory Initial and ONGOING Education and Training
6) Quantitative Performance Metrics and Continuous Improvement
Skilled, flexible, responsive and socially adept FACILITIES MANAGEMENT
Skilled, flexible, responsive and socially adept FACILITIES MANAGEMENT
12 Step Program for Creating Credible Construction Estimates
12 Step Program for Creating Credible Construction Estimates
Effective Public Sector Construction Project Management
Effective Public Sector Construction Project Management
Root Cause of Construction Project Failures
Recognition of the root cause of construction project failures is the first step towards improvement. Basically, a lack of understanding of work […]
AECOO Engagement, Alignment, and Sharing of Objective, Current, Veriable Information = Efficient Construction Delivery Strategy
AECOO Engagement, Alignment, and Sharing of Objective, Current, Veriable Information = Efficient Construction Delivery Strategy
Sustainability and Efficient Facilities Lifecycle Management
Sustainability and Efficient Facilities Lifecycle Management go hand in hand.
Objective, reliable, and veriable Construction Cost Estimates
Objective, reliable, and veriable Construction Cost Estimates for repair, renovation, maintenance, new build activities.
OpenBUILD(TM) Integrated Project Construction Delivery Solution
Integrated Project Construction Delivery Solution thar provides a standardized approach to construction data collection that collates and shares data on all public sector projects across all locations in a common format across public and private sector audiences to leverage the latest methods and tools supporting optimal project planning, costing, procurement, delivery, and management,
DoD FAILS Financial AUDIT – AGAIN
For over 30 years, the Department of Defense (DOD) has spent billions of dollars each year to acquire and modernize financial management, […]
Alliance Contracting Key Aspects
Alliance Contracting / Alliance Partnering in ConstructionWhen properly designed, implemented, and managed, drives innovation, collaboration, and best value outcomes for all parties.
Defining a CREDIBLE Construction Cost Estimate
A credible cost estimate is one that has been derived using local market granular information. A unit cost is assigned to each of the facility components or construction tasks as represented by the bill of quantities.
JOC Program PRODUCTIVITY IMPROVEMENT – It’s all about empowerment and accountability
JOC Program productivity improvement requires organizational development & leadership
CONSTRUCTION PROJECT FAILURE FACTORS
Contruction failure factors are have been fully documented. Recognizing these causal factors and implementing available solutions can substantially reduce the number of failed projects, and more efficiently achieve other project objectives.