MOST Construction Cost Data is Useless
MOST Construction Cost Data is Useless as is it not researched properly and objectively for local market conditions.
Author: peter.cholakis@verizon.net
JOC Contractor Evaluation
JOC contractor evaluation is an ongoing process, begining with their response to a Job Order Contract Request for Propsals for design-builders and continuing throughout the life-cycle of the JOC Program.
Cost effective FSRM Facilities Facilities Sustainment, Restoration, and Modernization
Cost effective facilities Facilities Sustainment, Restoration, and Modernization (FSRM) can now be accomplished with the integration of robust process and planning, procurement, and project delivery teams within a common data environment (CDE) inclusive of current, local market, granular line item construction task data.
Developing an Efficient JOC Program Framework
Developing an efficient JOC Program Framework requires a commitment to collaborative and integrated Planning, Procurement, and Project Delivery teams. Unfortunately most JOC […]
JOC Program Workflow
Here’s an example of a JOC Program workflow and associated best management practices for public sector owners and design-builders.
National Average Cost Data inaccurately estimates project costs
National Average Cost Data inaccurately estimates project costs and the use of location factoring or economic factoring are insufficient to rectify the issue.
Take CONTROL of your CONSTRUCTION COST ESTIMATING
The ONLY cost estimating solutions with CURRENT, LOCAL MARKET, LINE ITEM construction cost data! $1500/Year. Estimate FASTER and with CONFIDENCE! […]
DoD FSRM, BUILDER SMS and the LEGACY of Wasteful Politics
DoD FSRM, BUILDER SMS and the LEGACY of Wasteful Politics
Work Scope Visibility – Critical to Efficient Construction
Work Scope Visibility in the form of a detailed, well communicated Scope of Work enables teams to acheive best value outcomes.
Process DRIVES construction outcomes. Simple.
Process DRIVES construction outcomes by integrating previously disparate disciplines through the project lifecycle. The primary failure point for over 90% of all projects is a poorly defined and poorly communicated scope of work, which in turn results from the lack of a robust process.
Systems thinking and Job Order Contracting
Systems thinking and Job Order Contracting can be integrated to achieved significant improvement is repair, renovation, maintenance, and new construction outcomes.
Reinforce detail unit line-item construction cost estimating
Reinforce detail unit line-item construction cost estimating today with CURRENT LOCAL MARKET DATA
4BT Job Order Contract Enterprise Management System
The 4BT Job Order Contract Enterprise Management System
JOC Program Solution
The Benefits the 4BT JOC Program Solution include Simplified Program Management, Enhanced Collaboration, Efficient, Best Management Practices-based JOC Process Implementation, Customized Solutions, Cost Savings, Improved Quality Control, Time Savings, Risk Mitigation, Flexibility, and Long-Term Relationship Building.
4BT Job Order Contracting Solution Benefits
There are clear 4BT Job Order Contracting Solution benefits when compared to traditional tools and methods.
The Majority of traditional Job Order Contracts are FAILURES
The majority of traditional Job Order Contracts are failures because Job Order Contracting is a whole body of knowledge that involves the assembly and creation of high performing teams that perform upfront and all aspects of project lifecycle work well.
Robust Process Drives Efficient Construction Delivery
Robust process integrating multi-stakeholder engagement enables consistent delivery of quality repair, renovation, maintenance, and new build projects on time and on budge. […]
Creating a Detailed Scope of Work – Efficient Construction Project Delivery
Creating a detailed scoped of work is critical to achieving consistent best value outcomes for all repair, renovation, maintenance, and new construction activities.
Alliance Construction Delivery
Alliance construction delivery is process in which significant cost reduction, shorter project timelines, and high quality can be achieved through sharing information, making joint decisions, and sharing benefits that otherwise could not be possible via traditional methods.
JOC Multi-stakeholder Collaboration
JOC multi-stakeholder collaboration is the next step in productivity improvement, including faster project delivery times, cost reduction, quality improvement, and improved owner/design-builder relationships.
Benefits of Local Market Cost Data to Create Estimates – 4BT
Benefits of Market Cost Data to Create Estimates #1 DEFENSIBLE, #2 DYNAMIC , #3 EASY TO USE, #4 SUPERIOR TECHNOLOGY
JOC Program FAILURE POINTS
Eliminating JOC Program FAILURE POINTS is key to maximizes benefits for both owners and awarded JOC contractors.
Construction Cost Estimating is NOT an ART
While most writings imply that construction cost estimating is a combination of art and science, below are the reasons why Construction Cost […]
Standardized Work Management Drives FM Productivity
Standardized work management drives FM productivity by providing full technical and cost transparency to both owners and service providers.
Why Standardized Work is Critical to Construction Outcomes
Standardized Work is Critical to Construction Outcomes
Standardized processes and workflows are critical to establishing collaborative work environments with full technical and cost transparency. Rather than limiting innovation, they enable those doing the work and associated contribution of their expertise.
Leveraging JOC as a SYSTEM not simply a Procurement Tool
Leveraging JOC as a SYSTEM not simply a Procurement Tool provides significantly greater benefits while also reducing costs.
Alliance Contracting in Construction
Alliance Contracting is a specific means of project planning, procurement, and delivery wherein the owner/principal and service provider (design-builder) work collaboratively.
The ONLY Cost Effective Job Order Contracting Solution that maintains current local cost data
The ONLY Cost Effective Job Order Contracting Solution that is and maintains current local cost data
Construction: Integrating People and Robust Process with Standardized LOCAL MARKET Construction Task Data
Construction: Integrating People with Robust Process with Standardized LOCAL MARKET Construction Task Data
Alliance Construction Project Delivery – Driving Public Sector Stewardship of the Built Environment!
Alliance Construction Project Delivery is critical to public sector stewardship of the built environment. Arguably, positive financial and environmental outcomes are impossible without it!
The SOLE SOURCE for Current, Objective, Verifiable, and Granular LOCAL MARKET CONSTRUCTION COST DATA
4BT (Four BT, LLC) is the sole source for current, objective, verifiable, and granular local market cost data that does not rely […]
LOCALLY RESEARCHED Cost Data – Up to Date Unit Price Construction Cost Data
LOCALLY RESEARCHED Cost Data – Up to Date Unit Price Construction Cost Data. 4BT provides current, objective, local market construction cost information.
Innovative LEAN Job Order Contracting Knowledge-based System
Innovative LEAN Job Order Contracting
Construction Cost Estimating Facts
Construction Cost Estimating Facts
#1 There is no such thing as an “accurate cost estimate”. Beware of any
so called expert, estimating firm, or vendor that uses the term.
#2 Construction cost estimating is NOT an art. Decades of professional experience in construction cost estimating, knowledge of actual construction process, means, and methods, and business environment acumen lead to becoming a valued construction cost estimating professional. There is no “secret sauce”, there are no “short cuts”, and technology in itself is not a solution.
3# Detailed knowledge of local market labor, material, equipment, and productivity information a granular level is required to produce a verifiable and defensible construction cost estimate that is actionable. The use of building cost models, assemblies, national average cost data, historical costs, location or area cost factors, economic factors are will not provide equivalent, actionable cost information.
#4 Failure to make cost estimating part of a robust and integrated planning, procurement, and project delivery process, will inevitable result in cost and schedule overruns, change orders, and other forms of waste. 80% of all repair, renovation, maintenance, and new build activities lack financial and technical visibility in the form of a line item, detailed scope of work per above, and therefore result in one or more “failures”. Poor management and poor process are the cause of 85%+ of all project failures, not the people actually doing the work.
Poor Construction Estimates – Root Cause
The are two primary root causes of poor construction cost estimates:
Lack of early and ongoing communication between all relevant parties.
Failure to use granular, current, and well organized construction cost data specific to the local market.
RESTORE CONFIDENCE IN FACILITIES PREVENTIVE MAINTENANCE COST CONTROL & OUTCOMES
RESTORE CONFIDENCE IN FACILITIES PREVENTIVE MAINTENANCE COST CONTROL & OUTCOMES
2023 Collaborative Job Order Contracting
2023 Collaborative Job Order Contracting is far superior to “traditional” JOC Program approaches.
Objectively Validate Contractor and Subcontractor Quotes
Objectively VALIDATE Contractor and Subcontractor Construction Cost Estimates Construction cost management capabilities are critical to the success of any repair, renovation, maintenance, […]
BUILDER SMS – Too little to late?
“stepwise methodologies can be superior to the industry-leading continuous methodologies employed by BUILDER SMS in service-life prediction accuracy and decision-making versatility as […]
Better estimates.
Better construction cost estimates – Verifiable. current local market labor, material, and equipment costs – updated quarterly.
Construction Cost Management Capabilities 2023
Construction Cost Management Capabilities are critical to the success of any repair, renovation, maintenance, or new build.
Validity of a Construction Cost Estimate – Public Sector
The validity of a construction cost estimate, the most important aspect, is often overlooked and resulting in billions of dollars was every year.
How to Consistently Deliver QUALITY Facilities Projects ON TIME and ON BUDGET
Robust processes, tools, and support services are readily available to enable ANY organization to consistently delivery quality repair, renovation, maintenance, and new build projects on time and on budget.
Job Order Contract Core Requirements Drive Efficiency
Job Order Contract CORE REQUIREMENTs
Significantly IMPROVE your JOB ORDER CONTRACT
SIGNIFICANTLY IMPROVE your JOB ORDER CONTRACT #1 Put People First: Center your JOC Program around integrating your Planning, Procurement, and Project Delivery […]
Best Value Job Order Contracts – The Path to Sustainable Facilities Repair, Renovation, and Maintenance
Sustainable Facilities Repair, Renovation, and Maintenance is possible through the implementation of robust, innovative Job Order Contracts.
Technology will NOT SOLVE Construction Productivity Woes.
Despite the hype of many vendors, Technology will NOT SOLVE Construction Productivity Woes.
Efficient Public Sector Facilities Management Solution
Public Sector Facilities Management Solution
Public Sector Facilities Professionals – Reduce inefficiency, Streamline processes, Improve Quality, Manage Costs
Public Sector Facilities Professionals – Reduce inefficiency, Streamline processes, Improve Quality, Manage Costs
Embrace the next generation of Construction and Sustainable Lifecycle Facilities Management!
Embrace the next generation of Construction and Sustainable Lifecycle Facilities Management! Move all repair, renovation, maintenance, and new build projects forward with proactive, informed decisions.
Sustainable Job Order Contracting
Sustainable Job Order Contracting is a compliant, low cost, solution to consistently deliver quality repair, renovation, maintenance, and new build requirements on time and on budget with full financial transparency.
Sustainable Facilities Management – Repair, Renovation, Maintenance, and New Builds
Sustainable facilities management is the allocation of financial, environmental, and other organizational resources in the most efficient way possible. Attainment of sustainable […]
Construction Productivity Solution – Provide support for dealing with the conflicting interests of multiple stakeholders
A robust Construction Productivity Solution must include the ability to provide support for dealing with the conflicting interests of multiple stakeholders is CRITICAL to consistent achievement of best value construction outcomes.
Systems Enablers for Sustainable Facilities Management, Repair, Renovation, and Maintenance
Systems Enablers for Sustainable Facilities Management are critical considerations for any real property portfolio owner. In fact, they dictate how efficiently or how poorly an organization manages facilities stewardship requirements.
What Job Order Contracting Should Be
Job Order Contracting should be an integrated planning, procurement, and project delivery environment where, ll parties are aligned and focused on the activities that affect actual work outcomes
Value Generation in Public Sector Facilities Management
Value generation in public sector facilities management will rapidly become a mandate. Traditionally elevated levels of economic and environmental waste are no longer supportable.
System Thinking is a Practical Approach to Facilities Repair, Renovation, Maintenance, and New Construction
System thinking is a practical approach to facilities repair, renovation, maintenance, and new construction, offering consistent quality delivery on time and on budget.
Army Job Order Contracts FAIL to meet AFARS requirements MOST OF THE TIME
Army Job Order Contracts fail to meet critical AFARS requirements most of the time. The JOCPB (JOC Price Book: reflects the current […]
What’s WRONG with Federal Facilities Mangement?
What’s WRONG with Federal Facilities Mangement
National Security Impacted by Lack of Facilities Lifecycle Management
National Security Impacted by Lack of Facilities Lifecycle Management
The VALUE of Time and Motion Study and Locally Researched Granular Construction Task Data
The value of time and motion study is clear. The process enables the accurate definition of labor, material, and equipment requirements to […]
Sustainable Public Sector Facilities Management – Unattainable?
Sustainable Public Sector Facilities Management is Unattainable if current practices are not fundamentally changed.
Sustainable Facilities Management Solutions
Even though tools and services are readily available to consistently deliver quality, on time and on budget repair, renovation, maintenance, and new build outcomes, real property owners and facilities management professionals have yet to adopt system thinking. Until this occurs, sustainable facilities management solutions will remain on the shelf.
OpenJOC(TM) LEAN Job Order Contracting
LEAN Job Order Contracting integrates system thinking within organizations to drive best value outcomes.
System Thinking for FM and Construction
The application of system thinking to facilities management (FM) and the AECOO sector, and associated tools and support processes is critical to sustainability.
Construction Costs – Market Update
Construction Costs – Market Update 2022-2023
The FOUR Primary Failure Points associated with Facilities Management and Construction.
FOUR Primary Failure Points associated with Facilities Management and Construction are Real property owner leadership, competency, accountability, and commitment
Robust process – Failure to integrate internal and external planning, procurement, and project delivery teams within a consistent, programmatic framework with associated workflows and supporting tools.
Common data environment – A shared glossary of terms and definitions as well as granular task data organized using standard data architectures is needed to enable technical and financial communication and support collaboration.
Proper leverage of technology – Technology should enable people and process and not dictate process. In short, technology should embed robust processes and support associated consistent, lower cost deployment, oversight, and continuous improvement.
No.1 Reason Why 70% of capital projects are late, over budget, or both!
No.1 Reason Why 70% of capital projects are late, over budget, or both!
LEAN Construction Delivery 2023 – A WHITE PAPER
LEAN Construction Delivery 2023 can significantly improve quality, productivity, and overall levels of satisfaction for all participants and stakeholders.
Significant Improvement of Evaluation and Maintenance of Building Infrastructure – Public Sector
Significant Improvement of Evaluation and Maintenance of Building Infrastructure required accelerated adoption of readily available robust programmatic tools and support services that analyze and reduce both risk and cost .
Rethink Preventive Maintenance – Lower costs 30%-40% while extending system life up to 10x
In today’s economic environment it may be time to rethink Preventive Maintenance, lower costs 30%-40%, and extend system life up to 10x.
Validating FM Decisions with Verifiable Cost Data
Validating FM decisions with verifiable cost data is critical, yet rarely practiced.
FM Sustainability Regulation
January 2023 two climate requirements for new construction entered into force in the Building Regulations. If you are going to build a […]
FM’s LACK OF A BoK
Facilities Management and the full AECOO community have a fundamental flaw that is solely responsible for rampant economic and environmental waste; the lack of body of knowledge (BOK or BoK), the complete set of concepts, terms and activities that make up a professional domain.
Why Technology Won’t Help Construction or Facilities Management and their LEGACY OF WASTE
Technology Won’t Help Construction’s and Facilities Management’s Legacy of WASTE simply because technology simply automates existing processes. ERP, CMMS, IWMS, even BIM […]
A Transformative Approach to Construction Project Management
A Transformative Approach to Construction Project Management that enables the consistent delivery of quality outcomes on time and on budget has been […]
FACT CHECK: LEAN Construction and BIM are not the same
LEAN Construction and BIM are not the same, yet many have this misconception.
Understanding Efficient Facilities Stewardship – Unpeeling the ONION
Understanding Efficient Facilities Stewardship requires
STAKEHOLDER CONTINUOUS PARTICIPATION AND INVOLVEMENT – A Prerequisite for Efficient Facilities Management
Facilities STAKEHOLDER CONTINUOUS PARTICIPATION AND INVOLVEMENT are required to assure quality, on time, on budget outcomes.
Mitigating Uncertainty in Facilities Repair, Renovation, Maintenance, and New Builds
Mitigating Uncertainty in Facilities Repair, Renovation, Maintenance, and New Builds is a proven way to reduce waste and consistently deliver quality outcomes on time and on budget.
Facilities Management & Uncertainty
Uncertainty – The inability to foretell consequences or outcomes because of a lack knowledge or basis on which to make any predictions […]
Traditional Facilities Maintenance Approaches Are FAILING
Traditional Facilities Maintenance Approaches Are FAILING due to… 1.) reactive nature 2.) lack of cost visibility and cost management capability, 3. Failure of CMMS technology to deliver significant benefit.
BEHAVIORS drive Facilities Management Outcomes – Repair, Renovation, Maintenance, or New Builds
BEHAVIORS drive Facilities Management Outcomes for Repair, Renovation, Maintenance, or New Builds.
Improving Facilities Management Outcomes REQUIRES LEADERSHIP
Improving Facilities Management Outcomes REQUIRES LEADERSHIP. LEADERS must ENABLE people doing the work to leverage their expertise to contribute to problem solving and continuously improve daily activities and processes.
Robust Facilities Sustainment Solution
A robust facilities sustainment solution is critical to any real property owner.
All things JOC – Job Order Contracting
All things JOC – Job Order Contracting. Structuring a best value JOC Program requires far more than getting a certification, buying software, or hiring a ‘JOC consultant”.
Primary Lesson for FMers and Real Property Owners
Primary Lesson for FMers and Real Property Owners, the consistent delivery of quality repair, renovation, maintenance, and new build projects on time and on budget is quite simple
A Relationship-based Approach to Sustainable Facilities Management
A Relationship-based Approach to Sustainable Facilities Management is needed to meet current and emerging economic and environmental requirements.
Best Value / LEAN Construction and LEAN Production are NOT the Same
est Value / LEAN Construction and LEAN Production are not the same.
Best value / Lean construction is an integrated planning, procurement, and project delivery process that uses robust workflows, a common data environment, and collaborative teams to increase productivity, profits, and innovation in the industry. The terms “Best Value” and “LEAN” can be used interchangeably.
OpenBUILD(TM) The ONLY Construction Integrated Project Delivery Solution with Locally Researched Cost Visibility
OpenBUILD(TM) is The ONLY Construction Integrated Project Delivery Solution with Locally Researched Cost Visibility with Program Management
Too little, too late? FEDERAL BUILDING PERFORMANCE STANDARD December 2022
FEDERAL BUILDING PERFORMANCE STANDARD
PROVEN FORMULA FOR EFFICIENT FACILITIES Repair, Renovation, Maintenance, and New Construction
PROVEN FORMULA FOR EFFICIENT FACILITIES Repair, Renovation, Maintenance, and New Construction
Physical Asset Management Optimization: People, Processes, Information, and Technology
Physical Asset Management Optimization: People, Processes, Information, and Technology
Objective and Defensible Facility Conditions Assessment – Critical, but rarely practiced
An objective and defensible facilities conditions assessment is critical to efficient management of any facilities portfolio. Unfortunately, the data obtained in most assessments is not presented in a manner to rely upon associated costs for deferred maintenance, or in a manny to enable integration into efficient, robust, and integrated planning, procurement, and project delivery activities
Why Job Order Contracting was developed
Why Job Order Contracting was developed.
Job Order Contracting (JOC), an alternative to the sealed bid method of procuring facility construction and repair services, was developed by the Federal Government in the 1980s to reduce the processing time and administrative effort required for smaller construction jobs (Source).
How to better incorporate cost data into capital facility planning
To better incorporate cost data into capital facility planning requires a robust actionable local market database.
Traditional Facilities Construction Cost Management Failure – Repair, Reno, Maintenance, and New Builds
Traditional Facilities Construction Cost Management Failure – Repair, Reno, Maintenance, and New Builds failure is prevalent
What’s WRONG with LEAN Construction?
What’s WRONG with LEAN Construction?
A Real Property Owner’s Guide to Improving Construction Productivity
A Real Property Owner’s Guide to Improving Construction Productivity enables measurable improvement in facilities repair, renovation, maintenance, and new build efficiency involves strengthening the focus on implementation. A critical aspect involves balancing standardization of activities and information with empowering those doing the work on site.
Improving Facilities Sustainment Outcomes
Improving facilities sustainment outcomes is critical to meeting mission, environment, and financial requirements. Sustainment includes all 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 repairs.