BCIS basics: understanding project preliminaries

In the context of cost, no two projects are the same.

In part, this is due to location and the price variations between different regions, counties or districts. To account for these variations, BCIS location factors can be applied to a custom or sample project in the service to give a more realistic idea of its total price without design considerations.

These factors are incredibly useful tools, but do not reflect the preliminaries unique to certain projects.

Preliminaries can have a substantial effect on the cost of construction projects and these essential cost elements need to be accounted for within budgets.

Let’s explore a sample of preliminaries and their impact in more depth.

Personnel facilities

One of the biggest additional costs in projects, building works aside, can be the facilities used by personnel.

These include sanitation and welfare facilities and temporary accommodation. Costs will depend on the number and type of facilities required and include their transportation, assembly, maintenance and dismantling.

Sub-contractors’ use of space for their own facilities, as well as their use of site infrastructure and personnel facilities belonging to the main contractor, should be reflected in the tender submission too.

Site management

Every site comes with its own challenges, and these can all influence cost.

For instance, in urban areas, brownfield sites may need decontamination which would include paying for a contaminated land assessment and subsequent remediation works.

Waste management more generally, including cleaning works and rubbish disposal, should be factored into the cost as well. Those involved in tender preparation and budgeting should be mindful of landfill tax, and monitor upcoming regulatory changes associated with this.

Site management costs can also derive from hoardings, footpaths, gantries and security measures. The latter can include security personnel, temporary lighting, fencing and CCTV as well as insurance to cover the risk of criminal damage.

Weather conditions

Inclement weather is infamous for holding back construction projects.

Areas with high snowfall or rainfall can increase the risk of delays, schedule disruption and materials or equipment damage, so it’s important that tender submissions account for the potential cost of addressing these issues.

In these circumstances, contractors could be forced to pay additional costs for heating and maintenance, for worker’s wages when no work is taking place and to replace damaged resources. This should be considered on top of drying out the works.

As a result of climate change, extreme weather events including flooding, heatwaves and severe storms are expected to become more frequent. Adjusting tenders to reflect worst case scenarios is the best method of protection against running over budget.

Site access

Other site-based cost considerations include accessibility.

In urban areas particularly, additional costs can rise from local traffic regulations, such as restricted parking and congestion tolls. These can lend themselves to slower deliveries and more complex logistics. In certain projects, additional costs could arise from handling deliveries outside of normal business hours.

Maintenance of public and private roads should be accounted for too where applicable. In particular, this includes wear and tear from a higher volume of traffic transporting personnel, goods and plant to and from site.

On the site itself, infrastructure such as temporary roads, goods storage and crossings could be required for safety reasons or to improve access, the cost of which should be factored into tenders.

Obligations, maintenance and amends

Beyond standard building works, tenders should reflect the cost of satisfying any obligations or restrictions set out by the building or site owner. Examples include required working hours and space, access to and use of the site, and the installation or maintenance of personnel facilities and utilities infrastructure.

Regarding the project itself, tender submissions should also account for any additional works required post-completion, including to amend possible defects.

Health and safety compliance

Compliance with health and safety regulation is not the most glamourous aspect of a project but it’s one of the most important and can rack up costs quickly.

For instance, compliance with the Construction (Design and Management) Regulations 2015 can be costly in time and resources for multiple parties. Requirements include the provision of pre-construction information, such as identifying health and safety hazards and how to mitigate them.

Local planning regulations

Last but by no means least, are the cost impacts of local planning policies, environmental protections and design standards.

The difference between local planning regulations means the same project could cost less if built in an area with more relaxed planning rules. Rules may require the reduction of noise and dust pollution or for building works to be temporarily stopped where they could impact important local events, such as court sessions.

Any works being carried out by local authorities or government bodies as part of or to facilitate the project should be factored into the tender submission.

Preliminaries and BCIS

Construction projects are often complex beasts with any number of factors influencing cost at one time.

Accounting for all possible preliminaries is essential practice and can be supported by using the BCIS service to strengthen predictions made in tender submissions.

To explore how our service can help you to better measure or predict project costs, request a demo from our team today.

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More BCIS Basics

Six principles of benchmarking in construction

Six reasons to benchmark in construction

Using location factors in construction