Construction is a general term meaning the art and science of forming objects, systems, or organizations. It comes from the Latin word constructio and Old French construction. To 'construct' is a verb: the act of building, and the noun is construction: how something is built or the nature of its structure.
Real estate appraisal, property valuation or land valuation is the process of developing an opinion of value for real property. Real estate transactions often require appraisals because they occur infrequently and every property is unique, unlike corporate stocks, which are traded daily and are identical. The location also plays a key role in valuation. However, since property cannot change location, it is often the upgrades or improvements to the home that can change its value. Appraisal reports form the basis for mortgage loans, settling estates and divorces, taxation, and so on. Sometimes an appraisal report is used to establish a sale price for a property.
The Royal Institution of Chartered Surveyors (RICS) is a global professional body for those working in the Built Environment, Construction, Land, Property and Real Estate. The RICS was founded in London in 1868. It works at a cross-governmental level, and aims to promote and enforce the highest international standards in the valuation, management and development of land, real estate, construction and infrastructure.
Comparables is a real estate appraisal term referring to properties with characteristics that are similar to a subject property whose value is being sought. This can be accomplished either by a real estate agent who attempts to establish the value of a potential client's home or property through market analysis or, by a licensed or certified appraiser or surveyor using more defined methods, when performing a real estate appraisal.
A quantity surveyor (QS) is a construction industry professional with expert knowledge on construction costs and contracts. Qualified professional quantity surveyors are known as Chartered Surveyors in the UK and Certified Quantity Surveyors in Australia and other countries. In some countries such as Canada, South Africa, Kenya and Mauritius, qualified quantity surveyors are known as Professional Quantity Surveyors, a title protected by law.
Construction management (CM) aims to control the quality of a project's scope, time, and cost to maximize the project owner's satisfaction. It uses project management techniques and software to oversee the planning, design, construction and closeout of a construction project safely, on time, on budget and within specifications.
A bill of quantities is a document used in tendering in the construction industry in which materials, parts, and labor are itemized. It also (ideally) details the terms and conditions of the construction or repair contract and itemizes all work to enable a contractor to price the work for which he or she is bidding. The quantities may be measured in number, area, volume, weight or time. Preparing a bill of quantities requires that the design is complete and a specification has been prepared.
A cost estimate is the approximation of the cost of a program, project, or operation. The cost estimate is the product of the cost estimating process. The cost estimate has a single total value and may have identifiable component values.
Chartered Surveyor is the description of Professional Members and Fellows of the Royal Institution of Chartered Surveyors (RICS) entitled to use the designation in the (British) Commonwealth of Nations and Ireland. Chartered originates from the Royal Charter granted to the world's first professional body of surveyors. Chartered Surveyors are entitled to use "MRICS" or "FRICS" after their names as appropriate.
Cost engineering is "the engineering practice devoted to the management of project cost, involving such activities as estimating, cost control, cost forecasting, investment appraisal and risk analysis". "Cost Engineers budget, plan and monitor investment projects. They seek the optimum balance between cost, quality and time requirements."
When estimating the cost for a project, product or other item or investment, there is always uncertainty as to the precise content of all items in the estimate, how work will be performed, what work conditions will be like when the project is executed and so on. These uncertainties are risks to the project. Some refer to these risks as "known-unknowns" because the estimator is aware of them, and based on past experience, can even estimate their probable costs. The estimated costs of the known-unknowns is referred to by cost estimators as cost contingency.
A glossary of terms relating to project management and consulting.
Construction cost estimating software is computer software designed for contractors to estimate construction costs for a specific project. A cost estimator will typically use estimating software to estimate their bid price for a project, which will ultimately become part of a resulting construction contract. Some architects, engineers, construction managers, and others may also use cost estimating software to prepare cost estimates for purposes other than bidding such as budgeting and insurance claims.
Operational bills are a tendering document for estimating costs prepared by architects that describes a construction project in terms of the operations needed to build it. This form of document contrasts with that of bills of quantities in which such tendering and estimation is limited to the materials in the completed work. Operational bills have the advantages of enhancing communication between design and production, enabling realistic tender pricing, and making the preparation of critical-path analysis easy for the contractor.
Edward Skoyles was the first quantity surveyor employed in the UK to research costs and practices in the construction industry. He did his research from 1960 until 1984 at the Building Research Establishment. Among his research projects was developing a new type of tendering for construction projects called operational bills. He also started the study of the actual amount of waste in the construction industry, and investigated the varying methods of cost estimation practices used in different countries. His contributions are still widely discussed in the academic literature particularly upon operational bills, and building waste
A Civil estimator is a construction professional who bids on civil projects that have gone to tender. Civil estimators typically have a background in civil engineering, construction project management, or construction supervision. Estimators are responsible for obtaining tenders, obtaining of material costs, calculation of tenders taking into consideration project management and overheads. The role of an estimator can be a very pressured one, and requires a great level of concentration, some of which will result in erratic office hours to ensure tender return dates can be achieved.
Pre-construction services are services that are offered to support owners, architects, and engineers in making decisions. They are used in planning a construction project before the actual construction begins. The stage where these services are offered is called pre-construction or "pre-con".
A cost database is a computerized database of cost estimating information, which is normally used with construction estimating software to support the formation of cost estimates. A cost database may also simply be an electronic reference of cost data.
The following is a glossary of terms relating to construction cost estimating.
Beck Technology is a software development company servicing the construction industry. The company is based in Dallas, Texas. Beck Technology offers a suite of products under DESTINI: design estimation integration initiative. Products include DESTINI Estimator, DESTINI Bid Day, DESTINI Profiler, and DESTINI Optioneer. Beck Technology serves builders as well as owners/developers with pro formas and scope build out.
