Open AccessFORMALIZATION AND GENERAL METHODICAL CONCEPT OF COST ENGINEERING IN THE SYSTEM OF CRISIS MANAGEMENT OF CONSTRUCTION ENTERPRISES
Author(s) -
Vyacheslav Bind,
Andrіy Gizhko,
Oleg Bolebrukh,
Ніна Петруха,
Anatoliy Vаkolyuk,
Maksym Malashkin
Publication year - 2020
Publication title -
upravlìnnâ rozvitkom skladnih sistem
Language(s) - English
Resource type - Journals
eISSN - 2412-9933
pISSN - 2219-5300
DOI - 10.32347/2412-9933.2020.44.116-127
Subject(s) - cost engineering , value engineering , cost estimate , procurement , cost accounting , cost contingency , turnkey , engineering economics , project management , investment (military) , audit , net present value , project management triangle , relevant cost , basis of estimate , risk analysis (engineering) , business , computer science , operations management , systems engineering , production (economics) , project charter , engineering , economics , finance , accounting , marketing , law , macroeconomics , telecommunications , political science , politics
The article proves that value engineering (Value engineering) is a set of methods and tools for managing the value of an investment project at all stages of its life cycle, determines the economic relations among the participants. It is determined that cost engineering includes: formation of the project budget (budget planning of the project, assessment of the efficiency of capital investments, investment assessment) estimated pricing; examination (verification of the accuracy of the determination) of the estimated cost of construction; formation of construction cost; cost control of the project implementation process analysis of actual costs (construction costs). Cost engineering of investment and construction projects is closely related to the concepts: project risk management, integrated project cost management (TCM – total cost management). The use of cost engineering allows to complete the project within the planned time and budget with full satisfaction of previously defined expectations of the Customer, ie with full achievement of all predetermined results. Thanks to considerable experience and high qualification, in realization of projects in the EPC format (Engineering, Procurement, Construction – the contract of full volume of works "turnkey"), experts can achieve reduction of investment and operational costs of the investor by 10-15%. In integrated project management, all methods and tools of cost engineering can be used, such as technological audit, price audit, the method of mastered volume, the application of which are given with the use of economic and mathematical modeling.