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The purpose of the United Nations International Comparison Project (ICP) is to compare the purchasing power of currencies and the real gross domestic product (GDP) per capita of different countries. It is well known that the usual method of converting the GDPs of different countries to a common currency, usually U.S. dollars, at existing exchange rates is misleading because exchange rates do not necessarily reflect the purchasing power of currencies. The ICP has found that the purchasing power of a country's currency over GDP can be as much as three times its dollar exchange rate, and thus the real GDP per capita is three times the value shown in an exchange-rate conversion. The unsatisfactory nature of exchange-rate conversions has become even clearer in the past few years under the new regime of managed floating rates. Changes in exchange rates of as much as 20 percent within the space of a year have not been unusual even among major currencies.
Companies live or die on the basis of estimating their costs. Preparing estimates and bidding for new jobs is a complex and often costly process. There is no substitute for on the job training -- until now. Drawing on the authors' combined experience of more than 70 years, Estimating Building Costs presents state-of-the-art principles, practices, and techniques for assessing these expenditures that can be applied regardless of changes in the costs of materials, equipment, and labor. The book is an efficient and practical tool for developing contracts or controlling project costs. The authors cover the major components of the direct cost: estimating procedures and cost trends related to materials, construction equipment, and skilled and unskilled labor. They describe various types of building estimates encountered during the lifecycle of a project, as well as the role and accuracy of each. The book provides an overview of the industry, cost indexes in use, approaches to preparing a detailed estimate, and an in-depth description of the organization and function of the estimating group. Including CSI Master Format and UniFormat codes, estimating forms, a list of available estimating software packages, a detailed construction site and investigation report, the book provides a cost estimating methodology that readers can tailor to their own organizational needs.
Offers coverage of each important step in engineering cost control process, from project justification to life-cycle costs. The book describes cost control systems and shows how to apply the principles of value engineering. It explains estimating methodology and the estimation of engineering, engineering equipment, and construction and labour costs; delineates productivity and cash-flow analysis; and more.