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Study on the Methods of Projects’ Cost Control Based on WLC Theory

Author: LiuNa
Tutor: ZhangJianPing
School: Kunming University of Science and Technology
Course: Structural Engineering
Keywords: engineering cost whole life cycle fuzzy clustering method cost significant items earned value management
CLC: F284
Type: Master's thesis
Year: 2009
Downloads: 37
Quote: 0
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Abstract


The project cost management model that we’re applying now is Whole Process Cost Management model using the ration as the pricing basis.It focuses more on construction cost and gives little or no consideration to the operating cost and maintenance cost. Management of Whole Life Cost is a method which can realize life cycle including build period, operate period and demolish period total cost minimum. It considers cost of building and operating cost comprehensively to realize scientific policy decision and the aim of cutting down whole life cost under the premise of ensured quality and application function.Referring to the current situation of domestic and international project cost management, this thesis made comparison between the characteristics and advantages of the Whole Process Cost Management model and the Whole Life Cycle Cost Management model.Then an estimation model of project building cost was established based on fuzzy clustering method. And CSIs method was used in establishing the model of project operating cost.In view of projects’scale getting larger and the characteristics of large-scale projects such as long construction period、high cost, etc.,a method named "cost significant items" was proposed to simplify the procedures of calculating and controlling the project cost. It can greatly reduce the workload. In construction period, if it works with the method named "earned value management", People would effectively supervise and control the cost of those cost significant items.The innovation of the paper lies in:(1)Based on a lot of cost data that those similar projects have completed, an estimation model of project building cost was established based on fuzzy clustering method. And CSIs method was used in establishing the model of project operating cost.(2)Now there are few of articles about the method of "cost significant items".It can greatly reduce the workload of calculating and controlling the project cost, particularly fit to control large-scale projects’cost and set up the database of completed projects’information. And in construction period, if it works with the method named "earned value management", People would effectively supervise and control the period and cost.

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