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Utilization BIM For Integrating Cost Estimation And Cost Control In

Construction Projects

Article · May 2023

DOI: 10.5281/zenodo.7923308

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 International Journal of Management and Commerce Innovations ISSN 2348-7585 (Online)
Vol. 11, Issue 1, pp: (102-120), Month: April 2023 - September 2023, Available at: www.researchpublish.com

Utilization BIM for Integrating Cost

Estimation and Cost Control Using BIM in
Construction Projects
Ahmed Shehab1, Ahmed Mohamed Abdelalim2
1
Faculty of Engineering at Mataria, Helwan University, Cairo, Egypt.
2Associate Professor of Construction Management, Faculty of Engineering at Mataria , Helwan
DOI: https://doi.org/10.5281/zenodo.7923308
Published Date: 11-May-2023

Abstract: Cost was adapted before using manual quantity surveying by spreadsheet that estimator take the quantity
from the 2D drawing and input data manually. With emerging Building Information Modelling (BIM) in
Architecture, Engineering, and Construction (AEC) industry. The concepts has changed then and BIM became
essential ruler in all phases of construction. allows project participants to design, analyse BIM, sequence, and explore
entire project model in contrast to CAD drawing, the object in BIM has also physical properties that drive object.
Traditional cost methods have been discussed and then BIM tools to show how it saved a lot of expected errors and
time along with third application have been introduced with an emphasis on construction cost estimating and its
relation to cost control without skipping 4D of scheduling as important key in decreasing or increasing the cost. Two
approaches for 4D scheduling in BIM. For the cost estimating capability, two available methods have been
discussed: i) list from the BIM tool to the estimating software such as MS Excel, ii) link BIM components to
estimating software, a case study is provided to demonstrates the cost estimating processes in BIM based on the BIM
model of a three-story training facility. The integrated cost database that builds with the model is the main key factor
for more accurate estimate and the purpose of this research is to improve the workflow of cost estimation and cost
control make it as a base for other researcher to work based on.
Keywords: Cost integration, BIM Cost estimation , Cost Data base , Worksets and Cost coding.

1. INTRODUCTION
BIM stands for Building Information modelling which is a computable representation of all physical characteristics of the
building and its related information. BIM is also known for its uniqueness of extracting data and calculations which means
what designer input can extract outputs. BIM provides a virtual view of the objects in the building with physical geometry
(2D or 3D) and other functional parameters. etc. Designers compose these BIM objects together to define a building model,
and this model incorporates both physical and functional information stored in the BIM objects. Once the building model
is completed, all the information can be generated by users for fabricating, analyzing, construction scheduling (4D BIM)
and cost estimating (5D BIM), and eventually, for facility management during operation phase of the building lifecycle.
1.1 – Cost estimate and Cost control
Cost estimate can be defined as the process of predicting cost to perform the scope of work specified by a project. Precise
cost estimation and effective cost monitoring are essential keys to construction project success. Project managers need to
rely on cost estimating workflow that enable them to initiate budgets and manage financial plans.
The Association for the Advancement of Cost Engineering (AACE) defines cost estimate as; "A predictive process used to
quantify cost and/or price of resources required by the scope of an asset investment option, activity, or project" (AACE
International 2011).
Rad (2002) defines it as "the art and science of using historical data, personal expertise, institutional memory, and the project
scope statement to predict the resource expenditure, and total cost of a project".
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The cost estimate level of accuracy depends on the method that has been used and availability of cost data. With emphasize
on proper monitoring and control because without them the project may fail. Monitoring is the process of tracking various
operation during construction stage. Cost control indicates the direction of the changes in preliminary planning variable
compared with actual performance with the goal of avoiding unacceptable variations. Cost control involve ‘monitoring’
costs and recording data then analyse the data in order to take suitable actions before it become late to adjust. Once the
project starts, Control become the crucial stage for contractors which could affect substantially their profit.
For the cost control of a project, the construction plan and the associated cash flow estimates can represent the reference
basis for later project monitoring and control. With schedules, the progress of individual activities and the achievement of
milestone completions can be compared to the project schedule to monitor activity progress. Lists of contracts and services
provide the criteria for assessing and ensuring the required construction quality. The final or detailed cost estimate provides
a basis for evaluating financial performance during the project. To the extent that the costs are within the detailed cost
estimate, the project is considered to be under financial control. Exceedances in specific cost categories signal the possibility
of problems and provide an indication of exactly what problems are occurring. Certain items in the detailed estimate become
order cost elements. Expenditure incurred over the course of a project is recorded in specific job cost accounts for
comparison to the original cost estimates in each category. Thus, individual job cost accounts typically represent the basic
unit of cost control. Alternatively, labor cost accounts can be disaggregated or broken down into work items that relate to
both specific planned activities and specific cost accounts. In addition to the cost amounts, information about material
quantities and labor input is usually also stored within each work account Project budget.

2. USING BIM FOR COST ESTIMATE

BIM technology would provide the potential for improving communication between participants involved in the
construction project, improving the quality of information, the quality of services delivered, and reducing cost at every stage
in the life cycle of a building (Smith and Tardif, 2009).
As today’s technology grows more complex, building design has become more complicated. The involvement of the
computer technology at the earliest phase of the design process is becoming more common. Difficulties of the design
associated with the complexity of the building could provide many problems to not only the designer but also the engineers
and the contractors who build it. BIM provides the ability for the designer to design the building with the modeling tool that
creates object elements instead of different types of lines connected to make up a model. The 3D parametric model that
BIM provides does not only provide the visualization of the model in three dimensions, but it also stores information about
the elements that make up the building. This information includes its physical characteristics such as dimensions, locations,
and texture of the objects. Functional characteristics could also be found in the parametric model, including the information
about manufacturers and operating and maintenance procedures (Azhar et al., 2008) as shown in Figure 1.

FIG 1: Proposed BIM based on Cost Estimate / Monitoring Framework

2.1 Quantity take-off (5D)
Time scheduling and cost estimations are both based on quantity information regarding e.g., building parts, materials,
surfaces, and volumes. Today most quantity information is produced manually from 2D drawings, meaning that drawings
are measured in order to calculate the quantities (Jongeling, 2008). This process is time consuming, and there is a risk for
mistakes, which can lead to inaccurate quantity information. However, in BIM quantities can be extracted in detail with
very accurate counts and calculations and time saving.
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2.2 Cost estimation (5D)

It is vital for a construction contractor to make realistic project cost estimations during the tender stage. In order to make
the estimation as realistic as possible, the estimator needs to have a good understanding of the project and good knowledge
of production costs (Bengtsson and Jauernig, 2008). Cost estimation includes both direct costs, such as construction
materials, and indirect costs, such as insurance, electricity, and waste disposal (Bengtsson and Jauernig, 2008). Additionally,
costs for the use of central administration resources are added together with a margin covering other administrative costs
and profit. BIM users can generate accurate and reliable cost estimates through automatic quantity takeoff from the building
model and get a faster cost feedback on changes in design.
2.3 Monitoring (6D)
The purpose of the production process is to build in accordance with drawings, descriptions, laws and regulations, standards,
production plans, and budgets (Gustavsson, 2006). Before the construction starts, several different plans are developed.
These together with the project budget represent a production program, intended to guide the work. In order to make the
project meets its goals it is important to follow the plans and monitor the process. The monitoring is conducted by comparing
actual costs and spent time to budgeted costs and time. If deviations occur, they must be analysed to perceive how they
affect the future of the project and to determine if any actions need to be taken (Gustavsson, 2006). For example, if the
schedule cannot be followed, more resources may need to be allocated or the schedule needs to be revised.
2.4 Project life cycle (Maintenance) (6D)
The last part of the building process is maintenance, which starts as the production is finished and the product is delivered
to its owner to be used for its intended purposes (Nordstrand, 2008). Maintenance includes administration, such as planning,
managing, and monitoring the operation, as well as preservation of the facility.
To collect the area of specialties that BIM can do this figure illustrates all dimensions of BIM.

2D drawings 3D models

Fig 2: BIM Area specialities

2.5 Quantity Take-off and Estimating Tools
Different tools are used to calculate quantities that result from BIM modeling which will give us an idea about quantity take
off in BIM itself without external application as shown in Table 1
Table 1: Comparison between different quantity take off tools

Software - Quantity Take-off and Estimating Tools

Product
Manufacturer BIM Use Manufacturer's Description Primary Function
Name
With Naviswork, cost estimators can
Generating takeoffs from
Quantity create synchronized comprehensive
Naviswoks Autodesk multiple environments
Takeoffs project views that combine information
both 2D & 3D
from Autodesk Revit applications
The company’s flagship program, called
DProfiler™, integrates conceptual 3D Conceptual 3D modeling
Beck Conceptual modeling with cost estimating intelligence with cost estimating and
DProfiler
Technology Estimates enabling project teams to evaluate more life cycle operational
alternatives in less time with better clarity costs forecasting
before moving into design development

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Innovaya Visual Quantification performs

Extracting quantities and
Visual object quantity takeoff accurately,
Innovaya Estimating building estimates from
Applications quickly, and intelligently from Autodesk’s
Naviswork & Revit files
Naviswork/Revit
Vico Takeoff Manager™ generates quick
and highly accurate model- and location-
based quantity takeoffs derived from 3D
Vico
Quantity models created with leading BIM
Takeoff Vico Software
Takeoffs authoring tools. Since quantity takeoff is a
Manage
live view, newly published and activated
model versions result in automatically
updated quantities.

3. BIM AND COST CODING

BIM is Information or Database of Building element that has
• Physics properties
• Standard Code
Therefore, that can result in more organization for Building elements hierarchy & classification as shown in Figure 3. To
organize that BIM has Protocol standards, which consist of library and standard code, which divide the building elements
to categories or sub work.

Fig 3: The BIM application has the link with the standard codes
BIM comes with standard protocols and codes that can be chosen from as the following :
3.1 Standard protocol
National BIM Standard
• CSI (Control Sequence indicator)
• AEC UK ( Architecture , Engineering and construction UK)
• National BIM Library
• Open BIM (xBIM)
3.2 Standard classification
• MasterFormat (work result)
• UniFormat (functional elements)
• OmniClass (building elements categorizes)
• Uniclass (For all aspects of the design and construction process)
3.3 MasterFormat (work result)
So one of the ways that quantity is organized is by division through Masterformat as shown in Figure 4

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Fig 4: Shows a standard division for works

3.4 UniFormat (functional elements)
So another way that quantity is organized is by structures through Uniformat as shown in Figure 5

Fig 5: Shows a more generalized works division

So inside BIM those assembly codes is standardized and has building elements hierarchy. It can also be replaced as well
with any external assembly codes.

4. IMPLEMENTATION FOR COST CONTROL: BIM

This Is another example of using Uniformat in hierarchy as shown in figure 6

Fig 6: Shows hierarchy that can be used to identify cost by building elements
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In another word this Uniformat hierarchy is organized in three levels , first by major category then by major group Elements
then by group elements and then by individual elements as show in Figure 7

Fig 7: ASTM UNIFORMAT II Classification for Building Elements (E1557-97)

5. COST ESTIMATE METHODS

During the first half of the twentieth century six methods of estimating were used (Fig 8).The methods are much the same
today. The main difference is the current popularity of elemental cost models, which are used by quantity surveyors and
contractors alike, in advising clients on their likely building costs, and helping designers to work within a budget.

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A contractor may use a combination of estimating methods in developing a cost for a design and build project. For example,
a client could be given a cost range for construction using the unit method and an elemental cost plan would be produced
when the client’s outline brief is received. Approximate (or builder’s) quantities are used to produce a formal tender and
when a

Fig 8: one of the cost estimate methods

contractor has received an order a full bill of quantities may be written for financial control during construction. The two
main benefits of cost planning are:
1. To ensure tenders received do not exceed the budget. This is achieved by making design decisions early with advice
from the cost team. Changes made early in the design process can be accommodated without too much effect on other
elements. Examples like Per square foot or horizontal squares (not used today) Also called ‘functional unit’ or ‘unit of
occupancy’ method Superficial floor area Elemental cost plan Analytical and operational pricing of bills of quantities

2. To collect cost information from a number of buildings, at various stages of development, thus improving the quality of
cost data for future projects.

The first step in cost planning is to advise a client of a budget at the beginning of the project. An example of a development
budget for construction costs is given in Figure 9 and 10

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5.1 Single-rate approximate estimating

Fig 1: Example of a development budget for functional unit

Elemental cost plans

Fig 10: Example of multiple rate cost estimating

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The forecast cost of each element can be calculated in two ways:

1. By measuring the approximate quantity of each element like in figure 11and applying a unit rate.
2. By calculating the proportion of total cost for each element on a similar building and using this ratio to divide the budget
for the proposed building into its elemental breakdown.

Fig 2: example of measuring quantity for every element

The second method is better shown by example. If a contractor has built some portal-framed factories he will know the
costs of each element and can express this information as costs for each unit of floor area. Figure 12 illustrates a typical
analysis for a factory building. The site team has been asked to feedback cost information to the estimator by converting
package values to elemental costs.

Fig 12: Elemental cost plan for similar factory building

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5.2 Approximate quantities

There are many ways in which approximate quantities are used depending on who uses them and for what purpose.
Measurements will be concentrated into as few items as possible for grouped work components. A simple example is a
cavity wall measured and priced with both skins included in the unit rate. The rate will include forming the cavity, wall ties,
plastering and pointing. Rates for composite items can be found in price books, calculated from rates in priced bills of
quantities like in figure 13. The accuracy of this method is related to how far the design has developed. At least the quantities
are based on the planned construction and not a previous job and realistic allowances are made for plan shape, height of
building, type of ground, quality of finishes etc. For these reasons it is widely used and being developed with computer
systems using database and spreadsheet software to produce standard bills for repetitive building types. The danger is the
cost calculated using approximate quantities can appear to be as accurate as a full bill of quantities based on working
drawings. It is more likely to be an underestimate of the cost of construction unless a generous contingency is added for
small components, fittings, fixings and design development.

Figure 13: Example of builder’s quantities

In common with all approximate estimating techniques there are some difficulties which need to be recognized when
advising clients. Some of the difficulties to be faced are:
1. The reliability of historical data must always be questioned.
2. Preliminaries are usually unique to a particular job and should be calculated whenever there is deviation from an identical
scheme.
3. Incoming services are seldom the same on different sites and can only be assessed after detailed consultation with service
providers.
4. Contract conditions can vary markedly between projects; the requirements for bonds, insurances and liquidated damages
can be particularly onerous.
5. The contingency sum for design development must be estimated for each job.
5.3 Analytical estimating
Analytical estimating is a method for determining unit rates by examining individual resources and the amounts needed for
each unit of work.
Analytical pricing of bills of quantities is more than just applying resources to items of work to produce a unit rate. The
constituents of a rate are inserted in the bill; and totalled for each page, each section, and carried to the summary, so that
the contractor has a complete picture of the resource costs at the final review meeting. Figure 15 shows a typical printout
from a contractor’s bill where the rates and totals are shown between the item descriptions.

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Fig 14: Contractor’s bill of quantities priced analytically

Figure 15: Contractor’s spreadsheet for weighbridge foundation

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6. COST DATABASES
There is a number of ways to accurately estimate construction projects using Pre-Setup data bases either by using from
similar previous projects or manual (catalogues or books) or online or Pre setup programme that has collaboration with
BIM programmes.
Estimators have to be very cautious about using other similar projects that are old, because the cost estimation would be old
and reflecting the actual current costs.
The way that manual work is using the help of the printed book that has national average like RSMeans for North America.
For instance, to find a cost of specific material in cost data book in RSMeans like construction steel for office project. Using
the index of RSMeans cost book and narrowing in to steel or by using masterformat classification system like to flip division
5 (metals). Once the line for the required division is found and the type of the building for the steel by ton, then estimator
can take that specific price. The RSMeans for example will mention that 1 ton for structural steel for 1-3 stories for office
building is 2700$ for materials alone and 3900$ that includes the overhead and profit for installing contractor which is the
national average price. In order to adjust for specific city, estimator can go to the back of the book and use the city cost
index in the back of RSMeans which cover more than 900 locations through U.S and Canada. For example if estimator
willing to calculate the cost of material in Boston then in the back of the book the factor of percentage is 100.2 so to
calculate 1 ton for construction steel cost 1.002 x 2700$ which results in 2705 $ which is the cost of steel cost in Boston
without include overhead or contractor fees. So, estimator will go through the same process of finding the line items in the
book and transfer them into spreadsheet.
The same process for manual apply for the online but more quicker and efficient. The way it works through RSMeans online
by just entering the required data like the city and choosing the division for material.
RSMeans cost data is used with some third parties software developers who tried to make a link between BIM software (for
example: Revit) and RSMeans cost data.
Example:
Sigma estimate software plugin will try to add type codes that is empty in current project as in figure 15.

Figure 16: Revit project with no type code

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Sigma software estimate will match up the cost data prices for RSMeans with the wall type.

Figure 17: RSMeans cost data catalogue to match with the right wall type
So in Sigma estimator highlight the wall that match closely with cost data catalogue and beside it the price per unit as in the
below figure 18

Fig 18: matching the selected wall type with the plugin
The plugin also prove tracking for all missing elements that is not type coded for cost prices like in figure 19 so the
probability of any error for estimator is less.

Fig 19: Tracking of all type coded elements

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The type codes which has been added to the wall as in the below figure 20 allow us select update from library and
automatically get the right assembly from the price book in the estimate as shown in figure 21, 22 and 23

Fig 20: Assigned code elements that can read from cost data library

Fig 21: linking assigned code elements with the library of RSMeans assemblies

Fig 22: Assemblies has now total costs for all quantities of the assigned code wall elements

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Fig 23: Prices included building parts

Fig 24: That can include resources explanation for how total cost is being calculated

7. RELATION OF ESTIMATE TYPES WITH BIM

As explained there are multiple estimates types among them that is used by BIM is model estimating which can be linked
directly to any specialized estimating software and then it can be linked to cost database provided by company like RS
means that have updated item price catalogue according to standard division as shown in figure 24. But estimator has to be
aware of project condition and check because if for example the installation of waterline in standard catalogue is priced up
to four feet while the condition on the project is eight feet that will be underestimating of actual calculation. RS mean does
not just provide price of items in specifications they publish annual guide for square foot cost which is also relating to
square foot estimate type.To explain more about the procedures that happens in BIM , illustration shown in figure 25 shows
the workflow that is used in estimation software with model based BIM that leads finally to the cost.

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Fig 25: Model base estimate using BIM with specialized estimation software
8. IMPACT OF WORKSETS ON COST CONTROL
Multiple issues such as decrease in labour Productivity, poor recognition of construction needs, and lack of consistent and
professional construction management are hampering the construction industry.
This situation made the industry revaluate its performance and look into ways for improvement. Project integration is
essential for success; designers and constructors must collaborate and communicate effectively to keep budgets and
schedules on the right track. Technology is slowly breaking through construction management practices and new contractual
methods are emerging. One of these ways are worksets where dataset can be linked also to control the source of the major
portions and looking more closely to the elements by colours as shown below in figure 26.

Fig 26: Model base estimate using BIM with specialized estimation software
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BIM improves technical work at the design stage by creating 3D models that integrate all building’s features and it better
represents the infrastructure’s requirements. Those models can also be enhanced if linked with schedule (4D) and costs
(5D); the construction can thus be better planned almost entirely at the design phase. Time and cost controls are very
important for any construction organization. Johansen and Wilson [3] questioned the necessity of intense construction
planning in the design phase; they reached a conclusion that there is reluctance within the industry to accept first planning
initiatives. Their major finding is that there is a lack of convergence between the design and construction team planning
ideas, thus preventing achievement of project success.
As WBS is activities assigned to building components in the project, these activities has duration and using such activities
concurrently can effectively reduce the cost.
As can be seen from figure 27. BIM model is used as the starting point of our process. Cash flow forecasting requires the
three processes of quantity takeoff, scheduling, and cost estimating. Stevens [6] Presented the integrated cost/schedule
performance curve that achieves cost and schedule control against project plan. Used as a visualization summary tool, it
can also be used as a model for predictions and forecasts. Perera and Imriyas [7] proposed the combined usage of MS
Access (database) and MS Project (scheduling) software as a project time and cost control system.
in construction. The author found that obtaining true values for tasks’ completion rate can be difficult and needs to be
developed along guidelines rather than actual measurements.
Cost data can be difficult to gather for the EVM model; such difficulties can thus alter the schedule variance and index.
The above referred to time, cost, and EVM control systems are proven resourceful for managing construction projects. BIM
is being increasingly present in the mind of construction practitioners. Eastman [16] presented BIM as a more integrated
design and construction process that results in better quality buildings at lower cost and reduced project

Fig 27: Cash Process Flow Diagram

9. CONCLUSION
The overall objective of this research is to elaborate the connection between cost estimation and cost control in BIM
technology and also worksets integration in filtering the needed data for specific cost item. In feasibility stage client tries to
determine the size of the project which would meet his budget. The estimation of the project at this point is very rough.
Using BIM tools approximate building model can be linked to cost database and project price would be calculated more
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efficiently along with model creation/modification process. The feature of using digitalized estimation that assemblies or
building elements can be tracked individually through highlight feature. Therefore, estimator can hide what has been
estimated and not missing what is still not estimated which will decrease errors in estimation. The variation between what
is planned as a cost and what is in the actual is the major problem that in this research building information modelling
played a role in minimizing that huge variance before. The process suggests starting from general estimating by square
meter to more detail through cost data references and stimulation the construction virtually to compare different processes.
The link that facilitate between quantities in BIM and cost data reference that results in the total price for specific proposal
is the major update for estimator in reducing their time and controlling the cost more than before.

10. RECOMMENDATION
The Integrated time and cost has the potential to improve the actual construction practices but more improvement is needed
through linking to cost data base in default with connection to worksets all together which is what is the new impact in this
research and all what it is about. Multiple benefits are identified from applying it to the actual project such as ability to
associate detailed cost values to each of the building model components during the design phase. facilitated estimating
process with automated outputs. Creation of a time and cost baseline that serves as a reference for EVM (Earned value
management) performance reporting at any time during the construction. Virtual design and construction already have
breakthrough but we can improve more based on this new system proposal, Engineering and construction managers must
promote its benefits first and drive its integration in the industry’s practices. Although, there are various benefits when
using BIM side by side with other estimation software programs for cost control, the learning curve required and the initial
cost for adapting multiple programmes could be the main barriers for the spread of this advanced technology which why
integration all of this elements in one platform is essential. In summary, the impact of BIM on cost estimation and cost
control is all about minimizing cost and accelerating progress which what this research is to accomplish.
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