Construction cost is the major contributor to the final value of building an establishment. It includes excavation, equipment hire, material cost and labor. No matter how much planning is done and chow frugally you spend, keeping this component within budget is tough. There may be last-minute requirements or hidden costs that are exposed at a later date. Here are a few tips which can help you control and manage the construction cost of your new building.
- Manage the vital components which regulate the price carefully. It is a known fact that 80% of the construction cost is generated from the 20% of core items used in building structures like roof construction, external walls, studs etc. By following a thorough evaluation of the tendering process when acquiring the material and shortlisting the contractor, you can save a lot of money in the long run.
- Be wise when managing the variable cost. Apart from the significant fixed cost involved, there are other support systems like labor management, equipment hiring and excavation processes which are equally important. These expenses vary project-wise; by keeping a close eye on these components and following schedules strictly, you will be able to avoid some of the unnecessary expenses.
- With multiple choices available in today’s market, you can always explore more cost-effective options for materials and components used in the construction process. Depending on your budget and quality requirements, you can make choices compromising at one end while benefiting from discounted rates at the other.
- Carefully design the project plan by taking inputs from all the experts involved, including the contractor, architect and project manager at the planning stage. This can save you from any unnecessary expenses arising during the construction process at a later date. An elaborate discussion regarding valuable decisions like material quality and suppliers, logistics management and cost, construction methodology, etc. during the initial stage will clarify any doubts and differences of opinion as well as figure out the most money-draining yet unnecessary processes in your plan.
- Adopting automation wherever possible and using the best and most cost-effective construction methodology can help you save quite a bit more than you would realise. There will be less rework to do, very little delays in schedule and the safety of the workers will also be taken care of. Many construction firms will help you train your workforce for the best practices to follow in this domain.
- Maintain close and constant communication with the vital personnel involved in your project. Your contractor is the one who converts the design blueprint into reality. Therefore, they should be appropriately briefed on all the details on time. Keeping track of their work styles and schedule deadlines will ensure that there are no unwanted expenses arising at a later date.
- Using certified raw material and conducting a regular check of quality is necessary for your building to remain strong and healthy. Inferior raw materials cannot only damage the structure’s integrity but may also harm its occupants with slow-releasing toxic fumes. Uncertified raw materials may also come from unethical or non-renewable sources, which do more harm than good for the planet as a whole.