THE EFFECT OF VARIOUS KINDS OF CONTRACT ON

SAVING TIME AND PROJECT COST

ALFI DUHITA
NPTI: 1995410097
ABSTRACT

This thesis writing aims to determine the effect of contracts on costs and time, and

can obtain an overview of contract selection for an appropriate type of project.

The theory used is a theory to control time and costs, where this is one of the

conditions for a project to be successful. To analyze time control is the optimization method,

while the theory used for cost control analysis is the B.O.W method, which can predict the

costs that must be incurred in a project based on all existing factors.

In a case study that using a lump sum contract, the results show that the alternative

with the cheapest cost is the alternative by increasing labor productivity, with a comparison

when using other types of contracts.

The conclusion obtained from writing this thesis is that all types of contracts have

their own risks, so that all parties involved must choose the type of contract that has the smallest

risk for a type of project, so that no party feels disadvantaged. Suggestions that can be given

are There must be work supervision so that things that are desired do not occur, so that the

results obtained from the completion of the project have maximum results.