Build Up Rate

BFC 35503 (Contract & Estimation)

Dr. Azeanita Suratkon
 Elements of Price Rate
• The basic 5 cost components:
– labour/worker costs,
– materials costs, DIRECT COST
– machinery/plant /equipment costs,
– management
– profit.

• Labour/worker costs
– Salary /payment for the works/activities done by the labours/workers
including over time, bonus, insurance, allowances, health facility,
transportation, etc.
– The payment differs among the workers depending on their skill level,
experience, and market price.
– Labour constant: a duration for a labour/worker to complete a specific
job/work/task.
 Elements of Price Rate
• Materials costs
– Comprises of original price of materials, transportation (10-20% of
material price), storage and wastage.

• Machinery/plant/equipment costs
– Only motorised machinery/plant/equipment such as lorry, excavator,
backhoe, etc. will be calculated.
– Buy new one? Rent?
– Machine/plant/equipment capacity:
• excavator - volume/m3
• Lorry/truck - 3 tonne, 5 tonne
• Concrete mixer - 7/5 (7m3 qtty of materials during mixing, 5m3 –
after mixing quantity)
 Elements of Price Rate
• Machinery/plant/equipment costs
– The price rate will include:
• Rental price
• Depreciation machinery/plant/equipment
• Fuel consumption cost
• Transportation to site
• Operating costs (including driver and operator salary)
• Repair and maintenance costs
 Elements of Price Rate
• Management
– Fixed cost will include:
• Salary (including allowance and insurance) of management workers
in office
• Rental and taxes of the office
• Stationaries and printing
• Utility bills and postage
• Repair and maintenance of office
• Transportation, etc.
– Unfixed cost
• Interest rate on loan
• Salary of manager/director paid based on profit rate, etc.
– Total management cost will normally calculated lump sum by
percentage (5-10%) from overall cost.
 Elements of Price Rate
• Profit
– Normal profit : 10% - 15%
– The amount depends on nature, risks, and duration of construction
work.
– The higher the risk, the higher profit is needed.
 Build up Rate – Excavation Work

• Rules of measurement:
– Excavation can be carried out manually (using hand with aid of tools
such as hoe) or using machine such as excavator.
– Excavation work is calculated in meter cubic (m3) or meter square (m2)
– Addition to volume of excavation due to soil expansion must be
calculated.

Types of soil % of volume soil expansion

Sand 10%
Clay 20%
General soil 25%
Rock 50%
 Build up Rate – Excavation Work

• Rules of measurement:
– The build up rate will include costs for:
• Excavation to formation level
• Filling in and ramming soil (void in the excavation pit after a
structure built)
• Carting away remainder load (unused excavated materials)
• Spreading up soil in making up level
• Strutting work in the excavation pit (if necessary)
Formation Level & Strutting Work
 Excavation Work – Example
FOOTING SCHEDULE
TYPE BxLxH
Based on pad footing F3 1500 x 1500 x 650
details and
information as shown
COLUMN
in the following
figures and table,
calculate the price GROUND LEVEL

rate for 1 metre cubic 150MM WIDTH X 350

excavation work for MM THK GROUND
BEAM
the pad footing that is
carried out manually 250MM DIAMETER
650

(using hand). CIRCULAR COLUMN STUMP

PAD FOOTING
TYPE F3

50MM THK
B or L
LEAN CONC.

TYPICAL FOOTING DETAIL

Excavation Work – Example

6000

Circular
Column
6000 Stump

Ground Beam

Pad footing

PAD FOOTING & GROUND BEAM PLAN

 Excavation Work – Example

Item Rate

Worker salary (8 hours working/day) RM 24.00/day

Soil excavation not exceeding 1.50 m depth 1.50 hour/m3
Soil excavation exceeding 1.50m but not exceeding 3.00 m depth 1.60 hour/m3
Spreading up soil in making up level (surface to receive pad footing) 0.12 hour/m2
Filling in and ramming soil 0.60 hour/m3
Carting away remainder load 1.20 hour/m3
Typical soil expansion 25%
Profit 20%
 Excavation Work – Example
1. Cost of excavating out

Total depth of excavation =

Total volume = Volume 1
Volume of excavation (n.e. 1.50m) = Volume 2
Volume of excavation (e. 1.50m) = Volume 3
Cost (RM)
= [Volume 2 (m3) X excavation rate (hour) X worker salary (RM??/
hour)] + [Volume 3 (m3) X excavation rate (hour) X worker salary
(RM??/ hour)]

2. Cost of spread up in making up level (surface to receive pad footing)

Cost (RM)
= Area of surface (m2) X spreading up rate (hour) X worker salary
(RM??/ hour)
 Excavation Work – Example
3. Cost of filling in and ramming
Actual volume to be filled in and rammed (Volume 4) = total volume of
excavation – (Volume of lean concrete + volume of pad footing +
volume of stump + volume of ground beam)

Cost (RM)
= Volume 4 (m3) X filling in and ramming rate (hour) X worker salary
(RM??/ hour)

4. Cost of carting away remainder load

Volume to be carted away (Volume 5) = total volume of excavation –
volume to be filled in and rammed

Cost (RM)
= Volume 5 (m3) X soil expansion rate X carting away rate (hour) X
worker salary (RM??/ hour)
 Excavation Work – Example
5. Total Cost (RM)

= Cost of 1 + Cost of 2 + Cost of 3 + Cost of 4

6. Profit (RM)

= (Total Cost of 1 to 4 (RM) / Volume 1) X % of profit

7. Cost of 1m3 excavation

= Total Cost (RM)/Volume 1 + Profit (RM)

 Build up Rate – Concrete Work

• General
– Concrete works generally involve mixing the right proportion of
concrete mix, cutting, bending and fixing reinforcement bars and
forming formworks depending on the design of the structures.
– The cost of concrete works could be influenced by the specification of
materials used, quality, quantity and methods as per SMM
requirements.
– Proportioning the exact ratio of concrete mixture will influence the cost
of cubic metre (m3) of the concrete.
– Ordinary concrete mixers entail cement, aggregates and water.
 Build up Rate – Concrete Work

• General
– Concrete works generally involve mixing the right proportion of
concrete mix, cutting, bending and fixing reinforcement bars and
forming formworks depending on the design of the structures.
– The cost of concrete works could be influenced by the specification of
materials used, quality, quantity and methods as per SMM
requirements.
– Proportioning the exact ratio of concrete mixture will influence the cost
of cubic metre (m3) of the concrete.
– Ordinary concrete mixers entail cement, aggregates and water.