Ismail Gultasab On LinkedIn - #Costplanning #Estimates #Costplans #Bidding #Tendering #Rics #Aace #Riba

Join now Sign in
Articles People Learning Jobs Get the app
Ismail Gultasab’s Post
Ismail Gultasab
Estimating Manager at JCD (PIF)
11h
Cost Plans/Estimates as per Different Industry Standards
🚫 Rough Order of Magnitude (ROM)
➡ RICS: Level 1 Estimate

➡ AACE: Class 5 Estimate
➡ RIBA: Stage 0 "Strategic Definition"
➡ End Usage:
Class 5 (ROM) estimates are prepared for any number of strategic business planning purposes, such as
but not limited to market studies, assessment of initial viability, evaluation of alternate schemes,
project screening, project location studies, evaluation of resource needs and budgeting, long-range
capital planning, etc.
🚫 Order of Cost Estimate

➡ RIBA: Stage 1 "Preparation and Briefing"
➡ End Usage:
Class 4 (Order of Cost Estimate) estimates are prepared for a number of purposes, such as but not
limited to, detailed strategic planning, business development, project screening at more developed
stages, alternative scheme analysis, confirmation of economic and/or technical feasibility, and
preliminary budget approval or approval to proceed to next stage.
🚫 Cost Plan 1

➡ RIBA: Stage 2 "Concept Design"
➡ End Usage:
Class 3 (Cost Plan 1) estimates are typically prepared to support full project funding requests and
become the first of the project phase control estimates against which all actual costs and resources will
be monitored for variations to the budget. They are used as the project budget until replaced by more
detailed estimates. In many owner organizations, a Class 3 estimate is often the last estimate required
and could very well form the only basis for cost/schedule control.
🚫 Cost Plan 2

➡ RIBA: Stage 3 "Spatial Coordination"
➡ End Usage:
Class 2 (Cost Plan 2) estimates are typically prepared as the detailed contractor control baseline (and
update to the owner control baseline) against which all actual costs and resources will now be
monitored for variations to the budget and form a part of the change management program. Some
organizations may choose to make funding decisions based on a Class 2 estimate.
🚫 Cost Plan 3

➡ RIBA: Stage 4 "Technical Design"
➡ End Usage:
Generally, owners and EPC contractors use Class 1 estimates to support their change management
process. They may be used to evaluate bid checking, to support vendor/contractor negotiations, or for
claim evaluations and dispute resolution. Construction contractors may prepare Class 1 estimates to
support their bidding and to act as their final control baseline against which all actual costs and
resources will now be monitored for variations to their bid. During construction, Class 1 estimates may
be prepared to support change management. Client may use these types of estimates for commercial
bid evaluations.
#costplanning #estimates #costplans #bidding #tendering #RICS #AACE

#RIBA #costmanagement
167 · 1 Comment
Like Comment Share
Atanu Saha 11m

Project Control Lead | Project Management | Project Planning | PMO | Civil Engineering | Larsen & Toubro Li…
Excellent Ismail Gultasab
Like · Reply
To view or add a comment, sign in
More Relevant Posts

Ismail Gultasab
3w
Key Development Progress (USD Bn)
⭕ NEOM
Project Value ↔ 500
Awarded Value ↔ 29.5
⭕ Diriyah Gate
⭕ New Murabba
⭕ Roshn
Project Value ↔ 52.8
⭕ Rua AlMadinah
⭕ Red Sea
⭕ Jeddah Central
⭕ Alula
⭕ Al Soudah
⭕ Seven
Awarded Value ↔ 4
⭕ Qiddiya
⭕ King Salman Park

⭕ Sports Boulevard
⭕ Saudi Downtown
Project Value ↔ 6
⭕ Boutique Group
Source: AECOM
#costmanagement #costplanning #quantitysurveying #keydevelopments #estimation #bidding
#tendering #procurement
70
Like Comment Share

Ismail Gultasab
4w
GCC Forms of Contracts
⭕ Saudi Arabia
Construction contracts in the private sector are generally based on FIDIC forms of contract and are
amended to suit the particular conditions for each project.
Employers prefer lump sum versus remeasured contracts, and normally exercise great control in the
administration of the construction process by imposing various restrictions on the engineer’s
(consultant) authorities under the contract. All contracts are subject to Saudi laws where Islamic Sharia
law is the prime source of legislation. Litigation and arbitration are both available for resolution of
disputes in the private sector.
⭕ Qatar
In Qatar, the most common forms for building works are those used by the Public Works Authority
(PWA) departments through the Ministry of Municipality (MM) and the Qatar Petroleum Company (QP)
forms, or FIDIC based amended bespoke forms.
The contracts are generally on a fixed price lump sum basis, utilizing bills of quantities or specifications
and drawings, however, the design and build route is becoming more prevalent in the market. The
contracts are often biased towards clients, wherein the contractor buys all the project risks for an
increased initial price, however, such contracts are generally administered in a reasonable manner.
⭕ Bahrain
Government work in the Kingdom of Bahrain is undertaken using a Bespoke suite of contract forms
that were issued in 2009.
Private developers predominantly use the FIDIC Conditions of Contract for Construction, the 1999
edition of the ‘red book’, which is well understood in the local market, but often heavily amended for
specific use.
Most of the work completed in Bahrain is under a traditional lump sum form of contract, where the
design is completed upfront and price agreed with a contractor before work begins on site.
⭕ UAE
Construction contracts in the UAE are predominantly based upon the FIDIC forms of contract.
Large-scale developers and major repeat clients in the region generally now develop and utilize
bespoke forms of contract, tailored to each individual client.
Such contracts generally use the FIDIC 4 ‘red book’ form as a basis, amended to a greater or lesser
degree depending upon the risk profile of each client. This also applies to works procured by Dubai
Municipality. Abu Dhabi Municipality, however, bases contracts on a modified FIDIC 3 form, taken
from the 3rd edition of the FIDIC conditions of Contract for Works of Civil Engineering Construction.
#costmanagement #bidding #estimation #costplanning #quantitysurveying #aecom

78 · 1 Comment
Like Comment Share
Ismail Gultasab
1mo
Process of Obtaining Building Permit in GCC
⭕ Saudi Arabia
➡ Stage 01 – Obtaining a letter from the main municipality

➡ Stage 02 – Obtaining preliminary location permit from local municipality
➡ Stage 03 – Obtaining approval from the fire department
➡ Stage 04 – Issuance of final building permit (fee around 1200 SR)
⭕ Bahrain
➡ Stage 01 – Preparing engineering drawings

➡ Stage 02 – Obtain pre-approval from Planning and Design Directorate
➡ Stage 03 – Third party compliance before permit submission
➡ Stage 04 – Building permit application with third party declaration
➡ Stage 05 – Government entities review (Municipality, Sanitary, Elect)
➡ Stage 06 – Fee payment if no objection by the entities
➡ Stage 07 – Issuance of building permit and application audit
⭕ Qatar
➡ Stage 01 – Submission of Ministry of Municipality forms and drawings

➡ Stage 02 – DC1 approval, submission of utility drawings
➡ Stage 03 – DC2 approval, depending on scale of the project
➡ Stage 04 – Final stage/building permit
⭕ UAE
➡ Stage 01 – Submitting preliminary application to relevant municipality

➡ Stage 02 – NOCs from various governmental and municipal department
➡ Stage 03 – Submitting the building permit application to municipality
➡ Stage 04 – Obtaining building permit
➡ Stage 05 – Getting building completion certificate
#permits #costmanagement #bidding #aecom
147 · 5 Comments
Like Comment Share
Ismail Gultasab
1mo
Tender Price Index
💡 TPI (Tender Price Index) is a measure used in the construction industry to track changes in the price
of construction projects over time. It provides an indication of how construction costs are fluctuating,
helping stakeholders in the industry to assess trends and make informed decisions.
⭕ Factors driving TPI in Saudi Arabia
➡ Commodity Price
One significant factor influencing the TPI is the fluctuation in commodity prices on a global scale.
Following a considerable reduction in commodity prices, main contractors with fixed price contracts
experience relief as the costs associated with raw materials decrease. This downward trend in
commodity prices can positively impact the overall project costs, allowing contractors to manage their
budgets more effectively and potentially leading to cost savings in construction projects.
➡ Mega Key Development
On the flip side, mega key developments and increased demand in the construction industry
contributing a significant rise in the TPI. As the demand for construction materials and services surges,
manufacturers are losing their competitive appetite, leading to an increase in profit margins. This is
contributing to an overall uptick in construction costs.
➡ Impact of Middle East Conflict
Geopolitical events, such as conflicts in the Middle East, adding a profound impact on the TPI. For
instance, the escalation of conflict in the region is resulting in a significant increase in freight rates. The
rise in freight costs directly influences the prices of imported materials, causing a knock-on effect on
construction project costs.
➡ Forecast
Looking ahead, the forecasted TPI for 2025 and 2026 plays a crucial role in strategic planning for
construction stakeholders. With various factors influencing the index, including commodity prices,
demand for mega projects, and geopolitical events, the projected average TPI of 5.5% indicates the
anticipated overall increase in construction costs during this period. This forecast serves as a valuable
tool for industry professionals, allowing them to make informed decisions, adjust budgets, and
implement cost-effective strategies to navigate the evolving landscape of the construction sector.
#tpi #costplanning #costmanagement #quantitysurveying #bidding #tendering #estimation

#constructioncosts
121 · 3 Comments
Like Comment Share
Ismail Gultasab
2mo
What are the Area Metrics in Construction/Real-estate Industry?
⭕ GEA (Gross External Area)
🔅 Definition:
As per RICS "Code of Measuring Practices", GEA is the area of a building measured externally (from
external face of perimeter walls) at each floor level. It includes perimeter wall thickness and external
projections, internal balconies, halls, mezzanine areas. However, it excludes external open balconies,
and roof terraces.
⭕ GIA (Gross Internal Area)
🔅 Definition:
As per RICS, GIA is the area of a building measured to the internal face of the perimeter walls at each
floor level. It includes internal halls, internal balconies, mezzanine floors. However, it excludes external
open balconies, and roof terraces.
✔ Most of the consultancy firms use GIA to benchmark the construction cost.
✔ GIA is a basis of measurement for the marketing and valuation of industrial buildings
⭕ NIA (Net Internal Area)
🔅 Definition:
As per RICS, NIA is the usable area within a building measured to the internal face of the perimeter
walls at each floor level. It includes internal halls, kitchens, built-in units. However, it excludes toilets, lift
rooms, stairwells, lift-wells, corridor and service area.
✔ NIA is the basis of measurement for the valuation for shops and offices.
⭕ GLA (Gross Leasable Area)
🔅 Definition:
GLA is the space within a commercial property that is designed for the exclusive use of one or more
tenants. This real estate term is most commonly used in Office, Retail, and Industrial properties where it
is necessary to distinguish between the areas that are part of the lease square footage calculation and
those that are not.
⭕ NLA (Net Leasable Area)
🔅 Definition:
The Net Leasable Area (NLA) is the amount of the space that is actually available for tenants to rent. As
such, it typically excludes other features of the property like common areas and utility rooms.
⭕ GFA (Gross Floor Area)
🔅 Definition:
GFA is the total floor area of a building including any underground saleable or leasable area (such as
basement shops) but excluding parking and underground technical areas. Any Building used as some
form of supporting Service Plant should be excluded from the GFA.
✅ Estimators, most often use BUA (Built-Up Area) which is equal to GEA as defined by RICS.
Somehow, it is equal to slab area of overall building for a frame structure building. It includes
basement floors, external walls, covered balconies and stairwells/lift-wells.
✅ As stated above, many consultancy firms benchmark the construction cost at GIA defined by RICS.
Industry experts must be well aware of the difference between GEA/BUA and GIA before benchmarking
construction costs.
🔴 GIA is approximately 92% of BUA for a residential building

🔴 GIA is approximately 83% of BUA for an office building
🔴 GIA is approximately 87% of BUA for hotel building
#quantitysurveying #costmanagement #areas #GIA #BUA #bidding #tendering
52 · 3 Comments
Like Comment Share

Ismail Gultasab
3mo
Cost Plans/Estimates as per Different Industry Standards
🚫 Rough Order of Magnitude (ROM)

➡ RIBA: Stage 0 "Strategic Definition"
➡ End Usage:
Class 5 (ROM) estimates are prepared for any number of strategic business planning purposes, such as
but not limited to market studies, assessment of initial viability, evaluation of alternate schemes,
project screening, project location studies, evaluation of resource needs and budgeting, long-range
capital planning, etc.
🚫 Order of Cost Estimate

➡ RIBA: Stage 1 "Preparation and Briefing"
➡ End Usage:
Class 4 (Order of Cost Estimate) estimates are prepared for a number of purposes, such as but not
limited to, detailed strategic planning, business development, project screening at more developed
stages, alternative scheme analysis, confirmation of economic and/or technical feasibility, and
preliminary budget approval or approval to proceed to next stage.
🚫 Cost Plan 1

➡ RIBA: Stage 2 "Concept Design"
➡ End Usage:
Class 3 (Cost Plan 1) estimates are typically prepared to support full project funding requests and
become the first of the project phase control estimates against which all actual costs and resources will
be monitored for variations to the budget. They are used as the project budget until replaced by more
detailed estimates. In many owner organizations, a Class 3 estimate is often the last estimate required
and could very well form the only basis for cost/schedule control.
🚫 Cost Plan 2

➡ RIBA: Stage 3 "Spatial Coordination"
➡ End Usage:
Class 2 (Cost Plan 2) estimates are typically prepared as the detailed contractor control baseline (and
update to the owner control baseline) against which all actual costs and resources will now be
monitored for variations to the budget and form a part of the change management program. Some
organizations may choose to make funding decisions based on a Class 2 estimate.
🚫 Cost Plan 3

➡ RIBA: Stage 4 "Technical Design"
➡ End Usage:
Generally, owners and EPC contractors use Class 1 estimates to support their change management
process. They may be used to evaluate bid checking, to support vendor/contractor negotiations, or for
claim evaluations and dispute resolution. Construction contractors may prepare Class 1 estimates to
support their bidding and to act as their final control baseline against which all actual costs and
resources will now be monitored for variations to their bid. During construction, Class 1 estimates may
be prepared to support change management. Client may use these types of estimates for commercial
bid evaluations.
#costplanning #estimates #costplans #bidding #tendering #RICS #AACE #RIBA #costmanagement
308 · 25 Comments
Like Comment Share
Ismail Gultasab
3mo
⭕ ⭕ Ten (10) Qualities of a Professional Estimator ⭕ ⭕
➡ 1️⃣Studying RFP documents thoroughly i.e. SOW, ITB, Specs, drawings and most importantly sub-
contractor's quotations.
➡ 2️⃣Owning a comprehensive and well-organized estimating database which is being updated upon
every project submission.
➡ 3️⃣Live projects (visits sites) most often in-order to experience the new construction techniques.
➡ 4️⃣Embraces and adopts digital revolution, treats MS Excel as a second wife, have good command
on estimating software such as Candy (CCS), CostX, etc.
➡ 5️⃣Efficient procurement skills and persuasive purchasing approach.
➡ 6️⃣Keeping good relationship with Cost Control office and getting feedback for critical item’s
execution. Correlates estimate vs actual.
➡ 7️⃣Pareto’s Law, 80/20, 80% impact comes from 20% items. Focusing on big ticket items from SCM
perspective.
➡ 8️⃣Behavior: Staying calm, focused during immense pressure, handling multitasks, excellent level of
numeracy, ability to prioritize the tasks, creative and inventive thinker, believer of teamwork, and love
subordinates.
➡ 9️⃣Proof reading, cross checking, comparing final figures with similar nature of previously
submitted projects before issuing final reports.
➡ 🔟 Not only producing the qualitative and competitive commercial proposals/bids but knowing
the art to present it in a self-explaining manner with reflective data visualizations.
Last but not least, never forgets to keep two items in his drawer such as box of Panadol and an
additional Calculator (high chances of breaking calculator if figures are not matching 🤨)
Big thanks to RIB CCS (Candy) for publishing this post on their official website. Please follow below link
to read it.
https://lnkd.in/dSJ6r2_b
#tendering #bidding #costmanagement #quantitysurveying #estimation #estimator

#proposalmanagement
89
Like Comment Share
Ismail Gultasab
3mo
⭕ Reinforcement in Concrete Structure
Concrete is reinforced when steel products like rebar, wire mesh, and steel fibers are used as
reinforcement. These give concrete additional strength to stand up to the three primary types of stress:
• Compression
• Tension
• Shear
Compression tension occurs when concrete supports heavier loads. Tension stress is the opposite of
compression — it’s when force starts pulling the slab apart. Shear stress is another reason to reinforce
concrete.
1️⃣Cost
Steel Cost Varies 35 ~ 42% of Concrete Structure Cost.
Labor Cost ranges 20 ~ 25% of overall Steel Cost.
2️⃣Average Ratios
For high-rise buildings, steel ratio ranges 140 ~ 160 Kg/m³ (overall).
For low-rise buildings, steel ratio ranges 100 ~ 120 Kg/m³ (overall).
3️⃣Aggregation of Sizes (for estimating purpose)

Based on high-rise buildings (average aggregation)
• 08mm - 05 ~ 07%
• 10mm - 15 ~ 17%
• 12mm - 08 ~ 10%
• 14mm - 20 ~ 22%
• 16mm - 12 ~ 14%
• 20mm - 08 ~ 10%
• 25mm - 20 ~ 22%
• 28mm - 05 ~ 07%
• 32mm - 07 ~ 09%
Estimating team must be aware of current and future forecast rates of steel reinforcement. It plays a
key role in award winning bids and successful project delivery.
Rates are based in Saudi Market.

#bidding #reinforcement #tendering #proposalmanagement
30 · 3 Comments
Like Comment Share

Ismail Gultasab
3mo
Standard Method of Measurements and their Importance!!!!
⭕ New Rule of Measurement 2 (NRM-2)
➡ Published By: ---- RICS

➡ Year Published: ---- 2012
➡ Used For: ---- Building
➡ Format: ---- Tabulated
➡ Context: ---- Developed as part of the New Rules of Measurement (NRM) suite, NRM 2
complements NRM 1 and aims to provide detailed rules for the measurement and quantification of
building works. It is designed to enhance accuracy in cost estimation and procurement processes.
----------------------------------------------------------------
⭕ Principles of Measurement International (POMI)

➡ Used For: ---- Building & Infrastructure
➡ Format: ---- Not Tabulated
➡ Context: ---- The principles of measurement provide a uniform basis for measuring bills of
quantities for construction works. Additional information can be provided to define the work's nature
or circumstances. Amendments to these principles can be made for specific localities work. These
principles apply equally to proposed and completed works.
----------------------------------------------------------------
⭕ Civil Engineering Standard Method of Measurement 4 (CESMM4)
➡ Published By: ---- Institution of Civil Engineers

➡ Used For: ---- Infrastructure (Covers simple building such as substations)
➡ Context: ---- CESMM4 has been adopted by many countries and regions as a standard for the
measurement of civil engineering works. Its international recognition contributes to consistent
practices in the field.
----------------------------------------------------------------
⭕ Standard Method of Measurement 7 (SMM7)

➡ Year Published: ---- 1998 (Replaced by NRM 2)
➡ Used For: ---- Building Works
➡ Context: ---- It was developed to provide a standardized method for measuring building works,
particularly in the preparation of Bills of Quantities (BOQ), which are documents specifying the
quantities and costs of materials and labor for a construction project.
----------------------------------------------------------------
The use of standardized methods of measurement in preparing the BOQ is essential for achieving
consistency, clarity, and transparency in the construction industry. It contributes to effective cost
estimation, facilitates fair tendering and procurement processes, and helps in the efficient
administration of construction contracts.
♀ If you need the copy of these MOMs, please leave your email in the comment. We will share.
#methodofmeasurement #tendering #bidding #costmanagement #BOQ #billofquantity
156 · 65 Comments
Like Comment Share
3,050 followers
19 Posts · 3 Articles
View Profile Follow
More from this author

Unbalanced Bidding in Gulf Construction Industry
Ismail Gultasab · 4mo
Construction Estimating Software - CCS-Candy

Ismail Gultasab · 3y
Ten (10) Qualities of a Professional Estimator
Ismail Gultasab · 3y
Explore topics
Sales
Marketing
Business Administration
HR Management
Content Management
Engineering
Soft Skills
See All
© 2024 About
Accessibility User Agreement
Privacy Policy Cookie Policy
Copyright Policy Brand Policy
Guest Controls Community Guidelines
Language

Ismail Gultasab On LinkedIn - #Costplanning #Estimates #Costplans #Bidding #Tendering #Rics #Aace #Riba

Uploaded by

Copyright:

Available Formats

You might also like

Ismail Gultasab On LinkedIn - #Costplanning #Estimates #Costplans #Bidding #Tendering #Rics #Aace #Riba

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Ismail Gultasab On LinkedIn - #Costplanning #Estimates #Costplans #Bidding #Tendering #Rics #Aace #Riba

Uploaded by

Copyright:

Available Formats

Join now Sign in

Articles People Learning Jobs Get the app

Ismail Gultasab’s Post

Cost Plans/Estimates as per Different Industry Standards

🚫 Rough Order of Magnitude (ROM)

➡ RICS: Level 1 Estimate

🚫 Order of Cost Estimate

➡ RICS: Level 2 Estimate

➡ RICS: Level 3 Estimate

➡ RICS: Level 4 Estimate

➡ RICS: Level 5 Estimate

#costplanning #estimates #costplans #bidding #tendering #RICS #AACE

Like Comment Share

Atanu Saha 11m

To view or add a comment, sign in

More Relevant Posts

Key Development Progress (USD Bn)

⭕ King Salman Park

Like Comment Share

To view or add a comment, sign in

GCC Forms of Contracts

#costmanagement #bidding #estimation #costplanning #quantitysurveying #aecom

Like Comment Share

To view or add a comment, sign in

Process of Obtaining Building Permit in GCC

➡ Stage 01 – Obtaining a letter from the main municipality

➡ Stage 01 – Preparing engineering drawings

➡ Stage 01 – Submission of Ministry of Municipality forms and drawings

➡ Stage 01 – Submitting preliminary application to relevant municipality

Like Comment Share

To view or add a comment, sign in

Tender Price Index

⭕ Factors driving TPI in Saudi Arabia

➡ Mega Key Development

➡ Impact of Middle East Conflict

#tpi #costplanning #costmanagement #quantitysurveying #bidding #tendering #estimation

Like Comment Share

To view or add a comment, sign in

What are the Area Metrics in Construction/Real-estate Industry?

⭕ GEA (Gross External Area)

⭕ GIA (Gross Internal Area)

⭕ NIA (Net Internal Area)

⭕ GLA (Gross Leasable Area)

⭕ NLA (Net Leasable Area)

⭕ GFA (Gross Floor Area)

🔴 GIA is approximately 92% of BUA for a residential building

#quantitysurveying #costmanagement #areas #GIA #BUA #bidding #tendering

Like Comment Share

To view or add a comment, sign in

Cost Plans/Estimates as per Different Industry Standards

🚫 Rough Order of Magnitude (ROM)

➡ RICS: Level 1 Estimate

🚫 Order of Cost Estimate

➡ RICS: Level 2 Estimate

➡ RICS: Level 3 Estimate

➡ RICS: Level 4 Estimate

➡ RICS: Level 5 Estimate

#costplanning #estimates #costplans #bidding #tendering #RICS #AACE #RIBA #costmanagement