Building Information Modelling Technological

Innovations in Industrialised Building Systems Cost

Estimation

Mohamed Murteza Gulamhussein Moledina, Goh Wei Pin, Wallace Imoudu Enegbuma
Department of Civil Engineering, Faculty of Engineering, Computing and Science
Swinburne University of Technology
Kuching, Malaysia
4314077@students.swinburne.edu.my, wenegbuma@swinburne.edu.my, wgoh@swinburne.edu.my

Kherun Nita Ali and Kayode Adenuga

Faculty of Built Environment, Faculty of Computing
Universiti Teknologi Malaysia
Skudai, Malaysia
b-kherun@utm.my, kayodeadenuga@yahoo.ca

Abstract—The paradigm shift in construction cost estimation

is attributed to technological innovations in the spheres of
building information modelling (BIM) and industrialised
building systems (IBS). Majority of construction projects
experience cost overruns which affect project objectives. The
outcome of cost overruns invariably leads to disputes and further
delays. Similarly, cost estimators resistance to overcoming the
inertia to leap from traditional estimation methods to advanced
methods further exacerbates the issues of cost estimation. This
paper aims at comparing cost estimate between traditional cost
estimation and advanced cost estimation. Data was collected via
questionnaire from registered quantity surveying companies with
the Board of Quantity Surveying Malaysia (BQSM).
Subsequently, real time simulation was carried out on a sample
IBS project using Autodesk Revit and Navisworks to compare
cost estimates. The results revealed that BIM is accurate than bill
of quantity (BOQ) as this difference results in a critical factor for
large construction projects. The study was limited in terms of
cost standard and database in Autodesk Navisworks. Future
research can improve on the quantity coding for BIM in
Malaysia.
Keywords—building information modelling (BIM);
industrialised building systems (IBS); cost estimation; Malaysia.
I. INTRODUCTION
The construction industry plays a major role in both the
developed and developing countries as it is one of the driving
forces in the economy. The development of this industry stems
from both private and public sectors. However, the
construction industry is always criticized due to the following
reasons such as over budget of the project cost and slow
delivery time of the project. The dominant concern of the
clients and contractors in construction industry is the overall
cost of the project [1]. In Malaysia, many development
projects are under way and many more completed. However,
during the work progress there are constant modifications and
delays experienced which are the major drawbacks that
increases total cost; causing this to be one of the expensive and
serious problem in the construction industry in Malaysia.
Adoption of innovative technology by construction
professionals is much slower than other sectors [2-4]. Cost
estimation is a vital activity in any construction project which
has to be checked at various phases of the construction and it
is also a precise process that is made to give the project cost
[5]. [6] research found that IBS has been used in Malaysia
since 1964 and has recently gained more attention due to the
advancement of the technology. There are 5 diverse types of
IBS such as pre-cast concrete, steel framing, steel formwork,
prefabricated timber framing and block work system. Pre-cast
concrete and steel structures are mainly used in Malaysia with
cost playing a key role in IBS use [7].
IBS is a modern construction method that is an alternative
to the conventional construction method in Malaysian
construction industry. This alternative is used in order to bring
innovation to the construction industry and also to solve
different issues like foreign labour dependency, reduce site
pollutions, increase site safety and most importantly to reduce
the overall project cost. However, since IBS was introduced in
1964, the projects have been facing problem of project cost
overrun. This problem of project cost overrun happens to be a
major issue that is slowing the expansion of the Malaysian
construction industry [8].
Cost overrun concerns happened after the ultimate cost or
spending of the project surpasses the planned, projected or
target price. Hence, it is vital to identify the major factors that
influence the cost over budget, and find out effective technique
to improve the cost estimation for IBS projects in the
construction industry to minimise the problem. The
complications of cost overruns are actually critical and it
might have a high impact on the contractor and client with
extra funds for the project (Goh et al. 2015). In addition, to the
difficulties that transpired during building, poor project and
cost management can origin disaster to meet the quality and
suitability of the resources, to develop the envisioned
structure, or to function for its projected life. Hence, this paper
aims at comparing cost estimate between traditional cost
estimation and advanced cost estimation. Subsequent sections
will have a literature review on BIM, IBS and cost estimation,
the methodological approach and results and discussions.
II. LITERATURE REVIEW
A. Cost and Industrialised Building Systems (IBS)
The Industrialised Building Systems (IBS) is a
manufacturing process that employs the methods, products,
parts or constructing system which includes prefabricated
parts and on-site establishment. IBS is a substitute way of
construction that will certainly change the sequence of events
of the current construction industry moving to a systematically
way of mass manufacturing of construction materials [9]. IBS
in Malaysia was first introduced in the early 1960s after the
Local Government and Ministry of Housing of Malaysia
travelled across many European countries and assessed their
housing development programs [10]. IBS offers enhanced cash
flow to inventors as the expenses can be claimed from the
clients within two weeks upon assembling of building
components. On the other hand, the conventional method has a
timeframe ten months to claim the expenses upon casting [11].
there is mismatch between IBS focus by the current industry
and government availability to embrace and change to IBS; in
this way, the business should be guided and enhanced their
preparation on IBS [12].
Cost estimating is an essential activity that is checked at
various stages of the structure construction process, that is
beginning from the initiation and feasibility study stage of the
project to the preliminary and detailed design stages, and
finally at the project completion stage. several researchers
have accredited that to ensure the construction project is
successful and effective; selecting the right type of cost
estimation method
TABLE I. THE COST ESTIMATION MODELS THREE MAIN GENERATIONS [13][18]
Traditional Model Non-traditional Model
a) Conference a) Statistical/Econometric
b) Financial Method b) Model (Regression analysis and Casual Model)
c) Functional Unit c) Risk/Simulation Model (Monte Carlo simulation
d) Superficial and Value management)
e) Superficial Perimeter d) Knowledge Based Model
f) Cube Method e) Resource Based Model
g) Storey Enclosure Method f) Life Cycle Model
h) Approximate Quantity Method
i) Bill of Quantities Method
D. Bill of Quantity
Bills of Quantities contain a list of things of work which
are quickly depicted. The Bills likewise give an amount of
the
or procedure is vital apart from good management [13][8].
Thus, it is of little astonishment that economic cost, being a
standout amongst the most essential decision-making norms
for any building construction undertaking, will ordinarily be
considered and investigated at the early phases of the
undertaking [14]. Cost estimation in construction projects is a
genuine procedure intended to give a reliable forecast of the
financial costing [15]. The veracity of cost evaluations is
mostly a function of series of aspects comprising design stage,
data availability, quality of the management group’s
judgement and construction technique [8][15].
B. Cost Modelling
[16] defined cost models as: “techniques used for
forecasting the estimated cost of a proposed construction
project”. Moreover, it is used as a term, when denoting to both
estimating resources cost for contractors and projecting
construction cost for clients. Meanwhile, [8] defined cost
model as: “a procedure developed to reflect, by means of
derived processes, adequately acceptable output for an
established series of input data”. In a perfect world, the model
ought to be sufficiently straightforward to be useful and
comprehended by the client, satisfactorily illustrative of the
total range of effects that it might have, and sufficiently
complex to represent the framework precisely.
C. Cost Modelling Types
In the quest for suitable outline for general typology of
cost modelling, previous research examined fifty-five papers
relating to cost modeling [17]. It was expected to offer
structure and give a perspective on which specific research
input can be distinguished and strategically placed. Each of the
cost model looked into was characterized under the
accompanying nine headings: 1. Relevance – whether it relates
to a particular design proposal, 2. Units – the units of
measurement, 3. Cost/price – how the model is proposed to be
used, 4. Approach – the level at which modelling is practical,
5. Time-point – at which point during the design process it is
applied, 6. Model – a general classification of the method, 7.
Technique – precise classification, 8. Assumption – whether
they can be evaluated and 9. Uncertainty – how it is treated.
Other types are shown in Table 1.
New wave Model
a) Artificial Intelligence
b) System (Neural Network and Fuzzy Logic)
c) Web-Based Tools
d) BIM
e) Other Models (Environmentally and
Sustainable development)
degree of work and this permits the work to be estimated.
Moreover, the work incorporated into the thing is
characterized in subtle element by the principles of the Method
of Measurement. The item portrayals are in this way shorthand
to
permit the applicable principles of the Method to be
distinguished. In addition, the measure might be an individual
item or number, measurement (direct meter or square meter or
cubic meter), time (hours or weeks) or weight [19]. The Bills
of Quantities can aid several functions such as [19]: (1) A
breakdown of the tendered cost, with no legally binding status,
however giving data for the choice from tenderers, (2) A
forecast quantity of the work at the tendered cost, to be
utilized to land at an overhauled contract cost once the real
amounts of work completed are measured. This is the re-
measure type of agreement, (3) A timetable of rates as the
agreement premise for esteeming varieties in the work and (4)
A premise for measure of the estimation of work finished for
interim expenditures.
E. Building Information Modelling
BIM is an insipid term used to refer to propelled 3D
Computer Aided Design (CAD) innovation for modelling and
overseeing structures and data associated with them; however,
which are separated from conventional CAD frameworks in
that the product objects in a BIM model are logical to
computer programs as demonstrations of true building parts,
dissimilar to the realistic items in a two-dimensional CAD
document. A 5D BIM application is brilliantly intended to
relate 3D model segments with time and cost-related data [20].
The requirement emphasis for predictable definitions and
phraseology to report the significant puzzlement and
misconception about BIM in an industry is still developing
with this innovation [21]. One of BIMs acknowledgements is
to permit the clients to concentrate on the data and choice
making of the venture, rather than the squandering time on
documentation devices and the real tiring procedure [22-24].
Educational frameworks for BIM training in institutions of
higher learning still need upgrading to meet industry demand
[25]. There are two sorts of amounts to reflect when taking-off
[23]: (1) The Product/Procurement Quantities (PPQ), which
are the quantifiable physical magnitudes resulted, by the
design of the venture such as are length, volume and so on and
(2) The Process of Construction Quantities (PCQ), this kind is
a further detailed breakdown associated to PPQ. The amounts
are influenced by the construction technique, particular
situations of the job such as labour hours, areas of formwork,
scaffolding and so on.
Fig. 1. RIBA plan of work and its relationship to cost data
III. METHODOLOGY
The research began with an examination of literature in
cost estimation, BIM and IBS [26][3][4]. The second stage of
the research is a structured questionnaire survey carried out
with the quantity estimators in Malaysia. All members in the
construction industry may have unique views, practices and
appreciation on the matter of project cost modelling of IBS.
The questionnaire survey examined the demographics of the
respondents, the present cost modelling that have been
generally used, inaccuracy level of cost estimates in both
conventional and IBS projects, and subjective variables that
are speculated to be influencing the IBS project cost. A mail
survey was used since it is generally cost effective to
administer and the same survey can be sent to a larger number
of people. The survey permits the respondent to fill the
questionnaire at their own time. The sampling technique used
is convenience sampling such that the questionnaire survey
targets the quantity surveyors. The questionnaire survey was
emailed to all the registered quantity surveying companies
with the Board of Quantity Surveying Malaysia (BQSM); the
specialised organisation that manages the quantity surveyors in
Malaysia. In addition, of the 354 registered companies, only
333 had valid email addresses. As for the remaining
companies email addresses, 10 of them were repeatedly
registered while 11 emails were not in use or the server was
down or the email address was wrong. The minimum
responses expected are in the range of 15% to 20% of the 333
companies because from the past researches done in Malaysia
and other South-Asian countries which had a total of 61
respondents return rate. The real-life project used was to build
two structures that contain eight classrooms, one science
(laboratory) room and six toilets for a school which was
proposed by Ministry of Education Malaysia. The following
are some of the project details: 6000mm precast concrete piles;
elevated above ground by 900mm using the stumps; it has
precast concrete slab panel with bondek for both structures
except for the toilet side which is reinforced concrete slab; it
had steel framing with cement boards, steel roof truss system
and steel roof. This project is selected as it is an IBS hybrid
Project for a village school in Kuching, Sarawak, Malaysia.
Autodesk Revit 2015 mostly utilised by the architects and
engineers to aid in designing and structuring a project.
Autodesk Navisworks Manage 2015 used for automatically
generating the quantity take-off for the project in the shortest
time and with a high level of accuracy while Microsoft Excel
was used to lay out data, rearrange and reformat data and to do
analysis. Summary of the research method outline is shown in
Fig 2.
Literature Detailed
Review Building Design
Manual
Take-off
Schedule
Analysis
of Rates and
Discussion
Automated
Take-off
Fig. 2. Research Method Outline
 IV. RESULTS AND DISCUSSION
A. Respondent work experience
As shown in Fig 3 the distribution of working experience in
the construction industry of the respondents, whereby 36%
Fig. 3. Respondents' working experience in the Construction Industry
B. Cost Estimation Inaccuracy in Construction Industry
The Fig 4 shows that there is higher inaccuracy level such
that 49% say that the inaccuracy is less than 5% and other
49% say the inaccuracy level is between 5% to less than 10%
for a conventional construction project. On the other hand,
Figure 22
Fig. 4. Cost estimation inaccuracy comparison
C. Inaccuracy of cost forecasting
The results shown in the Table 2 are different to the past
research by [15] and [27] but there is a difference that both
found that poor tender document is overall ranked 1 but in
case of current Malaysian situation the tender document had a
relative importance index of 0.856, severity index of 85.57%
and COV value of 18.15% and ranked 9th overall. Besides,
TABLE II. INACCURATE OF COST FORECASTING RELATED COST FACTORS
Inaccurate of cost forecasting RII
Poor requirement standing 0.754
Poor tender document 0.856
Insufficient tendering time 0.826
Insufficient analysis of tender documents 0.889
D. Quantity Take-off Simulation
BIM permits incorporation of the data delivered by diverse
contributors in the project such as Architect, Landscape
Architect, Building Services Engineer, Structural Engineer
and also Interior Designer, to be in a sole model. Furthermore,
the project data of structure programme schedules and
expenses
have 1-10 years, 33% have above 30 years and 31% have 11-
30 years’ experience. It can be determined that the respondents
working experience in the field is almost balanced such that
53% have below 20 years and 47% have above 20 years’
experience.
presents that there is higher inaccuracy level but lesser then
conventional project such that 66% say that the inaccuracy
level is less than 5% while 30% say is between 5% to less than
10%. Therefore, indicating that use of IBS method of
construction can decrease the project cost overrun.
both the past research ranked overall insufficient tendering
time and insufficient analysis of tender documents as 4th and
10th respectively. However, in the current Malaysian
construction industry, the results show that insufficient
tendering time and insufficient analysis of tender documents is
ranked overall 12th and 5th respectively. Hence, showing the
difference between different countries construction industry
views.
SI (%) COV (%) Group Rank Overall Rank
75.41 26.71 4 21
85.57 18.15 2 9
82.62 17.94 3 12
88.85 16.19 1 5
can be input into the model to generate 5D BIM. The data
entered into the model by diverse professionals will store and
turn out to be a valuable tool for construction management.
Figures 5 and 6 shows the building design development in
Autodesk Revit, simulation in Navisworks and quantity
extraction in excel spreadsheet.
Fig. 5. Floor plan drawn in Autodesk Revit and 3D Model View in Navisworks

Fig. 6. Display of All Data in Excel and display of Groups Pivot Table –Items in Groups and total quantity

The simulation revealed that BIM method is accurate,

reliable, faster and easier to generate the quantity take-off and
bill of quantities; whereas the conventional BOQ method is a
tedious, laborious and time consuming method for quantity
take-off and bill of quantities preparation. In addition, the
difference between the two bill of quantities of 2.067% proved
that BIM is accurate than BOQ. This was derived from
dividing the difference between BIM automate cost and
Manual cost given by 1,424,345.47-1,394903.92/1,424345.47.
However, it was found that using either BOQ or BIM method
for quantity take-off for IBS components is easier and faster
than for the conventional component of the structure.
V. CONCLUSION AND RECOMMENDATION
The selected project was simulated and the literature
knowledge of cost estimation methods was used to achieve the
study objective. The BOQ method is a time consuming and
laborious task which also has high room for human error. The
time is mostly utilised in taking-off items and tabulating into
the Excel Sheet, followed by billing the quantities. However,
the knowledge of manual quantification is important as it is
done according to the standard used in the place and thus,
giving a client to better understand the bill of quantities as all
estimators use the same standard. On the other hand, the
automatic taking-off and producing the bill of quantities was
found to be simpler than the conventional method as many of
the steps such as taking-off the items, squaring, tabulating and
others are eliminated; since the quantity take-off is generated
with just a few clicks. Nevertheless, the disadvantage is that
currently the BIM cannot produce the take-off or bill of
quantities with the required standards and therefore, the
knowledge of the manual method and standards is required by
the estimator to produce the final bill of quantities for
submission. In addition, the difference between the two bill of
quantities of 2.067% proved that BIM is accurate than BOQ as
this difference and be a critical factor in larger construction
projects. The experience of drawing the 3D model indicates
that the team working on the project needs to be familiar with
the software used for the modelling, structural drawings, cost
estimation and others. The relevant parties need to be able to
collaborate and produce great results together and also be able
to use the BIM tools well. They require training, equipment to
support the use of the BIM applications and license for the
software which can be expensive for small firms. The bright
side of the BIM method is that it can make the process faster
and produce accurate project cost. Moreover, it even saves
time for the estimator to focus on more important issues that
can achieve the goal of the client of money for value. Finally,
it was also found when using both the methods that it is easier
to carry out the quantity take-off and produce bill of quantities
for the IBS components which can aid in the Malaysian
construction industry. The limitations of this study bordered
around redrawing the building due to compatibility of higher
versions of Autodesk Revit and need to export the file into
IFC file format and open in Revit 2015 but not all the data was
received which is the issue with the export option to IFC file.
Autodesk Navisworks Manage 2015 also has limited resources
available which limited the use of the software and only the
quantification was carried out and data exported to excel.
Future studies can improve on the quantity coding for BIM in
Malaysia and ways to further enhance construction industry
stakeholders to use BIM and IBS.
REFERENCES
[1] Baloi, P, & Price, A 2003, Modelling Global Risk Factors Affecting
Construction Cost Performance, International Journal of Project
Management, Vol. 21, No.4, pp. 262-269.
[2] Enegbuma, W.I, Aliagha, U.G & Ali, K.N 2015, ‘Effects of Perceptions
on BIM Adoption in Malaysian Construction Industry’, Jurnal
Teknologi, vol. 77, pp. 15.
[3] Enegbuma, W.I. (2016). Factors Affecting Building Information
Modelling Adoption by Malaysian Consultants and Contractors. PhD
Thesis, Universiti Teknologi Malaysia.
[4] Ojoko, E. O., Tanko, B. L., Jibrin, M., Ojoko, O. and Enegbuma, W. I.
(2016a). Project Delay Causes and Effects in the Construction Industry.
6th International Graduate Conference on Engineering, Science and
Humanities (IGCESH). 15th - 17th August, Johor, Malaysia.
[5] Akintoye, A & Fitzgerald, E 2000, ‘A survey of current cost estimating
practices in the UK’, Construction Management and Economics, vol. 18,
no. 1, pp. 161-172.
[6] Ismail, N 2014, ‘Implementation of Industrialised Building System
(IBS) in Malaysia Construction Industry’, Honours thesis, Universiti
Malaysia Pahang, Pahang.
[7] Ojoko, E. O., Osman, M. H., Rahman, A. B., Omar, W. S. and
Enegbuma, W. I. (2016b). Stakeholders Perception of Project Success
Criteria for Industrialised Building System in Nigerian Mass Housing
Development. 2nd International Conference on Science, Engineering,
and the Social Sciences (ICSESS), May 29th – June 1st, Skudai,
Malaysia.
[8] Goh, K.C, Yap, A.B.K, Seow, T.W, Masrom, M.A.N, Goh, H.H & Tey,
J.S 2015, ‘Strategies in Dealing with Cost Overrun Issues: Perspective
of Construction Stakeholders’, Springer, Singapore.
[9] Bari, NAA, Kadir MRA, Ismail, N & Yusuff, RM 2009,‘The incidence-
in-use of cost estimation model for Industrialised Building Systems
(IBS) projects’, Department of Civil Engineering, Universiti Putra
Malaysia, Selangor, Malaysia.
[10] Thanoon, WAM, Peng, LW, Kadir, MRA, Jaafar, MS & Salit, MS 2003,
‘The Experiences of Malaysia and Other Countries in Industrialised
Building System in Malaysia’, Proceeding of International Conference
Industrialised building systems, Kuala Lumpur, Malaysia.
[11] Nawi, M, Nifa, F, Abdullah, S & Yasin, F 2007, ‘A Preliminary Survey
of the Application of Industrialised Building System (IBS) In Kedah and
Perlis Malaysian Construction Industry’, Conference on Sustainable
Building South East Asia, 5-7 November 2007, Malaysia, Institute
Sultan Iskandar of Urban Habitat & Highrise, Johor, pp. 411-415.
[12] Hamid, ZA, Kamar, KAM, Zain, MZM, Ghani, MK & Rahim, AHA
2008, ‘Industrialised Building System (IBS) in Malaysia: The Current
State and R&D Initiatives’, Malaysian Construction Research Journal
(MCRJ), vol. 2, no. 1, pp. 1‐11.
[13] Bari, NAA, Yusuff, RM, Ismail, N, Aini, J & Rizan, A 2012, ‘Factors
influencing the construction cost of Industrialised Building System
(IBS) projects’, Procedia - Social and Behavioral Sciences, vol. 35, pp.
689-696.
[14] Gunaydin HM & Dogan, SZ 2004, ‘A Neural Network Approach for
Early Cost Estimation of Structural System of Building’, International
Journal of Project Management, vol. 22, pp. 595-602.
[15] Akintoye, A 2000, ‘Analysis of factors influencing project cost
estimating practice’, Construction Management and Economics, vol. 18,
no.1, pp. 77-89.
[16] Ashworth, A 1999, ‘In Building in Value’, in R Best and G De Valence,
Cost Modelling, Arnold, London.
[17] Newton, S 1991, ‘An Agenda for Cost Modelling Research’,
Construction Management and Economics, vol. 9, pp. 97-112.
[18] Ashworth, A 1995, Cost Studies of Building, 2nd edn, Longman
Scientific and Technical, Harlow.
[19] Atkinson, D 2000, ‘Bill of Quantity’, Bills of Quantity Atkinson,
December, viewed 13 April 2016,
<http://fidic.org/sites/default/files/Bills%20of%20Quantity%20Atkinson
.pdf>.
[20] Sacks, R, Eastman, CM, Lee, G & Orndorff, D 2005, ‘A Target
Benchmark of the Impact of Three-Dimensional Parametric Modelling
in Precast Construction’, PCI Journal, viewed 5 May 2016,
<http://www.pci.org/uploadedFiles/Siteroot/Publications/PCI_Journal/2
005/DOI_Articles/JL-05-JULY-AUGUST-6.pdf>.
[21] Goucher, D & Thurairajah, N 2013, ‘Advantages & Challenges of Using
BIM – A Cost Consultant’s Perspective’, 49th ASC Annual International
Conference Proceedings, Associated Schools of Construction, United
Kingdom.
[22] Popov, V, Juocevicius, V, Migilinskas, D, Ustinovichius, L &
Mikalauskas, S 2009, ‘The use of a virtual building design and
construction model for developing an effective project concept in 5D
environment’, Automation in Construction, vol. 19, no. 3, pp. 357-367.
[23] Al-Mashta, S & Alkass, S 2010, ‘Integrated Cost Budgeting &
Estimating Model for Building Projects’, AACE International Annual
Meeting: “TCM: Cost Engineering on my Mind”, viewed 30 April 2016,
<
http://www.aaceimontreal.org/pdf/BIM.02%20%20Integrated%20Cost%
20Estimating%20Model%20for%20Bldg%20projects.pdf>.
[24] Eastman, C, Teicholz, P, Sacks, R & Liston, K 2011, ‘BIM handbook: A
guide to building information modeling for owners, managers, designers,
engineers and contractors’, 2nd edn, John Wiley & Sons, New Jersey.
[25] Ali, K.N, Mustaffa, N.E, Keat, Q.J & Enegbuma, W.I 2016, ‘Building
Information Modelling (BIM) Educational Framework for Quantity
Surveying Students: The Malaysian Perspective’, Journal of Information
Technology in Construction (ITcon), vol. 21, no. 1, pp. 140-151.
[26] Hair, J. F., Black, W.C., Babin, B. J. and Anderson, R. E. 2010.
Multivariate Data Analysis (7th ed.). New Jersey: Pearson Prentice Hall.
[27] Cong, J, Mbachu, J & Domingo, N 2014, ‘Factors influencing the
accuracy of pre-contract stage estimation of final contract price in New
Zealand’, International Journal of Construction Supply Chain
Management, vol. 4, no. 2, pp. 51-64.