 INTRODUCTION

 SUB STRUCTURE
 SUPER STRUCTURE
 FINISHING WORKS
 EXTERNAL WORKS
 DETAIL ABOUT THE PROJECT

TOPICS
Cost Engineering is the application of scientific
principles and techniques to problems of
estimation, cost control, business planning and
management science; profitability analysis; project
management; and planning and scheduling.
The purpose of cost estimation is to predict the
quantity, cost, and price of the resources required
to complete a job within the project scope. Cost
estimates are used to bid on new business from
prospective clients and to inform your job and
budget planning process

INTRODUCTION
CHAPTER -1
The structures are classified in to two groups those are
sub structures and super structures sub structures are
structures that are located below the ground floor or
below the natural level.
These structures contain different tasks(activities) the
activities in these structures are :-
 Excavation and earth work
-site clearance
-bulk excavation
-Deep excavation (trench and pit excavations)
-back fill
-cart away

SUB STRUCTURES
 Concrete work
-C-5 lean concrete
-C-25 reinforced concrete
 For footing pad
 For foundation column
 For grade beam
-Form work:- form works are categorized in to two
 Form work for sub structures
 Form work for super structures
-Reinforcement:- reinforcement bars are vary in diameter those are
 Diameter 6
 Diameter 8
 Diameter 12

Cont.…
 Diameter 14
 Diameter 16
 Masonry work
-stone masonry
-Hard core
 The above listed activities have there own working
spaces

Cont..
 ANALYSIS SHEET FOR DIRECT & INDIRECT COSTS
PROJECT: University Capacity Building         LABOR HOURLY OUTPUT 0.36 m3/hr    
W,ORK ITEM: trench
excavation not exceeding
1.5m,ordnary soil               EQUIPEMENTOUT PUT : 0.36 m3/hr    
TOTAL QANTITY OF WORK ITEM: 1m 3
            RESULT:   205.28 Birr/m3      
                             
Material Cost (1:01) Labor Cost (1:02) Equipment Cost (1:03)  

** Indexed
Cost per Labor by hourly hourly Type of hourly
Type of Material Unit Qty * Rate Unit Trade No. UF wage wage Equipment No. Rental hourly Cost  
        0 Forman 1 0.25 62.5 15.625 Tools 2 0.6 1.2  
          G.Chief 1 1 18.75 18.75          
          D/labour 2 1 12.5 25          
Total (1:-01) 0 Total (1:02) 59.375 Total (1:03) 1.2  
                             
A= Materials =0 Birr/m3       B= Manpower Unit Cost 164.93 Birr/m3 C= Equipment Unit Cost 3.33 Birr/m3  
unit cost       Total of (1:02)         Total of (1:03)      
        hourly output:         hourly output:      
        Direct Cost of Work Item = A+B+C =     168.26 Birr/m3      
            Over head cost :   15% 25.24 "      
            Profit Cost:   7% 11.78 "      
            Total :       205.28 Birr/m3      
Remark
___________________________________________________________                        

SAMPLE FROM COST ANALYSIS

UF: UTILIZATION FACTOR             Total Unit Cost :   205.28 Birr/m3      
*: INCLUSIVE OF WASTAGE, TRANSPORTING, HANDLING, ETC.                      
**: INCLUSIVE OF BENEFITS, TRAVEL SUBSIDES AND COST OF OVERTIME RELATED TO TARGETED OUTPUT.              

SHEET
                             
  _______________________       ______________________     ________________________      
  Prepared by     Checked by   Approved by    
                             
 ANALYSIS SHEET FOR DIRECT & INDIRECT COSTS
PROJECT: University Capacity Building         LABORHOURLY OUTPUT: 0.4 m3/ hr  
WORK ITEM:( 2.32 ) c-25 concrete underfooting
pad           EQUIPMENT HOURLY OUT PUT: 0.4 m / hr 3
 
TOTAL QUANTITY OF WORK
ITEM:1m3 1m 3
            RESULT:   4940.07 Birr/m 3
   
                           
Material Cost (1:01) Labor (1:02) Equipment Cost (1:03)
** Indexed Type of
Cost per Labor by hourly hourly Equipmen hourly hourly
Type of Material Unit Qty * Rate Unit Trade No. UF Cost Cost t No. Rental Cost
Cement qt 3.6 675.00 2430.00 Foreman 1 0.25 62.5 15.625 mixer 1 150 150
Sand m3 0.52 750.00 390.00 masson 1 1 31.25 31.25 vibrator 1 62.5 62.5
Gravel (02) m3 0.78 555.00 432.90 D/labour 9 1 12.5 112.5 tool 8 0.5 4
mix
Water m3 0.03 6.00 0.18 operater 1 1 37.5 37.5        
          G/chief 1 1 18.75 18.75        
Total (1:-01) 3253.08 Total (1:02) 215.63 Total (1:03) 216.5
                           
A= C=Equipment Unit
Materials Unit Cost 3253.08 Birr/m3   B=Manpower Unit Cost 539.06 Br./m3   Cost 541.25 Br./m3
          Total of (1:02)       Total of (1:03)    
          hourly Output       hourly Output    
        Direct Cost of work item = A+B+C =     4333.39 Birr/m3    
            Overhead Cost:   15% 650.01 "    
            Profit Cost:   7% 303.34 "    
            Total :       4940.07 Birr/m3    
Remark
________________________________________________________                      
UF: UTILIZATION FACTOR           Total unit cost:     4940.07 Birr/m3    
                         
**: INCLUSIVE OF BENEFITS, TRAVEL SUBSIDES AND COST OF OVERTIME RELATED TO TARGETED
OUTPUT.            

Cont..
                           
  _______________________       ______________________     ________________________    
  Prepared by     Checked by   Approved by  
                           
CHAPTER -2
Super structures are structures that are located
above the ground floor level. Like sub structures
it also contain activities those activities are :-
 Concrete work
 Form work
 Masonry work
 Reinforcement
 HCB :- HCB works are two types
-external and
-internal

SUPER STRUCTURE
 Building mortars
 Roof an wall cladding
 Carpentry and joinery
Structural steel work
 Sanitary appliance
 Electrical installation
 These works are performed under super structure
some of them may have there own working spaces

Cont..
           6. BLOCK WORK              
ANALYSIS SHEET FOR DIRECT & INDIRECT COSTS
PROJECT: University Capacity Building         LABOUR HOURLY OUTPUT: 1 m2/hr.  
WORK ITEM: ( 6.15 ) 20 cm. thick class - B H.C.B for external       EQUIPEMENT HOURLY OUT PUT: 1 m2/hr.  
TOTAL QANTITY OF WORK ITEM: 1 m2         RESULT:   437.61 Birr/m2    
                           
Material Cost (1:01) Labor Cost (1:02) Equipment Cost (1:03)

** Indexed Type of
Cost per Labor by hourly hourly Equipmen hourly hourly
Type of Material Unit Qty * RATE Unit Trade No. UF wage wage t No. Rental Cost
HCB Pcs. 13 20.00 260.00 Forman 1 0.25 62.5 15.63 tool 4 0.5 2
Cement qt 0.021 675.00 14.18 Mason 1 1 31.25 31.25        
Sand m3 0.011 750.00 8.25 D/L 2 1 12.5 25.00        
Water lit 0.4 6.00 2.40                  
Total (1:-01) 284.83 Total ( 1:02 ) 71.88 Total (1:03) 2.00
                           
C=Equipment Unit
A=Materials Unit Cost 284.83 Birr/m2     B= Manpower Unit Cost 71.88 Birr/m2 Cost 2.00 Birr/m2
        Total of (1:02)         Total of (1:03)    
        hourly Output:         hourly output:    
        Direct Cost of Work Item = A+B+C =     358.70 Birr/m2    
          Over head cost :     15% 53.81 "    
          Profit Cost:     7% 25.11 "    
          Total :         437.61 Birr/m2    
                           

SAMPLE FROM COST ANALYSIS

UF: UTILIZATION FACTOR         Total Unit Cost :       437.61 Birr/m2    
*: INCLUSIVE OF WASTAGE, TRANSPORTING, HANDLING, ETC.                    
**: INCLUSIVE OF BENEFITS, TRAVEL SUBSIDES AND COST OF OVERTIME RELATED TO TARGETED OUTPUT.            

SHEET
                           
  _____________________       _____________________       __________________  
    Prepared by       Checked by     Approved by  
                           
CHAPTER-3
 Floor finish
 Painting
 Plastering
 Cement screed

FINISHING WORK
                             
ANALYSIS SHEET FOR DIRECT & INDIRECT UNIT COSTS                  
PROJECT: University Capacity Building         LABOUR HOURLY OUTPUT: 1.25 m2/hr    
EQUIPEMENT:
item work Painting for plastering         0.38 m2/hr 1.25 m2/hr    
TOTAL QANTITY OF WORK ITEM: 1m 2
        RESULT :   93.14 Birr/m2      
                             
Labour
Cost
Material Cost (1:01)         (1:02)         Equipment Cost (1:03)

Cost per Labour by ** Indexed hourlyy Type of hourly

Type of Material Unit Qty * Rate Unit Grade No. UF hourlyCost Cost Equipment No. UF Rental hourly Cost
paint gal 0.07 152.50 10.68 Foreman 1 0.17 62.5 10.63 Tools 4 1 0.5 2
paint thiner lit 0.25 72.25 18.063 painter 1 1 31.25 31.25          
          helper 1 1 15.63 15.63          
                             
Total Total
  (1:01)     28.74 (1:02)       57.51 Total (1:03) 2
                             
A= Materials Unit Cost 28.74 Birr/m2   B= Manpower Unit Cost   46.00 Birr/m2 C= Equipment Unit Cost 1.6 Birr/m2
        Total of (1:02)         Total of (1:03)      
Hourly Output: Hourly output:
        _______________________ 29.01birr/m2     _________________ 2.739birr/m2  
        Direct Cost of Work Item = A+B+C =     76.34 Birr/m2      
            Over head cost :   15% 11.45 Birr/m2      

SAMPLE FROM COST ANALYSIS

            Profit Cost:   7% 5.34 Birr/m2      
            Total Unit Cost :     93.14 Birr/m2      
Remark _____________________________________________________________________________                    

SHEET
UF: UTILIZATION FACTOR                            
*: INCLUSIVE OF WASTAGE, TRANSPORTING, HANDLING, ETC.                      
**: INCLUSIVE OF BENEFITS, TRAVEL SUBSIDES AND COST OF OVERTIME RELATED TO TARGETED OUTPUT.              
                             
CHAPTER -5
 PROCEDURE FOLLOWED TO FIX UNIT PRICE OF EACH
ACTIVITY
 In order to fix the unit price of each project first we have to know
the total amount of quantity for each activity. To know this
quantity, we prepare take off sheet fore each and every activity
based on that we start to fix unit price and we follow the following
procedure.
 Knowing the amount of total activity performed d in our
project.
 How many activities are there in the project?
 What type of structures are there in our project means there
is ground plus structure present or not, and we sub divide
structures in to two sub structure and super structure,

DETAIL ABOUT THE PROJECT

 Knowing what materials are used in the project.
 Listing those materials in a paper for each activity
 By moving to market ask each and every material that are
listed out in the paper.
 Knowing what activity do we have
 Then what labors are needed for our project at all.
 Finally asking the wage of each labors starting from
daily labor to Forman.
 Know we have labors and their wage to do the project,
Then the it is knowing the equipment cost, we use; -
 Knowing the activity of each project

Cont..
 Decide the work method of each activity
 Then selecting the activities that need equipment
 Then what type of equipment are used for that activity.
 Finally asking the rental cost of the equipment, here there are rental
types, the rental is with fuel cost or with out fuel cost per day per hour.
Work method chosen to our project
 Only labor-based work methods

 Here
the activity is performed only by man power like site clearance and other earth
works.
 Equipment based work method only

 Theactivity is performed by equipment but there will be a person to operate those

equipment’s, example; - cart away, we perform this activity by loader and dump truck.
.

Cont…
 Mixed work activity
 Herewe use both equipment and labor-based system. Example; - concert work, we use both
mixer and vibrator and daily labor’s, and in the others machine and other hand took are used
Crew formation and members of a crew
1 Excavation and Earth Work
 Based on BATCOA most of our activities are performed by using
labor based work method and we form a crew for site clearance,
bulk excavation, pit excavation, trench excavation, back fill, e use a
crew of:-
 1 Forman to control those works with different
utility factor
 2 Gang chief to guide the daily labors, and 2
daily labors totally 4 labors, but there productivity is different for
each activity

Cont…
 For cart away surplus excavated materials 1k.m from the site we use
equipment based work method so our crew will be minimum than labor based
system. We form a crew by containing 1 Forman to control the activity, 1
loader operator because from the equipment one is the loader and it need
operator ad to remove the surplus material we use a dump truck so the dump
truck need truck driver so we use 1 truck driver totally we use 3 crew member.
 Form Work
 When we use come to form work we form a crew for different activity
starting from footing pad to floor slab.
 For footing pad we form a crew of 1 Forman with different utility factor
an 1 gang chief, 1 carpenter in order to fix the form work , with 1 helper
an 2 daily labor to give the form work to the carpenter total member of
6 labor
 For grade beam we form a crew by using 1 Forman, 1 Gang chief, 1
carpenter, 1helper, 1D.L, with different productivity with footing pad
total 5 members

Cont..
 For our foundation column we use a crew of form 1
Forman, 1Gangchief, 1 carpenter, 1 helper, 1D.L total 5
members with different productivity to the above.
 Crew formation for elevation column and beams we use
a crew with a form of 1 Forman, 1 carpenter, 1 helper,
1Gang chief and 2 daily labor total 6 member
 Concrete Work
 Here we have different types of concrete work from
lean concrete to C-25 concrete.
 C-5 lean concrete here we use a crew of 1 Forman
1Gang chief, 1Mason, 2daily labor, 1 mixer operator,
total member 6

Cont.…
 C-25 Ground Slab:- based on BATCODA and the current site
and we assume that the area of ground slab is wider and also
there is a guide line that slab is filed up to at least 75% or ¾
of the area per day by considering these we form the crew by
increasing the number of crew. Here we use mixer. So the
mixer needs input and the output of the mixer. Also should
addressed to the mason so by considering this and our total
quantity of work as well as by considering the ”general
formula” in BATCODA we set the crew as follows for the mixer
we need in put =aggregate, sans, cement, water so to move
the sand we need 3 labor at least, for aggregate also we use 3
daily labor and we need 2 masons, 1Forman, 1 gag chief, 3
daily labor, 1 mixer operator for the other mason total crew
member 20 labor

Cont..
C -25 Concrete Under footing pad = here the area of work is
smaller than the slab so we form the crew by considering this as
Forman, 1gang chief, 1 mason, 1 mixer operator , 9 D.L, for input
and output total member is 13 labor
C -25 Concrete for grade beam the length is very long so we use
similar crew formation with the slabs crew formation.
For elevation column = for elevation column we need more crew
b/c the column has height so it is difficult to construct like grade
beam ad slab. So we use 1 Forman, 1 gang chief, 1 mixer
operator, 2 mason, 18 daily labor, 23 labor are needed totally in
the crew.
C -25 Concrete in beam( intermediate and top tie beam ) = we use
more crew to produce more so we use here 1 Forman, 1gangchef,
2 mason, 1mixer operator, 20 D.L, totally 25 members of crew.

Cont.…
 Reinforcement bar = here we form the crew by using
site information’s BATCDA has no anything about
reinforcement.in most site by kilogram 1:75 birr per
K.G and it is difficult to know the daily productivity of
bar work b/c one day the crew may work only cutting
of bar over the day next day the crew may bend the
bar and finally on the third day there for the
productivity is not visible to control.so most sites give
it as a sub contract .

Cont..
 ANALYSIS SHEET FOR DIRECT & INDIRECT COSTS
PROJECT: University Capacity Building         LABOR HOURLY OUTPUT 26 m3/hr    
WORK ITEM: ( 1.41 ) cart away surplus excavated material 1km from the site     EQUIPEMENTOUT PUT : 26 m3/hr    
TOTAL QANTITY OF WORK ITEM: 1m3             RESULT:   60.22 Birr/m3      
                             
material Labor Cost (1:02) Equipment Cost (1:03)  

** Indexed
Cost per Labor by hourly Type of hourlyRent
Type of Material Unit Qty * Rate Unit Trade No. UF wage hourlywage Equipment No. al hourly Cost  
Truck
          driver 1 1 25 25 Truck 1 5.208 5.208  
loader
          operater 1 1 37.5 37.5 loader 1 1200 1200  
          forman 1 0.25 62.5 15.625          
Total (1:-01) 0 Total (1:02) 78.125 Total (1:03) 1205.208  
                             
A= Materials = 0 Birr/m3       B= Manpower Unit Cost 3.00 Birr/m3 C= Equipment Unit Cost 46.35 Birr/m3  
unit cost       Total of (1:02)         Total of (1:03)      
        hourly output:         hourly output:      
        Direct Cost of Work Item = A+B+C =     49.36 Birr/m3      
            Over head cost :   15% 7.40 "      
            Profit Cost:   7% 3.46 "      
            Total :       60.22 Birr/m3      
Remark ___________________________________                          

SAMPLE FROM COST ANALYSIS

UF: UTILIZATION FACTOR    
*: INCLUSIVE OF WASTAGE, TRANSPORTING, HANDLING, ETC.
   
 
**: INCLUSIVE OF BENEFITS, TRAVEL SUBSIDES AND COST OF OVERTIME RELATED TO TARGETED OUTPUT.
 
 
Total Unit Cost :
   
 
 
 
 
 
 
 
 
60.22 Birr/m3
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SHEET    
_______________________
Prepared by
 
 
 
 
 
 
 
 
   
______________________
Checked by
 
 
 
 
 
   
________________________
Approved by
 
 
 
 
 
 
 
 
 ANALYSIS SHEET FOR DIRECT & INDIRECT COSTS
PROJECT: University Capacity Building         LABORHOURLY OUTPUT: 0.4 m3/ hr  
WORK ITEM:( 2.32 ) c-25 concrete for elevation column         EQUIPMENT HOURLY OUT PUT: 0.4 m3/ hr  
TOTAL QUANTITY OF WORK
ITEM:1m3 1m3             RESULT:   5349.75 Birr/m 3
   
                           
Material Cost (1:01) Labor (1:02) Equipment Cost (1:03)
** Indexed Type of
Cost per Labor by hourly hourly Equipmen hourly hourly
Type of Material Unit Qty * Rate Unit Trade No. UF Cost Cost t No. Rental Cost
Cement qt 3.6 675.00 2430.00 Foreman 1 0.25 62.5 15.625 mixer 1 150 150
Sand m3 0.52 750.00 390.00 masson 2 1 31.25 62.5 vibrator 1 62.5 62.5
Gravel (02) m3 0.78 555.00 432.90 D/labour 18 1 12.5 225 tool 8 0.5 4
mix
Water m3 0.03 6.00 0.18 operater 1 1 37.5 37.5        
          G/chief 1 1 18.75 18.75        
Total (1:-01) 3253.08 Total (1:02) 359.38 Total (1:03) 216.5
                           
C=Equipment Unit
A= Materials Unit Cost 3253.08 Birr/m3   B=Manpower Unit Cost 898.44 Br./m3   Cost 541.25 Br./m3
          Total of (1:02)       Total of (1:03)    
          hourly Output       hourly Output    
        Direct Cost of work item = A+B+C =     4692.77 Birr/m3    
            Overhead Cost:   15% 703.92 "    
            Profit Cost:   7% 328.49 "    
            Total :       5349.75 Birr/m3    
Remark
________________________________________________________                      

SAMPLE FROM COST ANALYSIS

UF: UTILIZATION FACTOR           Total unit cost:     5349.75 Birr/m3    
                         
**: INCLUSIVE OF BENEFITS, TRAVEL SUBSIDES AND COST OF OVERTIME RELATED TO TARGETED
OUTPUT.            
                           

SHEET
 
 
 
_______________________

 
Prepared by
 
 

 
 
 
 
 
 
 
______________________

 
Checked by
 
 

 
 
 
 
________________________

 
Approved by
 
 

 
 
 
 
 ANALYSIS SHEET FOR DIRECT & INDIRECT COSTS
PROJECT: University Capacity Building         LABOR HOURLY OUTPUT 0.36 m3/hr    
WORK ITEM: Excavation foundation pits to adepth not exceeding 150cm.     EQUIPEMENTOUT PUT : 0.36 m3/hr    
TOTAL QANTITY OF WORK ITEM: 1m3               RESULT:     204.60 Birr/m3    
                             
Material Cost (1:01) Labor Cost (1:02) Equipment Cost (1:03)  

** Indexed Type of
Cost per Labor by houtly hourly Equipmen hourly hourly
Type of Material Unit Qty * Rate Unit Trade No. UF wage wage t No. Rental Cost  
          Forman 1 0.25 62.5 15.625 Tools 2 0.5 1 
          G.Chief 1 1.00 18.75 18.75          
          D/labour 2 1 12.5 25          
Total (1:-01) 0 Total (1:02) 59.375 Total (1:03) 1 
                             
A=Material =0 Birr   Birr/m3   B= Manpower Unit Cost 164.93 Birr/m3 C= Equipment Unit Cost 2.78 Birr/m3  
unit cost       Total of (1:02)         Total of (1:03)      
        hourlyOutput:         hourly Output:      
        Direct Cost of Work Item = A+B+C =     167.71 Birr/m3      
            Over head cost :   15% 25.16 "      
            Profit Cost:   7% 11.74 "      
            Total :       204.60 Birr/m3      
Remark
_________________________________________________                            
UF: UTILIZATION FACTOR           Total Unit Cost :     204.60 Birr/m3      

 
SAMPLE FROM COST ANALYSIS
*: INCLUSIVE OF WASTAGE, TRANSPORTING, HANDLING, ETC.

   
 
**: INCLUSIVE OF BENEFITS, TRAVEL SUBSIDES AND COST OF OVERTIME RELATED TO TARGETED OUTPUT.
 
 

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

SHEET
  _______________________       ______________________     ________________________      
  Prepared by     Checked by   Approved by    
THANK YOU !
 SECTION -B

GIRUM HILINA…………………………………………………………………………………….…………………...TER 0713/10

2 DAW IT S O LOMON…………………………………………………………………………………………………….TER 1074/10

3 KIYA DIRO ……………………………………………………….…………………………………….……………….TER 1030/10

4 HAMDU MULUNEH……………………………………………………..……………………………………….……TER 1226/10

5 BEREKET ADUGHA……………………………………………………………………..………………...…….…… TER 0201/10

6 ANTENEH HISTKEL……………………………………………………………………………………..………….. TER 0569/10

DEBERE MARKOSUNIVERSITY INSTITUTE OF

TECHNOLOGY SCHOOL OF CIVIL AND WATER
RESOURCE ENGINEERING CONSTRUCTION
TECHNOLOGY AND MANAGEMENT ACCADAMIC
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COST ENGINEERING GROUP PRESENTATION