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Guide to Cost PrediCtability in ConstruCtion

Guide to Cost PrediCtability in ConstruCtion :an analysis of issues affeCtinG the aCCuraCy of ConstruCtion Cost estimatesPrepared by the Joint Federal Government / Industry Cost PrediCtability Taskforcenovember 2012 Guide to Cost PrediCtability in ConstruCtion : An Analysis of Issues Affecting the Accuracy of ConstruCtion Cost EstimatesNovember 2012 Table of ContentsNote from the Taskforce Chairman ..1 Executive Summary ..2 Taskforce Participation ..3 Introduction to the Cost PrediCtability Issue ..4 Issues and Considerations in Cost PrediCtability ..6 Cost Estimate Variance Matrix ..9 Recommendations for Improved Cost PrediCtability .

the desired, or required, degree of cost predictability. The following recommendations should be considered to improve the cost predictability between the final pre-tender estimate and actual bid prices: Before Tender • include sufficient contingency to address market volatility, timing of construction, and other exclusions in the estimate;

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