PROSMD14 Assess, plan and control capital costs for development

Transcription

1 Assess, plan and control capital costs for development Overview This standard has three elements: 1 assess ad advise on project cost strategies 2 plan and control proposed costs 3 prepare estimates of proposed capital costs This standard is about the task of assessing and advising on project costs and strategies for controlling capital development costs. There will be a wide range of cost and development factors to be taken into account including the financial interests of the primary stakeholders. This standard is relevant to those with responsibility at senior level for assessing and advising on the capital costs of developing surface mineral deposits. Also on strategies that ensure that development costs are kept in control. 1

2 Performance criteria You must be able to: You must be able to: You must be able to: Assess and advise on project cost strategies P1 identify and agree assumptions about cost elements, alternative designs, construction, services, financing and use options for the project with stakeholders P2 select and agree appropriate methods for assessing the factors relevant to the projected cost options for the project with stakeholders P3 apply standard rules for the selected method of estimating and assessing options to relevant design data P4 calculate estimates for cost elements and present them clearly P5 discuss the cost implications of adopting alternative design, construction, services, financing and use strategies and agree them with stakeholders P6 select the most viable options and present them clearly and accurately Plan and control proposed costs P7 confirm and agree priorities and cost requirements with stakeholders P8 select reliable cost data which correlate with the function, size and quality of the proposed project P9 apply the selected cost data and realistic interpolations to produce an accurate cost-estimate adjusted to suit the project context P10 obtain realistic estimates for specialist work and incorporate them in the cost analysis P11 develop and present an accurate statement of costs, with status qualifications P12 advise on the interpretation and use of the cost plan for controlling proposed capital costs during design development P13 plan and implement accurate element cost checks at agreed stages of design development, using standard rules for estimating approximate quantities, applied to available design data P14 compare estimated element costs against the cost plan and recommend appropriate corrective action to the client and other stakeholders Prepare estimates of proposed capital costs P15 identify and agree with stakeholders the factors which will affect the capital costing of the project P16 select and agree, with stakeholders a method for estimating the capital costs P17 apply the selected method to produce accurate calculations which are interpolated realistically and adjusted to suit the project context P18 choose reliable sources of cost data and apply the cost data to the calculations P19 produce a realistic forecast of the net and total capital costs, and present it to stakeholders P20 give people clear and accurate advice on how to interpret the forecast 2

3 Knowledge and understanding Assess and advise on project cost strategies You need to know and understand: K1 K2 K3 K4 K5 K6 K7 K8 K9 possible assumptions about cost elements, alternative designs, construction, services, financing and use options for projects. how to discuss the cost implications of adopting alternative design, construction, services, financing and use strategies with stakeholders. how to agree assumptions about cost elements, alternative designs, construction, services, financing and use options for the project with stakeholders. how to agree design, construction, services, financing and use strategies with stakeholders. how to select appropriate methods for assessing the factors which are relevant to the projected cost options for the project and agree them with stakeholders. how to apply standard rules for the selected method of estimating and assessing options to relevant design data. how to calculate and present estimates for cost elements. how to present options. how to select the most viable options. You need to know and understand: Plan and control proposed costs K10 how to advise on the interpretation and use of the cost plan for controlling proposed costs during design development. K11 how to confirm cost requirements with the client and other stakeholders. K12 how and why you agree cost requirements with the client and other stakeholders. K13 how and why you develop an accurate cost plan statement of costs, with status qualifications. K14 how to compare element cost estimates against the cost plan and recommend appropriate corrective action to the client and other stakeholders if element cost estimates differ to the cost plan. K15 how to calculate realistic interpolations and adjustments to suit the project context. K16 how to select reliable sources of elemental cost data. K17 how to implement accurate element cost checks at agreed stages of design development. K18 how and why you plan accurate element cost checks at agreed stages of design development. K19 how to apply the selected cost data to identified elements to produce an accurate cost estimate. K20 how to obtain estimates for specialist work and incorporate them into the cost analysis. 3

4 K21 K22 how to estimate the relationship between area and cost accurately from the existing design information. how to present an accurate cost plan statement of capital costs, with status qualifications. You need to know and understand: prepare estimates of proposed capital costs K23 the factors which could affect the capital costing of projects. K24 how and why you agree with stakeholders the factors which will affect the capital costing of the project. K25 how and why you select and agree with stakeholders a method for estimating the capital costs. K26 how to apply the selected method to produce accurate calculations. K27 how and why you produce a realistic forecast of the net and total capital costs. K28 how to apply the cost data to the calculations. K29 how and why you choose sources of cost data. K30 how to present a forecast of the net and total capital costs to the client and other stakeholders. K31 how and why you give people advice on how to interpret the forecast. 4

5 Additional Information Scope/range Assess and advise on project cost strategies Stakeholders: 1 national and local government 2 government agencies 3 consultancies 4 internal Methods: 1 cost benefit analysis 2 life cycle costing 3 value management Factors: 1 quality 2 scheduling 3 whole-life costs 4 residual costs 5 scale 6 location 7 use 8 projected planned life 9 land costs 10 capital construction costs 11 health and safety costs 12 capital financing costs 13 maintenance costs 14 energy costs 15 costs in use 16 income from rentals 17 residual value of site 18 residual value of structures 19 residual value of salvageable materials and equipment 20 costs of returning site to agreed after use 21 project organisation costs 22 sustainability 23 value management 24 risk management 25 residual value of salvageable materials and equipment 26 costs of returning site to agreed after use 27 project organisation costs 28 sustainability 29 value management 30 risk management 5

6 Plan and control proposed costs Cost requirements: 1 cost limit 2 cost range 3 time limits 4 programme Stakeholders: 1 potential contractors 2 potential subcontractors and suppliers 3 potential investors 4 partners in development programme 5 existing funding agencies Sources of elemental cost data: 1 building cost information service 2 published cost analyses and indices 3 databases Cost estimate: 1 unit 2 superficial 3 element cost analysis 4 approximate quantities Presenting: 1 orally 2 in writing 3 using graphics 4 electronically Prepare estimates of proposed capital costs Stakeholders: 1 the client's financial advisers 2 potential contractors 3 potential subcontractors and suppliers 4 potential investors 5 partners in the development programme 6 funding agencies Methods for estimating: 1 unit 2 superficial 3 element cost analysis 6

7 4 approximate quantities 5 unit 6 superficial 7 elemental cost analysis 8 approximate quantities Method: 1 calculating 2 computer generated Sources of cost data: 1 building cost information service 2 published cost analyses and indices 3 databases 4 estimates / quotations Presenting: 1 orally 2 in writing 3 graphically 4 electronically 7

8 Developed by Proskills Version number 1 Date approved 30/06/2007 Indicative review date Validity Status Originating organisation Original URN Relevant occupations Suite Key words 29/06/2013 Current Original Proskills SMD14 Coal Mining Operatives; Managers in Mining; Quarry Workers and Related Operatives Surface Mineral Development health; safety; environment; management; extractive; mineral; process; quarry; quarries; development; project 8