Cost Reduction Techniques on MEP Projects
For a construction project main objective is to complete the work on time and achieve the desired profit by giving the required quality to the customer. To complete the work on time, planning and scheduling have the key roles. Reducing the cost of project is done by a continuous process, the cost-dependent factors should be identified and various methods should be implemented to get the cost reduced. In this paper construction, cost reduction methods are analysed and the implementation of such methods in MEP (Mechanical electrical pluming) projects are discussed. Construction work and MEP work will be tedious and losses due to improper planning of project, early allocation of materials, unskilled labours and shortage, price fluctuation of materials, delay in supply of materials, rework and wastage of materials, wrong budgeting, weather deflections, unorganised management and control, coordination problems of service and civil works, etc. All these obstructions will result in delay of projects and cost overrun. Time and cost optimisation can be done by various techniques which is major for a project for its successful completion. This paper reviewed best cost optimisation methods and summarise the suitable method for Indian construction industry. This study mainly discussed on different techniques to reduce the cost in MEP projects and difficulty facing to implement this techniques and its betterment of execution.
KeywordsCost reduction Lean MEP Value engineering Material management
- 2.Amsden, A. H., & Kang, J.-Y. (1995). Learning to be lean in an emerging economy: South Korea 1 the case of Production (pp. 1–19).Google Scholar
- 10.Judeh, M. (2011). An examination of the effect of employee involvement on teamwork. International Journal of Business and Management, 6(9), 202–209.Google Scholar
- 12.Mahadik, U. A. (2015). Value engineering for cost reduction and sustainability in construction projects. Journal Of Mechanical and Civil Engineering, 95–97.Google Scholar
- 13.Meeker, D., & Mcwilliams, F. J. (2003). Structures cost reduction: Value engineering by the numbers. In The 18th Annual International Conference on DFMA, pp. 1–11. Retrieved from http://web.mit.edu/meeker/Public/VE_Triage_Paper_Final.pdf.
- 14.Pate, K. V. (2011). Construction materials management on project sites. In National Conference on Recent Trends in Engineering & Technology.Google Scholar
- 15.Pagare, M., Yadav, S. K., Mahale, R., Pawar, M., Patil, P., & Bhadane, D. (2016). A study on inventory control and management techniques. International Journal of Science Technology and Management 2, 5(1), 461–468.Google Scholar
- 16.Tunji, T. (2013). The impact of budgeting and budgetary control on the performance of manufacturing company in Nigeria. Journal of Business Management & Social Sciences Research, 2(12), 2319–5614. Retrieved from http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.403.9083&rep=rep1&type=pdf.
- 18.Mali, P. A., Lokhande, A. Y., Kadam, S. K., Shirole, S. B., More, P. N., & Velhal, A. J. (2017). Time and cost optimization by Msp software. International Journal of Engineering Sciences & Research Technology, 400–407.Google Scholar
- 19.Attar, A. C. (2015). Optimize cost of construction projects using opticon (erp system) software—A case study (Vol. 8354, No. 4, pp. 1653–1660).Google Scholar
- 20.Thirumalesha, B., Akki, R. V., & Bavi, B. (2017). Resource optimization in construction of a residential apartment using primavera P-6 Software. International Research Journal of Engineering and Technology (IRJET), 4(7), 2672–2676. Retrieved from https://irjet.net/archives/V4/i7/IRJET-V4I7543.pdf.
- 21.Li, S. (2012). A new approach to improve functionality for cost reduction in construction project. In Proceedings of the 2010 IEEE IEEM (pp. 1985–1989).Google Scholar
- 24.Conte, A. S. I., & Gransberg, D. (2001). Lean construction: From theory to practice. AACE Int Trans, 10, 1.Google Scholar
- 28.Koskela, L. (1999). Management of production in construction: A theoretical view. In: Proceedings IGLC–7, University of California.Google Scholar
- 29.Lamming, R. (1993). Beyond partnership: Strategies for innovation and lean supply. Hemel Hempsted: Prentice Hall International (UK).Google Scholar
- 31.Koskela, L. (1999). Management of production in construction: A theoretical view. In Proceedings IGLC–7, University of California, Berkeley.Google Scholar
- 32.Ballard, G. (2000). The last planner system of production control (Ph.D. Thesis, University of Birmingham, UK).Google Scholar
- 35.Shmanske, S. (2003). JIT and the complementarily of buffers and lot size. American Business Review, 21(1), 100–106.Google Scholar
- 38.Womack, J. P., Jones, D. T., & Roos, D. (1991). The machine that changed the world: The story of Lean production. 1st Harper Perennial ed. New York: Harper Collins.Google Scholar
- 40.Mader, R. P. (2003). Last planner process aids construction. Contractor, 50(3), 5.Google Scholar
- 42.Koskela, L., & Huovila, P. (1997). On foundations of concurrent Engineering. In C. Anumba & N. Evbuomwan (Eds.), Concurrent engineering in construction. CEC97, 3–4 July. The Institution of Structural Engineers, London.Google Scholar
- 43.Bechdol, P. (1995). Re-engineering the business of construction. Construction Business Review, May/June, 40–42.Google Scholar
- 44.Asil, S. M. N. P., Ramzanpour, E., Sa’adat, S. S. S. (2012). A survey on the application and role of value engineering in Pars Simin chemical manufacturing company (the manufacturing unit of Pars Simin white plastic paints). International Research Journal of Applied and Basic Sciences, 3(9), 1935–1945.Google Scholar