MODULE 1 : Estimation
Work order
Work Plan
Preperation of approximate estimate
Administrative approval
Detailed estimate
Technical Sanction
Draft copy of Tender
Tender
Types of Estimates
Preliminary /approximate/rough Estimate
• It is also called an abstract cost estimate or approximate cost estimate
or budget estimate.
• This estimate is generally prepared in initial stages to know the
approximate cost of the project.
• By this estimate, the competent sanctioning authority can decide the
financial position and policy for the administration section.
• It is prepared with reference to the cost of similar type projects in a
practical manner.
• The approximate cost of each important item of work is displayed
individually to know the necessity and utility of each item of work.
• The items of work include the cost of lands, cost of roads,
electrification, water supply costs, cost of each building, etc.
Detailed Estimate
• It is prepared when competent administrative authority approved the
preliminary estimates.
• This is very accurate type of estimate.
• Quantities of items of work are measured and the cost of each item of
work is calculated separately.
• The rates of different items are provided according to the current
workable rates and total estimated cost is calculated.
• 3 to 5 % of estimated cost is added to this for contingencies as
miscellaneous expenditure.
Cont….
The detailed Estimate should consist of following details and
documents.
• Report
• General Specifications
• Detailed Specifications
• Drawings/plans – layout plans, elevation, sectional views, detailed
drawings etc.
• Designs and calculations – In case of buildings design of foundations,
beams, slab etc.
• Schedule of rates
Plinth Area Estimate
• Plinth area cost estimate is prepared on the basis of plinth area of
building which is the area covered by external dimensions of building
at the floor level and plinth area rate of building which is the cost of
similar building with specifications in that locality.
• Plinth area estimate is obtained by multiplying plinth area of building
with plinth area rate.
• For example if we require plinth area estimate of 100 sq.m in a
particular locality and plinth area rate of a building in same locality is
2000 per sq.m then plinth area estimate is 100 X 2000 = 200000.
• Open areas, courtyards, etc. are not included in the plinth area.
• If the building is multi-storied, the plinth area estimate is prepared
separately for each floor level.
Cube Rate Estimate
• Cube rate cost estimate of a building is obtained by multiplying plinth
area with the height of building.
• Height of building should be considered from floor level to the top of
the roof level.
• It is more suitable for multi storied buildings.
• This method of estimation is accurate than plinth area method.
• The rate per cubic meter is taken into consideration based on the costs
of similar type of buildings situated in that location.
• Foundation, plinth and parapet above the roof level are not considered
in this type of estimate.
Cont…..
Unit cost (or) service unit method:
➢ The unit method of estimating is the simplest and quickest method.
➢ In this method, the quantity surveyor counts the number of units which are going to be
accommodated in a building, for example the number of occupants or main furniture
objects used by an individual.
➢ The number is then multiplied by the cost per unit to get the total estimated cost of the
project.
Typical bay method:
➢ This method is useful and is generally followed in case of building having several bays.
➢ The cost of the one class room is worked out and then multiplied by the number of bays
in that building.
➢ The extra cost of the end walls and difference in framing. If there is any, should be
made, so as to arrive at the correct cost.
Approximate Quantity Method
Estimate
• The total wall length of the structure is measured and this length is
multiplied by the rate per running meter which gives the cost of the
building.
• The rate per running meter is calculated separately for the foundation
and superstructure.
• In case of foundation, rate per running meter is decided by considering
quantities such as excavation cost, brick work cost up to plinth.
• Incase of superstructure quantities like brickwork for wall, wood works,
floor finishing etc. are considered for deciding rate per running meter.
Revised Cost Estimate
• It is a detailed estimate and it is prepared when the original
sanctioned estimate value is exceeded by 5% or more.
• The increase may be due to sudden increase in cost of materials, cost
of transportation etc.
• The reason behind the revision of estimate should be mentioned on
the last page of revised estimate.
Supplementary Estimate
• It is a detailed estimate and it is prepared freshly when there is a
requirement of additional works during the progress of original work.
• The estimate sheet should consists of cost of original estimate as well
as the total cost of work including supplementary cost of work for
which sanction is required.
Annual Repair Estimate
• It is also called as annual maintenance estimate which is prepared to
know the maintenance costs of the building which will keep the
structure in safe condition.
• Whitewashing, painting, minor repairs, etc. are taken into
consideration while preparing annual repair estimate for a building.
Factors considered during the
preparation of a detailed Estimate
• Quantity of materials
• Availability of materials
• Transportation of materials
• Location of site
• Labour charges
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