Strategies to Improve Conceptual Cost Estimates Accuracy of Flyover Development in the Provincial Government of DKI Jakarta

Putika Yussi, Yusuf Latief

Abstract


This study identifies the dominant factors in the conceptual cost estimate process of flyover development in the Provincial Government of DKI Jakarta that affect accuracy, based on the relationship model between the conceptual cost estimation process of flyover development in the Provincial Government of DKI Jakarta with the accuracy. Furthermore, this study also develops strategies to improve the accuracy based on the dominant factors. Two parts of the method are used in this study. The first method is to obtain the dominant factors in estimating the conceptual cost of flyover development in the DKI Jakarta Provincial Government, which affects accuracy using the SEM-PLS method, which involved 151 respondents. Second, the method to obtain strategies to improve accuracy based on these dominant factors, using the gap analysis. The result shows that four dominant factors affect accuracy: information quality, project definition, cost information, and project characteristics. Improving strategies are obtained based on those identified dominant factors. The finding of this study suggests that these strategies can be compiled into the guideline of the conceptual cost estimate process, which can be a tool to assist relevant agency personnel in carrying out the stages in the process of conceptual cost estimation of flyover development.

Full Text:

PDF

References


AACE International. (2019). Cost engineering terminology. https://web.aacei.org/docs/default-source/rps/10s-90.pdf?sfvrsn=58

AACE International. (2020). Cost estimate classification system-As applied in engineering, procurement, and construction for the building and general construction industries. https://web.aacei.org/docs/default-source/toc/toc_56r-08.pdf?sfvrsn=8

AASHTO. (2013). Practical guide to cost estimating. https://id1lib.org/book/2719916/86f773?id=2719916&secret=86f773

Anderson, S., Molenaar, K., & Schexnayder, C. (2006). Final report for NCHRP report 574: Guidance for Cost Estimation and Management for Highway Projects During Planning, Programming, and Preconstruction. Transportation Research Board of The National Academies. https://santafempo.org/wp-content/uploads/2010/01/nchrp_rpt_574.pdf

Arif, F., Lodi, S., & Azhar, N. (2015). Factors influencing accuracy of construction project cost estimates in Pakistan : Perception and reality. International Journal of Construction Management, 15(1), 59–70. https://doi.org/10.1080/15623599.2015.1012141

Asal, E. M. (2014). Factors affecting building construction projects cost estimating [Published Master's Thesis, Arab Academy for Science, Technology and Maritime Transport (AASTMT)]. http://www.aast.edu/en/search/google.php?q=asal&status=web

Azman, M. A. (2012). The accuracy of preliminary cost estimates in Public Works Department (PWD) of Peninsula Malaysia [Published Master's Thesis, University of Malaya, Kuala Lumpur]. https://doi.org/10.13140/RG.2.1.3153.3606

Ballard, G., & Pennanen, A. (2013, July 31- Aug 2). Conceptual estimating and target costing. 21st Annual Conference of the International Group for Lean Construction (pp. 217- 226), Fortaleza, Brazil. . https://iglc.net/Papers/Details/872

Doyle, A., & Hughes, W. (2000, September 6-8). The influence of project complexity on estimating accuracy. 16th Annual ARCOM Conference (Vol. 2, pp. 623–634). Association of Researchers in Construction Management, Glasgow Caledonian University, United Kingdom. http://www.arcom.ac.uk/-docs/proceedings/ar2000-623-634_Doyle_and_Hughes.pdf

Elbeltagi, E., Hosny, O., Abdel-Razek, R., & El-Fitory, A. (2014). Conceptual cost estimate of Libyan highway projects using artificial neural network. Journal of Engineering Research and Applications, 4(8), 56–66. https://www.ijera.com/papers/Vol4_issue8/Version 5/I48055666.pdf

Fayek, A. R., Ruben, J., & Flores, R. (2010). Application of fuzzy logic to quality assessment of infrastructure projects at conceptual cost estimating stage. Canadian Journal of Civil Engineering, 37(8), 1137–1147. https://doi.org/10.1139/L10-036

Gardner, B. J. (2015). Applying artificial neural networks to top-down construction cost estimating of highway projects at the conceptual stage [Master's Thesis, IOWA State University]. ProQuest Dissertations and Theses.

Hair, J. F., Ringle, C. M., & Sarstedt, M. (2011). PLS-SEM : Indeed a silver bullet. Journal of Marketing Theory and Practice, 19(2), 139–151. https://doi.org/10.2753/MTP1069-6679190202

Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2014). Multivariate data analysis (7th ed.). Pearson. https://www.pearson.com/uk/educators/higher-education-educators/program/Hair-Multivariate-Data-Analysis-Pearson-New-International-Edition-7th-Edition/PGM1052102.html

Hatamleh, M. T., Hiyassat, M., Sweis, G. J., & Sweis, R. J. (2018). Factors affecting the accuracy of cost estimate : Case of Jordan Enginee. Engineering Construction & Architectural Management, 25(1), 113–131. https://doi.org/10.1108/ECAM-10-2016-0232

Honn An, S., Cho, H., & Kyun Lee, U. (2011). Reliability assessment of conceptual cost estimates for building. International Journal of Civil Engineering, 9(1), 9–16. http://ijce.iust.ac.ir/article-1-463-en.pdf

Khemani, R. ., & Shapiro, D. M. (1999). Glossary of industrial organisation economics and competition law. Organisation for Economic Co-operation and Development. https://www.oecd.org/regreform/sectors/2376087.pdf

Kuchta, D., & Chojnacka, J. M. (2020). An approach to increase the sustainability of projects and their outcomes in public Sector through improving project definition. Sustainability, 12(12), 1–25. https://doi.org/10.3390/su12124804

Kula, A. N., Levynna, S., Verronica, H., & Lapian, J. (2020). Antecedents and consequences of entrepreneurial leadership behaviour in Southeast Minahasa district Government. Proceeding of the International Journal of Applied Business and International Management (IJABIM) Vol 6 No 1 (pp.110–122). AIBPM. http://www.ejournal.aibpm.org/index.php/IJABIM

Lai, Y., Wang, W., & Wang, H. (2008). AHP- and simulation-based budget determination procedure for public building construction projects. Automation in Construction, 17, 623–632. https://doi.org/10.1016/j.autcon.2007.10.007

Latief, Y., Kusumaningtyas, G. R., & Supriadi, L. S. R. (2018). Work breakdown structure (WBS ) dictionary development for the construction works of flyover projects Work breakdown structure ( WBS ) dictionary development for the construction works of flyover projects. The 2nd International Conference on Eco Engineering Development 2018 (pp. 1 - 8). IOP. https://doi.org/10.1088/1755-1315/195/1/012003

Liu, L., & Zhu, K. (2007). Improving cost estimates of construction projects using phased cost factors. Journal of Construction Engineering and Management, 133(1), 91–95. https://doi.org/10.1061/(ASCE)0733-9364(2007)133:1(91)

Mishra, S. P., & Mohanty, B. (2020). Approaches to strategy formulations : A content analysis of definitions of strategy. Journal of Management & Organization, 1–28. https://doi.org/10.1017/jmo.2019.86

Mohyi, A. (2020). The effect of emotional intelligence , organizational commitment and organizational citizenship behavior on employee performance. Proceedings of the 8th International Conference of Project Management (ICPM) Malang 2020 (pp. 84–95). AIBPM. http://ejournal.aibpm.org/index.php/JICP

Muchsam, Y., Falahah, & Saputro, G. I. (2011, Juni 17-18). Penerapan gap analysis pada pengembangan sistem pendukung keputusan penilaian kinerja karyawan (Studi kasus PT. XYZ). Seminar Nasional Aplikasi Teknologi Infromasi (SNATI 2011) (pp. 94–100), Yogyakarta. https://journal.uii.ac.id/Snati/article/view/2179

Odeck, J. (2004). Cost overruns in road construction — What are their sizes and determinants ? Transport Policy, 11, 43–53. https://doi.org/10.1016/S0967-070X(03)00017-9

Pasco, T., & Aibinu Ayodeji, A. (2008). Project factors influencing the accuracy of early stage estimates. Proceedings from International Conference on Building Education and Research (BEAR) (pp. 102–112). University of Salford, UK. https://www.irbnet.de/daten/iconda/CIB11641.pdf

Pusat Bahasa Departemen Pendidikan Nasional. (2008). Kamus Bahasa Indonesia. Pusat Bahasa Departemen Pendidikan Nasional. https://bsd.pendidikan.id/data/umum/Kamus_Bahasa_Indonesia_2008.pdf

Queensland Government. (2017). Project cost estimating manual. https://www.tmr.qld.gov.au/business-industry/Technical-standards-publications/Project-cost-estimating-manual.aspx

Serpell, A. F. (2004). Towards a knowledge-based assessment of conceptual cost estimates. Building Research and Information, 32(2), 157–164. https://doi.org/10.1080/0961321032000172373

Sinaga, A. T. I., Lumbanraha, P., Sadalia, I., & Silalahi, A. S. (2020). Transformational leadership, psychological empowerment, and innovative work behavior of frontline employees in the public sectors : Empirical evidence from North Sumatera, Indonesia. Proceedings of the 8th International Conference of Project Management (ICPM) Malang 2020 (pp. 1–9). AIBPM. http://ejournal.aibpm.org/index.php/JICP

Trost, S. M., & Oberlender, G. D. (2001). Predicting accuracy of early cost estimates based on estimate quality. Journal of Construction Engineering and Management, 127(3), 173–182. https://doi.org/10.1061/(asce)0733-9364(2001)127:3(173)

Washington State Department of Transportation (WSDOT). (2015). Cost estimating manual for projects. https://www.wsdot.wa.gov/publications/fulltext/CEVP/EstimatingGuidelines.pdf

Washington State Department of Transportation (WSDOT). (2020). Cost estimating manual for projects. https://www.wsdot.wa.gov/publications/manuals/fulltext/M3034/EstimatingGuidelines.pdf

Zhao, L., Wang, B., Mbachu, J., & Liu, Z. (2019). New Zealand building project cost and its influential factors: A structural equation modelling approach. Advances in Civil Engineering, 2019, 1–15. https://doi.org/10.1155/2019/1362730




DOI: https://doi.org/10.32535/jicp.v4i1.1139

Refbacks

  • There are currently no refbacks.


Copyright (c) 2021 Putika Yussi, Yusuf Latief

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.

Flag Counter

Published by:

AIBPM Publisher

Editorial Office:

JL. Kahuripan No. 9 Hotel Sahid Montana, Malang, Indonesia
Phone:+62 341 366222
Email: journal.jicp@gmail.com
Website:http://ejournal.aibpmjournals.com/index.php/JICP

Supported by: Association of International Business & Professional Management

If you are interested to get the journal subscription you can contact us at admin@aibpm.org.

ISSN 2622-0989 (Print)
ISSN 2621-993X (Online)

DOI:Prefix 10.32535 by CrossREF

Journal of International Conference Proceedings (JICP) INDEXED:

 

In Process


This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.