Published: Građevinar 57 (2005) 6
Paper type: Original scientific paper
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Process-based calculation of construction costs and risk assessment
Abstract
One of possible procedures for the "process-based" calculation of project costs and for risk assessment in calculating price of construction work, is described. Costs broken down to individual processes are used to estimate possible risk-related expenditures, i.e. every type of risk is attributed to every type of cost The quantified influences of risk are simulated and the price range required to cover the risk is defined. The risk coverage decision is crucial for the final evaluation of cost in estimating the price of construction projects
Keywordsrisk management, estimating costs during price calculation, process-based calculation of construction work, risk assessment, project management