The RICS formal cost estimating and cost planning stages

This article is all about ‘The RICS formal cost estimating and cost planning stages in context with the RIBA Plan of Work and OGC Gateways (adapted from the RIBA Outline Plan of Work 2007).

Introduction

It is best practice for good Architects and design teams to 1) agree a brief with the Client and then 2) prepare outline designs and eventually detailed designs.

At the same time, the Client needs accurate cost advice. So when the Client is agreeing a brief with the Architect he or she will also want to know a budget construction cost.

And then while the Architect develops detailed construction drawings there will also be a need for detailed construction costs.

At every stage of the design process there must be a corresponding construction cost budget developed parallel to or in tandem with the design stages.

RIBA Work Stages

These are the RIBA work stages:

Preparation

A. Appraisal

B. Design Brief

Design

C. Concept

D. Design Development

E. Technical Design

Pre- construction

F. Production Information

G. Tender documentation

H. Tender action

Construction

J. Mobilisation

K. Construction to practical completion

Use

L. Post Practical Completion

RICS Cost estimating, elemental cost planning and tender document preparation stages

The RICS stages are design to run parallel to or in tandem with the design stages.

These are the RICS stages and we will reference which RIBA stages they run in tandem with.

Order of cost estimates

(as required to set authorised budget).

This cost estimate is based on the RIBA ‘preparation stage’. The Architect carries out the appraisal with the Client and agrees a clear brief with the Client.

Now the quantity surveyor must prepare an order of cost estimate which will give a maximum cost for the construction.

This cost allows the Client to make a financial decision whether to proceed or not.

Cost plans

Once the Client approves the design brief the Architect can create a concept design. Then the Quantity surveyor can create a Formal cost plan 1.

Then the Architect can develop the design and the quantity surveyor can create the Formal cost plan 2.

Once the Architect has created the technical design the quantity surveyor can create the Formal cost plan 3.

At this point the quantity surveyor can create a Pre-tender estimate which predicts that the final average tender return will be.

Pricing documents

Once the Client has given approval, the Architect can complete and print all of their drawings and specification and the Quantity surveyor can complete their pricing document.

This pricing document will be one of the following:

• Bills of quantities
• Quantified schedule of works
• Quantified work schedules

Post tender estimate

• Post tender estimate