PROJECT COST RISK MANAGEMENT USING BUILDING INFORMATION MODELLING

Abstract

Due to their similar positive and negative effects on all project participants, cost and time are the two leading indicators of project success in construction. Completing projects within budget is an indicator of efficiency, but there are many unpredictable factors that can arise during the construction process and affect the efficiency. Often, projects fail to keep up with the budgeted costs and planned schedules to meet their objectives. From the planning stage to project completion, numerous known and unknown risks significantly impact construction costs. To address these risks, numerous theories and models have been put forth. However, the consistent cost overrun on most projects demands more work on its resolution. Building information modelling (BIM) is touted as a potential remedy for issues facing the construction sector due to its capabilities in the designing phase, planning and scheduling and enhancement of communication and collaboration among project participants. However, the effect of BIM on cost overrun has not been sufficiently studied so far. This study focuses on project cost risk management using the modern concept of BIM. In doing so, significant risks affecting project cost will be identified, along with the features of BIM that help solve these risks. Based on the feature-factor matrix, the resolution capacity of identified risks due to BIM will be assessed and applied through case studies, and the pre and post-BIM risk levels will be determined through a fuzzy logic model. The implications of this research involve value assessment of BIM in resolving cost-related risks that will help stakeholders achieve project success and promote BIM adoption to its fullest.