Contract and Estimating

Chapter 6

Material Cost

Material cost such a brick, roof, tile, glass, iron, cement and sand.
Estimated price depends on:
i. The original cost of the material
ii. Transportation cost
iii. Storage cost
iv. Wastage cost

Labour Cost

Labour cost is a fee or wages to the workers after work has been completed. In the
construction industry, workers are divided into two classes:
i. Skilled worker
Workers who are skilled in their own field such as bar bender, carpenter and
bricklayer.
ii. General worker
Workers who carry out general work such as transporting,dumping and clearing of
site.

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Chapter 6

Types of labour

Craftsman
Carpenter, blacksmith, bricklayer, craftsman plaster, plumber and others
Semi-skilled Labour
Craftsman’s assistant
Labourer
Craftsman or semi-skilled labour assistant
Head
Somebody which lead a group of craftsman, semi-skilled labour and labourer.

Plant and Equipment

Contractor can purchase or hire plant and equipment as follows;
i. Non-machinery plant and equipment such as scaffolding, ladder, wheelbarrow,
pails and others.
ii. Machinery plant and equipment such as lorry, bulldozer, concrete mixer, concrete
vibrator equipment and others.

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Chapter 6

Overhead/operating
cost and profit

Overhead cost and profit:
Percentage of materials, labour, plant and equipment costs and others.
Include management/operation cost:

Electricity, water and telephone bills related to office and workshop operations.
Cost of office and workshop furniture and purchase of stationery.
Allowances for company’s board of directors.
Salary of management personnel
SOCSO
office rental and others.

Page 51

Chapter 6

Built Up Cost for
Excavation Work

They are two ways of conducting excavation work ;
i. Manual excavation work

Using hand equipments such as hoe and shove.
Suitable for small work and limited working area.
ii. Excavation work using machinery
Using machineries such as tractor, bulldozer, backhoe and excavator.
Suitable for large excavation work.
Calculation should include:
Excavation
Transporting and dumping of the excavated soil
Backfilling and compacting
Constructing temporary trench support on the sides of excavated trench if
necessary.
excavation Unit : m3 (>100mm), m2 for topsoil (<100mm)

Page 52

Chapter 6

Built Up Cost for
Excavation Work

Table 6.0 : Increasing Volume

Table 6.1 : labour constant

Page 53

Chapter 6

Built Up Cost for
Excavation Work

Manual excavation Work ( 1m3)
Solution:
STEP 1: Labour cost
STEP 2: Overhead cost
STEP 3: Price rate for 1 m3
Excavation Work by machine ( 1m3)
Solution:
STEP 1: Machinery cost
STEP 2: Labour Cost
STEP 3: Oil cost
STEP 4: Production capability
STEP 5: Overhead cost and profit
STEP 6: Price rate for 1 m3

Page 54

Chapter 6

Built Up Cost for
Concreting Work

Two ways of mixing :
1. Manual concreting work

Using light equipment such as hoe, shovel and pail.
Suitable for small quantity.
2. Mixing concrete using machinery
Using special machine (diesel engine concrete mixer)
Suitable for large scale work.

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Chapter 6

Built Up Cost for
Concreting Work

Calculation should include:
Material Price

Cement

Sand

Aggregate.

Shrinkage and Wastage
Shrinkage : Volume change.
The volume of concrete reduces when the concrete mixes with water.
Most of the concrete will waste during mixing, removing and pouring concrete.
50 % increment due to shrinkage
Page 56

Chapter 6

Built Up Cost for
Concreting Work

Manual Concreting Work ( 1m3)
Solution:

STEP 1: Material cost
STEP 2: Labour cost
STEP 3: Total cost(material + labour)
STEP 4: Overhead cost
STEP 5: Cost for 1m3

By Machine Concreting Work ( 1m3
Solution:

STEP 1: Material cost
STEP 2 : Capital cost(purchase) / rental cost(Hire)
STEP 3: Operating cost-labour cost
STEP 4: Oil cost
STEP 5: Daily machinery cost( labour+fuel+capital cost)
STEP 6: Production cost
STEP 7: Overhead cost
STEP 8: Cost for 1m3

Page 57

Chapter 6

Built Up Cost for
Brick Work

Brickwork is calculated based on square metre(m2) .
The unit price per square metre of brickwork is calculated based on the following:
- Materials:

Brick

Mortar

-Labour costs
- Overhead cost and profit

Page 58

Chapter 6

Built Up Cost for
reinforcement Work

Reinforcement work usually involves : Cutting, bending and placing in the
workplace.
Calculation should include:
1. Labour cost - skilled and labourer
2. Material cost:
* Depends on the type and size of the reinforcement
* Types:

- Mild steel-Link/stirrup (R )
- High Tensile Steel-main reinforcement( Y/T)
* Wastage : 5%

Page 59

Chapter 6

Built Up Cost for
reinforcement Work

The range of diameter Reinforcement
Types:
Mild steel-Link/stirrup (R )
High Tensile Steel-main reinforcement( Y/T)

Table 6.2: Range of diameter Reinforcement

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Chapter 6

Built Up Cost for
reinforcement Work

Hour of labour constant refer to 50kg reinforcement

Table 6.3 : Labour Constant

Reinforcement Work ( 1kg)
Solution :

STEP 1: Material cost (50KG)
STEP 2: Labour cost
STEP 3: Total cost(material + labour)
STEP 4: Overhead cost
STEP 5: Cost for 1kg reinforcement

Page 61

Chapter 6

TUTORIAL

Answer All Question

QUESTION 1
Calculate cost of brickwork ,given price of 1 unit of brick is RM0.65
including operating and transporting costs.

Page 62

Chapter 6

TUTORIAL

Answer All Question

QUESTION 2
Based on the data below, build up cost 1m3 concrete of ground beam
work manually. Mixing, transporting, casting and compacting into the
formwok.

Page 63

Chapter 6

TUTORIAL

Answer All Question

QUESTION 3
Calculate the price rates of 1 kg reinforcement works by using the data
given.

Reinforcement (R10)/ tonne RM 2850.00
Skilled labour/day RM 65.00
Labour /day RM 35.00
Cutting and bending 50 kg bar 2.15 hour
Lifting and fixing 50kg bar 2.10 hour
Wastage 5%
1 day 8 hour
Overhead cost and profit 20%

Page 64

Chapter 7

CHAPTER 7

QUANTITY CLO4: Perform efficient
MEASUREMENT
management of time and resources

through quantity measurement and

build-up rate in accordance with

Public Work Department Practice.

CLO2 : Estimate the cost of PLO11: Demonstrate knowledge and
construction project by using understanding of engineering
preliminary estimating method, management principles and apply
build-up rate method and quantity these to one’s own work, as a
measurement member or leader in a technical
team and to manage projects in
PLO2: Identify and analyze well- multidisciplinary environments

defined engineering problems

reaching substantiated

conclusions using codified

method of analysis specific to

their field of activity

At the end of this chapter, students should be able to:

Explain the quantity measurement using billing method and drawing
and specification method.
Explain the method of taking off quantity measurement.
Estimate the quantity of work by using taking off method

Page 65

Chapter 7

QUANTITY
MEASUREMENT




Generally, Bill of Quantity is a document
which contains itemized list of building item
and its quantity. Bill of Quantity is prepared
based on standard principles(SMM). In order
to produce the Bill of Quantities, a detailed
quantity survey or materials take off has to be
completed. The services are provided by a
professional Quantity Surveyor (QS).

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Chapter 7

The uses of the Bill of
Quantities

i) To call for tender

The main reason for bill of quantity is to invite contractors to tender for the
proposed project. A contractor would have to submit his tender whereby he/she
states the price rate of each and every item that will be involved in the
construction. A summation of this price rate would give the total price for the
proposed project. A qualified QS would then analyze the given price and grant
the project to the contractor with the most cost effective price rate.

ii) To prepare progress payments

A QS issues Work Progress Certificates for progress payments to the contractor
at the completion of every work. To prepare these certificates, the QS first has to
evaluate and make a record of all the work that has been completed. Then
referring to the bill of quantity submitted by the contractor during tendering, the
QS will prepare the progress payment for the completed work.

ii)To evaluate non compliance work

When an architect or engineer issues a non compliance work order to the
contractor, the QS will then evaluate the cost that will be involved to rectify the
non compliance work order and the original cost of work. Price rates for the non
compliance work can be refered to the bill of quantity submitted by the
contractor or according to the current price rate.

ii)To order and purchase materials

As each and every item involved in the project will be itemized in the bill of
quantity, when there is a need to order and purchase materials for the project the
price rate from the bill of quantity will be refered to.

Page 67

Chapter 7

Unit in quantity
measurement

In the preparation of bill of quantity, a standard method of measurement is used. For
every quantity measurement there is standard unit applicable.

Table 7.0: quantity measurement there is standard unit

Page 68

Chapter 7

Slip sort form/taking
off form

Page 69

Chapter 7

Slip sort form/taking off
form

TIMESING COLUMN (COL 1)
›The ( / ) means times
›Dotting ( . ) is a quantity surveying term which means adding

DIMENSIONING COLUMN (COL 2)
D› imensions (length, width and height or depth).
D› imension are always given in meters and to 2 decimal points

SQUARING COLUMN COLUMN (COL 3)
Answer

DESCRIPTION COLUMN (COL 4)

T› he description of the items measured.
T› he description should contain information required to enable the contractor to
price for the items.
A› bracket – using bracket for a set of dimension.
D› itto - is a quantity surveying term which as means “as above”
a› .b.d. as before describe

DESCRIPTION COLUMN (COL 4)

T› he description of the items measured.
T› he description should contain information required to enable the contractor to
price for the items.
›A bracket – using bracket for a set of dimension.
›Ditto - is a quantity surveying term which as means “as above”
a› .b.d. as before describe

Page 70

Chapter 7

Structural drawing

Structural Drawing
Consist of all the drawings that describe the structural members of the building:
Foundation plans and details, framing plans and details, wall sections, column and
beam details, and other plans, sections, details, and schedules necessary to describe
the structural components of the building or structure.

FOUNDATION - FOOTING

BEAM

Page 71

Chapter 7

Taking off

Produce taking off quantities:
Earthwork

Estimate earthwork (site clearing, remove unsuitable material, cut & fill)
Substructure

Piling work(concrete pile, timber pile,steel pile)
Work below lowest level( concrete, formwork, and reinforcement)
i. Foundation
ii. Column stump
iii. Ground beam
iv. Ground slab

Page 72

Chapter 7

Taking off

Produce taking off quantities:
Earthwork : Site clearing, remove

unsuitable material
Removing trees(unit:no)
Removing hedges( unit: m)
Clearing undergrowth/shrubs(unit:m2)
Tree stumps(unit:no)
Lifting turf(m2)
Top soil(unit:m2)

Page 73

Chapter 7 Taking off

Produce taking off quantities:
Earthwork : Cut & fill
i.Square method
ii.Triangle method

Cut & fil Form

Page 74

Chapter 7

piling

Piling is a type of ground treatment which is driving a pile into the ground below
ground level
It’s used to strengthen the soil so that the ground able to support the load of the
building

Page 75

Chapter 7 Types of piling
Pre-Cast Reinforced
Types of piling
Concrete Piles
There are five types of pile
Pre-CastReinforced Concrete Piles
Cast Insitu Reinforced Concrete Piles
Timber pile
Steel pile

Pre-CastReinforced Concrete Piles

Page 76

Chapter 7

Types of piling
Cast in-situ Reinforced

Concrete Piles

Cast in-situ Reinforced Concrete Piles

Page 77

Chapter 7

Types of piling
Timber Pile



Timber pile

Page 78

Chapter 7

Types of piling
Steel Pile

Steel Pile

Page 79

Chapter 7

Example: Taking Off
Pile



Figure: Point of pile

Page 80

Chapter 7

Solution: Taking Off
Pile



Taking off should include
STEP 1; Taking off list
STEP 2: Schedule of pile cap
STEP 3: Mobilization of piling plant (unit:item)
STEP 4: Initial piles(unit:No)
STEP 5: Driven depth (unit: m)
STEP 6: Pile extension(unit:No)
STEP 7: Pile extension exceed x.00 m long (unit :m)
STEP 8: Jointing of piles (unit:No)
STEP 9: Cut of piles(unit:No)
STEP 10: Testing of piles(item)

Page 81

Chapter 7

Substructure
(Work below lowest

floor)

Element:
1. Pad foundation
2. Column stump
3. Ground beam

Taking off should include:

Excavation(m3)
Concrete blinding/lean(m3)
Formwork(m/m2)
Reinforcement (bar & link bar/stirrup)(m)
Reinforcement concrete(m3)

Page 82

Chapter 7

Substructure
( Work below lowest

floor)

Element: Pad foundation and column ctump
1. Pad foundation
Taking off should include:
STEP 1: Excavation(m3)
STEP 2: Concrete blinding/lean(m3)
STEP 3: Formwork(m/m2)
STEP 4: Reinforcement bar(m)
STEP 5: Reinforcement concrete(m3)
2. Column stump
Taking off should include:
STEP 1: Formwork(m2)
STEP 2: Reinforcement (bar & link bar/stirrup)(m)
STEP 3: Reinforcement concrete(m3)

Page 83

Chapter 7

Substructure
( Work below lowest

floor)

Element: Ground beam
3. Ground beam
Taking off should include:
STEP 1: Excavation (m3)
STEP 2: Concrete blinding/lean (m3)
STEP 3: Formwork(m2)
STEP 4: Reinforcement (bar & link bar/stirrup) (m)
STEP 5: Reinforcement concrete (m3)

Page 84

Chapter 7

Substructure
( Work below lowest

floor)

Excavation(m3)

Excavation for pad foundation is measured in cubic meters.
According to Standard Measurement Method 2 (SMM 2), depth of excavation as
follows:
1. Maximum depth not exceeding 0.25m
2. Maximum depth not exceeding 1.00m
3. Maximum depth not exceeding 2.00m
4. Maximum depth not exceeding 4.00m
5. And thereafter in 2.00m stages

Page 85

Chapter 7

Substructure
( Work below lowest

floor)

Concrete blinding/lean(m3)

Reinforcement concrete(m3)

Page 86

Chapter 7

Substructure
( Work below lowest

floor)

Reinforcement bar(m)

stirrup(m)

Reinforcement bars are calculated in metres. All the steel sizes are based on
BS5950.
Concrete cover based on BS8110 is also taken into consideration as a safety
precaution. Reinforcements failed when exposed to extreme heat therefore
concrete covers prolong the failure of reinforcement.
For column stumps and ground beams, usually there are two types of
reinforcement:
types of steel:
Soft Steel – R,M, MR,MS (250N/mm2)
High Yield Steel – Y,H,HY,HT (460N/mm2 )

Page 87

Chapter 7

Substructure
( below lowest floor)




Formwork(m/m2)

Pad Foundation & ground beam (ssm ms 33)

Exceeding 1.00m high- square meters.(unit: m2)
Not exceeding 1.00m high-meters(unit: m)
starting the height in the following categories:

1. Not exceeding 250mm high
2. 250mm-500mm high
3. 500mm-1.00m high

Beam (ssm ms 34)
square meters (m2)

Column stumps and column
square meters(m2)

Page 88

Chapter 7

Superstructure

Element :
1. Column
2.Upper floor
3.Roof slab
4.Roof Beam

Taking off list :
1.Concrete in isolated column (m3)
2.Formwork to isolated column (m2)
3.Reinforcement bar in isolated column (m)
4.Link in isolated column (m)
5.Concrete in attached beam ( m3)
6.Formwork to attached beam (m2)
7.Reinforcement bar in attached beam (m)
8.stirrup in attached beam (m)

Page 89

Chapter 7

Wall

Element :
1.Internal wall
2.External wall

Page 90

Chapter 7

Taking off wall

Refer to the figure above:
solution of:

1. wall
STEP 1; Area of wall
STEP 2; Minus Lintel door
STEP 3: Minus door
STEP 4: Minus air bricks
STEP 5: Column/Stiffener

2. Number of air brick
Calculate total of airbrick

Page 91

Chapter 7

finishing work

Introduction:
Finishing is to apply decoration to the internal or external perimeter of rooms
and spaces such as wall, floor, and ceilings.
It is running at the end of construction activity and it needs a good skill in
doing this job to make sure it is in a good performance.
Building finishes including internal and external finishes and consists of ceiling
finishes, wall finishes and floor finishes.

Function of building finishes is:
To reduce the amount of light penetration
For decoration and nice arrangement.
To provide a flat and smooth surface
To protect slab and concrete
To make sure the construction building is
high in quality.

Page 92

Chapter 7

Taking off Floor

Finishing work for: Floor
Floor Screed

›Floor finishes are provide to improve the
appearance, cleanliness, noiselessness
and damp proofing of the floors.
›There are various types of materials
used for floor finishes such as cement
render, tile, marble, mosaic, painting and
many more.
A› ll types of floor finishes are measured
in square meter.

Taking off should include:

example material of floor: ceramic tile

STEP 1 : Screed to ceramic tiles
STEP 2: Ceramic tiles
STEP 3: Screed to Drop
STEP 4: Ceramic tiles to drop
STEP 5: Screed to ceramic skirting
STEP 6: Ceramic skirting

Drop Skirting

Page 93

Chapter 7

finishing work
Ceiling

Finishing work for:
Ceiling

T› ype of ceiling finishes : asbestos cement, gypsum board, plaster
ceiling and painting.
C› eilings are taken from wall to wall for each room
measured in square meters

Taking off Ceiling
Taking off should include:

Calculate area of ceiling in
square meters (m2)

Gypsum board ceiling

Plaster ceiling

Asbestos cement fiber

Page 94

Chapter 7

ACTIVITIES

Enjoy...........

1. Install blippar application
2. Refer figure below

Page 95

REFERENCE

1. Ahmad Abdullah. (2006). Anggaran Kos Kerja
Bangunan (Edisi Kedua). Selangor: Prentice Hall.

2. Standard Form of Contract P.W.D. FORM
203/203A (Rev. 2010). (2010). Government of
Malaysia.

3. Pengurusan projek pembinaan(2011) / Mohd
Saidin, Abdul Hakim Mohammed, Mat Naim
Abdullah.

4. Quick Notes and Exercise Introduction of
Contract(2018)/Hasliza yusof,fitriyah mohd roslan
& marshitah muhamad.

5. Malaysian Standard Method of Measurement of
Building Works, Second Edition. (2000). Institution
of Surveyors Malaysia.

6. Malaysian civil engineering standard method of
measurement(MyCESMM)(2015)/CIDB Malaysia

7. Pengenalan kepada pentadbiran
kontrak(berdasarkan borang kontrak JKR 203A)
(2008)/Mohd nazir bin ismail

8. Sumber gambar : google.com

1ST EDITION

Politeknik Sultan Azlan Shah
Behrang Stesyen,35950 Behrang, Perak.

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