1. Work Breakdown Structure WBS
Prof Awad S. Hanna

2. Work Breakdown Structure (WBS)
A hierarchical system which sub-divides larger elements of the project into smaller elements.
The smallest unit of the WBS is the work package.
Prof Awad S. Hanna
Prof Awad Hanna

3. Work Breakdown Structure Example
Level
Work Breakdown Structure
Level Description 1
Warehouse
Total Project 2
Administration
Mobilization/
Demobilization
Masonry
Wall
Steel
Columns
& Joints
Roof
System
Subproject 3
Sitework
Footing
Floor
Slab
Masonry
Wall
Steel
Columns
& Joints
Roof
System
Interior
Finishes
Category of Work 4
Excavate
Footings
Form &
Reinforce
Footings
Place
Footings
Work Package 5
Labor
Material
Equipment
Resources
Prof Awad S. Hanna

4. WORK BREAKDOWN STRUCTURE (cont.)
The scope of work in each work package should be defined to avoid overlaps and omissions between work packages.
Work packages should be defined in terms of design, construction methods, and completion requirements, with associated performance dates
Prof Awad S. Hanna

5. Scope of Work Packages Each work packages should be: 1. Manageable
Specific authority and responsibility can be assigned.
2. Independent
With minimum interfacing or dependence on other elements.
3. Measurable
In terms of progress.
Prof Awad S. Hanna

6. The Project Cost System
Objectives of Establishing Project Cost System.
1. Keep the construction costs of the project within the established budget.
2. Develop labor and equipment productivity information for estimating the cost of future work.
Prof Awad S. Hanna

7. Cost Code
Project
Number
Area
Code
Work Type Code
Distribution
Code
9708B
Cost Code for stripping concrete formwork for bridge deck (Labor).
Prof Awad S. Hanna

8. Project Number 9708B 05 03157.20 3 Eighth project in 1997 (Bridge)
Prof Awad S. Hanna

9. Area Code 9708B 05 03157.20 3 Geographic location OR
Associate Field Cost to Specific supervisor or Management
Prof Awad S. Hanna

10. Work Type Code 9708B 05 03157.20 3 03 Concrete 0315 Concrete Formwork
Wood Concrete Formwork
Wood Concrete Formwork for Deck
Wood Concrete Formwork for Abutment
Prof Awad S. Hanna

11. Distribution Code 9708B 05 03157.20 3 1. Total 2. Material 3. Labor
4. Equipment
5. Sub-Contract
Prof Awad S. Hanna

12. Cost Code and Cost Control
All items of expense are charged to the project where they are incurred.
"General" or "miscellaneous" cost accounts should not be used, is poor practice, and should be avoided.
The cost code is to serve its basic purpose, it must be understood and used consistently by all company personnel.
Prof Awad S. Hanna

13. COST ACCOUNTING REPORTS
Cost report intervals are a function of the project size, nature of the work, and the type of contract involved.
There must be a balance between the cost of generating the reports and the value of the management information received
Prof Awad S. Hanna

14. COST CODES The most widely used cost codes are
Masterformat, CSI (Construction Specifications Institute)
Uniformat, UCI (Uniform Construction Index).
Masterformat is widely used software companies and government agencies.
Prof Awad S. Hanna

15. Most contractors match their cost control system to their payroll periods and to their time-monitoring system.
Prof Awad S. Hanna

16. COST CODES (cont.) Masterformat Uniformat Has 16 divisions
Divisions were developed according to trades
Uniformat
Has 12 divisions
Tends to follow the progress of construction
Prof Awad S. Hanna

17. Relationship Between UNIFORMAT & MASTEFORMAT
Prof Awad S. Hanna

18. UNIFORMAT Level A and B
Prof Awad S. Hanna