A Quick Reference Guide of Useful Terms (Glossary)
At Building Options we understand that whether you’re aiming to extend, refurbish or new build your home, office or commercial premises, should be stress free. Even understanding some of the terms that you may encounter can be a headache.
So we thought that having a handy quick reference guide of useful terms (glossary) would be useful, we’d love to know your thoughts!
|Term||What it means|
|Tender documentation and management||Tender documentation is the term used to describe information prepared by consultants and specialist organisations appointed by a client that sets out the framework of a project.
The tender document typically contains terms and conditions, delivery timeframe, drawings, specifications, reports and construction notes.
|Procurement||Procurement is the process of buying products and services.
In the world of construction, procurement is critically important. Get your procurement wrong and you could be setting your project up to fail before the foundation has even been laid. Things to consider here are timeframe, quality and reliability of the suppliers.
|Risk Analysis and Risk Management||Risk Analysis is the process of identifying and quantifying the risks involved with your construction project. Typical risks include cost and programme.
Risk Management is the process of implementing measures to monitor and reduce or if possible eliminate any risks entirely that were identified during the completion of your Risk Analysis.
|Cost Planning||Cost planning is the process of estimating the costs of your construction project.
Cost planning is based upon the design of the project. As the designs are subject to change throughout the project as a result of alterations to the final building, planning requirements, suppliers or a variety of other reasons.
An effective cost plan will give you a good indication of what the final project cost is likely to be.
|Contract Advice||Contract Advice is the term used to describe guidance offered by your project team during any point of the process.
Advice can be offered at planning, tender stage, procurement, construction, project review and finalising costs.
|Value Engineering||Value Engineering is the process of reviewing your project to drive down costs without compromising on either the project or the quality – essentially achieving ‘Best Value’.
Value Engineering is best performed before the project has begun.
|Feasibility Studies||A Feasibility study is a term used when defining the project. It helps to identify how the project will be delivered as well as highlighting any potential risks. It is not a replacement for a Risk Assessment.|
|Change Control||As a project moves through the phases of delivery, there may be times when changes or revisions need to be made to the design, materials or method of delivery. These changes are called ‘Change Control’. Change Control may involve revisions of budget and even timeframe. It is important to agree all changes as soon as they arise in order to avoid delays.|
|Delay and Disruption Analysis||From time to time contractors may request an extension of time. Contracts will often contain a clause enabling the contractor to do this. Before you embark on your project, check for this clause.
As a result of this delay you may experience additional expense or even loss. Disruption Analysis is the process of identifying what impact the delay will present. Negotiations may need to be entered into with the contract to mitigate the delay, reduce the timeframe, deduct damages or seek compensation from the contractor.
|Final Account||The term Final Account is used to describe the process of establishing what the project actually cost to deliver. This will take into account variations or changes made to the project from planning through to practical completion and handover. The Final Account will also include details of any extensions or deductions due as a result of project delays.|