Economic-mathematical model for calculating the labor cost as a part of the investment construction project’s cost on the estimated standardization and market pricing methods’ basis

Abstract

Effective management of investment and construction projects is associated with the problem of cost estimation. The guidelines for the construction products’ determining prices disclosing methods have been developed. However, in practice, the investor estimates, which is an important condition, but not sufficient are used as basic. The need for an accurate calculation of the investment construction project cost for both the investor and the contractor dictates the new requirements for finding approaches to the materials’ systematization, as well as streamlining the procedure for calculating the construction products’ price. At the pre-investment stage of design, cost optimization should be carried out by calculating the capital investments using the aggregated indicators. In this situation, priority attention should be directed to rationing and labor costs. The calculation of probable labor costs for a certain period will make it possible to increase the validity of the decisions taken at the initial stage of the investment construction project’s development. Today it is necessary to develop a new approach to the issue of calculating labor costs in construction, which, on the one hand, will determine the amount of labor costs and production efficiency, and on the other hand, make an investment and construction project attractive in modern market conditions.

Improving the Model for Estimating the Number of Construction Workers for Apartment Construction

“…Research related to estimating labor cost 1 Huang et al [13] The authors suggested the method for estimating labor cost used in nine BIM projects. This study analyzed the estimated labor cost rate using real data 2 Dyacova et al [15] The authors used standardization and market pricing methods to estimate labor costs in construction project costs.…”

“…-A few studies have attempted to estimate the labor cost in the construction industry [13][14][15][16]. Huang and Hsieh [13] used various methods to estimate the labor costs of BIM projects.…”

“…Using different numbers of BIM projects, the authors compared the accuracy of the random forest model with that of the linear regression model, and the linear regression model was superior [13]. Dyacova et al [15] used standardization and market pricing methods to estimate labor costs in construction projects and built a nine-step algorithm model to reflect labor characteristics, such as employee labor behavior and production tasks in the design and construction stages [15].…”