Life Cycle Costing For Facilities

This comprehensive resource provides expert guidance on how Life Cycle Costing (LCC) can optimize decision-making and enhance long-term profit. Sixteen case studies show how to apply LCC to particular facility types and building components, in a new construction and remodeling.

Cradle-to-grave analyses are becoming the norm, as an increasing amount of corporations and government agencies are basing their procurement decisions not only on initial costs but also on life cycle costs. And while life cycle costing has been covered in journals and conference proceedings, few, if any, books have gathered this information into an

The Department of Defense (DoD) constructs, operates, and maintains a large number of facilities. DoD incorporates life-cycle cost-effective practices into many aspects of the military planning and construction processes. This report provides RAND's description and assessment of the process used to obtain life-cycle cost-effective facilities and how that affects DoD construction options and choices.

Whole life-cycle costing (WLCC) is rapidly becoming the standard method for the long-term cost appraisal of buildings and civil infrastructure projects. With clients now demanding buildings that demonstrate value for money over the long term, WLCC has become an essential tool for those involved in the design, construction, operation and risk analysis of construction projects. Whole-life costing: risk and risk responses offers a thorough grounding in both the theory and practical application of WLCC. Part I deals with the fundamentals, providing the general background to appreciate WLCC concepts and whole life risk management techniques at the key decision-making milestones through a project’s life. Part II covers the design stage, including service life forecasting and environmental life-cycle assessment techniques in WLCC. Practical frameworks both for assessing whole life risks and risk responses, as well as guidance on developing WLCC budget estimates are also developed. In Part III, the authors consider WLCC during the construction and operations stages, with a strong emphasis upon risk analysis methods and dynamic WLCC assessment. With its mixture of established theory, best practice and innovative approaches, this book will help you make more accurate assessments of the long-term cost effectiveness of projects by: providing a thorough grounding in the theory of WLCC demonstrating how decision-making uncertainty can be reduced by basing choices on sound risk management principles identifying a systematic approach to planning the post-occupancy costs.

Buildings and other public facilities can have very long and productive service lives, providing efficient shelter and serving a wide range of activities. To do so, however, these facilities must be managed effectively, in a manner consistent with key design decisions. A variety of political and technical obstacles to effective management raise the public's total cost of ownership for these facilities, particularly when actions to deal with short-term government budget deficits have long-term, high-cost consequences. This book identifies obstacles to controlling the costs of ownership and suggests ways these obstacles can be overcome.

The construction industry is becoming increasingly aware of the need to adopt a holistic approach to the design, building, and disposal of structures. With 60 per cent of the total construction budget in most developed countries being spent on repair and maintenance, there is an obvious need to design for reliability and durability, with more carefully planned maintenance and repair schedules. One important facet is to look at how costs are distributed and spent during the lifetime of a structure: an approach known as life cycle costing, which has the ultimate aim of minimising total lifetime expenditure. As an example, choosing an inexpensive coating for steelwork may require maintenance every three years, whereas a coating which is more expensive may require repairing only once per decade. It is a question of balance - taking the lifetime costs of the structure into consideration. This new book provides an insight into how whole life costing is affecting our approach to designing, building, maintaining and disposing of structures. The book is written for consulting engineers in the fields of civil and structural engineering, building designers, architects, quantity surveyors, refurbishing specialists, as well as practising civil and structural engineers engaged in planning, design, construction, repair and refurbishment of structures.

Accompanying CD-ROM contains software, Guidance manual, User manual, and appendixes to report.

Planners, architects, engineers and others engaged in the planning, design and construction of law enforcement facilities are charged with a number of decisions that will affect future resource allocations by the agency operating the constructed facility. Such future resource allocations would include the agency's being required to provide more (or fewer) personnel to operate the facility, to provide more (or less) frequent replacement of the component parts of the facility and to provide more (or less) supplies to operate the facility. Decision makers should be sensitive to the economic impact of their decisions projected over the life of the facility. The analytical tool presented in this paper for the evaluation of the economic impact of various design alternatives is the technique of life cycle costing. Through the use of this technique, the life cycle allocations by an agency for a law enforcement facility can be minimized.

The Department of Defense (DoD) constructs, operates, and maintains a large number of facilities. DoD incorporates life-cycle cost-effective practices into many aspects of the military planning and construction processes. This report provides RAND's description and assessment of the process used to obtain life-cycle cost-effective facilities and how that affects DoD construction options and choices.