Gansu Province, Cost Control And Management Of Highway Projects

Refers to the current statues of highway engineering cost management of Gansu Province, this paper explains the common used cost management system in foreign countries, the history and theory of cost management for highway engineering in China. By analyzing some of the cases, it summarized the major problems in regarding to cost control existed in investment decision making, design, construction and final accounting stage. It also proposed measures on how to control project cost in each stage, and raised key points on how to do the cost control in management level. Through analysis of the cost situation in some 20 highway project of Gansu Province, the overall cost level of expressway, class I highway and class II highway of Gansu Province has been understood. Detailed analysis has been done for Lanzhou to Lintao Expressway on the differences of its cost estimates observed in design stage (rough estimate, budget and budgetary estimate) and in construction stage (engineer' s estimate, contract price and final accounting). Conclusions have been made for design institute, client, contractor, supervision engineer and cost management authorities on how to control the cost of highway projects. Besides, from the cost management authorities' point of view, this paper also explained the way undertaken by cost management authorities to control cost by analyzing the following five aspects: function building for strengthening cost management, attentions attached for quota management, publication of accurate information of material cost on a timely basis via informationized approaches, management of the qualification certificates of cost personnel and development of the medium agency in highway cost field. Meanwhile, it also introduced some new methods adopted by cost management authorities i. e. to accumulate the relevant cost information, and then establish data base and information management system for highway cost. It has a guidance meaning for people concerned on how to control cost of highway project in each stage, and for cost management authority in particular. It also plays a reference role for some other provinces in this regards.