Course Name: Professional Practice and

Valuation
Course Code: CL 711
Google Classroom code: cy6gcad

-By Priya Patel

Assistant Professor
Civil Engineering Dept.
Faculty of Technology, DDU
Email ID: pap.cl@ddu.ac.in
 Course Structure

Teaching Scheme Examination Scheme

Lectures Tutorial Lab/Prac Exam Sessional Prac/Viva Term Total
Theory Work Marks
Hrs Hrs Hrs Hrs Marks Marks Marks Marks
3 0 2 3 60 40 25 25 150

2
Course Overview
1. Estimates
– Necessity and types, Approximate and detailed estimate,
Methods and uses
2. Specifications
– Definition, objects and importance, Requisites of good
specifications, Classification of specifications, Standard
specifications, Specifications of some important typical
items
3. Rate Analysis
– Purpose, Factors affecting rate analysis, SOR, Task
works per day, Rate of materials and labour, Rate
analysis of typical items 3
Course Overview
4. Conditions of Contract
– Definition, Object, Importance, General Provisions,
Typical conditions of contract
5. Contracts
– Meaning and importance, Essential requirements of a
contract, Types of contract, Contract documents,
Termination of contract, Responsibilities of the Engineer,
the contractor and the client, Earnest money and
security deposits
6. Tender
– Meaning, Opening, Scrutiny and acceptance of tenders,
Revocation of tender, Unbalanced tender, Liquidated
damages
4
Course Overview
7. Arbitration
– Definition, Arbitrator and referee, Types of arbitration, Power
of arbitrator, Process of arbitration, Advantages of arbitration
8. Easement
– Definition, Essential characteristics, Creation of easements,
Extinguishment of easements
9. Valuation
– Purposes, Cost-Price-Value, Different forms of value,
Freehold and leasehold properties, Sinking fund,
Amortization, Depreciation and obsolescence, Capitalized
value and year’s purchase, Interest rates, Ideal investment,
Mortgage, Annuity, Methods of valuation
5
Course Overview

10. Works and stores Accounting

– Stores, Vouchers and receipts, Capital works and repair
works, Administrative approval and technical sanction,
Measurement book, Muster roll, Daily reports, Advance
payments, Work-charged establishments, Inventory

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 Reference Books
Sr. Title Publisher Author of the book
No.
1. Estimation and Costing Charotar Rangwala
Publications
2. Estimating, Costing, Specification M. Chakraborti M. Chakraborti
and Valuation in Civil Engineering
3. Estimating and Costing in Civil UBS Publishers’ B. N. Dutta
Engineering Distributors. Pvt.
Ltd.
4. Civil Engineering- Estimating, Khanna Publishers V. N. Vazirani, S. P.
Costing & Valuation Chandola
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Phases of a Construction Project

Design &
Feasibility Tender Execution
Planning

8
Process of Construction
Material

Money

Infrastructure
Equipments Construction
Facility

Methods

Management

Manpower
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 Owner

Architect/ Non-contractual relation Contractor

Engineer
10
Sequence of Activities for a Construction Project

Selection of Architect/ Engineer

Estimates &
Creation of Architectural DrawingConstruction
Contracts
Schedule, Method
Bidding/ Contractor Selection Statement, Checklist,
Updates, Inspection,
Review Meetings
Mobilization Construction Monitoring
Commissioning
& Move in

Handover 11
Tenders and Contract
Preparation of Contract Document

Advertising the Tender and Tender Notice

Submitting Tender by the Contractor

Study of Tender by the Owner

Clarification regarding conditions or specifications

Preparing Comparative list

Awarding Contract
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What is an Estimate?

■ The process of calculating the quantities and costs of the

various items required in connection with the work.
OR
■ A computation or calculation of the quantities required and
expenditure likely to be incurred in the construction work.

Design &
Feasibility Tender Execution
Planning
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 Material
Cost

Profit
Construction Labour
Estimates Cost

Equipment
Cost
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Purpose of Estimate
■ To ascertain the necessary amount of money required by the
owner to complete the proposed work.
■ To ascertain quantities of materials required.
■ To calculate the number of different categories of workers to be
employed.
■ To access the requirements of Tools, Plants and equipment
required to complete the work.
■ To fix up completion period from volume of work.
■ To draw up construction schedule and program.
■ To invite tenders and prepare bills for payment.
■ An estimate of an existing property is required for valuation.
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Challenges in Estimating
■ The job of an estimator is not only to calculate the quantity and cost
of the material, but to co-ordinate different parties involved in the
project or construction in particular.
■ An estimator of the construction company has to get involved with
the site engineer, material supplier, instrument (plant) manager and
senior management staff to obtain the various details of the cost
and explaining the calculation to higher management.
■ An estimator has to understand the project details, study drawing
and specification, obtain working conditions, labour and equipment
productivity and collecting other data from the site.
■ An estimate also assesses the temporary work at the site such as
formwork for concreting, temporary plant for the storage of
materials. 16
Essential Qualities of a good Estimator
Must possess the following capabilities:
■ Knowledge of the details of construction work
■ Experience in construction work
■ Have information regarding the materials required, machinery needed,
overhead problems and costs of all kinds
■ Good judgement with regard to different localities, different jobs and
different workmen.
■ Identification and selection of best method for preparing an estimate
■ Ability to be careful, thorough, hard working and accurate
■ Ability to collect, classify and evaluate data relating to estimation
■ Ability to visualize all the steps during the process of construction
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Prerequisites required to prepare an
estimate
■ Design and drawing,
■ Specifications,
■ Condition of contract,
■ Location of the project,
■ Material rates,
■ Labour rates

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 Types of Estimate
1. Approximate Estimate/ Preliminary Estimate
– The object of this type of estimate is only to know the approximate
amount of expenditure which is needed to obtain administrative
approval by the competent authority.
– Enables the authority to consider the financial aspect of the
scheme.
2. Detailed Estimate
– This is an accurate estimate, in which the correct quantities of
various item of work are calculated with the help of detailed
drawings, design and specifications.
– It includes the detailed particulars for the quantities, rates and
costs of the items involved for satisfactory completion of the
project.
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 Types of Estimate
3. Revised Estimate
– It is a detailed estimate for the revised quantities and rates of
items of works originally provided in the estimate without
material deviations of a structural nature from the design
originally approved for a project.
– It is accompanied with a comparative statement showing the
probable variations for quantity, rate and amount of item of
work.
4. Supplementary Estimate
– It is prepared, whenever, during the progress of the project,
any change is ordered in the original proposal, for the
betterment and development of the project.
– It is an additional estimate prepared for which sanction is
required or obtained.
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Types of Estimate
5. Combination of Revised and Supplementary
Estimate
– During execution of a project it may be necessary to
revise the original estimate due to increased volume of
original proposed work and at the same time sanction of
supplementary work.
6. Annual repair and maintenance Estimate
– It is prepared for annual repair works such as white-
washing, painting, etc. and daily repair works for
sanitary, water supply, etc., other building repair works
and maintenance of property in a proper condition.

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 Approximate Estimate
■ Made to find out approximate cost in a short
time and thus enable the responsible
authority concerned to consider the financial
aspect of the scheme for according sanction
to the same.
■ It involves 2 operations:
– Fix up the unit and count the number of
such units in the proposed work
– Fix up the unit cost by studying the actual
cost of similar existing structure
constructed in the past.
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Importance of Approximate Estimate

The Project may be left

without preparing its
detailed estimate
Approximate
Estimated Cost The project is taken in
hand to prepare detailed
survey, investigations,
design, preparation of
detailed design and
drawings, detailed
estimate, etc. 23
Purpose of an Approximate Estimate

■ To investigate Feasibility
■ To save time and money
■ To investigate benefit and comparison of cost with utility
■ Adjustment of Planning
■ To obtain Administrative Approval
■ For insurance and tax schedule

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Approximate Methods for Estimating for
Building
■ Plinth Area/ Square-metre Method
■ Cubic rate/ Cubic-metre Method
■ Service Unit/ Unit rate Method
■ Bay-Method
■ Cost Comparison Method

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Plinth Area/ Square-metre Method

■ Plinth Area Calculation

As per IS 3861, following areas include while calculating plinth area of a
building
1. Area of wall at floor level
2. Internal shafts of sanitary installations not exceeding 2.0 sq.m., lifts,
air conditioning ducts, etc.
3. Area of barsati at terrace level
4. Porches of non-cantilever type

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Plinth Area/ Square-metre Method

■ Plinth Area Calculation

Areas which are not to include
1. Area of lofts
2. Unclosed balconies
3. Architectural bands, cornices, etc.
4. Domes, towers projecting above terrace level
5. Box louvers and vertical sun breakers

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 Plinth Area/ Square-metre Method

Plinth area
Approximate rate of the
Plinth locality for
Cost of
Area of similar
Proposed
Building building
building
constructed
recently

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