Value Management Analysis Report: Kingswood Building Z Lab Upgrade

This report provides a comprehensive value management analysis of the Kingswood Building Z-SCEM lab upgrade project, detailing the demolition, refurbishment, and extension of the existing structure. Employing the FAST approach and cost/worth analysis, the report examines the project's implementation, emphasizing the importance of understanding project goals beyond mere cost-cutting. The analysis includes cost and value estimation, highlighting the need for value management throughout the project lifecycle, from initial description to technical stages. Key findings recommend the implementation of functional techniques to measure project value, early-stage value management application, and a focus on final quality over initial costs. The project description outlines the upgrade's scope, including new laboratories, offices, and collaborative spaces designed to support increased student numbers, research programs, and research and development partnerships. The report also details the project's five-stage construction plan, including the creation of a project initiation document, plan development, execution, performance tracking, and final evaluation, with a focus on space, cost, and quality models.

Value management Analysis report on Kingswood Building Z Laboratory upgrade Project

Executive Summary
This report provides an in-depth review and analysis of the Kingswood Building Z- SCEM Lab
upgrade project. The aforementioned project involved the demolition and refurbishment of some
section of building Z’s prevailing structure and also the extension of the extant portal frame and
building of a new two-storey structure. This report seeks to tackle the project’s implementation
from a Value Management perspective. The report makes use of the FAST approach and the
Cost/Worth approach to Value Management among others in an effort to execute and apply the
key principles of Value Management to the building Z of the School of Computing and
Engineering Management (SCEM) in Kingswood Campus. The analysis techniques featured in
the report include the cost analysis and the value estimation analysis among others and all the
illustrations and info graphics are provided in the report document. The results obtained from the
in-depth review and analyses of the project from a Value management perspective are a clear
indication that when it comes to construction Value Management, the path to achieving the best
possible value is not necessarily restricted to cost cutting but rather in the ability to develop an
adequate understanding of the project’s main goals and needs. Furthermore, the results obtained
from the analysis clearly emphasise the need to apply the principles of Value Management across
all stages of a project’s life cycle beginning from the project description stage, the strategic stage
finally the technical stage. The report finds that it would the principles of Value Management
with regard to construction projects are undoubtedly critical in the success of any given project
mainly because they provide a clear and concise definition of a project’s end value thereby
providing a clear road map for decision making throughout the project’s lifecycle. In line with
the report’s findings the project recommends that:
 More functional techniques should be implemented with a goal of measuring the
ultimate value of the project while taking into account the monetary and non-
monetary benefits of the project.
 While carrying out other projects similar to the Kingswood building Z- SCEM Lab
upgrade project value management should be implemented as from the project’s
earliest stage in order to obtain maximum benefit from the application of Value
Management.
 When carrying out a project, more emphasis should be pointed towards the final
quality and value of the project rather than the cost of carrying out the said project.

Project Description and Summary
The Kingswood building Z-SCEM lab upgrade project basically entailed the demolition and
refurbishment of some sections, the extension of the extant portal frame and the construction of a
new two storey structure within the existing structure of building Z of the Western Sydney
University’s school of Computing, Engineering and Mathematics in Kingswood Campus. The
refurbished sections of the building were meant to house several separate laboratories which
have different functions (Li and Skitmore, 2019). The laboratory functions include the testing of
different materials, Nanotechnology, Soils and Asphalt Testing. On top of that, the refurbished
sections of the building were designed with a goal of incorporating various spaces which are
made up of a Solar Car space, a Formula Society of Automotive Engineers (SAE) project area
and other related offices, virtual reality and Building Information Modelling (BIM) labs,
prototype exhibition area, a Sustainable Construction Research Hub, PhD project rooms and
other general meeting rooms (Hammad, and Haddad, 2019). Furthermore, the new storey
building was basically developed with a goal of supporting modern pedagogics and integration
of adequate room for holding meetings, collaboration and exhibitions. From a general
perspective, the project’s main goal was to enable the University to accommodate the rising
number of students, provide adequate backing to the progressively augmenting research
programs and to improve the School of Computing, Engineering and Mathematics’ (SCEM’s)
reliability in the institution research and development partnerships. This report therefore, seeks to
perform a full and in-depth review of the building Z-SCEM lab upgrade project from the Value
Management perspective.

Figure 1.1. Image of Building Z- SCEM Lab upgrade project
Job Plan
The Kingswood Building Z- SCEM Lab upgrade project was carried out based on a concise 5
stage construction plan. The plan was basically used to outline how the project was done
including how the project was managed and executed, how the structure of building Z was
designed, how the required materials were ordered and how various deployed construction
workers and subcontractors were organized to complete the various tasks during the
construction phase (Todhunter and Jegendran, 2019. The 5 steps of the project’s job plan
include:
Step 1: Creation of the Kingswood Building Z- SCEM Lab upgrade Project
This stage of the project started with the development of a business case which basically lay out
the feasibility of the project in a clear and concise manner while at the same time outlining key
aspects and requirements that were vital for the completion and success of the job (Kang and
Zheng, 2018). This was done through the creation of a Project Initiation Document (PID) which
gave a clear outline of key non-technical terms including:
 People: The estimated number of workers that were deemed to be necessary for the
project to run smoothly including key subcontractors for example, plumbers and
electricians.

 Resources: The requisite provisions for the Kingswood Building Z- SCEM Lab upgrade
project.
 Budget: The total estimated cost of the project putting into consideration key aspects
such as the cost of labour, resources, tools, fees, and construction permits.
Step 2: Production of a draft of the initial plan
This stage involved the process of converting the Project Initiation Document (PID) into a
concrete and executable plan. The PID document was converted into a concrete and executable
plan by taking the various particular resources listed in step 1 and employing them in a guided
move towards the formulation of a broader strategy that would guide the execution of the project
(Nagata and Manginelli, 2017).
Step 3: Execution of the Plan
A team meeting was called to go over the plan and commence the process of issuing different
responsibilities. Project managers that would oversee the different teams were also selected.
Also, a precise schedule was drawn up to outline various aspects that would be checked during
the course of the project and when those aspects would be checked (Ismail and Scherer, 2017).
Step 4: Tracking of project performance
The overall performance of the project was tracked using several Key Performance Indicators
including performance objectives which sought to answer the question of whether or not the
project was proceeding within the stipulated budget, the project performance which sought to
establish whether the project was proceeding smoothly at different time intervals and also the
quality of the project (Rosenau and Githens, 2011).
Step 5: Closing out and the general evaluation of the project
A final project budget was created and contrasted with the original budget after which in
consultation with other members of the construction team, a final project report was drafted and
shared with other key stakeholders (Wang and Sun, 2018).
Information phase
The information phase in project development is one of the most critical themes since it entails
the process of understanding the overall project, all the information that pertains to the project
such as the time, cost, complicity and amount of information available, nature of task and other
key information (Onik, 2019). The data to be included in the information phase can be sourced
from;
 Costs estimates
 Risk analysis
 Staffing of the project

 Stakeholder control in the project
 Time evaluations of the project
 Project models
The information phase is important since it allows the project stakeholders and other interested
parties to have a glimpse of the overall nature of the project. It provides a wide understanding of
the key factors of the project such as the:
 Project scope and schedule
 Budget costs and restraints
 Project risks
The information phase models
The project information phase is wide field, to fully cover its functions; it is subdivided into
models which cover specified elements in the project. This project had three major models
namely; Space, cost and quality models tailored to cover the spacing specification, financial
aspects and the standard requirements of the project information phase models respectively.
Space models
Description Space
BREAKDOW
N
Qty Unit
Base Building
Building Z Extension 1,998 m2
▪Substructure 1,160 m2
▪Columns 1,998 m2
▪Upper Floors 838 m2
▪Staircases 1 No
▪Roof 1,276 m2
▪Façade 848 m2
▪Internal wall
(core/circuation) 1,998 m2
Building Fitout and Services
Building Z repurpose 3,935 m2

▪Laboratories (Refurb area) 419 m2
▪Office (Refurb area) 83 m2
▪Office (New Built area) 1,395 m2
▪Manufacturing (Refurb area) 822 m2
▪Manufacturing (New Built
area) 331 m2
▪Circulation (Refurb area) 613 m2
▪Circulation (New Built area) 271 m2
The space model focus on the space each room on the building project will take, we have the
room Building Z Extension: Substructure, Columns, Upper Floors, Staircases, Roof, Façade,
Internal wall (core/circuation), Building Fitout and Services and the Building Z repurpose;
Laboratories (Refurb area), Office (Refurb area, Office (New Built area, Manufacturing (Refurb
area, Manufacturing (New Built area), Circulation (Refurb area), Circulation (New Built area)
each having a size space of 1998, 1160, 1998, 838, 1, 1276, 848, 1, 998, 3935,
419,83,1,395,822,331, 613, 271 m2 respectively.
Advantages of space models
 It enables the stake holders to have a look on the each room of the building project
noting its size and location (Alsafouri & Ayer, 2018).
 It provides the layout of the entire project
Cost model
Description COST BREAKDOWN
Rate Sub-Total
Base Building
Building Z Extension
▪Substructure $ 600.00 $ 696,000.00
▪Columns $ 55.00 $ 109,890.00
▪Upper Floors $ 215.00 $ 180,170.00
▪Staircases $ 9,000.00 $ 9,000.00
▪Roof $ 375.00 $ 478,500.00
▪Façade $ 400.00 $ 339,200.00
▪Internal wall
(core/circuation) $ 90.00 $ 179,820.00
total $ 10,735.00 $ 1,812,760.00
Building Fitout and
Services
Building Z repurpose $ - $ -
▪Laboratories (Refurb area) $ 1,200.00 $ 502,800.00
▪Office (Refurb area) $ 1,010.00 $ 83,830.00

▪Office (New Built area) Excluded
▪Manufacturing (Refurb
area) $ 400.00 $ 328,800.00
▪Manufacturing (New Built
area) $ 600.00 $ 198,600.00
▪Circulation (Refurb area) $ 200.00 $ 122,600.00
▪Circulation (New Built
area) $ 300.00 $ 81,300.00
total $ 3,710.00 $ 1,317,930.00
The project construction cost model was divided into smaller sections based on the rooms sizes
and effective cost. The room costs were Building Z Extension: Substructure, Columns, Upper
Floors, Staircases, Roof, Façade, Internal wall (core/circuation), Building Fitout and Services
and the Building Z repurpose; Laboratories (Refurb area), Office (Refurb area, Office (New
Built area, Manufacturing (Refurb area, Manufacturing (New Built area), Circulation (Refurb
area), Circulation (New Built area)each taking a cost of $ 600.00, 55.00, 215.00, 9,000.00,
375.00, 400.00, 90.00, 10,735.00, 1,200.00, 1,010.00, 400.00, 600.00, 200.00 and 300.00
respectively.
Advantages of cost models
 Cost models are advantageous since it allows the project supervisors and key
stakeholders to know the real and estimate cost of the Kingswood lab upgrade project
hence they would prepare adequately to fund it (Oke & Aigbavboa, 2017).
Quality model
This is the most substantial part of the project.
PROJECT SPECIFICS
▪Demolition
Item
$
32,000.00
$
-
▪Covered Walkway
Item
$
2,000.00
$
-
▪Transportation Services
Item
$
60,000.00
$
-
▪CCTV
Item
$
7,500.00
$
-
▪Access Control
Item
$
12,000.00
$
-
▪Signage
Item
$
2,000.00
$
-
▪FF&E (Office and labs
only) 1,963 m2
$
60.00
$
117,780.00
SITE

INFRASTRUCTURE
Site Services
▪Connection to power
1 Item
$
20,000.00
$
20,000.00
▪Connection to water
1 Item
$
20,000.00
$
20,000.00
▪Connection to
Stormwater 1 Item
$
25,000.00
$
25,000.00
▪Connection to natural
gas 1 Item
$
15,000.00
$
15,000.00
EXTERNAL WORKS $
-
▪Landscape
Item
$
-
▪External Plant Area
Item
$
-
Advantage of the quality model
 Quality Model is an essential part in any project, it ensure that the entire standard
requirement are attained, this project is a good quality since security features are included
i.e. CCTV and also ample covered walkways and transport services. The project is
connected to natural gas, storm water, water and to power (Othman & Abdelrahim,
2019).
Function analysis sheet
Description COST BREAKDOWN
Qty Rate Sub-Total Cost/m2 Total
Base Building
Building Z Extension
1,99
8
$
1,735.00
$
-
▪Substructure 1,16
0
$
600.00
$
696,000.00
▪Columns 1,99
8
$
55.00
$
109,890.00
▪Upper Floors
838
$
215.00
$
180,170.00
▪Staircases
1
$
9,000.00
$
9,000.00

▪Roof 1,27
6
$
375.00
$
478,500.00
▪Façade
848
$
400.00
$
339,200.00
▪Internal wall
(core/circuation)
1,99
8
$
90.00
$
179,820.00
total $
10,735.00
$
1,812,760.00 $1,922,315
Building Fitout and
Services
Building Z repurpose
3,93
5
$
-
$
-
$
3,310.00
$
-
▪Laboratories (Refurb area)
419
$
1,200.00
$
502,800.00
▪Office (Refurb area)
83
$
1,010.00
$
83,830.00
▪Office (New Built area) 1,39
5 Excluded
▪Manufacturing (Refurb area)
822
$
400.00
$
328,800.00
▪Manufacturing (New Built
area) 331
$
600.00
$
198,600.00
▪Circulation (Refurb area)
613
$
200.00
$
122,600.00
▪Circulation (New Built area)
271
$
300.00
$
81,300.00
total $
3,710.00
$
1,317,930.00 $1,321,240
GROSS BUILDING COST
3,93
5
$
14,445.00 $3,244,055
PROJECT SPECIFICS
$
-
▪Demolition $
32,000.00
$
-
▪Covered Walkway $
2,000.00
$
-
▪Transportation Services $
60,000.00
$
-
▪CCTV $
7,500.00
$
-
▪Access Control $
12,000.00
$
-
▪Signage $
2,000.00
$
-
▪FF&E (Office and labs only) 1,96 $ $

3 60.00 117,780.00
$233,280
SITE INFRASTRUCTURE
Site Services
$
-
▪Connection to power
1
$
20,000.00
$
20,000.00
▪Connection to water
1
$
20,000.00
$
20,000.00
▪Connection to Stormwater
1
$
25,000.00
$
25,000.00
▪Connection to natural gas
1
$
15,000.00
$
15,000.00
$80,000
EXTERNAL WORKS $
-
▪Landscape $
-
$
-
▪External Plant Area $
-
NET CONSTRUCTION
COST (NCC)
3,93
5
$
-
$
3,557,335.00
PRELIMANRIES
▪Preliminaries and Margin
15%
$
- 533600,25
GROSS CONSTRUCTION
COST (GCC)
3,93
5
$
-
$
4,090,935.25
F.A.S.T Diagram
Function analysis system techniques diagrams are drawn to show the logical relationship among
the function and designing of a project parts. However there is no correct design of the layout
diagram for a given project since it dependent on the existing understanding of the function of
the project (Tahir & Ibrahim, 2016). It is normally developed to answer questions regarding how
and why certain project elements are placed.
Why a Fast Diagram
 It enables the project stakeholders to have a shared understanding of the project functions
 Missing functions can be identified
 The problem of the project is redefined and further clarified
 Increases creativity
 Removal of duplicated functions of the project (Wao & Kibert, 2016).

On this the F.A.S.T diagram was drawn answering the following questions
 What was the main function of the project?
 How was this function done?
 Why and was the function related to other function of the project?
FAST diagram
Idea generation and development
The Kingswood building Z-SCEM lab upgrade project basically entailed the demolition and
refurbishment of some sections, the extension of the extant portal frame and the construction of a
new two storey structure within the existing structure of building Z of the Western Sydney
University’s school of Computing, Engineering and Mathematics in Kingswood Campus
(Ibadov, 2019).
The idea was developed with the of use of project management tools such as the project phases
inclusive of the project cost, space and quality models which were evaluated by the function
analysis and FAST diagrams.
Value management report
To obtain the best value of construct, value management is crucial since it appertains scrutinizing
of client's objectives and ensure best quality product. As a result of this, this project was
governed by the main principles of value management including strengthening value orientation,