Decision Variables and Assumptions
Relationship between Construction Administration Quality and Administration Cost
A construction team consisting of sufficient crew members could improve construction quality and consume a reasonable cost, but the construction team hardly impacts on construction productivities. Therefore it is assumed that administration cost and administration quality are an approximate linear function:
where actual quality level of construction administration
in activity
,
minimum quality level of construction administration
in activity
maximum quality level of construction administration
in activity
minimum cost of construction administration
in activity
maximum cost of construction administration
in activity
actual cost of construction administration
in activity,
Since work overtime might increase administration cost, the construction administration cost will be modified by factor :
where administration cost modification factor during work overtime because of extra or additional construction equipment,
;
administration hourly cost rate factors in activity
when overtime working is applicable, usually
.