Quality Control of Cost Estimation Process in Construction Organizations

Abstract

Quality has been emerged in the 1980s as the top strategic issue in industry.Statistical process control (SPC) is an important element of total quality management(TQM).Though SPC techniques were originally developed for manufacturing, they havebeen successfully applied to certain administrative and service functions. The objectiveof this research is to demonstrate the applicability of SPC techniques for quality controland improvement in engineering organizations involved in construction (implementingprojects). One of the most important processes to be controlled in construction projects(cost estimation process) has been focused on. The technique of controlling such aprocess has been defined depending on reviewing the subject in the previous studies.Adopting individual measurement charts is reached as the technique used to control thisprocess statistically. Practical data, represented as a list of projects implemented in 2002by the State Company for Transportation Projects together with their estimated andactual costs, have been obtained and considered for this purpose (through applyingindividual measurement charts as a suitable technique for controlling processesstatistically) showing the applicability of SPC techniques in engineering constructionorganizations which undertake projects along long period of time.