Process-Based Cost Modeling Framework and Case Study

Hung V. Nguyen1, Iris D. Tommelein2 & Paul Martin3

1 BIM Process Manager, Herrero Builders, Inc. 2100 Oakdale Ave, San Franc., CA 94124, Lecturer, Civil and Envir. Engrg. Dept., UC Berkeley, [email protected],
2 Professor, Civil and Envir. Engrg. Dept., Director, Project Production Systems Lab., Univ. of California, Berkeley, CA 94720-1712, +1 510 643-8678, [email protected], 6596
3Project Exec. at XL Construction, Inc. 343 Sansome St. Suite 505 San Franc., CA 94104, Adj. Professor, UC Davis Extension, California, [email protected],


This paper provides a theoretical basis with reasons why traditional cost modeling methods are insufficient to support project delivery whereby product and process design are integrated and rapid cost feedback facilitates trade off analysis between multiple design alternatives. Traditional cost models do not sufficiently reflect cost changes due to changes in process design. This prompted our research into an alternative cost modeling method able to: (1) specify cost changes due to changes in product design, (2) specify cost changes due to changes in process design, and (3) provide rapid cost feedback to assist decision making during design/planning phases. This led to developing the Processbased Cost Modeling (PBCM) framework that is presented in this paper. The PBCM framework includes three phases: (1) collecting process and cost data, (2) mapping this data to Building Information Model (BIM) objects, and (3) providing cost feedback during design. The key contribution of this framework for modeling cost is that it takes into account product and process design features and can thus serve integrated project delivery teams while they explore production system design alternatives


Process-based Cost Modeling, Cost Estimating, Target Value Design, Lean construction



Nguyen, H. V. , Tommelein, I. D. & Martin, P. 2018. Process-Based Cost Modeling Framework and Case Study, 26th Annual Conference of the International Group for Lean Construction , 46-57.

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