A Study on Cost Optimization of Construction Projects by Using Advanced Methods and Materials

Cost Optimization is a continuous process that should be carried out throughout the construction period to ensure that the cost of the project is within an allotted budget. Time and cost are two of the most critical factors in any construction project. Construction cost tends to increase with the project duration. The objective of this study was to find out the factors that contribute to the optimization of construction costs in building construction projects in India. The study was conducted during the period from April 2020 to September 2024. Data were collected through field observation, in-depth interviews, focus group discussions and questionnaire surveys were the major tools for the investigation of this study. The findings were analysed in nine categories: project related factors, design related factors, owner related factors, consultant related factors, contractor related factors, material related factors, labour related factors, equipment related factors, and external factors. The study found some key factors related to time and cost overrun, optimizing cost of construction and the strategies to optimize project costs. The most important strategy to optimize the construction cost are effective cost planning and control, development of proper monitoring and tracking system, sound working environment, recording daily work progress, using time cost trade off, follow plan-do-check-act quality policy, hire skilled labour and effective supervision. The study concludes that constructability and value engineering principles should be adopted in construction projects.