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Elements and Performance Criteria

  1. Quantify and qualify factors to be included in the organisation costing system.
  2. Establish and implement organisational costing system.
  3. Establish and implement a costing quality control system.
  4. Develop and implement a costing feedback system.
  5. Establish recording and costing evaluation system.

Required Skills

Required skills

Required skills for this unit are

communication skills to

enable clear and direct communication using questioning to identify and confirm requirements share information listen and understand

read and interpret documents from a variety of sources

seek approval from senior management

seek feedback

train staff

use and interpret nonverbal communication

use language and concepts appropriate to cultural differences

written skills to complete relevant documentation

conceptualisation of unique solutions to complex problems and situations

facilitation skills to implement new and modified systems

interpretation of strategic and often ambiguous information to ensure logical and practical decisions

management skills including the ability to delegate tasks within specific functional guidelines and direct activities of personnel involved in the estimating and tendering process

numeracy skills to apply calculations to interpret costs

supervisory skills to monitor and oversee the performance of systems and individuals involved in the process

technological skills to facilitate use of the organisations software and office equipment

Required knowledge

Required knowledge for this unit is

appropriate sector of the building and construction industry and the nature of contracts upon which its activities are based

factors to be considered in assessing the risk inherent in different types of building and construction projects

financial and business administration principles commensurate with organisational needs

human resource practices and industrys industrial relations climate and practices

socioeconomic and political factors which determine the climate in that sector of the building and construction industry

Evidence Required

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria required skills and knowledge range statement and the Assessment Guidelines for the Training Package

Overview of assessment

This unit of competency could be assessed by the development and implementation of an organisational construction costing system This should include relevant aspects of the monitoring process to ensure continued financial viability of the organisation

This unit of competency can be assessed in the workplace or a close simulation of the workplace environment provided that simulated or projectbased assessment techniques fully replicate construction workplace conditions materials activities responsibilities and procedures

Critical aspects for assessment and evidence required to demonstrate competency in this unit

A person who demonstrates competency in this unit must be able to provide evidence of the ability to

implement effective cost development and monitoring system

apply management practices that result in a high level of staff productivity

interact effectively with personnel both within and external to the organisation

develop conceptual and strategic problem solving and systems

communicate effectively both verbally and in writing with senior management employees clients regulatory authorities and legal representatives

Context of and specific resources for assessment

This competency is to be assessed using standard and authorised work practices safety requirements and environmental constraints

Assessment of essential underpinning knowledge will usually be conducted in an offsite context

Assessment is to comply with relevant regulatory or Australian standards requirements

Resource implications for assessment include

documentation that should normally be available in either a building or construction office

relevant codes standards and regulations

office equipment including calculators photocopiers and telephone systems

computers with appropriate software to view D CAD drawings run costing programs and print copies

current publications on measurement design building construction and manufacturers product literature

copies of appropriate awards and workplace agreements

a suitable work area appropriate to the construction process

Reasonable adjustments for people with disabilities must be made to assessment processes where required This could include access to modified equipment and other physical resources and the provision of appropriate assessment support

Method of assessment

Assessment methods must

satisfy the endorsed Assessment Guidelines of the Construction Plumbing and Services Training Package

include direct observation of tasks in real or simulated work conditions with questioning to confirm the ability to consistently identify and correctly interpret the essential underpinning knowledge required for practical application

reinforce the integration of employability skills with workplace tasks and job roles

confirm that competency is verified and able to be transferred to other circumstances and environments

Validity and sufficiency of evidence requires that

competency will need to be demonstrated over a period of time reflecting the scope of the role and the practical requirements of the workplace

where the assessment is part of a structured learning experience the evidence collected must relate to a number of performances assessed at different points in time and separated by further learning and practice with a decision on competency only taken at the point when the assessor has complete confidence in the persons demonstrated ability and applied knowledge

all assessment that is part of a structured learning experience must include a combination of direct indirect and supplementary evidence

Assessment processes and techniques should as far as is practical take into account the language literacy and numeracy capacity of the candidate in relation to the competency being assessed

Supplementary evidence of competency may be obtained from relevant authenticated documentation from third parties such as existing supervisors team leaders or specialist training staff


Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Strategic factors impacting on the construction costing process include:

availability and accessibility of historical records

availability of materials and suppliers costs

awards, agreements and work practices

construction methodologies and practices

extent of information and anticipated degree of risk

margins, allowances, rates and penalties

organisational performance data

plant, equipment and provision of services.

Strategic and operational factors impinging on organisation costing processes include:

ability to gather specific information concerning actual versus estimated costs

establishment of internal and external performance management systems

relationships with organisation's financial management and construction management systems.

Criteria for implementing and maintaining systems concerned with costing the construction process include:

establishing and maintaining accurate estimating practices

gathering and classifying appropriate strategic and performance information

using the services of well trained and experienced personnel in the costing process.

Quality control procedures for maintaining costing involve obtaining adequate feedback from clients, subcontractors and suppliers and include:

establishing performance benchmarks for system

maintaining a quality dialogue with parties to construction process

monitoring internal expenditure and funding allocations.

Evaluation of recording system and costing system includes:

establishing and maintaining comprehensive records of bids

maintaining appropriate manual or electronic databases to assist performance comparisons

programmed and spontaneous reviews of success rates

providing secure and safe accommodation for costing information.