EVALUATION OF CONSTRUCTION IMPLEMENTATION ON WAREHOUSE RECEIPT BUILDING USING TIME COST TRADE-OFF ANALYSIS METHOD

Case Study of Warehouse Building Project at Tumpang, Indonesia

Abstract

Planning is the most important thing in achieving a construction project’s success. The effect of planning towards a construction project will impact on its revenue. It is underlined by numerous circumstances in construction projects stating that a good planning can save project costs up to ± 40 %, conversely, an ill-considered planning can cause budget leakage up to ± 40 %. Within the planning of a project, cost variable plays a crucial role apart from time variable and resource variable. Cost is one of the most essential aspect in management, where the costs that might arise must be controlled to be as low as possible. Cost management must also consider time factor, because there is a strong correlation between project completion time with the involved project costs. Often times, a project must be finished earlier than normal. In this case, the project leader is faced with a matter of accelerating the project completion time with a minimum budget. Therefore, the relationship between cost and time needs to be studied along with the Time Cost Trade Off Analysis. Based on the practice of Time Cost Trade Off method on this construction, it can optimally reduce the time duration by increasing human resources and project costs. The initial duration of this project which was 114 days turned to 93 days, cutting 21 days off from the normal schedule. The project cost of the normal schedule accounts to IDR 2.618.449.000,- whereas after the Time Cost Trade Off analysis is carried out with an additional direct cost of IDR 28.953.213,-, the total project cost is calculated to IDR 2.647.402.213,-.