Life Cycle Cost Integrative Management in Construction Engineering

Best life cycle cost (LCC) is a very important target for construction engineering, but there are substantial evidences that life cycle cost integrative management (LCCIM) doesn't do well in construction engineering up to now. A three-dimensional matrix based on Project Breakdown Structure (PBS) in different stages is constructed after review of previous studies on LCC, one dimensional presents Cost Breakdown Structure (CBS) which contains LCC, one dimensional presents cost management process which contains four management functions, including forecast, plan, implementation and feedback, the last presents PBS. Then cost integrative management by the nodes of PBS can be realized in one phase, the same to LCCIM based on mapping relations of PBS nodes in different phases. Furthermore, responsibility system is constructed based on mapping relationship between cost and contracts. All cost can be classified into three styles: one part is based on contractual relationship between client and contractors; the second part is based on the relationship between client and government or some other industry institutes, etc; the third part is from inter organization of client. All latter two styles are regarded as special contractual relationship in this paper. The mapping relationship between LCC and contracts is also the basic for information integration by setting unified code system. At last the method of LCC information integrative management is supplied for supporting LCCIM.