Acknowledgement
This research was supported by Basic Science Research Program through the National Research Foundation of Korea(NRF) funded by the Ministry of Education, Science and Technology (No.2012R1A1A2021826)
International conference on construction engineering and project management (국제학술발표논문집)
- 2013.01a
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- Pages.141-144
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- 2013
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- 2508-9048(eISSN)
A STUDY ON CONSTRUCTION SCHEDULE OPTIMIZATION INTEGRATING WITH CASH-FLOW
- Hyung-Guk Lee (School of Architecture and Civil Engineering, Kyungpook National University) ;
- Dong-Pil Shin (School of Architecture and Civil Engineering, Kyungpook National University) ;
- Sung-Hoon An (Department of Architectural Engineering, Daegu University) ;
- Dong-Eun Lee (School of Architecture and Civil Engineering, Kyungpook National University)
- Published : 2013.01.09
Abstract
This paper presents a system called a Cash-flow based Construction Schedule Optimization system(CfSO). The existing CPM effectively handles schedule and cost management. However, funding strategy should be considered to obtain maximum profit and to progress a project favorably. One of measures is to coordinate the contract terms between owner and subcontractors (or suppliers). Contractor may decrease the interest cost attributed to project financing by adjusting the timing of cash-inflows and cash-outflows. It is an excellent method maximizing profits. This paper presents a method to estimate the amount of a cash-flow occurred periodically by integrating the terms of contract into scheduling. The proposed method is implemented as a system prototype in Microsoft Excel. This system provides a user an automated tool that identifies an optimal schedule that secures maximum profit by adjusting start and finish times of non-critical activities' free-floats without affecting on the project completion time. This system supports a project manager to establish an optimum project schedule and identifies profitable contractual conditions against to a construction owner.