• International conference on construction engineering and project management
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• 2005.10a
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• pp.1112-1117
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• 2005

Construction cost index is generally used to estimate the new project cost based on past construction data and to adjust contract cost when the price change of various articles and items of expenditure composing the contract occurs. In Korea, it is mostly used for adjustment of construction contract cost due to fluctuation of prices. However index adjustment rate which is used for adjustment of construction contract cost had some problems in calculating cost index of each expenditure item that could not reflect properly the change of construction cost. For supplementing these problems, the research of developing construction cost index has been executed. Through the precedent research, these problems were partially resolved but still remain. Therefore this research proposes method of making cost index that utilizes representative items of labor, material, and equipment by analyzing bill of quantity of road construction, through analysis and comparison of precedent study. By using this method, it is expected to solve problems which were not reflected in precedent studies.

• IE interfaces
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• v.17 no.spc
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• pp.1-10
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• 2004

The purpose of this paper is to reorganize cost adjustment factors of software development projects in estimating software development cost, and derive adjustment coefficients of application types and language types by analytical hierarchy process. We constructed a decision-making hierarchy of various criteria which determine the complexity of application types and language types, and conducted a survey on the pairwise comparison among alternatives. Finally, the cost adjustment coefficients of application types and language types were derived by analytic hierarchy process. This paper is the first study in which the analytic hierarchy process was applied to the field of estimating cost adjustment factors of software development projects.

• Journal of Information Technology Services
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• v.8 no.2
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• pp.43-70
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• 2009

As software development and maintenance cost increase quickly, information systems managers are more concerned about how to effectively manage software cost. To estimate the software development cost, most public institutes of Korea use the software cost estimation standard established by the government. Unfortunately, the accuracy of the estimation derived from the standard has not been satisfactory in spite of repetitive modifications made to improve it. One of the major reasons for the inaccuracy is that the standard has too small a number of cost adjustment factors to reflect the various characteristics of a software development project. To remedy this problem, we propose new cost adjustment factors which can be incorporated into the standard and are important to enhance the estimation accuracy, based on the analysis of several well-known software estimation models. Furthermore, by applying the proposed model to real world software projects, we show that the proposed model can produce more accurate estimates than the current standard.

• 시스템엔지니어링워크숍
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• s.1
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• pp.60-64
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• 2003

In this study, we have analyzed the cost of korea high-speed railway system. The predicted cost in planning phase and adjustment data to 5th year are collected. Then, predicted cost is compared with adjustment in year/item/system base. We make a project history table for criteria to review project history and research & development activity. We have developed CBS(cost breakdown structure) and allocated adjustment data to them. It is shown that cost prediction related to research & development activity in planning phase is relatively correct.

• Proceedings of the KSR Conference
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• 2002.10a
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• pp.376-381
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• 2002

In this study, we have analyzed the cost of korea high-speed rail project. The predicted cost in planning phase and adjustment data to 5th year are collected. Then, predicted cost is compared with adjustment in year/item/system base. We make a project history table for criteria to review project history and research ＆ development activity. We have developed CBS(cost breakdown structure) and allocated adjustment data to them. It is shown that cost prediction related to research St development activity in planning phase is relatively correct.

• Journal of Korean Society for Quality Management
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• v.32 no.1
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• pp.144-154
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• 2004

The bounded adjustment is known to be more efficient than repeated adjustment when the cost is incurred for engineering process control. The procedure of the bounded adjustment is to adjust the process when the one-step predicted deviation exceeds the adjustment limit by the amount of the prediction. In this paper, two run rules are proposed and studied In order to improve the efficiency of the traditional bounded adjustment procedure. The efficiency is studied in terms of the standardized cost through Monte Carlo simulation when the procedure is operated with and without the run rules. The adjustment procedure operated with run rules turns out to be more robust for changes in the process and cost parameters.

• KDI Journal of Economic Policy
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• v.44 no.1
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• pp.77-98
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• 2022

This paper empirically verifies that the types of capital adjustment costs serve as an important mechanism in relation to investment decision-making after confirming that the investment dispersion of Korean firms is pro-cyclical and can affect business cycles. Specifically, it is found through empirical methods using corporate financial data that capital adjustment costs generally assumed to take a quadratic form in macroeconomics are asymmetric and irreversible in the Korean economy. In particular, capital adjustment costs are empirically proven to cause investment dispersion to expand given that the substitution effect of the marginal value to the marginal cost for one unit of investment in the inter-temporal investment decision is affected by that cost with regard to the resale of owned equipment assets, as opposed to new investments in equipment assets. We ultimately show, albeit indirectly, that investment dispersion can affect business cycles as capital adjustment costs influences investment decisions. What is implied is that the capital adjustment cost is not merely an exogenously deep parameter that fits the dynamics of business cycles in a macroeconomic model but could instead be a policy variable that can be endogenized through government policies.

• Proceedings of the Safety Management and Science Conference
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• 1999.11a
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• pp.237-246
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• 1999

An important problem in process adjustment using feedback is how often to sample the process and when to apply an adjustment. Schemes designed to minimize the overall cost. The cost taken the frequency with which they require observations to be made, and the resulting overall length of time between adjustment. In this article, the process adjustment which is based on the adaptive EWMA forecasts are derived. An example is presented to improve confirm standard varation through the analysis of a data series.

• Proceedings of the Korean Society for Quality Management Conference
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• 2004.04a
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• pp.413-418
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• 2004

The bounded adjustment is known to be more efficient than repeated adjustment when the cost is incurred for engineering process control. The procedure of the bounded adjustment is to adjust the process when the one-step predicted deviation exceeds the adjustment limit by the amount of the prediction. In this paper, two run rules are proposed and studied in order to improve the efficiency of the traditional bounded adjustment procedure. The efficiency is studied in terms of the standardized cost through Monte Carlo simulation when the procedure is operated with and without the run rules. The adjustment procedure operated with run rules turns out to be more robust for changes in the process and cost parameters. The Markov chain approach for calculating the properties of the run rules is also studied.

• Architectural research
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• v.11 no.2
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• pp.43-49
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• 2009

Since the late 1980s, the schedule technique applied to the construction industry around the world has rapidly changed from the traditional ADM (Arrow Diagramming Method) to the PDM (Precedence Diagramming Method) technique. The main reason for this change is to overcome the limits and inconveniences of the traditional ADM technique. The time-cost trade-off is one of the core scheduling techniques to establish the best optimized combination plan in terms of a relationship between the cost and schedule. However, most of the schedule-related textbooks and research papers have discussed and proposed applications of a time-cost trade-off technique based only on the Finish to Start relationship. Therefore, there are almost no consideration and discussion of problems or restrictions that emerge when the time-cost trade-off technique is applied to the PDM network that has overlapping relationships. This paper proposes the lead-time adjustment method as a methodology for overcoming some restrictions that are encountered when the time-cost trade-off technique is applied to the overlapping relationships of the PDM network.