Life cycle costing (LCC) as a contribution to sustainable construction ...

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Towards a common European methodology for Life Cycle Costing (LCC) – Guidance Document Contents Overview ........................................................................................ 1 1 Introduction ................................................................................... 2 2 Introduction to Life Cycle Costing............................................... 3 3 Overview of the Common LCC Methodology.............................. 9 4 The Common Methodology in public procurement .................. 13 5 Further guidance on the application of the LCC Methodology in construction ................................................................................ 18 Appendix A: Case Studies of Common Uses of LCC ........................ 34 6 Introduction to case studies........................................................... 34 7 Application of LCC methodology to a project for two facilities (new - build and refurbishment) for major FM provider in the UK.............. 35 8 Digi-house (Digitalo) – office building in Otaniemi for Senate Properties in Finland ..................................................................... 39 9 Application of LCC methodology to a project for Maximilien Perret College for Region Ile-de-France in Alfortville, France................... 42 10 Application of LCC methodology to a project for an office building for Ministry of Finance in the Netherlands .......................................... 45 11 Application of LCC methodology to a hospital building in Porsgrunn - - for Norway’s Directorate of Public Construction - Statsbygg........ 48 12 Application of LCC methodology to Museum of World Culture in Gothenburg in Sweden.................................................................. 52 13 Integration of LCC into tenders for infrastructure projects – e.g. A4 Burgerveen - Leiden for Dutch Ministry of Transport, Public Works & Water Management ........................................................ 55 Davis Langdon Management Consulting May 2007
Towards a common European methodology for Life Cycle Costing (LCC) – Guidance Document 1 Overview This guidance document is intended to be used in conjunction with the companion document A common European methodology for Life Cycle Costing (the Methodology). It provides practical guidance on the potential uses and the benefits to be gained from using Life Cycle Costing (LCC) in construction, illustrated with a number of case studies from the use of LCC across Europe. It pays particular attention to the use of LCC in public construction procurement, though the principles and key elements are equally applicable to the private sector also. The Methodology is based on a generic process that has discrete steps or stages. These are described in detail in the Methodology document. While the Methodology represents a complete process for the application of LCC in construction, in practice – and depending on the purpose of LCC and the level of detailed analysis required – some of the steps/stages may be combined and/or omitted. This guidance document is supported by case studies of the recent use of LCC on a range of construction projects in Europe. The case studies cover different approaches to LCC in different project settings, and illustrate particular instances of the use of the Methodology. These are provided in Annex A. Davis Langdon Management Consulting May 2007
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