NRM 1 - Order of Cost Estimating and Cost Planning for Capital Building Works: NRM 1 (New Rules of Measurement)

Product Information

NRM is designed to seamlessly integrate with the RIBA Plan of Work. It aligns cost estimating and cost planning stages with the RIBA Plan of Work’s various stages. This alignment ensures that cost estimates and plans are prepared at the right points in the project lifecycle, enhancing decision-making and budget control. Benefits of Implementing NRM NRM facilitates benchmarking, enabling professionals to compare costs and performance across projects. This data-driven approach allows organisations to identify areas for improvement and optimise their construction processes. By assessing historical data, they can set realistic performance expectations for future projects. Effective Procurement

NRM2 employs a similar recommended Work Breakdown Structure as NRM1, albeit at a more granular level of detail. This compatibility enables NRM2 to also be aligned with ICMS, further enhancing its versatility and global applicability. NRM and the RIBA Plan of Work: A Project Lifecycle FrameworkThe differences between the main contractor’s preliminaries, overheads and profit of the source cost data and the current scheme. NRM1 suggests that these be considered separately, but they are rarely identified in tenders and so they are included with the works costs in BCIS analyses. Part3isalsoexplanatoryregardingthepurposeandprocessesofelementalcostplanningalongwithrulesofmeasurementthatapplytoputtinganelementalcostplantogether. With this trio of documents, the NRM suite equips professionals with the knowledge and tools required to navigate the complexities of construction projects, from initial estimates to ongoing maintenance, all while promoting a culture of standardisation and collaboration within the industry. The Synergy Between NRM, ICMS, and the RIBA Plan of Work The following worked example base date is the second quarter of 2020 (2Q20) with no allowance for tender inflation, construction inflation or value-added tax (VAT). Due to the higher specification finishes required, upper quartile cost data for Chelmsford, Essex has been used. Ref

CookieYes sets this cookie to record the default button state of the corresponding category and the status of CCPA. It works only in coordination with the primary cookie. In any event, I found myself listening to a range of speakers lyricising about how the new rules and standards will change how quantity surveyors operate. It seemed that Nirvana was being revealed to us; a new world of accurate cost estimates, clear and transparent cost data and measurable whole life value. The range of benefits seemed endless: from the basic (updating of SMM7) to the aspirational (alignment with building information modelling, the OGC Gateway process, modern methods of construction, new procurement routes and international reach). Even the token developer was supportive, if only because it allowed him to ask what his QSs really do to justify their fee. The adoption of the New Rules of Measurement (NRM) offers a multitude of benefits that resonate throughout the project lifecycle. Cost Control and Accuracy The need to produce a robust budget that reflects the client’s brief and informs the design was highlighted in Riva Properties Ltd & Ors v Foster + Partners Ltd [2017] EWHC 2574 (TCC). Here, the client successfully sued the designer for abortive fees on a hotel project that did not proceed as the design could not have been realised on budget. The judge noted that the designers should 'confirm the client’s key requirements and constraints' and that 'the client’s budget for the project is plainly a constraint'.

Follow University of Huddersfield

Part1contextualisesapproximateestimatingandcostplanningintermsoftheRIBAandOGCprocessmodelsandalsoexplainscertainsymbolsandabbreviations.Theimportantaspectsofthispartarethedefinitionsoftermsusedintherules. The RIBA Plan of Work is a widely recognised framework in the UK construction industry. It organises the management and design of building projects into several key stages, from initial concept to final delivery. The RIBA Plan of Work offers a structured approach to project management and design, ensuring that key milestones and decisions are made at the appropriate stages. The cost limit is the maximum amount that the employer is prepared to spend in relation to the project.