Preconstruction: Helping Define Project Cost, Scope and Schedule

Preconstruction Helps Define Project Cost, Scope and Schedule

Successful capital project delivery begins with early project definition. O’Neal’s proven approach to project delivery has resulted in hundreds of successful process and industrial projects. Our preconstruction services can provide owners with a formal approach for developing and executing capital projects. Our preconstruction approach defines the project scope, schedule and cost as early as possible to enable the most efficient use of resources and money. In many cases, this process helps the owner determine if the project is viable or not.

O’Neal’s preconstruction process offers value to our customers through project definition while reducing risks. By scheduling a formal review, owners are better equipped to make informed decisions about their capital investments. These services are client specific and are tailored to meet the particular requirements of the project.

“Many of O’Neal’s clients use our preconstruction process as the basis for their capital project appropriation process,” said Jeff Hall, Vice President and Process Chemical SBU Leader for O’Neal. “Our process provides the owner with a defined basis to make an informed decision. The preconstruction process takes out many of the unknowns of a project and reduces risks for the owner.”

The preconstruction process is ideal for projects that aren’t well-defined or projects that have complex design and functionality. O’Neal has successfully completed preconstruction for projects in the process chemical, industrial manufacturing, food and beverage, distribution, automotive, films and fibers, packaging and many other industries.

Upon completion of the process, O’Neal provided the owner with a firm project scope, schedule and cost estimate for the project. O’Neal utilizes preconstruction to help clients with a formal review of a capital project. The process evaluates the constructability of the project, provides a formal review and identifies opportunities for value engineering. O’Neal can also provide the owner with a number of deliverables including an execution plan, risk analysis and a procurement plan.

“Since we determine the cost and schedule of the project upfront, we can reduce the number of changes, unexpected costs and variations of schedule during the project; we can also identify early where possible problems will occur and mitigate risk,” said Hall. “Our preconstruction efforts have a significant impact on the overall projects.”

Typically O’Neal provides owners with the proper documentation they need to obtain project approval and funding. Our clients regularly use the O’Neal process to help decide whether to move forward on the project.

Preconstruction can be performed quickly—typically in eight weeks. For 1% to 3% of total project cost, O’Neal can guarantee a cost for projects of any size and scope. Cost can be guaranteed before project funding is established. To learn more about O’Neal’s preconstruction approach, please visit www.onealinc.com/preconstruction.php.

Typical Preconstruction Deliverables:
• Site analysis
• Project feasibility
• Critical path schedule
• Evaluation of utilities
• Comparison of equipment selections
• Evaluation of soil conditions
• Identification of permitting requirements and potential issues
• Value engineering/cost-saving options
• Constructability reviews