ASTM E1946-12
Standard Practice for Measuring Cost Risk of Buildings and Building Systems and Other Constructed Projects

Standard No.

ASTM E1946-12

Release Date

2012

Published By

American Society for Testing and Materials (ASTM)

Status

Be replaced

Replace By

ASTM E1946-18

Latest

ASTM E1946-18(2023)

Scope

Measuring cost risk enables owners of buildings and other constructed projects, architects, engineers, and contractors to measure and evaluate the cost risk exposures of their construction projects. Specifically, cost risk analysis (CRA) helps answer the following questions:

What are the probabilities for the construction contract to be bid above or below the estimated value?

How low or high can the total project cost be?

What is the appropriate amount of contingency to use?

What cost elements have the greatest impact on the project’s cost risk exposure?

CRA can be applied to a project's contract cost, construction cost (contract cost plus construction change orders), and project cost (construction cost plus owner's cost), depending on the users' perspectives and needs. This practice shall refer to these different terms generally as “project cost.”

1.1 This practice covers a procedure for measuring cost risk for buildings and building systems and other constructed projects, using the Monte Carlo simulation technique as described in Guide E1369.

1.2 A computer program is required for the Monte Carlo simulation. This can be one of the commercially available software programs for cost risk analysis, or one constructed by the user.

ASTM E1946-12 Referenced Document

• ASTM E1369 Standard Guide for Selecting Techniques for Treating Uncertainty and Risk in the Economic Evaluation of Buildings and Building Systems
• ASTM E1557 Standard Classification for Building Elements and Related Sitework-UNIFORMAT II
• ASTM E2103 Standard Classification for Bridge Elementsmdash;UNIFORMAT II
• ASTM E2168 Standard Classification for Allowance, Contingency, and Reserve Sums in Building Construction Estimating
• ASTM E631 Standard Terminology of Building Constructions
• ASTM E833 Standard Terminology of Building Economics*， 2024-04-19 Update

ASTM E1946-12 history

• 2023 ASTM E1946-18(2023) Standard Practice for Measuring Cost Risk of Buildings and Building Systems and Other Constructed Projects
• 2018 ASTM E1946-18 Standard Practice for Measuring Cost Risk of Buildings and Building Systems and Other Constructed Projects
• 2012 ASTM E1946-12 Standard Practice for Measuring Cost Risk of Buildings and Building Systems and Other Constructed Projects
• 2007 ASTM E1946-07 Standard Practice for Measuring Cost Risk of Buildings and Building Systems
• 2002 ASTM E1946-02 Standard Practice for Measuring Cost Risk of Buildings and Building Systems
• 1998 ASTM E1946-98 Standard Practice for Measuring Cost Risk of Buildings and Building Systems