BILLS OF QUANTITIES (BOQ)
The survival of any business heavily depends on the success of commercial management. When it comes to commercial management in the construction industry, the Bill of Quantities (BOQ) is the term that brings the attention of every construction professionals and stakeholder.
It is one of the communication tools which connects the parties (Client, consultant & contractor) of the construction project. Keith defines, BOQ is a schedule which categories, details and quantifies the materials and other cost items to be used in a construction project. It is important to know that, direct costs & indirect costs are to be considered for the complete cost of the project which is covered in different parts of the BOQ.
Generally, BOQ is in tabular form which contents description, unit, quantity, rate & amount in different columns.
The description column provides a brief explanation of what to be done. For example, in the first item, the 32mm diameter CPVC pipes should be laid for cold water services in 20 bar operating pressure. Specification & drawings are other two important items to be analyzed in detail for clear understanding. Here the term engineer means the consultant for the project.
THE IMPORTANCE OF BOQ
BOQ shall be used in every phase (pre-contract & post-contract) of the project but the need of BOQ differs based on different contract agreements & projects. The major usages are listed below.
- It provides a basic idea of the project by giving the quantities to tenderers.
- It defines the extent of the work. (But it should be identified in line with drawings & specification as well).
- It gives an estimated or anticipated contract sum. (very important to the client)
- It provides a basis for the valuation of variation. (Variation is to be discussed in detail).