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PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project Vol. X, Issue I January 2021 by Tony Noorwicaksono www.pmworldjournal.com Featured Paper © 2021 Tony Noorwicaksono www.pmworldlibrary.net Page 1 of 31 Building Multidimensional Standardized Work Breakdown Structure, Cost Breakdown Structure, and Cost Estimation of The Battery Laboratory Project 1 Tony Noorwicaksono ABSTRACT The Company, as an energy provider, has the intention to engage in the battery manufacturing business by setting up a battery laboratory. Building the laboratory needs a standardized Work Breakdown Structure (WBS) or cost breakdown structure (CBS) to make better estimates, project execution plan, and reliable database. This paper aims to build multidimensional standardized WBS/CBS, cost estimation of battery laboratory, and cost breakdown for contractors. The method used to determine the selection of tables on the international WBS/CBS standard (OmniClass) uses chip voting. The cost estimation uses steps from the GAO Cost Estimating & Assessment Guide and templates from the Cost Estimating Requirements Handbook in the National Park Service (NPS). The result shows that the OmniClass tables used in WBS/CBS are tables 11, 13, and 22. The estimate obtained to build this battery lab is $ 1,049,591, with an area of 600m2 and the cost breakdown for the contractor using class A from the NPS template. The Company is recommended to use a standardized WBS/CBS to generate more organized and reliable data used in the next project. Key words: Cost Estimate, WBS, CBS, Laboratory, OmniClass, Chip Voting, GAO, NPS INTRODUCTION 1. 1. Lithium-Ion Battery "A team of global scientists started to create what would become the lithium-ion battery in the late 1970s, a form of rechargeable battery that would ultimately power anything from portable electronics to electric cars and cell phones." 2 For their work in creating this battery, three scientists, John B. Goodenough, M. Stanley Whittingham, and Akira Yoshino, were awarded the 2019 Nobel Prize in Chemistry. "The 1 How to cite this paper: Noorwicaksono, T. (2020). Building Multidimensional Standardized Work Breakdown Structure, Cost Breakdown Structure, and Cost Estimation of The Battery Laboratory Project; PM World Journal, Vol. X, Issue I, January. 2 Liu, Z., Says, M., Chaney, M., Says, M., Lumayag, M., Says, R., & Chhabda, R. (2019, October 11). The History of the Lithium-Ion Battery. Retrieved November 14, 2020, from https://www.thermofisher.com/blog/microscopy/the-history-of-the-lithium-ion-battery/

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Page 1: Building Multidimensional Standardized Work Breakdown … · 2021. 1. 2. · Building Multidimensional Standardized Work Breakdown Structure, Cost Breakdown Structure, and Cost Estimation

PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project

Vol. X, Issue I – January 2021 by Tony Noorwicaksono

www.pmworldjournal.com Featured Paper

© 2021 Tony Noorwicaksono www.pmworldlibrary.net Page 1 of 31

Building Multidimensional Standardized Work Breakdown Structure, Cost Breakdown Structure, and Cost Estimation of The Battery

Laboratory Project 1

Tony Noorwicaksono ABSTRACT

The Company, as an energy provider, has the intention to engage in the battery manufacturing

business by setting up a battery laboratory. Building the laboratory needs a standardized Work

Breakdown Structure (WBS) or cost breakdown structure (CBS) to make better estimates, project

execution plan, and reliable database.

This paper aims to build multidimensional standardized WBS/CBS, cost estimation of battery laboratory, and cost breakdown for contractors. The method used to determine the selection of tables on the international WBS/CBS standard (OmniClass) uses chip voting. The cost estimation uses steps from the GAO Cost Estimating & Assessment Guide and templates from the Cost Estimating Requirements Handbook in the National Park Service (NPS). The result shows that the OmniClass tables used in WBS/CBS are tables 11, 13, and 22. The estimate obtained to build this battery lab is $ 1,049,591, with an area of 600m2 and the cost breakdown for the contractor using class A from the NPS template. The Company is recommended to use a standardized WBS/CBS to generate more organized and reliable data used in the next project. Key words: Cost Estimate, WBS, CBS, Laboratory, OmniClass, Chip Voting, GAO, NPS

INTRODUCTION

1. 1. Lithium-Ion Battery

"A team of global scientists started to create what would become the lithium-ion battery in the late 1970s, a form of rechargeable battery that would ultimately power anything from portable electronics to electric cars and cell phones."2

For their work in creating this battery, three scientists, John B. Goodenough, M. Stanley Whittingham, and Akira Yoshino, were awarded the 2019 Nobel Prize in Chemistry. "The

1 How to cite this paper: Noorwicaksono, T. (2020). Building Multidimensional Standardized Work Breakdown

Structure, Cost Breakdown Structure, and Cost Estimation of The Battery Laboratory Project; PM World Journal,

Vol. X, Issue I, January. 2 Liu, Z., Says, M., Chaney, M., Says, M., Lumayag, M., Says, R., & Chhabda, R. (2019, October 11). The

History of the Lithium-Ion Battery. Retrieved November 14, 2020, from

https://www.thermofisher.com/blog/microscopy/the-history-of-the-lithium-ion-battery/

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PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project

Vol. X, Issue I – January 2021 by Tony Noorwicaksono

www.pmworldjournal.com Featured Paper

© 2021 Tony Noorwicaksono www.pmworldlibrary.net Page 2 of 31

lightweight, rechargeable, and the efficient battery is now used in everything from cell phones to laptops and electric vehicles. It can also store significant amounts of energy from solar and wind power, making possible a fossil fuel-free society."3

In Indonesia, to accelerate the implementation of an electric vehicle for road transport, the government issued Presidential Regulation No 55 in August 2019, providing incentives fiscal and non-fiscal for electric vehicle manufacturing, components industry, and end-user / customer. Since the battery is a primary component in Electric Vehicles (EV), which contributes around 40-50% of EV's total cost, these incentives will benefit battery manufacturing to improve business economics.

Figure 1. Driver for Entering Lithium-Ion Battery Business4

Based on the battery business shown in Figure 1, There are four key drivers for the Company to enter it, namely:

1) In the automotive application, It is a high growth potential. Additionally, Indonesia's

strategic advantages also provide an additional driver to enter the business (to be

discussed further in the supply section)

2) To support the government's ambition of developing the EV and Electric Motor Cycle

(EMC) industry in Indonesia, along with the entire value chain (including batteries)

3) To diversify the business to be a world-class energy company

4) To hedge against the risk of oil and gas decline/price fluctuation and decrease the

dependence on imported oil as a fuel source.

3 Ibid 4 ADL. (2019). Battery Cell Manufacturing in Indonesia Report.

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PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project

Vol. X, Issue I – January 2021 by Tony Noorwicaksono

www.pmworldjournal.com Featured Paper

© 2021 Tony Noorwicaksono www.pmworldlibrary.net Page 3 of 31

Besides four key drivers above and supporting the Government program, the Company as an energy provider has the intention to engage in the battery manufacturing business by setting up a pilot Li-ion battery manufacturing plant. To implement that project, the Company will build a battery laboratory to enhance skill and knowledge in the business battery.

1. 2. Laboratory

"Build a laboratory has differences with a conventional building, office, or academic facility.

Some of these distinctions include; schedule, Floor elevations, environmental requirements,

equipment space, water treatment, floor structure, air circulation, system redundancy, cost"5.

1) Schedule. For research or laboratory buildings, the construction schedule may take an

average of six months longer to complete than the standard academic building. It depends

on program size and the complexity of the facility. Plan and include this additional time frame

in the development schedule and the project's first planning model. Consult with industry

experts (architects and construction managers) to obtain the project requirements' best

knowledge. Do not depend on the rules of thumb when detailed project knowledge is

inaccessible.

2) Floor elevations. More air ductwork and plumbing services are needed for supply and return.

The floor-to-floor heights for a research facility are more significant than for a typical

academic building.

3) Environmental Requirements. The research facility must comply with stringent

environmental standards for the filtration of air sources, handling exhaust air, the storage of

solvents and chemical elements, and the treatment of laboratory wastewater and unique

wastewater systems.

4) Equipment Space. Depending on the particular construction program, a traditional university

building may or may not have a basement. A research facility typically needs a deep

basement—20 feet or more below ground level—to house electrical and mechanical

equipment, including large air handling units, boilers, electrical switchgear, chillers, and

emergency generators.

5) Water treatment. Nontraditional plumbing features, such as storm drainage systems and

sanitary, laboratory drainage, domestic and non-potable hot and cold water systems, and

filtered water systems, are typically required by a research facility. Simultaneously, there will

only be sanitary and storm drainage systems and hot/cold domestic water for a typical

academic building.

5 Lab Buildings Pose Tests. (2008, January 01). Retrieved November 14, 2020, from

https://www.facilitiesnet.com/educationalfacilities/article/Lab-Buildings-Pose-Tests--8066

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PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project

Vol. X, Issue I – January 2021 by Tony Noorwicaksono

www.pmworldjournal.com Featured Paper

© 2021 Tony Noorwicaksono www.pmworldlibrary.net Page 4 of 31

6) Floor structure. Laboratory buildings call for rigid structural floor design to mitigate vibration

problems for sensitive instruments and experiments. There would be a more relaxed

vibration requirement for a traditional academic building, which results in less structural

framing and thinner floor slabs.

7) Air circulation. The academic building uses devices that re-circulate the air supply back to

the air handling facility, re-temperate, and return to the classroom. The supply air of a

research facility cannot be re-circulated due to the potential for pollutants. As a result, a

massive amount of air must be heated and cooled and then exhausted into the atmosphere.

8) System redundancy. The research facility needs to be fitted with fully redundant systems. If

one power source is disabled, it will automatically turn to the other, and there will be no loss

of power to the facility. Likewise, for critical loads such as boilers, chillers, air handling units,

fume hoods, vivarium systems, construction automation, emergency lighting, large

emergency generators can provide electrical power backup.

9) Cost. There's no way around that. A study building would most likely cost a little more than

a traditional academic structure. "Construction costs will vary from $350 to $500 per gross

square foot for a research building, depending on the program compared to $150 to $250

for a traditional academic building." It's a good idea to hang on to a budget for construction

costs too early. Collect as much data as possible on ongoing programs that are similar to the

proposed project. Create an account based on historical expense data as practicable and

have at least 15% contingency for a healthy owner.

1. 3. The Work Break Down Structure and Cost Estimating

The Work Breakdown Structure (WBS) is a breakdown of deliverables and project work into

smaller components that can be better managed. Then, making WBS is a process of describing

deliverables and project works in the form of individual elements in top-down lists and

hierarchically explaining the components to be built and the work associated with it. Each of the

WBS represents an increasingly detailed work item. In another meaning, "WBS is a structure that

separates the project into manageable work packages, components or WBS elements to provide

a standard mechanism for scheduling scope, costs, distribution of responsibilities,

communication, risk assessment, monitoring, and control."6

Furthermore, many companies having difficulties building and having a database for the project.

That why standardizing the WBS is the best way to get a reliable database. By standardizing the

WBS, the Company can collect and share data between programs. Then, it will produce a better

6 Al Farizi, S., & Latief, Y. (2018). Development of Standardized WBS (Work Breakdown Structure) For

Planning The Schedule Based On Risk In Steel Bridge Construction Projects. Retrieved from

http://www.ieomsociety.org/ieom2018/papers/167.pdf

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PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project

Vol. X, Issue I – January 2021 by Tony Noorwicaksono

www.pmworldjournal.com Featured Paper

© 2021 Tony Noorwicaksono www.pmworldlibrary.net Page 5 of 31

estimate of the cost, allowing the data to be shared across the Company and lead to more

efficient project execution.

The study from Joko Wisnugroho (2020) that "GAO Cost Estimating and Assessment Guide (GAO)

can be selected as the best alternative standards compare to other standards; GUILD of Project

Control Compendium and Reference, AACE, and PMI."7 Figure 2 shows that following the overall

cost estimating process stated in best practices such as established, repeatable, comprehensive,

accurate, replicated, and updated can produce accurate and credible estimates. In this paper,

the author chooses GAO as a reference for selecting the best practices recommended for

companies.

Figure 2. The Cost Estimating Process8

1. 4. Problem Statement

In this paper, the author demonstrates cost estimating to battery laboratory project by adopting the best practice standard; GAO Cost Estimating and Assessment Guide, and building the multidimensional standardized WBS using OmniClass standard.

This research should find the answers to the questions below: • The multidimensional WBS or CBS level 3 using OmniClass • Class C construction cost estimate

7 Wisnugroho, Joko. (2020). Indonesia Oil & Gas Cost Estimating vs International “Best-Tested and Proven”

Practices – A Benchmarking Study. Retrieved from

https://pmworldlibrary.net/wp-content/uploads/2020/02/pmwj90-Feb2020-Wisnugroho-benchmarking-indonesia-

og-cost-estimating-vs-international3.pdf 8 The United States. Government Accountability Office. (2009, March). GAO Cost Estimating and Assessment

Guide: Best Practices for Developing and Managing Capital Program Costs. Washington, DC: Government Printing

Office. Retrieved from https://www.gao.gov/new.items/d093sp.pdf

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PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project

Vol. X, Issue I – January 2021 by Tony Noorwicaksono

www.pmworldjournal.com Featured Paper

© 2021 Tony Noorwicaksono www.pmworldlibrary.net Page 6 of 31

• The cost breakdown class A for the contractor

METHODOLOGY

2.1. OmniClass, The Standardized WBS

"The OmniClass Construction Classification System (recognized as OmniClass or OCCS) is one of

the international accredited WBS standards, which developed to organize and retrieve

construction industry information."9

The organization may use OmniClass for applications, such as filing physical materials or

organizing project details. Still, its chief application is to provide a classification structure for

electronic databases and software, enriching the data used in those resources.

To provide a structured framework for the classification of knowledge needs to develop

Omniclass. The North American Architectural, Engineering, and Construction (AEC) industry over

the facility's full life cycle creates and uses it, from design to demolition or re-use, and

encompassing all the various forms of construction that make up the built environment.

OmniClass is intended to organize, sort, and retrieve information and derive relational computer

applications.

OmniClass provides a framework for classifying the full built environment over the life cycle of

the project. It consists of 15 hierarchical tables, covering various aspects of construction details.

Serving a specific project or topic can use each table separately or in combination. The table

below shows the 15 hierarchical tables.

9 OmniClass. (2020). About Omniclass. Retrieved from

https://www.csiresources.org/standards/omniclass/standards-omniclass-about

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PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project

Vol. X, Issue I – January 2021 by Tony Noorwicaksono

www.pmworldjournal.com Featured Paper

© 2021 Tony Noorwicaksono www.pmworldlibrary.net Page 7 of 31

Table 1. The Fifteen Tables of OmniClass10

2.2. Chip Voting

“The chip voting system works by providing participants with a list of choices that they can vote

to in the form of chips based on the importance they give to a list of choices."11 In this paper,

10 OmniClass. (2020). Introduction and User’s Guide. Retrieved from

https://www.csiresources.org/standards/omniclassv 11 Daren, A, Olsen, J.D., Richard, A. B. (2010). The “Chip Voting System”: Bridging the Gap Between Industry

and Faculty During a Curriculum Revision.

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PM World Journal (ISSN: 2330-4480) The Battery Laboratory Project

Vol. X, Issue I – January 2021 by Tony Noorwicaksono

www.pmworldjournal.com Featured Paper

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selecting the Omniclass tables for developing WBS or the Cost Breakdown Structure (CBS) should

do Stakeholder analysis using the chip voting method. Building the four-dimensional WBS / CBS

will choose the four tables. Chip voting will hold a minimum of 7 persons from project teams.

Selecting 5 of 15 OmniClass tables12 gives five chips for Each person. We can see the summary

of votes in Table 2.

Table 2. The Vote Summary13

Figure 3. The Vote Scoring and Raking14

12 OmniClass. (2020). Introduction and User’s Guide. Retrieved from

https://www.csiresources.org/standards/omniclass 13 Author 14 Ibid

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Determining the ranking of the OmniClass Table from each person's vote makes a scoring system.

The vote scoring from 1st, 2nd, 3rd, 4th, and 5th are 100, 80, 60, 40, and 20. We can see the final

rank of the OmniClass Table in Figure 3.

2.3. SELECTION CRITERIA

For further analysis, building multidimensional WBS or CBS takes chip voting results from Figure 3. The four highest scores of OmniClass tables are Table 11-construction entities by function, Table 13-space by function, table 22-work result, and table 31-phases. Subsequently, the cost estimate process will describe following the GAO Cost Estimating and Assessment Guide step 1 until step 7. The table below summarizes cost estimating steps.

STEP DESCRIPTION ASSOCIATED TASK

1 Define estimate's purpose Determine estimate' purpose, the required level of detail,

and scope

2 Develop estimating plan Develop a master schedule and the estimated timeline

3 Define program characteristics Technical baseline description document; identify the

program's purpose and its system and performance

characteristics and all system configurations

4 Determine estimating structure Define a work breakdown structure (WBS)

5 Identify ground rules and

assumptions

-Clearly define what the estimate includes and excludes;

-Identify global and program-specific assumptions, such

as the estimate's base year, including time-phasing and

life cycle;

-Identify program schedule information by phase and

program acquisition strategy;

-Identify any schedule or budget constraints, inflation

assumptions, and travel costs.

6 Obtain data -Build a data collection plan with a focus on gathering

current and applicable technical and cost information;

-Investigate possible data sources;

-Collect data and normalize them for cost accounting,

inflation, learning, and quantity adjustments;

7 Develop a point estimate and

compare it with an objective cost

estimate

Develop a cost model, estimate each WBS element, use

the best methodology from the data collected, and make

all estimation assumptions.

Table 3. Summary of GAO's Steps15

15 The United States. Government Accountability Office. (2009, March). GAO Cost Estimating and Assessment

Guide: Best Practices for Developing and Managing Capital Program Costs. Washington, DC

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Vol. X, Issue I – January 2021 by Tony Noorwicaksono

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FINDINGS

3.1. Standardizing WBS

Standardizing WBS is a critical step before estimating, or project scheduling starts. This paper

uses OmniClass tables 11, 13, 22, and 31 builds the four-dimensional WBS. The hierarchical

structural WBS is defined by OmniClass table 13 (Space by function)16 , and we can see the

structural WBS in the figure below.

Figure 4. The 4 Dimensional WBS 17

After building WBS, using the Cost Estimating Requirement Handbook18 will arrange the Cost Breakdown Structure (CBS), as shown in Figure 4. The client or project owner build the CBS using level 2 WBS. The bid participants will create the Budgeted Cost of Work Scheduled (BCWS) using level 3 WBS and the example in Figure 4 using OmniClass Table 2119 level 1. Figure 5 is a sample of a bid line-item cost summary built after the winner is selected. The field execution BCWS is build using level 5 WBS with detailed cost material, labor, and equipment.

16 OmniClass. (2020). Spaces by Function - Table 13. Retrieved from

https://www.csiresources.org/standards/omniclass 17 Author 18 National Park Service. (2011). Cost Estimating Requirements Handbook. Retrieved from

https://www.nps.gov/dscw/upload/CostEstimatingHandbook_2-3-11.pdf 19 OmniClass. (2020). Elements - Table 21. Retrieved from https://www.csiresources.org/standards/omniclass

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Table 4. Sample of Cost Breakdown Structure Class A20

Table 5. Sample of Bid Line Item Cost Summary213.2. Cost Estimate

To build the cost estimation, it will follow the GAO Cost Estimating and Assessment Guide using

step one until seven, shown in Table 3.

Step 1. Define estimate's purpose

Establish cost estimation Class C construction cost estimate for battery laboratory building. The

scope of construction describes using OmniClass Standard Table 2222 - Work Result shown in

the table below:

20 National Park Service. (2011). Cost Estimating Requirements Handbook. Retrieved from

https://www.nps.gov/dscw/upload/CostEstimatingHandbook_2-3-11.pdf 21 National Park Service. (2011). Cost Estimating Requirements Handbook. Retrieved from

https://www.nps.gov/dscw/upload/CostEstimatingHandbook_2-3-11.pdf 22 OmniClass. (2020). Work Results - Table 22. Retrieved from https://www.csiresources.org/standards/omniclass

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Table 6. Scope of Work Using OmniClass23

Step 2 Develop estimating plan

The overall duration of the project is 12 months, with the following detail

1. Permit duration 140 days and

2. Construction duration of 12 months

Figure 5 shows the summary schedule's activity using OmniClass table 3124-Phase.

23 Author 24 OmniClass. (2020). Phases - Table 31. Retrieved from https://www.csiresources.org/standards/omniclass

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Figure 5. Master Schedule25

Step 3 Define program characteristics

The total area of the battery laboratory is 600m2, with the detailed room as follow

Figure 6. General Layout26

25 Author 26 Ibid

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The OmniClass Standard Table 1127 dan 1328 describes the construction entities and space's

function showing on the table below.

Table 7. Constructions Entities and Spaces By Function Using OmniClass29

The Laboratory Area is Clean Room Class 7, consist of :

1. Mixing Room (13-49 15 23.001) : 85m2

2. Cathode & Anode Room (13-49 15 23.002) : 126 m2

3. Assembly Room (13-49 15 23.003) : 95m2

4. Formation & Grading Room (13-49 15 23.004) : 75m2

5. Electrical & Instrument Room (13-49 15 23.005) : 35m2

27 OmniClass. (2020). Construction Entities by Function - Table 11. Retrieved from

https://www.csiresources.org/standards/omniclass 28 OmniClass. (2020). Spaces by Function - Table 13. Retrieved from

https://www.csiresources.org/standards/omniclass 29 Author

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6. Material Analysis Room (13-49 15 23.006) : 35m2

Those rooms need a superior HVAC system because the room considers it has to be a

cleanroom. The detailed requirement is:

1. Target Temperature: 23C ±2 C

2. The humidity 40% – 50% ±5 C

2. ACH 40-60

3. Fresh Air: Min 20%

4. HEPA Filter (99, 99% Efficiency) for Mixing, Cathode & Anode and Assembly Room

5. Heat Gain from equipment 20W/m2

6. Static pressure; Cathode & Anode Room, Assembly Room > Mixing Room > Other rooms

7. Floor height 4m

Non Laboratory Area

1. Office (13-55 11 17) : 46 m2

2. Toilet (13-65 13 13) : 33 m2

3. Corridor (13-25 11 11) : 70 m2

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Step 4 Determine estimating structure

The WBS used in this study using three levels, as seen in the figure below

Figure 7. WBS of Battery Laboratory30

Step 5 Identify ground rules and assumptions

The general rules and assumptions made for estimation:

1) The analysis only for the laboratory facility, not including the lab. equipment

2) The overall duration of the project is 12 months or one year

3) The project will start in 2021

4) The inflation assumptions used average BI Rate data from 2015 to 2020 is 3.28%31

5) Exchange rate US Dollar to Rupiah is 14,663.0032

30 Author 31 Bank Indonesia. (2020). Inflasi. Retrieved from https://www.bi.go.id/id/moneter/inflasi/data/Default.aspx 32 Bank Indonesia. (2020). Informasi Kurs. Retrieved from https://www.bi.go.id/id/moneter/informasi-

kurs/transaksi-bi/Default.aspx

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Step 6. Obtain data

The data obtained from the previous project is shown in the table below and analyzed using

P50 and P90. P50 value is the target of cost estimate with contingency successful 50%. Depend

on the confidence level of each Company or management decision, and the Company may

increase the contingency to 90% with P90.

Table 8. Data Analyzing Using P50 and P90 33

Step 7. Develop point estimate

The point estimation is built for the project year in 2021 using P50 data in Table 8 and template

from Cost Estimating Requirement Handbook with Class C Construction Class Estimate34. The

result of cost estimating can be seen in Table Table 9 and 10. The detail of cost estimating can

be seen in the Appendix.

33 Author 34 National Park Service. (2011). Cost Estimating Requirements Handbook

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Table 9. Project Cost Summary35

Table 10. Line Item Cost Summary of Clean Room Class 736

35 Author 36 Ibid

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3.3 Cost Breakdown Class A

The bidding process uses the template cost breakdown class A from Cost Estimating

Requirement Handbook and includes in the bid package. All bidders are required to submit with

the template (Table 8) and showing only the total cost of the bid item. When the winning bidder

is selected either through auction, low bid wins, or negotiated contract, the winning bidder is

required to submit the detailed cost breakdown shown in Table 9. The winning bidder data is

real cost estimation data that the next project can use it. We can see The rest of the detail of the

line-item cost summary class.

Table 11. Bid Item Cost Summary No. 1 and 237

37 Author

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Table 12. Bid Item Cost Summary No. 3, 4 and Total Estimated38

2. CONCLUSION

As mentioned in the Problem Statement of this paper, the study should find the answers to the

question below:

• The multidimensional WBS or CBS level 3 using OmniClass tables?

• Using three WBS or CBS levels with OmniClass Table 11, 13, and 22, we can see the WBS

or CBS in the figure below.

38

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Figure 8. WBS or CBS of Battery Laboratory39

• Class C construction cost estimate?

The estimated data and summary of cost estimate class C shown in Table 12 and 13. P50 is

used to generate cost estimate class C with contingency successful 50%. The contingency of

success will increase to 90% with P90 depend on the confidence level of each Company or

management decision.

39 Author

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Table 13. Estimation Data Using P50 and P9040

Table 14. Project Cost Summary of Battery Laboratory41

• The cost breakdown class A for the contractor

The cost breakdown class A for the contractor can be seen in Table 12, and the rest of the

details of the line item cost summary class A can be seen in the Appendix. The contractor's cost

breakdown will be delivered after the winning bidder selected from the template included in

40 Author 41 Ibid

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the bid package. The winner's data is real cost estimate data that can be used for the next

project by the Company.

FOLLOW ON RESEARCH

Further research should be done on WBS's risk analysis that may affect the project cost and schedule. Moreover, for developing the cost estimate, refer to GAO Cost Estimating and Assessment Guide. It should conduct sensitivity analysis and risk and uncertainty analysis.

BIBLIOGRAPHY

1. Bank Indonesia. (2020). Inflasi. Retrieved from https://www.bi.go.id/id/moneter/inflasi/data/Default.aspx

2. Bank Indonesia. (2020), Informasi Kurs. Retrieved from https://www.bi.go.id/id/moneter/informasi-kurs/Contents/Default.aspx

3. Compassinternational. (2020). 2020 International Construction Benchmark Yearbook

4. Compassinternational. (2020). 2020 Front End/Conceptual Estimating Yearbook

5. OmniClass. (2020). Introduction and User's Guide. Retrieved from https://www.csiresources.org/standards/omniclass

6. OmniClass. (2020). Construction Entities by Function - Table 11. Retrieved from https://www.csiresources.org/standards/omniclass

7. OmniClass. (2020). Spaces by Function - Table 13. Retrieved from https://www.csiresources.org/standards/omniclass

8. OmniClass. (2020). Elements (includes Designed Elements) - Table 21. Retrieved from https://www.csiresources.org/standards/omniclass

9. OmniClass. (2020). Work Results - Table 22. Retrieved from https://www.csiresources.org/standards/omniclass

10. OmniClass. (2020). Phases - Table 31. Retrieved from https://www.csiresources.org/standards/omniclass

11. Wisnugroho, Joko. (2020). Indonesia Oil & Gas Cost Estimating vs International "Best-Tested and Proven" Practices – A Benchmarking Study; PM World Journal, Vol. IX, Issue II, February. https://pmworldlibrary.net/wp-content/uploads/2020/02/pmwj90-Feb2020-Wisnugroho-benchmarking-indonesia-og-cost-estimating-vs-international3.pdf

12. ADL. (2019). Battery Cell Manufacturing in Indonesia Report.

13. GUILD OF PROJECT CONTROLS COMPENDIUM and REFERENCE (CaR). (2019). Managing Project Cost Estimating & Budgeting. Retrieved from http://www.planningplanet.com/guild/gpccar/introduction-to-managing-planning-andscheduling

14. Presidential Regulation No 55. (2019). Accelerating Implementation of Electric Vehicle for Road Transport.

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15. Liu, Z., Says, M., Chaney, M., Says, M., Lumayag, M., Says, R., & Chhabda, R. (2019, October 11). The History of the Lithium-Ion Battery. Retrieved November 14, 2020, from https://www.thermofisher.com/blog/microscopy/the-history-of-the-lithium-ion-battery

16. Al Farizi, S., & Latief, Y. (2018). Development Of Standardized Wbs (Work Breakdown Structure) For Planning The Schedule Based On Risk In Steel Bridge Construction Projects. Retrieved from http://www.ieomsociety.org/ieom2018/papers/167.pdf

17. Chatfield, C., Johnson, T .(2016). Microsoft Project 2016 Step by Step

18. Sullivan, W. G., Wicks, E. M., & Koelling, C. P. (2014). Engineering Economy 16th ed.

19. National Park Service. (2011). Cost Estimating Requirements Handbook. Retrieved from https://www.nps.gov/dscw/upload/CostEstimatingHandbook_2-3-11.pdf.

20. Daren, A, Olsen, J.D., Richard, A. B. (2010). The "Chip Voting System": Bridging the Gap Between Industry and Faculty During a Curriculum Revision. Retrieved from http://ascpro0.ascweb.org/archives/cd/2010/paper/CEUE163002010.pdf

21. The United States. Government Accountability Office. (2009). GAO Cost Estimating and Assessment Guide: Best Practices for Developing and Managing Capital Program Costs. Washington, DC: Government Printing Office. Retrieved from https://www.gao.gov/new.items/d093sp.pdf

22. The United States. Government Accountability Office. (2009). Schedule Assessment Guide: Best Practices for Project Schedule. Washington, DC: Government Printing Office.

23. Facilitiesnet. (2008). Lab Buildings Pose Tests. Retrieved from https://www.facilitiesnet.com/educationalfacilities/article/Lab-Buildings-Pose-Tests--8066#:~:text=A%20research%20building%20will%20most,for%20a%20typical%20academic%20building" https://www.facilitiesnet.com/educationalfacilities/article/Lab-Buildings-Pose-Tests--8066#:~:text=A%20research%20building%20will%20most,for%20a%20typical%20academic%20building

LIST OF TABLES

Table 1 The Fifteen Tables of OmniClass Pg. 6 Table 2 The Vote Summary Pg. 7 Table 3 Summary of GAO’s Steps Pg. 8 Table 4 Sample of Cost Breakdown Structure Class A Pg. 10 Table 5 Sample of Bid Line Item Cost Summary Pg. 11 Table 6 Scope Of Work Using OmniClass Pg. 12

Table 7 Constructions Entities and Spaces By Function Using OmniClass Pg. 14 Table 8 Data Analyzing Using P50 and P90 Pg. 17 Table 9 Project Cost Summary Pg.18 Table 10 Line Item Cost Summary Sample of Clean Room Class 7 Pg. 18

Table 11 Bid Item Cost Summary No. 1 and 2 Pg. 20 Table 12 Table 13 Table 14

Bid Item Cost Summary No. 3, 4 and Total Estimated Estimation Data Using P50 and P90 Project Cost Summary of Battery Laboratory

Pg. 21 Pg. 23 Pg. 23

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LIST OF FIGURES

Figure 1 Driver for Entering Lithium-Ion Battery Business Pg. 2

Figure 2 The Cost Estimating Process Pg. 4 Figure 3 The Vote Scoring and Raking Pg. 7 Figure 4 The 4 Dimensional WBS Pg. 9 Figure 5 Master Schedule Pg. 13 Figure 6 General Layout Pg. 13 Figure 7 WBS of Battery Laboratory Pg. 16

Figure 8 WBS or CBS of Battery Laboratory Pg. 22

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APPENDICES

Appendix I:

Project Cost Summary and Line Project Cost Summary with Class C Construction Class Estimate

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Appendix II:

Line Item Cost Summary with Class A Construction Class Estimate

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About the Author

Tony Noorwicaksono Jakarta, Indonesia

Tony Noorwicaksono is a project engineer with ten years of professional experience

in the oil and gas sectors. Currently, he works as an analyst Facilities at Research

Facility & Support, Innovation & New Ventures Department, PT Pertamina. Several

project have been completed, such as CNG station, pipeline, CNG converter kit and

laboratory building. He holds a bachelor degree in Civil Engineering from Gadjah Mada

University and a master degree in Civil Engineering from National University of

Malaysia. He is attending a distance learning mentoring course, under tutorage of Dr

Paul D. Giammalvo, CDT, CCE, MScPM, MRICS, GPM-m Senior Technical Advisor,

PT Mitrata Citragraha, to attain Certified Cost Professional certification from AACE

International. He lives in Jakarta, Indonesia and can be contacted at

[email protected].