Organizational Framework of Construction Cost Management in the Context of the Implementation of Targeted Investment Programs (Through the Example of Moscow)

Abstract

Currently, there is an excess of public investment allocated for the implementation of targeted investment programs related to construction in Moscow compared with the estimated limit, which requires a set of organizational tools for cost management (algorithms, models, methods, tools, etc.) aimed at improving the accuracy and reliability of the estimated construction cost.Aim. The presented study aims to develop a methodological approach to the organization of construction cost management in the context of public investment, with allowance for the enhanced interaction of executive authorities – both with one another and with other participants of the investment-construction process.Tasks. The authors analyze the activities of an executive authority in the development, coordination, and implementation of investment programs for the construction of facilities at the territorial level under modern conditions and develop a methodological approach to construction management with allowance for the enhanced interaction of executive authorities – both with one another and with other participants of the investment-construction process.Methods. The theoretical and methodological basis of this study includes fundamental provisions of management theory, economic theory, cost engineering, pricing in construction, mathematical modeling, project and risk management, practical experience and scientific works of Russian and foreign experts on the problem under consideration.Results. An organizational framework for construction cost management makes it possible to optimize the interaction of executive authorities – both with one another and with other participants of the investment-construction process – and to use methodological approaches to the formation of a reliable maximum limit of public investment for the purpose of implementing investment programs in construction in accordance with the set limit by establishing an Information Monitoring Center and a database to justify the estimated construction cost, creating and maintaining a database (information resource) containing all information about similar objects in accordance with economic efficiency criteria, monitoring implemented objects to update the database of construction projects.Conclusions. A methodological approach to the organization of construction cost management in the context of public investment is developed with allowance for the enhanced interaction of executive authorities - both with one another and with other participants of the investment-construction process.