Some factors like multi-national investment opportunities in property development and global alliance in large scale building and infrastructure projects are mainly responsible for the globalization & typification of property and construction business in most of the countries.
This scenario is also present in Australia, where foreign cash is allotted to commercial, residential, retail and industrial assets. Recently, the infrastructure projects are flowing significantly where exhortations concerning too much construction costs relative to international standards remain exceedingly frequent.
Inconsistencies regarding how costs and measurements are identified all through the dissimilar parts of the world, destroy the effectiveness of the market.
To be brief, there is no simple method for comparing costs all over the international jurisdictions on a equivalent basis.
In order to cope up with the situation, initiative is taken to form the global standards in construction measurement. Of late, around 30 professional associations embodied with members from around 140 countries in the arenas of quantity surveying and cost engineering declared the development of the International Construction Measurement Standards Coalition, which aims to build up a multi-national agenda involving overarching international standards to synchronize cost, classification and measurement definitions.
It is still in the nascent stage and the initial stage of the initiative’s efforts would focus on simplifying fundamental concepts as well definitions, like what should be contained and excluded in construction costs and how buildings are computed in line with gross floor area following the issues exemplified in the example above.
In long run, he says, standards will concentrate on cost planning for projects, the performance of quantity surveying work and the level of proficiency.
These international standards could provide some immense advantages – the foreign companies will be able to make comparison on construction costs in Australia with those in their home country easily and efficiently and this may promote to bring lots of foreign investment for the local property and building sector. Standardization in fundamental rules would also improve the flexibility of quantity surveyors and cost engineers across countries as well create more scopes for Australian professionals globally.
Besides, reliable international standards would facilitate the local property and construction sector to more perfectly measure its cost performance as compared to abroad counterparts.
The local contractors and engineers will also get rid of the challenges for precisely pricing tenders while submitting bid for project as the international clients apply their own standards of measurement for obtaining projects in Australia.