1. Rak-63.3214 Management of Lifecycles of Buildings INTRODUCTION 17.9.2015 Rak-63.3214 Management of Lifecycles of Buildings Assistant Professor Antti Peltokorpi antti.peltokorpi@aalto.fi

2. General information All updated information about the course available at Aalto MyCourses: mycourses.aalto.fi Course description Lecture presentations  Log in MyCourses by your Aalto user name! The course can be included in Advanced modules in Minor of Construction Economics Exchange studies

3. Learning outcomes Introduce to analytical tools to support decisions making about investments and solutions during the building lifecycle. Students: 1.understand content of the life cycle phases of buildings and know the terms 2.can apply life cycle cost analyses in decision making 3.can apply budget and cost estimates in cost and design management of construction project 4.realize the risks of construction project

4. Main Content 1.Introduction lecture 2.Seminar team work: Report and presentation of the selected lifecycle analysis 3.Two introduction lectures about cost estimation methods to prepare for project work 4.Project team work: A cost analysis of the selected building design solution

5. Schedule TimeTopicTeacherMaterial Thu 17.9 8-10Introduction to a course and seminar team work Antti Peltokorpi Slides Thu 24.9 8-10Team work and coaching session Antti Peltokorpi Thu 1.10 8-10Team work and coaching session Antti Peltokorpi Thu 8.10 8-10No teaching session Thu 15.10 8-10Presentation of seminar works (20 min) and commentaries (10 min): Topics 1-3 Antti Peltokorpi Teams send their report (Word) and presentation slides (PP) day before (Wed 14.10) Thu 22.10 8-10Presentation of seminar works (20 min) and commentaries (10 min): Topics 4-5 Antti Peltokorpi Teams send their report (Word) and presentation slides (PP) day before (Wed 21.10) Thu 29.10 8-10Theories and methods for value-based program and design management Ari Pennanen, Haahtela Oy Slides Thu 5.11 8-10BIM Cost method: Introduction to project work Olli Seppänen Slides Thu 12.11 8-10Project work Olli Seppänen / Antti Peltokorpi Thu 19.11 8-10Project work Olli Seppänen / Antti Peltokorpi Room: R2

6. Assessment methods Assessment method Team seminar work (60 %) Teacher’s team specific evaluation (50 %) Team member’s peer evaluation (10%) Team project work (40 %) Teacher’s team specific evaluation (30 %) Team member’s peer evaluation (10%)

7. Lifecycle of buildings Concept planDesignConstructionOperationsDisposal (Tarveselvitys, Hankesuunnittelu) (Rakennus- suunnittelu) (Rakentamisvaihe) (Käyttö, huolto ja ylläpito) (Hävittäminen)

8. Investment costs of new buildings Concept planDesignConstructionOperationsDisposal Determination of investment costs Realization of investment costs handover 100 % 80 % 0 %

9. Costs and business value in buildings Concept planDesignConstructionOperationsDisposal 1. The initial cost of a facility 2. Operating costs in use over 20 years 3. The value of the business done in the facility over 20 years 1 5 200

10. Time span of lifecycle phases Concept planDesignConstructionOperationsDisposal 2-5 years 20-50+ years

11. The hidden costs of buildings The Client Land cost Design fees Construction costs Maintenance costs Refurbishment costs Insurances Staff costs Water/waste water charges Furnishing Energy/fuel costs Security Taxation Cleaning costs Finance Management and administration Initial capital costs Operation and maintenance costs

12. Crucial in management of lifecycle of buildings Focus on concept plan and design phases: estimating and evaluating future performance and costs Developing and using analysis tools to support evaluation Connecting findings of the analyses as a feedback to the concept plan and design processes

13. Lifecycle performance of buildings Economic Investment costs Operation and maintenance costs Environment Use of energy Carbon footprint  How to evaluate performance of buildings and to incorporate that to the design?

14. Seminar team work - 1 Students themselves form a team of six participants, and send me an email about their desired topic (1st, 2nd, and 3rd option) Topics are given by FIFO principle Five topics for ten teams (two teams per topic): 1.Target price method (tavoitehintamenettely) and Building element cost estimation (rakennusosa-arvio) 2.Target value design 3.Life-Cycle Cost Analysis (LCCA) of buildings (elinkaarikustannukset) 4.Energy consumption calculations of buildings (energian kulutus) 5.Carbon footprint assessment of buildings (hiilijalanjälki) For each topic, list of some material is available in MyCourses. However, teams are more than recommended also to search for other scientific material from the Web.

15. Seminar team work - 2 Teams familiarize with their topic based on literature and prepare a written report and presentation of the selected analysis method: 1.Purpose, origin 2.Scope 3.Methods, processes, steps, tools 4.Examples 5.Country specific variations (Finland, other Nordic countries, UK, US, Germany etc.), if relevant The written report (Word/PDF) should be around 10 pages (remember references) Presentation (PP) is prepared to teach the method for other students in 20 minutes (at max. 20 slides) Teams can ask advise to their work in two sessions (24.9 & 1.10 at 8:00-10:00) Teams present their works to other students in two sessions: 15.10 (topics 1-3) and 22.10 (topics 4-5) Teacher selects randomly only one group per topic to present their work in the session, and the another group of the same topic comments the presentation and explains what were the similarities and differences in the works

16. Some Materials 1.Target price method (tavoitehintamenettely) and Building element cost estimation (rakennusosa- arvio) -Haahtela and Kiiras (2007) Talonrakennuksen kustannustieto, Haahtela-kehitys Oy. 2.Target value design -Zimina, Ballard and Pasquire (2012) Target value design: using collaboration and a lean approach to reduce construction cost, Construction Management and Economics, Volume 30, Issue 5. -Russell-Smith, Lepech, Fruchter, Meyer (2015) Sustainable target value design: integrating life cycle assessment and target value design to improve building energy and environmental performance, Journal of Cleaner Production, Volume 88, Pages 43–51 1.Life-Cycle Cost Analysis (LCCA) of buildings (elinkaarikustannukset) -Hyartt, J. (2009) Kiinteistöjen ylläpidon kustannustieto 1992. Teknillinen korkeakoulu. Multiprint Oy, Espoo. -Fuller, S. (2010) Life-Cycle Cost Analysis (LCCA), National Institute of Standards and Technology (NIST). https://www.wbdg.org/resources/lcca.php https://www.wbdg.org/resources/lcca.php 2.Energy consumption calculation of buildings (energian kulutus) -Finlex. Energiatodistuksen kokonaisenergiankulutuksen (E-luvun) määrittäminen. http://www.finlex.fi/data/sdliite/liite/6186.pdfhttp://www.finlex.fi/data/sdliite/liite/6186.pdf -Crawley, Hand, Kummert, Griffith (2008) Contrasting the capabilities of building energy performance simulation programs, Building and Environment, Volume 43, Issue 4, April 2008, Pages 661–673 3.Carbon footprint assessment of buildings (hiilijalanjälki) -Säynäjoki, A. (2014) How Does the Construction of a Residential Area Contribute to Climate Change? Doctoral diessertation, Aalto University publication series. Generic book: Flanagan and Jewell (2005) Whole Life Appraisal for construction. Blackwell Publishing. Books are available at room 166b.

17. Schedule TimeTopicTeacherMaterial Thu 17.9 8-10Introduction to a course and seminar team work Antti Peltokorpi Slides Thu 24.9 8-10Team work and coaching session Antti Peltokorpi Thu 1.10 8-10Team work and coaching session Antti Peltokorpi Thu 8.10 8-10No teaching session Thu 15.10 8-10Presentation of seminar works (20 min) and commentaries (10 min): Topics 1-3 Antti Peltokorpi Teams send their report (Word) and presentation slides (PP) day before (Wed 14.10) Thu 22.10 8-10Presentation of seminar works (20 min) and commentaries (10 min): Topics 4-5 Antti Peltokorpi Teams send their report (Word) and presentation slides (PP) day before (Wed 21.10) Thu 29.10 8-10Theories and methods for value-based program and design management Ari Pennanen, Haahtela Oy Thu 5.11 8-10BIM Cost method: Introduction to project work Olli Seppänen Thu 12.11 8-10Project work Olli Seppänen / Antti Peltokorpi Thu 19.11 8-10Project work Olli Seppänen / Antti Peltokorpi Room: R2