A location factor is an instantaneous overall total project factor for translating all of the project cost elements of a defined construction project scope of work from one geographic location to another . This factor recognizes differences in productivity and costs for labor, engineered equipment, commodities, freight, duties, taxes, procurement, engineering, design, and project administration.
NoDoC database presents Location Factors (LF) for more than 156 countries. The location factors has been estimated based on the Factoring Method. NoDoC implement it as sum of Overall Factor and local based Factors. On the other hand:
1) Total Location factor (TLF) for a specific Country= Base TLF *(Overall TLF + Specific TLF for that specific Country)
for obtaining productivity and/or labor rate for a specific country do one of followings:
2) Productivity for Country "A" = Productivity in the base Country * Productivity Location Factor of Country "A",
3) Labor Rate for Country "A" = Labor Rate in the base Country * Labor Rate Location Factor of Country "A",
4) Total Location (TLF) Factor for Labor in a Country "A" =TLF for Labor in base Country* TLF for Labor in Country "A"
when base Country is USA for USA and CANADA And base country is UK for other Countries.
The above mentioned calculation method is applied for other resources by NoDoC.
The location factors which is presented in NoDoC are for resources that is shown in the following Figure 1.
| Factoring method used in nodoc.pdf |
