PRICE RECALCULATION MODEL OF CONSTRUCTION CONTRACTS

• Published in: Science future of Lithuania Vol. 16; pp. 1 - 4
• Main Authors: Vilkonis, Arvydas, Antuchevičienė, Jurgita
• Format: Journal Article
• Language: English
• Published: Vilnius Gediminas Technical University 28-05-2024
• Subjects: construction contract; mathematical model; price recalculation; purchase price of construction contracts
• DOI: 10.3846/mla.2024.19221
• EISSN: 2029-2252
• ISSN: 2029-2341

In recent years, the world economy has experienced rapid economic change in the construction sector and record inflation. The rapidly rising prices of construction materials and machinery in the construction market are also pushing up the cost of construction services. The main problem is that construction projects have been drawn up and contracts between clients and contractors have been awarded at previous prices, and it is therefore necessary to look for opportunities to index the price of construction contracts. The aim of the study is to propose a mathematical model and a smartphone application for the price recalculation of construction projects. The success of a construction project depends on the correct decisions taken at the stage of preparation and implementation of the procurement documents for construction contracts, a complex process requiring a lot of legal and technological knowledge. The proposed mathematical model would help clients and contractors to carry out the calculation of the price according to the construction price index quickly and without the need for extensive specialist technical expertise. The mathematical model is adapted to smartphones with Android software.