What is construction costs index in SAP RE - Real Estate Management?

SAP Term: construction costs index

• Component: RE

• Component Name: Real Estate Management

• Description: An index that provides information on the development of construction costs in the last decades. The index is usually determined by an agency of the federal government.

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• Key Concepts: 
  Construction costs index is a feature of SAP Real Estate Management (RE) that allows users to track and analyze the cost of construction projects over time. It is based on a set of predetermined criteria, such as the type of construction, location, and other factors. The index is used to compare the cost of construction projects in different locations and to identify potential cost savings.
  
  How to use it: 
  To use the construction costs index, users must first define the criteria for their project. This includes the type of construction, location, and other factors. Once the criteria have been defined, users can then enter the data into the system and view the results. The results will show a comparison of the cost of construction projects in different locations. 
  
  Tips & Tricks: 
  When using the construction costs index, it is important to ensure that all data entered is accurate and up-to-date. This will ensure that the results are accurate and reliable. Additionally, users should consider using multiple sources of data when creating their index, as this will provide a more comprehensive view of the cost of construction projects in different locations. 
  
  Related Information: 
  The construction costs index can be used in conjunction with other features of SAP Real Estate Management (RE), such as budgeting and forecasting tools. Additionally, users can use the index to compare their own project costs with those of other projects in similar locations. This can help them identify potential cost savings opportunities.