This paper deals with application of Value Stream Mapping (VSM) as a sustainable construction tool on a real construction project of installation of underground pipelines. VSM was adapted to reduce the high percentage of non-value-added activities and time wastes during each construction stage and the paper searched for an effective way to consider the cost for studied construction of underground pipeline. This paper is unique in its way that it adopts cost implementation of VSM to improve the productivity in underground pipeline projects. The data was observed and collected from site during construction, indicating the cycle time, value added and non-value added of each construction stage. The current state was built based on these details. This was an eye-opening exercise and a process management tool as a trigger for improvement. After the current state assessment, a future state is attempted by Value Stream Mapping tool balancing the resources using a Line of Balance (LOB) technique. Moreover, a sustainable cost estimation model was developed during current state and future state to calculate the cost of underground pipeline construction. The result shows a cost reduction of 20.8% between current and future states. This reflects the importance of the cost based Value Stream Mapping in construction as a sustainable measurement tool. This new tool could be utilized in construction industry to add the sustainability and effective cost management.
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