Job Order Contracting

MAY 21, 2022

There is only one sole source of truth for construction cost estimating, locally researched detailed line-item unit price data and associated quantities. It’s beyond time for improved leadership, competence, and accountability.

Estimating 264

Estimating Construction Defense Risk 264

Job Order Contracting

MAY 28, 2024

Archaic cost estimation methods such as the use of historical data, lump sum subcontractor quotes, and/or national average cost data and location factors, area cost factors, and/or economic factors. What’s needed to improve construction cost estimating? Owner leadership, capacity, and accountability.

Estimating 243

Estimating Construction CSI Procurement 243

Job Order Contracting

MAY 4, 2023

The validity of a construction cost estimate, the most important aspect, is often overlooked and resulting in billions of dollars was every year. A construction cost estimate must be independently validated. Key Principles There are key principles that should be adhered to when preparing a construction cost estimate.

Estimating 245

Estimating Construction Documentation Risk 245

Construction Business Owner

MAY 16, 2023

The Importance of Accounting Estimates in an Uncertain Economy ccapoccia Tue, 05/16/2023 - 13:49 “A journey of a thousand miles begins with a single step,” was the saying of Lao Tzu, an ancient Chinese philosopher. These estimates provide management with a foundation to effectively interpret costs, profitability and bid processes.

Accounting 156

Accounting Estimating Finance Bidding 156

Job Order Contracting

APRIL 3, 2021

MasterFormat Construction Cost Estimating drives cost visibility, transparency, and best value outcomes. Using the term “accurate” or “accurate costs” in conjunction with construction cost estimating is a fools errand. “ By definition, a construction cost estimate is an approximation. Absolutely not!

Estimating 239

Estimating Construction Procurement Renovating 239

Job Order Contracting

AUGUST 20, 2023

A credible construction cost estimate is required prior to engaging in procurement. The follow elements are common to a credible construction cost estimate. Credible Cost Estimate Core Elements #1 Objectivity – The information used and those invovled in the creation of the construction cost estimate must be objective.

Estimating 246

Estimating Life Cycle CSI Construction 246

Job Order Contracting

OCTOBER 19, 2023

The below 12 Step Program for Creating a Credible Construction Estimate is a valuable tool for any real propery owner or services provider. #1 1 Define estimate’s purpose ■ Who will use the estimate and how. Monte Carlo simulation) to develop a confidence interval around the point estimate. ■

Estimating 246

Estimating Life Cycle Documentation Schedule 246

Job Order Contracting

MARCH 21, 2022

Should Areas Cost Factors be used for Construction Cost Estimating? As a result, more than 40 years after the introduction of area cost factors (ACFs), the federal government is no closer to its goals of having construction cost estimates match actual construction costs, or properly adjusting for regional (location based) variances.

Estimating 263

Estimating Construction Procurement Budgeting 263

Job Order Contracting

AUGUST 4, 2023

Many in the public sector are unaware of the construction cost estimating issues caused by the use of national average cost data and location factoring. They are not intended to be used when preparing appropriation-quality estimates. Here’s short summary of those problems noted by independent third parties. Peitlock, B.A.,

Estimating 238

Estimating Construction United States New Mexico 238

Viewpoint Construction Technology

MAY 2, 2018

It’s no secret, though, that many contractors rely on spreadsheets for workflows like accounting, project management, scheduling and estimating. Sachse Construction struggled with this situation, using spreadsheets as a go-between for the software used by its accounting department and the software used by operations.

Accounting 211

Accounting Viewpoint Software Software 211

Construction Business Owner

APRIL 10, 2023

Understanding Tech Options & How They Impact Operations ccapoccia Mon, 04/10/2023 - 08:12 Software selection can be a daunting task, whether it’s for accounting, project management, scheduling, estimating, timecard capture, contact management or another process. Software becomes part of your infrastructure.

Software 316

Software Software Profitability Project Management 316

Job Order Contracting

FEBRUARY 3, 2025

The industry average of 25% largely reflects the inefficiencies in bid preparation, lack of trust in cost estimates, and inconsistencies in pricing. Enhanced Credibility : Using objective, third-party data builds trust with clients, as it demonstrates a commitment to transparency and fairness in cost estimation.

Bidding 147

Bidding Construction Defense Contractors 147

Job Order Contracting

AUGUST 19, 2020

Issues with Construction Cost Indexes, Location Factors, and Cost Estimating for IDIQ and JOC impact cost visibility and transparency. The common practice of using construction cost indexes to localize cost information or account for changes over time should be reconsidered by all real property owners. References. References.

Estimating 186

Estimating Construction Contract Accounting 186

Viewpoint Construction Technology

JUNE 12, 2013

MCM is a CPA firm with a team of accountants dedicated to construction accounting. For example, if you completely own a piece of equipment, you probably estimate the amount of fuel that it uses on a job, but may not consider including the depreciation, insurance, maintenance, and other costs associated with running it.

Bidding 325

Bidding Profitability Construction Cash Flow 325

Job Order Contracting

APRIL 1, 2019

LEAN Construction Cost Estimating Drives Optimal Performance. Currently available robust LEAN construction estimating, procurement, and delivery processes, services, and tools, make it possible to consistently deliver quality projects on-demand, on-budget, and on-time. Remember that a cost estimate is NOT then same a price estimate.

Estimating 130

Estimating Construction Procurement Change Orders 130

Construction Business Owner

JANUARY 27, 2014

For owners of small to midsize construction firms, juggling all the responsibilities of owning and operating a business—such as accounting, estimating and scheduling—while trying to increase profits can be a daunting task.

Profitability 247

Profitability Accounting Schedule Estimating 247

Job Order Contracting

JULY 7, 2024

Financial Management Issues Budget Overruns : There have been instances where projects managed by GSA PBS exceeded their budget estimates, leading to increased costs and financial inefficiencies. Inappropriate use of flawed pricing also impacted project cost estimates.

Management 242

Management Budgeting Budget Contract 242

Construction Enquirer

JUNE 16, 2023

The Government has blocked an attempt to amend the planned Procurement Bill to include mandatory project bank accounts for all jobs valued at over £2m. Abrahams MP said: “Small businesses are the backbone of the economy. ”

Banking 115

Banking Accounting Procurement Contract 115

Job Order Contracting

JANUARY 30, 2024

While construction cost factors are used for estimating project costs, there are several challenges and potential problems associated with their use. Local variations in labor costs, material prices, equipment availability, and regulatory requirements can greatly affect the estimate.

Construction 240

Construction Estimating Accounting Innovation 240

Lets Build

JUNE 7, 2019

In a recent study of self-identified business owners, accountants, bookkeepers, estimators, and finance managers within the construction industry, 1. Whatever your reason for getting into the construction business, a love for job costing and puzzling out profitability likely wasn’t a contributing factor.

Estimating 130

Estimating Banking Finance Profitability 130

Job Order Contracting

AUGUST 9, 2020

They are not intended to be used when preparing appropriation-quality estimates. They often are applied to conceptual estimates for identifying “go/no-go” projects at an early stage.” Despite its potential weaknesses, estimation by adjustment factors is a very common approach for all types of construction.

Estimating 264

Estimating New Mexico Denver Engineering 264

Job Order Contracting

FEBRUARY 24, 2025

The Importance of Standardization Building collaboration, ownership, and accountability across diverse teams are fundamental prerequisites to performance improvement. Improved Cost Visibility and Cost Management Below is an example of an estimated using granular Standardized Cost Data and a well-known data architecture (CSI Masterformat).

Construction 147

Construction Visualization CSI Architecture 147

Cassell Construction Estimating

OCTOBER 5, 2023

Timberline Estimating Training – Bid Day Emergency – File Won’t Open I had an urgent support call recently from one of our Montana contractors who use Timberline Estimating. Here’s how: Make sure EVERYONE is out of Timberline, (both Accounting and Estimating). The good news is that this is easy to fix.

Estimating 100

Estimating Bidding Montana US 100

Pro Builder

MAY 11, 2021

Regulatory Costs Account for 23.8% Housing regulations during development and construction account for $93,870 or 23.8% While NAHB’s previous regulatory estimates in a 2016 study were fairly similar, the price of new homes increased substantially in the interim. of New-Home Prices. cbroderick. Tue, 05/11/2021 - 09:07.

Accounting 105

Accounting NAHB Regulation Estimating 105

Autodesk Construction Cloud

JUNE 7, 2023

Inaccurate estimates might not be the root of all evil, but they sure can derail a project. Far and away one of the most common reasons, however, is inaccurate budget estimates. When it comes to construction, estimating costs is a towering challenge. When it comes to construction, estimating costs is a towering challenge.

Estimating 98

Estimating Construction Budgeting Budget 98

Job Order Contracting

NOVEMBER 28, 2023

As a result, more than 40 years after the introduction of area cost factors (ACFs), the Department of Defense (and the Federal Government in general) is no closer to its goals of having construction cost estimates match actual construction costs, or properly adjusting for regional (location based) and/or time-based cost variances.

Estimating 240

Estimating Defense Procurement Budgeting 240

Autodesk Construction Cloud

JUNE 23, 2022

What we in America call Estimators, and what the rest of the world calls Surveyors, have been around for thousands of years. Today, estimators are the unsung heroes of a project team. That doesn’t mean they didn’t exist before then, because even God needed an estimate. Watch our Estimating Master Class.

Estimating 105

Estimating Modeling Documentation Risk 105

Construction Business Owner

JUNE 19, 2016

Internally, he/she may go from working with his/her immediate accounting team to dealing with the company's ownership or executive management team. In the same day, he/she may also have to work with project management, estimating, field management, human resources and so forth.

Finance 192

Finance Deals Project Management Accounting 192

Job Order Contracting

JANUARY 30, 2024

Advantages of Locally Researched Construction Cost Data: Accuracy for Specific Region: Locally researched data is likely to be more accurate for a specific region or locality, as it takes into account the unique factors that influence construction costs in that area. It can be a convenient starting point for cost planning.

Estimating 244

Estimating Accounting Resource Organization 244

Autodesk Construction Cloud

JUNE 24, 2022

New opportunities and challenges highlight the importance of producing accurate estimates. In an industry with razor-thin margins, incorrect estimates can lead to a major hit in profitability and wreak havoc on your company’s finances. One of the best ways to do this is to use construction estimating software. .

Estimating 94

Estimating Software Software Construction 94

Viewpoint Construction Technology

JULY 19, 2017

Estimates get thrown off, rush fees ensue, and general disdain for the job can surface. As a contractor, misquoting a job estimate can be massively detrimental; some jobs are shut down for weeks, months, or even dropped altogether. Accurate estimating ensures there is always enough money for materials, wages, and more.

Viewpoint 239

Viewpoint Construction Schedule Estimating 239

HardHatChat

AUGUST 28, 2018

While we do our best to provide budget estimates that are as accurate as possible, there are inevitably times when projects bids come in higher than the client expected, or that unanticipated costs push the job over-budget.

Budgeting 337

Budgeting Budget Commercial Plans 337

Job Order Contracting

FEBRUARY 20, 2021

80% of cost overruns are due to poor scope of work definition, and associated inadequate and/or flawed construction cost estimates and otherwise poor planning, procurement, and project delivery management. Labor productivity value for each craft /work area needs to be estimated at a detail level as it will significantly vary.

Schedule 232

Schedule Management Procurement Construction 232

HardHatChat

NOVEMBER 27, 2024

GCs can provide accurate estimates for labor costs, materials, and realistic timelines, allowing Directors to establish a reliable budget with contingencies for unforeseen circumstances. This approach ensures that changes are essential, justified, and financially accounted for.

Risk 156

Risk Commercial Budgeting Budget 156

Construction Business Owner

MAY 30, 2023

CDT As a result of economic and cultural trends, construction organizations today are increasingly relying on technologies that increase efficiency — especially in accounting departments.

Software 290

Software Software Lien Organization 290

HardHatChat

FEBRUARY 11, 2025

Ensure Realistic Budgeting and Scheduling: Combining the architects design vision with the GCs knowledge of materials, labor, and logistics allows for more accurate cost estimates and timelines. Accountability: Clear communication protocols make tracking progress easy and identify areas needing attention.

Commercial 177

Commercial Risk Contractors Feasibility 177

Viewpoint Construction Technology

NOVEMBER 6, 2018

This leaves project managers guessing as to their gain/loss versus the original contract estimate and their over/under billing. The reasons most often cited for dated information are lack of access to this data at the right time, query driven reporting and a reliance on accounting/finance for information.

Project Management 211

Project Management Management Viewpoint Software 211