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8 Key Steps to Win Bids with Construction Estimating Software Part 1 and 2

 

The first in an eight-part series by Phillip P. Gilliam, President and CEO of Discover Software, Inc., Discover Construction Estimating Software

Have you ever missed something on your construction estimate because you were doing it by hand and not with Construction Estimating Software? Have you ever lost money on a bid?

Anyone of us that has ever done construction estimating would probably have to answer a very resounding YES to both of those questions…but WHY? It’s not because we don’t care enough about our business to be more careful, and most of us make a real effort to be as accurate as possible on our proposals.

Common errors cause dramatic losses!

GREAT NEWS! Common errors on your construction estimating bids can be eliminated by simply using the proper construction estimating software. To do so properly requires a deliberate effort on your part to develop an eight step, dynamically linked construction estimating software system that full encompasses and controls the construction estimating bidding process from the initial client contact through bid day and beyond.

Dynamic linking means that every part of your construction estimating bidding and management system should be electronically linked throughout your construction estimating software so that data is entered only one time and then automatically linked to all the other parts of your system. This speeds the construction estimating bidding and management process incredibly, and insures that if you enter the data correctly the first time, it will appear perfectly everywhere else. No more transposed numbers, dropped data, missed items, or incorrect client interfacing.

Every well-structured construction estimating software bid should include the following dynamically linked steps:

1.) Dynamic Linking

2.) The Takeoff

3.) The Estimate – Impact of accuracy and dynamic linking

4.) The importance of the assembly

5.) The Proposal – LINK-ability

6.) ADAPT-Ability and PROMOTE-Ability

7.) Client Project Management – front end requirements

8.) Change Orders, Purchase Orders, RFQ’s, and Job Costing

This dynamically linked construction estimating software system must also incorporate a methodology of extensive, built in checklists, and effective visual aids and graphical interfaces to insure that an estimator immediatelysees his errors when they are made: not after the job is awarded.

In extensive studies of typical errors made on construction estimating bids, one of the most critical issues was that the estimator, even when using construction estimating software, quite often was so limited on naming conventions, being limited many times to only 20, 30, or 60 characters in the item and assembly descriptions, that they did not properly convey what they had actually estimated to the job foreman and workers.

Proper linking with unlimited naming conventions, along with linkable images, blueprints, photographs, instructions, visual aids and graphic checklists and charts, etc. will eliminate this type of problem.

8 Key Steps to Win Bids with Construction Estimating Software Part 2 - The Construction Estimating Software Takeoff

But unconditionally the most significant first step in construction estimating software is the Takeoff.

Often times you are given an extensive set of detailed prints and a confusing list of job details from which you are required to produce a bid. Usually you are required to produce this bid in a very limited time span, and must live or die based on its accuracy.

If you are not using some sort of construction estimating software takeoff module and are doing this manually, you lay the prints out in some sort of systematic order. You start measuring, and then recording the information on a piece of paper, a pre-made form, or maybe even a computer spreadsheet. If you are really careful and efficient, you might use a set of colored marking pencils to help designate what you have taken off, and what each item represents on the prints.

This system works well for very simple jobs, and it works well if there are no phone calls, no emergencies that you have to take care of, no spilled coffee…need I go on?

The facts are that interruptions are part of the real world, and when the calls come in and you are distracted by an ‘emergency’ or the spilled cup of coffee, if you are not using some sort of construction estimating software takeoff module, you have to try to remember whether or not you measured an area correctly or forgot to post that calculated distance.

Even more critically, in your haste, did you put an incorrect value down or miscalculate a conversion? The problem is even further compounded if you are dealing with complex shapes, and takeoffs that involve a lot of curves and unique areas. Many construction estimating bids are not easily calculated by simply figuring the area in a ‘rectangle.’

It is imperative that your takeoff system be one that is easy to use and understand, but yet flexible and powerful enough to accurately and automatically do the calculus integration and trigonometric factor adjustments for slope and other topographical issues necessary to calculate ‘non-rectangular’ areas. These are things that a construction estimating software takeoff module can do very easily and quickly, but eludes the majority of our mathematical capabilities.

Using simple and easy to understand construction estimating software takeoff modules, you should be able to simply draw or digitize your takeoffs, and your construction estimating software takeoff system should then automatically calculate the data without you even knowing how to spell ‘trigonometry or calculus.’ Complex math functions should run entirely in the background, so that even the old school, “never used a computer” estimators can learn intuitively and quickly, and are comfortable using the construction estimating software system.

Your takeoff system should allow you the maximum flexibility to utilize the mouse to do free hand takeoffs from field sketches, a digitizer interface for hard copy blueprints, and a comprehensive, on-screen takeoff of any electronic interface, regardless whether it is a CAD drawing, a photograph, a topographical map or photo, a county or state survey map from the Internet.

Your construction estimating software takeoff system absolutely must be able to convert any image to be completely compatible with any electronic format, regardless the source or you will not be as efficient as necessary to be competitive in today’s aggressive market place.

People are just naturally more effective in accomplishing any task if they are able to graphically see all of the components and requirements necessary to achieve the assignment at hand. The ability to takeoff online photos, survey and geological maps, and the myriad of other electronic data currently available, thru conversion and then importing to your construction estimating software takeoff system, will greatly improve the accuracy of your work and your understanding of the job, even if your primary source of data is hardcopy prints.

Don’t think that you can simply stick you head in the sand and be content with your current accuracy. If you don’t have the ability to utilize all of these powerful new electronic data sources, you need to remember that a lot of your competitors are already benefiting from many of these money and time saving construction estimating software technology applications. With today’s margins growing smaller and smaller, and every day, new competitors springing up all around, you need to consider the statement that we have been saying for over 30 years: “Automate Or Evaporate”.

I will share with you in part three how your construction estimating software Estimate, dynamically linked from your Takeoff, will dramatically benefit your bottom line results and your bid successes.

Phil lives with his wife Lila and their family in Largo, Florida. He is a mechanical engineer and computer software developer with over 35 years experience in the construction industry. He is the President and CEO of Discover Software Inc. Discover Software provides integrated software solutions exclusively for the construction industry covering all areas of estimating, graphic takeoffs, project management, and marketing. www.easyestimating.com

In our next section we will be covering the importance of the construction estimating software estimate and the critical nature of accuracy.

 

 

 

 

 

 

 

 

 

 

 

 

© Copyright 2008 Phillip Gilliam All rights reserved.

 

This article, 8 Key Steps to Win Bids with Construction Estimating Software, has been posted on our website Discover Construction Estimating Software to help people to know more about construction estimating software and the proper application of construction estimating software. We at  Discover Construction Estimating Software being in the business of construction estimating software wish to educate and instruct individuals in the construction estimating business how to select, implement and use construction estimating software, and while we do hope that people coming to our website Discover Construction Estimating Software will use our Discover Construction Estimating Software, we realize that some will select one of our competitors construction estimating software and we are fine with that fact.

 

While we do not expect everyone to purchase our construction estimating software, and while we are happy for everyone to read any of our articles on construction estimating software or construction estimating in general, we do not authorize reproduction 8 Key Steps to Win Bids with Construction Estimating Software or any of our other article on construction estimating software or construction estimating without our direct written consent to do so. If you wish to use 8 Key Steps to Win Bids with Construction Estimating Software or any of our other construction estimating software or construction estimating articles, please contact Phillip Gilliam at 727-559-0161 or write to him at phil@easyestimating.com for his written permission to do so. Any reproduction of 8 Key Steps to Win Bids with Construction Estimating Software or any of our other articles on construction estimating software or construction estimating without his written permission is strictly forbidden and is punishable by copyright law.