Relearn Construction Cost Estimating – 4 Critical Learnings

It’s time to relearn construction cost estimating.

Before relearning construction cost estimating, it’s important to hit your resent button.  The following represent the new realities.

1. Technology will not solve your problems.  Tech is an enablers.
2. People, Process, and Information are the three kings.  Focus on working with professions with experience, yet willing to learn, listen, and share information.  Robust process is critical.  Move away from “project-based thinking”, to program thinking.  This simply means, fundamental steps/workflows work for ALL projects.  Stick with them.  As to information, there is only one critical aspect.   Use and share objective, granular, current, and locally researched line item data that is organized using a standard data architecture (for example, expanded CSI Masterformat).
3. Focus on a developing a detailed Scope of Work from day one and work collaboratively with all constituencies (owners, design-builders, planners, procurement, facilities management…).
4. Work as part of an integrated planning, procurement, and project delivery team.

Also remember that there so NO SUCH THING as an “accurate construction estimate.”   Turn and run from any estimator, vendor, or consultant who claims to be able to provide one.   Construction estimates can be detailed, verifiable, and objective but NEVER accurate.   Why?  It’s simple.  Accuracy is how close a given set of measurements (observations or readings) are to their true value.   Thus what is the “true value” or “datum” to enable the computation of accuracy?  Well, there isn’t one.   Certainly its not the final construction cost.   There are far to many variables to assume that the final construction cost can be used.  Certainly not “like projects” as the statistical significance again is low.

The ability to enable sustainable repair, renovation, maintenance, and new construction relies upon current verifiable, objective, and granular cost data.

Learn more abour reliable construction cost data.  

Ready for advanced construction cost estimating and improve cost visibility and management capability?