Professional Documents
Culture Documents
CHAPTER
13
Computers
415
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Then, around 25 years ago, came the first affordable personal com-
puters, and the roofing industry was completely changed, forever. At
first, the PCs—Macs, Osbornes, IBM XTs and ATs—were prohibitively
expensive for many firms. But within a short time, clones from the
Pacific Rim hit the market, and the roofer could buy one for a few hun-
dred dollars. With an early package of spreadsheet software like Lotus
123 or Visicalc, a simple roof estimate could be done in minutes rather
than hours.
The difference in ease and accuracy between estimating with a
spreadsheet and using a calculator with a pad of paper was exponen-
tial—the estimator could make a template. All of the tasks to be done
during the roofing operation could be listed as line items with dollar
amounts next to them; the software could remember the cost of apply-
ing a square of shingles. The computer extended the numbers, and the
laborious task of using a calculator was at an end. The invoices,
change orders, and even accounting were stored in files, and the cen-
tral processing unit could run the numbers faster and more accurately
than any person. Human beings are not as good at performing boring
tasks over and over again as computers are.
Today roofing contractors must use all the available modern tech-
niques and technologies available to them in order to keep up with the
marketplace. The time it takes to learn how to use computers and their
software packages is relatively short. For example, a contractor or an
employee who has little or no formal accounting experience can learn
how to enter the required information. Then a computer can do all of
the complex sorting and calculating that would have required years of
training in times past.
If the computer system is user-friendly enough, everyone, includ-
ing roofing contractors and employees, can save time by streamlining
paperwork. Accuracy of bidding, winning close bids, massaging aged
receivables: The many hours of drudgery eliminated by the correct use
of computers can amount to large cash savings on a daily basis.
COMPUTERS
417
records on old invoices and brown paper bags, of tracking labor hours
and overtime costs by hand. In the electronic age, these activities are
outdated. And obviously, removing considerable chunks of the paper
trail can reduce the need to keep increasing payroll.
A one-time investment of several thousand dollars for computers,
software, a laser printer, facilities for the Web, and the other items
needed for a system can pay for itself quickly in estimating alone—
from enhanced consistency and accuracy as well as timeliness. Esti-
mating is only a part of the workload that computers will handle. They
represent one outlay of cash with minor upkeep expenses and can
slow the ongoing need to add staff in numerous departments: manage-
ment, accounting, estimating, scheduling, delivery, etc. And, as we all
know, adding more staff is not a one-time outlay of cash.
There are many ways in which a construction company can profit
from computerization. Estimating, control of payables during jobs,
reducing workers’ compensation costs, obtaining vendor discounts,
staying on top of receivables, eliminating bookkeeping costs—each
roofer has his or her own list. But—and we can’t emphasize this often
enough—one cost savings that runs through the activities of any type
of firm is that computers can be used rather than hiring more people.
A wide spectrum of hardware and software is now available at amaz-
ingly low costs. The computer and programs required by individual
roofing contractors depend largely on the size of the company and how
many tasks the computer is expected to perform. Figure 13-1 offers
examples of items your firm may want to automate. It is on the enclosed
CD; download it into your computer and print out several copies. Figure
13-2 is a blank checklist to use for writing down your own ideas. Have
everyone fill it out, then consolidate the responses into a review sheet
for decision making about automating your company’s paper trail.
✓ Item Notes
Keep an updated to-do list
Record takeoffs in the field
Do takeoffs straight from blue-
prints, electronically
Calculate estimates while take-
offs are being done
Prepare a professional-looking
bid sheet for the client
Control costs during each job
phase
Reduce workers’ compensation
costs by tracking work hours by
risk category
Organize accounts payable for
faster collections
Speed up and increase the
collection of accounts receiv-
able
Eliminate external service
bureau costs
Improve clerical productivity
from the jobs that are being performed in the field come in; checks
come in; takeoffs of potential new jobs that need to be estimated are
completed; lawsuits for construction defects claims come in; checks
go out to vendors; equipment is purchased; payroll is cut—even for a
small business, the list of events that take place each week is immense.
The important thing is to go back and review the wish list. The
hardware and software for automating many of the tasks you wish to
automate are now readily available in the marketplace. However, there
are several obstacles that will arise as you begin to pursue automation
seriously. The first problem is where to find the software and hard-
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COMPUTERS
419
✓ Item Notes
ware that will do what you want to do. The next obstacle you will meet
is trying to figure out which items are appropriate for your firm. Then
there will come several other major hurdles to clear: installation of the
hardware and software; learning to use them; implementing their
potential as a part of the day-to-day operation of your firm.
There are two major mistakes that firms typically make when they
attempt to upgrade computer systems or install new ones: being afraid
to invest fully in automation, and failing to establish an overall under-
standing of what is needed in order to get the tasks on one’s wish list
taken care of in a real, nuts-and-bolts way.
It is important to remember the idea presented in the previous
chapter: It is very easy to forget that roofing is first of all a business,
and that it is the business of roofing that presents the arena in which
the tradesperson can practice his or her craft as a skillful roofer.
When you purchase a truck or a piece of equipment for the field, it
is immediately obvious how valuable the item will be. Computers
will do many tasks, but all too often the contractor has only a vague
idea of what can actually be done and how to use this time-saving
equipment.
This is why we have presented the list above, to help focus on what
needs to get done. The next step is to find someone who knows a lot
about what can be done, what hardware and software should be pur-
chased with the initial investment, where that can be done most rea-
sonably, how it can be paid for, what the installation entails, and how
thorough training can most simply be achieved.
The principal will often have difficulty seeing this as a simple part
of the business, where the point is to install the computers and keep
the business moving with as little interruption as possible. In almost
all cases, an outside consultant who is familiar with construction
offices should be used as a subcontractor. Just as a general contractor
would be foolish to try to use the carpenters to install a roof, rather
than hiring a roofing contractor, it is foolhardy for the principal to try
to automate the firm—he or she can probably do it, but in very few
cases as skillfully as he or she can roof buildings.
The real cost of computers is not the hardware, software, and con-
sultants—keystrokes are what cost money. Keystrokes represent an
actual cost of doing business in the form of labor. The more keystrokes
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COMPUTERS
421
involved in getting the daily task of roofing done, the less profitable
the computer installation will be.
In other words, if the owner of the company is reading books, call-
ing software companies, and learning code, the actual tasks that create
cash flow from roofing are being overlooked. This would be like trying
to save money by cutting, bending, and installing sheet metal when
your firm has always subcontracted the work out—the crew would be
stumbling around the site trying to figure out what to do rather than
going ahead with the roof application.
It is imperative that the owner think of the automation process in
this same way—that is, like a true business professional. The whole
subject of jobbing out work was addressed in Chap. 2—it is so impor-
tant that we devoted an entire section to it. And it cannot be empha-
sized strongly enough that a highly knowledgeable computer
consultant who can sign a contract for the cost of the installation will
pay for the service many times over. Remember, the hardware, soft-
ware, and consultant are not what is expensive—keystrokes are what
cost money.
There are people all over the country who specialize in construc-
tion systems. You can find them through roofing organizations, the
Yellow Pages, the Internet, software manufacturers, etc. After find-
ing a consultant, sit down with him or her and discuss your wish
list. If the consultant has an immediate understanding of what you
are talking about and can listen to you carefully, you may have the
right person.
Be sure to take the time to get a list of satisfied clients, preferably
roofers. Call the clients up and, if they will let you, visit their places of
business and review what they are doing with the system. Whether
this option is available or not, make certain that the prospective con-
sultant lays out your office for you in a diagram and shows you how all
of the components will work together in a language that you can
understand.
COMPUTERS
423
✓ Item Notes
Job comes in to bid Info about jobs should be
entered into the system only
once. Architects, general con-
tractors, building owners—the
software should add them to a
database that will pass the infor-
mation on to all parts of the
business (marketing, sales, esti-
mating, accounting, etc.)—
always saving keystrokes.
Estimating begins Do takeoffs straight from blue-
prints with a digitizer. Software
calculates estimates while take-
offs are being done. Software
prepares materials lists and after
review sends to vendors.
Get the bid out to the customer Software prepares a profession-
al-looking bid sheet for the
client and enters the company
in the marketing database.
Bid is accepted Software allows staff to open a
new account linked to all
accounts and the entire busi-
ness. Scheduling is completed.
Materials orders are placed.
Control costs during each job Job is mobilized in the field.
phase Materials deliveries are sched-
uled.
Job is tracked by computers Software does payroll. It
reduces workers’ compensation
costs by tracking work hours by
risk category. All payables are
done through computers.
✓ Item Notes
Organize accounts receivable Payables are handled in a timely
for faster collections fashion. Receivables reports are
always available. All tax infor-
mation is extracted and com-
piled as receivables and
payables come in and go out.
Clerical productivity is
increased.
Job is concluded Demobilization is tracked and
profit and loss figures are com-
puted automatically.
Job-cost accounting is com- The job becomes a part of the
pleted company’s overall accounting
picture. Reports concerning the
real cost of job, profit and loss,
etc., are at the owner’s finger-
tips.
F I G U R E 1 3 - 3 (Continued)
can describe the job and site over the phone, architects, property man-
agement firms, and others with whom your firm does a large volume of
work on an ongoing basis.
This type of estimating is done directly from the blueprints. A dig-
itizer is used for the takeoff from the surface of the plan. The device
traces the dimensioned drawing and dumps the areas of the roof into
the computer’s estimating package. The estimator reviews what is on
the estimating sheet and the plans, and then the computer runs a total.
This is an amazing approach for estimators who have never used it
before. The digitizer picks up dimensions and counts, and the estima-
tor guides it to the proper line item: demolition, felt, shingles, etc.
Then the computer extends everything. The most important thing is
that the estimator have an experienced eye for such things as difficult
access or disposal of hazardous materials, so that these can be
included in the line items.
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425
Moving to Contract and Job-Cost Accounting
The next step will be discussions with the principals who want the job
done, and then come contract documents and accounting.
The new generations of software for people in the building indus-
try are very sophisticated, and dedicated software for small systems
has been around for well over a decade.
This wrap-around software allows a high-quality printout of the
original estimate to be printed or faxed out; if the principals are inter-
ested, the estimate can be revised and printed, contract documents
produced, and a job-cost account opened for the contract.
Naturally, there are keystrokes involved, but while all parties must
still take great care to see that what comes out of the system is accu-
rate, the number of keystrokes and calculations that must be per-
formed by staff can be reduced drastically from that required with
hand-done systems, or even earlier spreadsheet/word processor com-
puter systems.
F I G U R E 1 3 - 4 Jobsite electronics.
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Scheduling and Job Performance
This is another task that the job superintendent can take care of on a
laptop. The most important part of scheduling is rescheduling. As we
all know, jobs are very often fraught with delays: architectural change
orders, weather, poor construction management—the list is endless,
often frustrating, and at times devastating to the financial outcome of
a contract.
This situation makes the ability to reschedule quickly and accu-
rately an imperative, along with producing any change orders that are
required as the schedule changes.
If a foreman at the jobsite is equipped with a laptop, a portable laser
printer, and e-mail and fax capability, a great many problems can be
ironed out instantly, without labor downtime and/or progress delays.
For example, suppose that the crew has started to place underlay-
ment and the foreman notices that several junctions of vertical walls to
pitched and flat areas of roof are not detailed correctly and changes are
required. The architect is not in the office, and the general contractor’s
superintendent is not available.
Without automation, this situation could have serious ramifica-
tions: holding up a crew with the meter running; several days of down-
time due to inclement weather; missing some extra cash flow from a
change order. But at a site that is electronically up to date, the foreman
can get through on the architect’s cell phone, fax a sketch of the roof
junction, get a signed version of the change order back by fax, and
move on with the deadline.
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✓ Feature Notes
Other features
operating system and shell, but just go with the flow until you are very
sophisticated with computers.
The next type of software is wrap-around generic software pack-
ages. WordPerfect Office and Microsoft Office are the two main pack-
ages in the market today. Again, since Microsoft has so much presence
in the marketplace, it may be best for you to make certain that the com-
puter system you buy comes loaded with Microsoft Office.
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MARKETING
Typically, the tasks performed when working on marketing are accom-
plished with word processing and graphics software. Ordinarily, these
two functions can be found in the wrap-around software packages like
Microsoft Office. There are so many typefaces and drawings available
with these packages that the office’s word processing person can often
handle simple marketing campaigns—newspaper ads, brochures, fly-
ers, etc.
For more sophisticated, large-scale marketing campaigns, it will
probably be wiser to shop the artwork out and concentrate on the busi-
ness of roofing.
Remember that everything about your firm is a part of marketing,
not just your ability to estimate and perform. The look of staff mem-
bers, of equipment, of letterhead and business cards, of bid presenta-
tions: We all watch one another subconsciously, and the more
confidence we have in the person we are dealing with, the more likely
we are to enlist that person’s services. Just like a good computer con-
sultant, a good, local marketing person used on a limited basis can
save your firm money and be a big help in developing a strong pres-
ence in your area of operation.
WORD PROCESSING
Typically, the computers a firm buys today will have a good deal of soft-
ware onboard already, as mentioned above. If you shop with care, you
should be able to purchase a system with Microsoft Office on board.
The word processing software that is included in Office is Word.
Word is a quality product and will serve any roofing firm well. The CD
with this book is completely compatible with Word.
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431
The main tasks for which you will use word processing are letters,
memos, contracts, change orders, and the other documents that are
part of the paper trail.
SPREADSHEETS
Spreadsheet software is basically designed for computation of figures.
The format is typically a grid of rows and columns, just like a colum-
nar pad of paper. You insert simple codes into the boxes and fill in the
numbers, and the software does the math for you.
Again, try to buy computers that have Office onboard. The spread-
sheet software that is part of Office is Excel. It is quality software and
can be used effectively for the business of roofing.
Spreadsheets are very handy for any math tasks: estimating, track-
ing real-world estimate-to-actual costs on jobs, leveling cash, forecast-
ing cash, etc. Successful contractors are accurate estimators. Before
roofing contractors make any money, they must get a job and complete
it. Getting the job usually requires that the contractor estimate the cost
and present a bid.
Contractors develop estimating techniques through years of educa-
tion, experience, and practice. Techniques are often personal and, for
competitive reasons, private. However, one truth holds across the
board: Roofing success hangs on accurate estimating.
Computer software is imperative in this day and age; it can, with-
out a doubt, enhance the three characteristics of quality estimating:
consistency, accuracy, and completeness.
Advanced software systems feature wrap-around work packages. A
work package allows roofing contractors to prepare a takeoff by enter-
ing the roof’s dimensions and any other required items.
To take off a four-ply built-up roof, for example, enter the roof’s
length, width, and slope. The work package automatically estimates
labor, material, and equipment costs for all the felts, asphalt, surfaces,
fasteners, and any other items related to the roof. Based on the length
of the gravel stop, the work package counts the number of joints
required, adds the proper amount of material for the lap, and rounds
up to the next 10-foot piece.
From this takeoff, the work package calculates estimated labor and
material costs for numerous items, including insulation, fasteners,
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433
felts, and surfaces, and then takes into account waste factors. This
information is then transferred to a complete bill of materials and a
detailed field productivity report.
These intelligent work packages allow the roofing contractor to pre-
pare and generate more accurate bids in less time. The result is, hope-
fully, more winning bids and more free time during which the
contractor can perform other tasks like socializing with potential
clients, leveling and forecasting, and rethinking personal and business
goals.
Consistency suggests that each estimate follow a similar process.
The veteran roofer knows the materials needed, the relationships of
various materials to one another (e.g., adhesive to square foot of mem-
brane ratios), the labor required, and other normal costs associated
with similar jobs.
Accuracy encompasses mathematical correctness. Most experi-
enced contractors recognize the importance of reviewing all calcula-
tions for accuracy. Completeness means accounting for all costs
associated with the job. It is here that the experienced contractor might
include an unusual cost that an inexperienced contractor might over-
look. The contractor’s track record of past work is the most valuable
accuracy tool. As we have said, that information will come from your
past records as you start using new software, and later can be updated
continually from the job-cost accounting software.
Software designed to streamline estimating tasks falls into two
groups, dedicated estimating software and spreadsheets used for esti-
mating. Prepackaged estimating software usually suggests general rela-
tionships between items, but requires the contractor to add to or
replace these generic suggestions in order to customize the software.
In the majority of cases, it is wisest to buy dedicated estimating
software that works with the job-cost accounting software you
choose. Make sure the vendor provides the ability to customize the
way it works for your company. Again, it is preferable to use a con-
sultant to customize the estimating software for you. The vendor of
the package should be able to do it in house or provide a list of qual-
ified consultants.
Independent spreadsheet programs require the user to have a
working knowledge of their most complex functions in order to truly
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435
that the new estimating software is functioning to your satisfaction,
stop cross-checking your estimates manually.
Like your old computer or manual estimate sheet, the new elec-
tronic system requires continual price updates. You will also have to
continue to watch for items that are unique to a job that will influence
the cost of production; for example, limited access to a structure will
increase the dollar amount of a number of line items, such as materi-
als handling. Use Fig. 13-7 as a preliminary list of items that you will
need to watch over and change regularly. Pull the checklist up from
the CD and add your own line items. Keep it ready for each estimate
that is produced by your firm.
Figure 13-8 addresses the concepts that should be clearly under-
stood before you make your estimating software purchases, whether
upgrading or buying new. This checklist refers to basic products that
are very important when automating the bidding process. Review
them with care and add your own items in the empty rows.
✓ Item Notes
COMPUTERS
437
TAKEOFFS—FIELD
✓ Item Notes
TAKEOFFS—OFFICE
✓ Item Notes
F I G U R E 1 3 - 8 (Continued)
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Contractors who are willing to dig in, pay a consultant, evaluate
software, and devote some professional energy to making use of com-
puters can enhance the efficiency of their firm exponentially. For
example, your computers can track employee hours and rates of
hourly pay, then process payroll and cut paychecks. At the same time,
these programs can keep track of bank balances, loan payments, and
interest paid or earned. At tax time, reports can be generated that sum-
marize or detail by item all revenues and expenses, categorized by job,
by employee, by vendor, by loan number or name, or by any other cri-
terion. This makes income tax preparation easier and less costly.
External service bureaus are no longer needed.
As long as the proper figures are entered into the computer sys-
tem, any reports, analyses, bids, invoices, or other computer-gener-
ated documents will be accurate. However, always remember the
old saying among computer programmers: garbage in, garbage out
(GIGO for short). This is especially true in estimating, forecasting,
and leveling, where the information entered is often based on past
performance, which must be very carefully tracked in order to be
effective.
All in all, when it comes to very complex or long and tedious tasks,
computers calculate more accurately than human beings do. But you
must wade through the computer hype presented to you by vendors. A
computer is just like a roofing knife; it is a very handy tool that speeds
things up when it is very sharp. But when it is dull, it frustrates every-
one involved.
Management Software
For real-world management, the KISS (keep it simple, stupid) princi-
ple is always the best policy. At first glance, this expression might
seem to be cavalier or to make light of the idea of simplicity. But it is a
very straightforward way of making a point that is very important.
The more complex you make your business, the more employees
you will most probably need. This extra employee weight can be com-
pounded heavily when middle management is brought into the loop.
This is one of the major benefits of well-chosen, properly installed
software on which your staff is well trained.
Each job can be treated as a profit center managed by the project
manager, who is capable of using all of the company’s technology and
is in complete and continuous communication with the office, the
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design anchor’s office, and, when appropriate, the building owner.
Project managers, estimators, schedulers, and accounting all benefit
greatly from software. With the ability to handle shopping, change
orders, rescheduling, payroll, job walk records, and progress reports
by computer at the jobsite and simply transfer the information to the
company’s central computer system, a good many jobs can be managed
well before extra staff is required.
Reporting on Activities
Accurate reports are one of the many benefits a computer provides.
For example, accounts payable software can show, on a monthly basis,
which vendor discounts were taken and which were not. Reviewing
this report helps in fine-tuning the company’s financial picture.
During peak construction periods, it is not unusual for roofers to
fall behind on their paperwork responsibilities. The proper software
packages can simplify the paperwork so much that difficult chores like
extending columns of numbers do not even have to be thought about.
Even tasks as ungainly as taking measurements off of a set of plans
with an architect’s scale are performed automatically.
The important management functions of forecasting and leveling
become very straightforward when a company is using high-quality
software. Full-tasking job-cost accounting software makes it easy to
produce up-to-date reports on accounts payable and accounts receiv-
able, as well as complete financial statements at any time of the year.
These reports are imperative when you deal with financial institu-
tions. The computerized reports present information about the con-
tractor’s business in the language the banks speak. When detailed,
organized, complete financial information is part of the roofing con-
tractor’s loan presentation, it reflects well on the contractor’s profes-
sionalism.
Miscellaneous Software
Make certain to include everything you are interested in doing on your
wish list and discuss these wishes in detail with your computer con-
sultant. For example, a daily minder for all of the crews and the prin-
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Hardware
As was explained earlier, hardware should be chosen in relationship
to the software that the firm decides is best suited for its purposes. If
the company is so large and complex that a very high-end system is
required, then certain items covered in this chapter may change. For
example, if very high-end scheduling software is chosen, then Unix
workstations could be required and exotic hardware like a high-end
electrostatic plotter might be needed. However, the typical roofing
firm will probably do quite well with simple scheduling software,
which can use a small laser printer quite well. With a good consultant,
all of the hardware decisions should be fairly simple—consultants
typically know where to get good buys on hardware and on software as
well. As with the software, the initial purchase is not the major
expense when purchasing computers; it’s the keystrokes, which will
come after installation. If a person has to sit and wait for a computer
that does not handle the job well, the desired savings will not be
achieved, and losses from employee downtime and lowered morale
will continue to grow.