CONCEPTUAL

ESTIMATE
 THE BASIS OF ESTIMATE
 ESTIMATING PROCEDURE
 QUALITY ASSURANCE
(QA)/QUALITY CONTROL (QC)
 ESTIMATING SOFTWARES
 DESIGN GROUP
COMMUNICATION
 ESTIMATING TEAM
CONCEPTUAL ESTIMATE
“ The skill of forecasting cost without significant
graphic design information about the project”

Estimator hone their craft with practice and experience,

basing their estimates on real world examples and past
projects

Research is part and parcel of the conceptual estimating

process, as there is “no outline” for this “process”
 Estimator must forge his own way and stretch the
imagination to put his proposal into an interesting,
understandable and usable format to move the project
to the next level

“ You will know whether your estimate is accurate or not

, only after the project is finished”
Starts with
FEASIBILITY

SCHEMATIC

DESIGN
DEVELOPMENT

CONSTRUCTION
DOCUMENT (-10 % TO
+10% Variance)
BASIS OF ESTIMATE (BOE)

BOEs will describe the basis, assumptions,

inclusions, exclusions and qualifications underlying
estimated amount,

“ the one deliverable that defines the scope of the

project, and ultimately becomes the basis for change
management”
ESTIMATING PROCEDURE

 Establish standardized estimating procedures for

the firm with detailed description of cost models,
formats and modus operandi for handling
contingencies, allowances and escalations at different
design milestones

 Use a good data base for Pricing

Develop in-house database and update it
periodically
QUALITY ASSURANCE (QA)/QUALITY CONTROL
(QC)

 Perform QA/QC Check before issuing the estimate

 Develop list of items as a checklist, identify missing
items and gaps, implement corrective measure
 Develop a QA/QC policy for the firm to ensure
accuracy and quality, QA/QC will demonstrate that
the firm is committed to continuous improvement
 Accuracy of Quantities
ESTIMATING SOFTWARES

- OST (ONSCREEN TAKE-OFF)

- BIM (BUILDING INFORMATION MODELLING)
- OTHER LATEST/UPDATED SOFTWARES

 Use available cost estimating softwares and

technology to increase the accuracy of quantities
DESIGN GROUP COMMUNICATION
“Constant communication will help clarify
ambiguities or validate estimator’s assumptions”

 Quality and clarity of design documents plays a big

role for capturing the right scope
 Constant communication with the design team –
Architect, Engineer and Other Design Consultant
 Right Informations-RFI’s (Request for Information),
meetings, emails and teleconversations
ESTIMATING TEAM
having a skilled team is very critical for producing a good
estimate
 Inter disciplinary communication to understand the scope
better and to avoid disconnects and double dips
 Encourage training, certifications and membership in
professional associations
 Compute estimate vs bid variances periodically to check
if the team’s performance is meeting the metrics
 Review estimating approach and pricing, apply lessons
learned from previous estimates and implement
corrective measures
- PARAMETRIC ESTIMATING
The Basic of Parametric Estimating

Parametric Estimating is the task of looking at the past

projects to get a good estimate of how long a current
project will take and how much it will cost

It allows you to measure individual task within the

project to get a more accurate cost and time frame
Parametric estimating requires you to know some of the
basics about your current project so that you can match it
up with historical data;

1. you will need to know how many units you will be

producing. You will need to figure out how many
hours you will need to produce each of those units.

2. You will need access to past project.

Parametric estimating needs historical data
to make an accurate estimate about your
current project.
- Parametric Estimating is a way to determine bid cost
and time for a current project using data from past
project with similar variables

- Parametric estimating, uses published rates

- As techniques for determining project’s duration and
cost. Define specifications of each units of
deliverable.
- Rsearch published information.