Fast and Reliable Outsource Estimating Services Starting at $150

Benefits of Outsource Estimating Services

There are multiple benefits you can get, by having outsource estimating services. Some of them are:

1.     Perceptive ways of cost saving

Construction companies can save money by outsourcing their estimations. Instead of hiring their team, training them, and making them specialized in this field, you can outsource their cost estimations. By making this wise decision, you can pay for other services, by outsourcing the construction.

2.     Access to expertise & field knowledge

Outsourcing contractors and estimators helps construction companies to get valuable suggestions, relevant to any project plan. The estimators have;

• Extensive knowledge of market trends, industry, and latest technology
• Experience with multiple building situations

You can discuss anything with them offering a deep insight into the budget. They help you in clearing all your queries related to construction. They offer you the most acceptable and conceptual suggestions and thus, help you in making informed and timely decisions.

3.     Budget Control

You don’t want to exceed your budget? Outsourcing estimating services comes to your help. They will ensure to keep the costs as low as possible. They offer services to reduce your budget and thus, help you in increasing your profit margin. They will implement specific strategies to cut down your expenses and achieve your goal. They will delve down into their technical expertise to ensure, your construction project is well-aligned with your budget.

4.     Time Effectiveness

Many businesses and contractors have reported that their project effectiveness increased by outsource estimating services. This statement is impeccable both for budget and time. They make a thorough observation of the project plan and then make a precise analysis of;

• All the material, equipment, labor
• All the overhead costs including all kinds of permit fees, mobilization of machinery

They comprehend the project plan by considering all the requirements. There are rock-bottom chances of budget and time overruns.

5.     Technology Incorporation

Outsourcing estimating services incorporate the latest technology and software to speed up your process and make your work more updated and well-aimed. They keep updated with the latest trends in technology and keep practicing it regularly. This integration of technology helps them to ensure the accuracy of their estimates. It helps people from different fields, to work together in a team and be in touch with other tools of project management. It leads to a more effective building process.

6.     Concentrate on Key Competencies

Outsource estimating services helps you and your team get rid of handling the complex tasks of cost estimating and quantity take-offs. You don’t need to be worried about hiring the estimators outside and then providing them with the computers, and technologies and managing the office space for them. Outsourcing estimating helps your team focus on the best they can do in the rest of the project like management, organizing, recruitment, architecture, and designation of the construction project. 

7.     Challenging & Increased Bids

By getting services from outsourced estimators, you can give an early submission of a timely and challenging bid, including a maximum accuracy of cost and construction estimations. They go through the estimates of your competitors in the market and then go for your planning and estimations. It then enables them to overcome all the gaps and loopholes in your estimates. It increases the chances of you winning the bids. Additionally, when a bid costs less, you can make more bids in the total cost of the project.

8.     Surge in profit margins

Estimators without charge, have a strategy of fixed margins for contractors. They don’t try to go beyond that. However, outsourced construction estimating services help you in viewing the project from every angle. They look forward to every pinch of it, to find if the profit can be increased from somewhere. If your estimators are telling you to have a profit of 5-10%. Outsourcing estimating companies can help you increase this profit by up to 20%.

9.     Versatility in project flexibility

As time passes, the size and complexity of the construction projects keep fluctuating. So, the estimating also requires it to be tailored to the needs of the time. Outsourcing estimating looks into the hour of the moment and helps you to grow and outshine your construction business. With the help of the estimating companies, you can vary the resources used in your previous projects. It depends on whether the project is a small residential project or stepping into a big incorporation plan.

10. Extensible Work Hours

If you are working yourself as a building estimator, it’s difficult to even imagine how much work you’ll need to do. It’ll place you in one of the two wrong positions.

• Either you’ll take the entire responsibility over your shoulders and get less time, energy, and concentration on other areas of your construction plan.
• Or otherwise, you’ll be slacking on your employees with the overwork and overtime.

This will make them lose their creative ideas in their respective fields and fatigue and burn out. Outsourcing construction estimates prevents you from falling into these wrong places.

Outsourcing in Construction Industry

In today’s world, outsourcing has become quite common due to the;

•       Ongoing lower costs
•       Access to expertise knowledge
•       Incorporation of technology
•       Facilitated communication

Why Is the Outsourcing Estimation Process Important?

Picture the pillar of an apartment building. How many nails and wires would have been needed to jolt it together? How much cement and sand must be required to make it? How many pieces of iron ore would be used to stand it up? These all needs and costs require to be accounted for and this is brought to you by outsourcing the estimation process.

The construction estimating process is a detailed process and involves various steps;

1.     Evaluate the tender package

The tender package includes all the extensive knowledge about the project plan. It contains a list of all the;

• Specifications anticipated by the client
• Papers of the project’s contract
• Accountability for all the material and costs involved.

Outsourcing the estimating services helps you to evaluate the tender completely. It makes you assure whether all the specifications mentioned in the tender are present. It reviews all the structural needs of the project and checks the presence of any sub-standard material.

2.     Execute a visit to the site

In some cases, conducting a site visit is necessary before tender submission. It’s better and advisable for the estimating companies to visit the site, rather than merely depending upon the architectural drawings and blueprints of the projects. The type of site can highly influence the cost estimations. If the site lacks easy access to the construction equipment and materials, it would add more costs to the construction plan.

3.     Perform a quantity takeoff

Outsourcing estimating services requires a quantity take-off (also called material take-off) by considering the count of each item involved in the project. It includes measuring;

•       Number (e.g. windows, doors)
•       Length (e.g. wires, iron ores)
•       Area (e.g. flooring, ceiling)
•       Volume (e.g. concrete, cement)

Outsourcing estimating needs quantifies all the needs involved.

4.     Solicit Pricing from market vendors

When the quantities are determined according to the tender and budget, outsourcing estimating services begin to ask for prices of each item from market suppliers and vendors. While going for price fixing, the estimating companies need to consider various things like;

•       Mass proportion of orders, may direct low prices
•       Some estimates may have a restricted lifespan due to fluctuating prices.
•       If there is inevitable material waste, it requires ordering of extra quantities of materials.

5.     Review labor requirements

Outsource estimating companies will be required to assess all the needs of the labor. They will be specifying the roles of the labor, how many hours are going to be necessary and how was the experience of the labor staff. They will analyze the cost associated with the labor, including their medical insurance, transport, housing, and meals of the day.

6.     Figure out the overhead costs

The indirect and overhanging costs are usually not well-described in the tender package. The indirect costs may include;

•       Permit fees
•       Taxes
•       License fees
•       Site cleaning
•       Hiring other professionals
•       Costs on equipment (ordering, mobilizing, replacing)
•       Software costs

The outsource estimation process looks out for the indirect costs and figures out how to distribute them. The outsource estimation process ensures the guarantee to include all the costs in the bid package.

7.     Look for-profit and contingency

After adjusting all the costs and everything, outsourced estimating services look for profit margin and contingency while concluding the estimating process.

• Profit is the amount that is given to the construction company after the completion and they can consider investing it into some other venture.
• On the other hand, contingency is the amount kept aside for the reworks and time overruns that usually happen on the construction project.

Each construction business usually sets up a minimal profit margin and a contingency of up to 10%. At the end of the process, after checking out the direct costs, overhanging costs, labor, equipment, material, and contingency amounts, outsourcing the estimating services returns a healthy profit to the construction businesses.