The Importance of the Pre-Estimating Process For Project Bidding
With the COVID-19 outbreak, every construction business across the country should be preparing for economic challenges ahead. Now more than ever before, businesses must consider ways to improve their processes and make smart business decisions. One issue that will make or break businesses is how they manage the bid process and evaluate which projects to take on and which to reject.
Businesses that put forth aggressively low bids or accept any and every job they can will find that this approach ends up depleting their cash flow and setting back their business. Whether it’s a booming economy or uncertain times, every project needs an accurate estimate to ensure that profitable work is being performed that can increase cash flow and help contractors build up a backlog of projects. This success begins in the pre-estimating process.
In this brief article, a Charlotte bid protest lawyer will provide a few pointers into the pre-estimating process for all your projects. For assistance with the bid process or contract negotiation services, consult the construction attorneys at Cotney Construction Law.
Understanding the Scope of Work
As John Kenney, Chief Operating Officer of Cotney Construction Law, said in his recent article Review and Validate Your Estimating Process, “The estimating process begins with a comprehensive understanding of your project's scope of work.” Contractors must be able to visualize the project needs well before they break ground. In order to excel at estimating, it takes a great deal of knowledge, industry insight, and experience in the field.
Along with these attributes, companies need to have a reliable process in place. This begins in the pre-estimating process with a firm understanding of the project specifications and an assessment of the project site.
Reviewing the Project Specifications
To successfully bid on any project, you and your estimating team must first thoroughly review the project specifications. Along with the general project parameters, contractors need to focus on any supplemental and special conditions featured in the plan. In some cases, these conditions can feature items that are not part of the construction process but will impact the total estimate.
Performing Jobsite Evaluation
Although all bids begin with reviewing the project specifications, it’s never a bad idea to visit the project site if you can. This way, you can address any areas of concern that were difficult to envision on paper. A few things to consider during this visit is site access points, equipment and material staging areas, and existing site conditions. A site visit is a great time to capture some photos of the property, take measurements, and collect samples.
Although performing the above two tasks are just the tip of the iceberg when it comes to providing an accurate estimate on projects, it’s a great launching point to establishing a successful process. For assistance with accurate project estimating and experienced bid process representation, consult the construction attorneys at Cotney Construction Law.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.