The following article aims to discuss the benefits of outsourcing Estimating services.
In the field of construction management, the global construction estimating software market size was estimated at USD 38.29 billion in 2022 and expected to reach USD 40.31 billion in 2023, projecting growth at a CAGR of 5.39% to reach USD 58.29 billion by 2030.
The Importance of Cost Estimation services
Cost estimation is a technical function and is important for businesses handling projects, especially for those in the construction management and engineering industries.
Businesses need to properly plan the project and ensure the project cost is within budget while meeting specifications. Incorrect cost estimates on projects, such as overvalued estimates, can significantly cost a business’ time, money and resources.
Cost Estimates need to be valued at close approximates to the actual cost in order to for a bid and project to be successful.
Cost Estimators, also known as cost planners, can help with proper project management and planning since they are responsible in providing the labor, equipment and materials cost estimates for a planned project in terms of required.
What are the benefits of outsourcing Estimating services?
Why should I outsource Estimating Services?
Contractors, construction managers and property developers can spend lesser overhead and associated costs when outsourcing estimating services to an external provider.
Outsourcing estimating service providers also offer businesses additional support with recruiting, management, IT support, and facilities, compliance and most of the systems at month to month, flexible contracts. Because of this, businesses can choose to spend on aspects that can increase the revenue of a company.
Before getting onboard with a service provider, businesses need to plot the timeline, goals and objectives since these will be helpful in understanding the project scope, duration, required skills and required outsourcing manpower.
Business process outsourcing providers can hire outsourcing estimators to prepare timely and accurate estimates including equipment, labor and materials for your business projects.
An outsourcing provider can offer you specialized services such as outsourcing estimating services by hiring staff with relevant certifications, qualifications and experience for your estimating needs. Outsourced Estimators have completed a Bachelor’s degree in Civil, Structural or Mechanical Engineering, or related fields such as Architecture, Quantity Surveying and Construction Management. They have good communication skills and are analytical and detail-oriented.
Outsourced estimators provide you with technical expertise and outsourcing estimating services to make sure the project is aligned with budget requirements. They do this through the application of estimation methods and techniques, and on assisting projects from the initial phase to implementation.
For example, they perform feasibility analysis to determine whether the project scope is attainable. Also, outsourced estimators, especially for those in the field of engineering and construction, provide preliminary bid estimates based on historical data during the pre-construction phase of the project, and definitive line-item bid and quantity estimates of the project based on design documentation.
Outsourcing Estimating services to service providers gives you access to estimators who have relevant experience in reading technical drawings, detail-leveled models, design documents and blueprints and will take the time to learn and understand the nature of the project and its required resources.
Outsourced Estimators make sure to estimate materials to be used. Materials take up most of the estimated costs of a project. Outsourced estimators provide materials take-offs which is the process of identifying the materials, and the corresponding quantity of each material are estimated to arrangements can be done on the procurement & supply chain side before the construction engineering project.
Aside from the procurement and supply chain departments, outsourced estimators also notify and communicate with clients, gather quotes from subcontractors and suppliers, monitoring and assessment of project pricing and requirements as well as provide pricing for change orders as required, and other duties as assigned.
Outsourced Estimators also work with stakeholders, architects, engineers, project managers, to ensure the scope and timeline of the project adheres within the budget.
Outsourced Estimators also need to estimate labor, or the number of workers needed to meet the construction project deadline.
What projects can a business assign to an outsourced estimator?
There are several construction and engineering projects, both public and private, that can be assigned to a dedicated estimator including:
- Residential Construction: single or multi-housing projects
- Commercial Construction: offices
- Civil: bridges, roads, highways
- Industrial: generators, manufacturing equipment
- Manufacturing Lines
- Design Projects: remodels
Connext Global Solutions is an outsourcing company that helps manage a client’s team as if it was theirs and makes sure the performance matches or exceeds that of your local teams.
The company provides custom offshore staffing and engineering process solutions to improve the productivity, product lifecycle of your engineering projects. Other engineering roles you can outsource:
Design Engineers: Design Engineers create accurate complex blueprints, develop detail-leveled models, review drawings and do take-offs. Offshore Design Engineers have technical expertise in assembling or using engineering drawings and using design software such as AutoCAD, Naviswork, BIM, and Revit.
They troubleshoot model and suggest facility or project design changes to meet goals and requirements.
Electrical Engineer: Electrical Engineers deal with design, development of electrical equipment.
Outsourcing Electrical Engineers have Experience in Construction Management, Electrical Engineering and are proficient knowledge of Autodesk production software (Revit, Navisworks, APL, BIM 360).
They work with construction operations teams to build electrical BIM models for construction projects and VDC modeling of electrical systems.
Outsourced Electrical Engineers’ functions also include creating shop drawing and coordinated layouts for total stations and create prefabrication models.
Software Engineer: Software Engineers provide development, identify key product features and can work with your in-house software development team and other software experts to set specifications for new software and design/build software based on product specifications.
Other industries Connext caters to:
1. Healthcare Providers
4. Title and Escrow
5. Property Management
12. Professional Employer Organization
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- Twitter: @ConnextPh
Photo by This Is Engineering
Construction Estimating Software Market Research Report by Product, Deployment, End-User, Region – Cumulative Impact of COVID-19, Russia Ukraine Conflict, and High Inflation – Global Forecast 2023-2030. https://www.reportlinker.com/p06391690/Construction-Estimating-Software-Market-Research-Report-by-Product-Deployment-End-User-Region-Cumulative-Impact-of-COVID-19-Russia-Ukraine-Conflict-and-High-Inflation-Global-Forecast.html?utm_source=GNW. Report Linker. www.reportlinker.com. January 2023.
Types of construction estimates you need to know. https://www.buildxact.com/us/blog/types-of-construction-estimates/. BuildXAct. https://www.buildxact.com/. June 14, 2022.