The materials on a construction project do not care where they are installed. The price of a 2 x 4 is the same on the first floor and the third floor. The price for 3/4” copper pipe can be the same for one project as another. Anyone can call and get pricing on materials, whether they are list prices or trade prices. What matters on a project is the amount of time to install the materials. Anyone, and everyone for that matter, seems to be doing that too. But to get the “right” answer, whether for a budget or a bid estimate, it takes a knowledgeable and skilled estimator. This is their job.
Construction companies have to contend with owners and developers that do not use estimators to establish budgets. The owners often rely upon architects and engineers that do not use estimators. This creates many problems. The project owners have to worry about irresponsible contractors and their low bids. This is another big headache.
When I see an advertisement for estimating software that will calculate the cost of a project to the nearest penny, I know the software has been developed and written by people that do not have a clue about estimating. It takes experience to estimate, not software. Yet they advertise their software as the solution to bad estimating.
If the budget is set too low the project will definitely be delayed and it may not even be built. If the budget is set too high what features could have been added to the scope? What other project was shelved due to a lack of funding? If the low bidder is way under the other bidders, what was left out of the bid? Will the low bidder be able to complete the job?
The entire construction industry can benefit from experienced estimators. Excellent estimators are rarely wrong. There will still be the occasional problem budget or bid. When this happens, the reason can be determined, not just the “contractors were hungry or they were greedy” stock answers.
