A Comparison of Construction Cost Estimating Software Tools 2015

A Comparison of Construction Cost Estimating Tools

1. Spreadsheets – Microsoft Excel^®
2. Electronic Cost Books and Calculators – RSMeans CostWorks RSMeans Online
3. Cost Estimating/Project Management Software – 4Clicks Project Estimator
4. Cloud Cost Estimating – Ceasel

Accurate, timely, and transparent cost estimating is critical to the success of any renovation, repair, sustainability, or new construction project. While most construction cost estimators continue to rely primarily upon hardcopy documents and electronic spreadsheets, such as Microsoft Excel, many are beginning to leverage electronic cost books and associated calculator software tools. Both of these approaches have merit and are well suited for certain types of users.

Growing numbers of cost estimators, however, need to work with multiple projects and multiple estimates simultaneously, securely share information on active projects, gain access to localized cost information, and easily locate and reuse historical data. These Owners, Contractors, and AEs are moving to advanced cost estimating and management systems. They are discovering that significantly higher productivity can be gained – as much as 50 percent or more. Furthermore, the collaborative aspects of these sophisticated software systems are aligned with integrated project delivery methods and construction sector movement toward Building Information Modeling (BIM). Cloud computing, a further advancement enabling even higher levels of collaboration and simplified deployment, are also now becoming available.

This paper addresses each of these primary approaches to construction cost estimating and discusses their application. For clarity, products are referenced within each category as follows:

• Spreadsheets – Microsoft Excel
• Electronic Cost Books and Calculators – RSMeans CostWorks
• Cost Estimating and Project Management Software – e4Clicks Project Estimator
• Cloud Cost Estimating – Ceasel

The image below portrays a graphical representation of the increase in accuracy, collaboration, productivity, and project completeness for various cost estimating methods.

Construction estimating involves the estimating of material, labor, equipment, overhead, and contingencies. Spreadsheets, most commonly Microsoft Excel, are used by more estimators for this purpose than any other tool. Spreadsheets have significantly improved cost estimation capabilities and accuracy since the 1980s. Relatively easy to master, spreadsheets provide a means to create and report a construction cost estimate. Cost construction models can also be built within spreadsheets. Productivity improvements result from the ability of Excel to easily handle more of the mundane calculations required.

One problem with spreadsheets, however, is their inherent vulnerability to errors due to data entry, a problem that only increases along with the complexity of an estimate. As the formulae within the spreadsheets become more numerous and complex, errors became exponentially more frequent and costly. ^[2]

Spreadsheets also do not account for dynamic cost information and associated uncertainties or historical information – all of which have proven to be important variables for many construction projects.

Lastly, and in part due to the issues noted above, collaboration using spreadsheets is problematic, as are transparency and accurate monitoring and reporting. Having multiple people working on the same spreadsheet is not efficient or even workable for larger projects. Thus estimates tend to be created and stored in different locations, making information difficult to accurately retrieve and changes extremely costly to execute. As a result, old data errors are perpetuated, copied over and over again.

Electronic Cost Books and Calculators

As it became apparent that more localized and historical data would be critical to improving the accuracy of construction cost estimates and cost models, organizations instituted a formal process for collecting and storing this information. Individual Owners, Contractors, AEs, and other third parties began to collect this information. RSMeans Cost Data has become North America’s standard for commercial construction cost data including materials, equipment, and labor line items, productivity factors, and assembly and square foot cost information. Localized cost indexes, referred to as the City Cost Index (CCI), are also available.

Based upon the size and type of construction project, estimators soon found that they could improve their productivity and accuracy even further by using standardized reference cost information in combination with spreadsheets. Such reference cost information included RSMeans Cost Data or other reference cost sources, along with cost data architectures such as Construction Specifications Institute (CSI) MasterFormat and UniFormat. However, manually entering in tens, hundreds, or even thousands of cost line items from hardcopy cost books remained tedious and prone to data input errors and errors of omission.

Integration of electronic cost book information directly with a cost calculator was the next logical step. An example of this approach is RSMeans CostWorks product. CostWorks can best be described as an electronic version of RSMeans Cost Books where line items can easily be copied and pasted into spreadsheets. CostWorks also incorporates some limited cost calculation tools moving it even closer to the needs of construction cost estimators. Many inherent data input errors associated with spreadsheets appeared to be mitigated. Other issues remained largely unsolved including: collaboration, data reuse, document management, integration and maintenance of alternative cost data sources, reporting, and the integration of robust construction delivery workflows. To provide easier Internet access to RSMeans Cost Books, RSMeans Online is now being offered in addition to the CostWorks CD-ROM. RSMeans Online enables simplified deployment and a somewhat updated user interface.

Collaborative Cost Estimating Software Solutions

Spreadsheets have proven valuable for single, static estimates of a certain project size, as well as for a media to gather and transfer data sets. Similarly, the integration of electronic cost books with spreadsheets and electronic cost calculators (such as CostWorks/RSMeans Online) are equally valuable for individuals performing a small number of relatively straight forward construction, repair, or renovation estimates (three to five per year).

However, both spreadsheets and electronic cost calculators do not meet the need for collaboration, transparency, document management, and maximized productivity. They also do not provide a capacity to adhere to and report upon specific construction delivery methods and/or contracts such as Job Order Contracting (JOC), Integrated Project Delivery (IPD), Simplified Acquisition of Base Engineering Requirements (SABER), and Indefinite Delivery Indefinite Quantity (IDIQ). Collaborative cost estimating and project management solutions also support today’s need for Adaptive Project Delivery (APD)ä. APD enables Owners, Contactors, and AEs to modify and constantly improve upon construction project delivery processes to meet their individual and changing requirements.

Integrated cost estimating, project management, contract management, and document management software systems have become very popular over the past decade and are exemplified by e4Clicks Project Estimator.  e4Clicks Project Estimator incorporates this type of cohesive management in a single application.

e4Clicks Project Estimator allows users to create estimates and manage multiple types of projects and contract methods: JOC, SABER, IPD, Single Award Task Order Contracting (SATOC), Multiple Award Task Order Contract (MATOC), Multiple Award Construction Contract (MACC), Indefinite Delivery/Indefinite Quantity (IDIQ), Performance Oriented Construction Activities (POCA), and Basic Ordering Agreement (BOA). Users can select from enhanced RSMeans electronic cost data, including an exclusive 400,000 line item database with full descriptions and modifiers as well as graphics, diagrams, and specifications, and/or custom/internal cost information or other standard/custom unit price cost books.

Visual estimating and quantity take-off (QTO) are also core components of this type of advanced software. eTakeoffä, included within e4Clicks Project Estimator, stands head and shoulders above other visual estimating solutions, enabling estimators to quickly and precisely visualize requirements and trace electronic drawings to determine quantities for line items within estimates. Drawings can be shared in various formats include Adobe Systems Portable Document Format (PDF). The eTakeoff/4Clicks integration enables users to quickly transfer to e4Clicks Project Estimator.

Visual estimating allows the user to:

• Estimate and pre-bid processes without paper plans.
• Create measurements by tracing upon electronic drawings.
• View plans with powerful zooming and scrolling capabilities.
• Display measurements in an infinite variety of colors and patterns to identify the type of construction and the materials used.
• Total measurements from multiple plan sheets.

Cloud Cost Estimating

Cloud computing enables the next level of collaboration and real-time work with virtually unlimited processing power and storage. Cloud computing applications, such as 4Clicks’ Ceasel, connect people, information, and processes – anytime, anywhere.

Ceasel allows the user to do more with fewer resources, while also improving cost estimating and project delivery outcomes.  This is made possible by Ceasel’s ability to enable higher levels of service, economies of scale through shared but secure resources, rapid and flexible deployment, standardization, and the ability for cost estimators, project managers, and procurement professionals to connect and share previously incompatible information.

With Ceasel, the user logs in through a web browser and can immediately build estimates with the best representation of RSMeans Cost Data available, custom data, or a combination of both. Cloud computing technology stores data permanently, keeping a detailed history of changes so work is never lost. Unlike spreadsheets, Ceasel and similar products provide the flexibility for teams to work simultaneously with large databases from any location around the world.

From a deployment perspective, cost estimating software solutions and true cloud cost estimating solutions address the creation of custom parameters, multiple “knowledge bases,” and easily support client-server network or stand-alone system environments.

These powerful tools yield superior productivity, accuracy, transparency, collaboration, and information reuse. They are best suited for anyone using RSMeans Cost Data and/or custom cost data for renovation, repair, and sustainability projects, as well as estimators managing tens to hundreds of projects per year. The chart below shows the capabilities deployed by each estimating tool.

Conclusion

Over the past forty years, there have been many initiatives to improve cost estimating to facilitate the delivery of construction projects on time and on budget. Owners, Contractors, and AEs now have multiple methods to select from based upon their needs.

 

Spreadsheets were a major improvement in the 1980s, followed by formal processes for collecting and harnessing historical information to more accurately project and control costs. Over the past decade, a powerful new capability has been added, collaborative cost estimating and project management software. Within the past two to three years, cloud computing offers yet another advancement in terms of ease of deployment, scalability, and real-time collaboration.

Over the past forty years, there have been many initiatives to improve cost estimating to facilitate the delivery of construction projects on time and on budget. Owners, Contractors, and AEs now have multiple methods to select from based upon their needs.

Spreadsheets were a major improvement in the 1980s, followed by formal processes for collecting and harnessing historical information to more accurately project and control costs. Over the past decade, a powerful new capability has been added, collaborative cost estimating and project management software. Within the past two to three years, cloud computing offers yet another advancement in terms of ease of deployment, scalability, and real-time collaboration.

 

 

 

[1] Christofferson, Jay. “Estimating with Microsoft Excel”, Brigham Young University. Nickols, Robert Duane. “Construction Estimating Using Excel” Lexington Technical Institute, University of Kentucky.

2 Caulkins, Jonathan P., et al. “Do Spreadsheet Errors Lead to Bad Decisions” Carnegie Mellon University.

You are what you measure… and/or … You can’t manage what you don’t measure

Note:  Reposted/adapted from Boiled Architecture.

You are what you measure

True North Indicators… what a great term.  Collaboration and consensus processes are not the “wave of the future”, but requirement for survival within our changing Architecture, Engineering, Construction, Operations, and Owner sector(so).

True North Indicator (TNI): An expression of something you team values.   Something to keep your sights set to.

Key Performance Indicator (KPI):  A metric for how you measure your progress toward or deviation from a TNI.

Below is a snapshot of  Boiled Architecture’s dashboard for 2013.   Why post it?

Well, if more architecture, repair, renovation, sustainability, and construction projects were conceived, procured, executed, and monitored using similar methods and KPI’s the world just might be a better place.

Whether you are cost estimating, designing, managing projects, and/or involved in Integrated Project Delivery – IPD, Job Order Contracting – JOC, and involved any related collaborative construction delivery process… or thinking our it…  now’s the time to get more serious, or get on board!

Increased productivity, accuracy, transparency, and collaboration are requirements of success as we move forward.

Whether you are practicing BIM (life-cycle management of the build environment supported by digital technology and forget the 3-D aspect for a moment).. .. practicing a component of BIM but moving toward life-cycle management…. it’s time to adapt robust business processes vs. continue with ad-hoc practices.  I simply talking about having sound processes to better control total cost of ownership and return on investment of the built environment.

It’s time to look at everyone’s risk/reward…Owners, Contractors, Subs, AE’s oversight groups, building users, the community…vs. just  your own!

Along the left of each column of charts you’ll see vertically-oriented titles.  Those are the True North Indicators.  Each of the graphs are displaying a Key Performance Indicator for those TNI’s (some graphs are able to display more than one KPI).

Our team practices 100% transparency internally, and this is possible because I train all employees on what these metrics mean, how they are measured, and what the results imply about our performance.  If you want to discuss any of these numbers, I’d be happy to share them with you.  Feel free to set up an appointment with me to discuss on the phone: www.doodle.com/osciawilson

What we valued and what we measured for 2013:

1. TNI: Collaborative Culture

• KPI: Internal collaboration survey
• KPI: Hrs spent on community service

2. TNI: Solid delivery

• KPI: % of our desired standards established
• KPI: Average billing rate
• KPI: CO’s resulting from our errors/omissions per project
• KPI: Architectural RFI’s per project

3. TNI: Solid client base

• KPI: Client sources (referral, repeat, other)
• KPI: Acquisition costs
• KPI: % revenue per client

4. TNI: Thought leaders in IPD and transparent business practices

• KPI: Google search ranking for the phrases “Transparent business model,” “IPD Architect,” “IPD,” “Integrated Project delivery,” “Collaborative Construction.”
• KPI: # of blog posts
• KPI: Speaking/interview/quote requests

5. TNI: Company wealth

• KPI: Profit
• KPI: Cash balance
• KPI: Staff utilization
• KPI: Overhead rate

6. TNI: Employee wealth

• KPI: # of hours worked
• KPI: Pay per hour

7. TNI: Ideal project mix

• KPI: Delivery models (IPD, Design-Build, etc)
• KPI: Sustainable projects
• KPI: Transportation projects

 

What did you measure in 2013?  What have you decided to measure for 2014?

 

via http://www.4Clicks.com – via http://www.4Clicks.com – Premier cost estimating and efficient project delivery software solutions for JOC, SABER, IDIQ, MATOC, SATOC, MACC, POCA, BOA, BOS … featuring an exclusively enhanced 400,000 line item RSMeans Cost Database, visual estimating/automatic quantity take off ( QTO),  and collaborative contract/project/document management, all in one application.   Our technology is currently serving over 85% of United States Air Force bases and rapidly growing numbers of other DOD and non-DOD (United States Army Corps of Engineers,  Army, GSA, Homeland Security, VA..) federal departments/agencies, as well as state/county/local governments, colleges/universities, healthcare,  and airports/transportation.  RSMeans Strategic Partner

2013 Global Construction Survey

In 2013, KPMG interviewed executives from 165 engineering and construction companies around the world, serving a range of markets including energy, power, industrial, healthcare/pharmaceutical, manufacturing, mining, education and government.

Key findings:

1. “66 percent feel that national governments’  infrastructure plans are the single biggest driver of market growth”

2. Slow recovery / growth continuing with “stable or higher margins”

3. “budget deficits and public funding is the biggest barrier to growth”

4. Growth areas: “power and energy top the list by a significant distance, other target sectors include water, rail, mining, and roads and bridges”

5. Standardization is critical to improving “project and risk management”.  “Whenever new people start on a project, they bring with them different processes. To spread good practices,  contractors can increase their use of… ” cost estimating and …. “project management software and step up training…. consolidate project delivery, and tighten
all leakages as much as possible.”

6. “Become a strategic partner to clients’ businesses By working more closely with clients from all sectors….”

via http://www.4Clicks.com – Premier cost estimating and efficient project delivery software solutions for JOC, SABER, IDIQ, MATOC, SATOC, MACC, POCA, BOA, BOS … featuring an exclusively enhanced 400,000 line item RSMeans Cost Database, visual estimating/automatic quantity take off ( QTO),  and collaborative contract/project/document management, all in one application.   Our technology is currently serving over 85% of United States Air Force bases and rapidly growing numbers of other DOD and non-DOD (United States Army Corps of Engineers,  Army, GSA, Homeland Security, VA..) federal departments/agencies, as well as state/county/local governments, colleges/universities, healthcare,  and airports/transportation.  RSMeans Strategic Partner.

 

 

Job Order Contracting in Canada

October 23, 2013

Why the Job Order Contracting model could work in Canada

STEPHEN BAULD & LISA COOLEY

A proven contracting methodology from the United States may be a model for solving some of Canada’s current contracting demands.

Job Order Contracting (JOC) was born of the United States military contracting world, where small construction projects were taking up to 18 months and 20 per cent of project budget to design and procure.  JOC was designed to procure and execute those projects in a more efficient way by providing a competitive and flexible pricing structure for the execution of these small, repetitive projects.

Key to JOC is the availability of a commercial catalogue of construction prices, called a Unit Price Book (UPB), such as those produced by RSMeans Company, LLC.   Contractors bid a coefficient, which is applied to the UPB to arrive at contractual prices. For instance, if a contractor’s bid is .97, it means they offer a three per cent discount off the commercial prices as established by the UPB.

In this way, JOC is similar to the standing order contracting that we are familiar with, with a few important differences. The first is reliance on that unit price structure rather than labour and material pricing.   This provides a clear pricing structure based on a complete, installed unit of work, which prevents padding with extra hours or expenses and rewards the most efficient contractors. It also provides a higher level of pricing transparency for municipalities and their constituents.   By leveraging a commercial price book with tens of thousands of line items, virtually any scope of work for small construction and renovation can be covered. Procurement of the contract including the pricing structure is done once, but is then used for multiple projects over the contract term through individual delivery orders.

Another important difference is that JOC has a well-defined project development process for each delivery order that requires the active involvement of the contractor, not unlike design-build or integrated project delivery.

The contractor under JOC is expected to take an active role in defining the scope of work and providing a facility solution to the owners prior to pricing the project. The delivery order proposal for each projects provides a clear scope and sometimes a simplified design deliverable, as well as line item pricing detail for the outlined scope of work. Once the owner accepts the proposal, the project becomes lump sum for the contractor-defined scope of work, so there is no haggling over quantities and unit prices once construction starts.

After the implementation of JOC in the U.S., numerous studies were conducted and the results were clear: JOC results in fair pricing, better quality construction with fewer claims and litigation and much faster delivery of small projects. JOC is typically used for projects in the $25,000 to $1,000,000 range, with  overall annual construction volume under a JOC $2M to $70M.

JOC should not be used for larger construction projects where a full design process is needed. Rather, it is best focused on the kind of ongoing, repetitive facility upgrades that are required in a municipality of any size. Typical JOC projects might include renovations, upgrading classrooms or conference rooms, lighting replacements, paving, or fencing.

The long-term contract structure (3-5 years) covering multiple projects is key to the success of JOC. Typical contract provisions will guarantee a very small amount of work ($25,000 to $50,000) but provide clear opportunity in the form of an annual maximum ($2 million to $5+ million) creating an incentive for the contractor to perform well to achieve maximum contract volume and thus profitability.

Contracts are typically awarded for a base year with two or more options, so that an owner can retain a performing contractor or easily replace one that is not non-performing. The long-term relationship that this promotes between the contractor and the owner leads to multiple project execution efficiency.

While contract bundling of larger projects has been a topic of concern recently, the research on JOC clearly points to increased opportunities for small businesses.

This is because the type and variety of projects requires extensive subcontracting of portions of work, in a project bandwidth where small local companies are the most competitive. Small business can be further supported in a JOC by requiring that a certain percentage of the work be subcontracted, as in Washington State legislation, or by establishing specific goals for awarding of prime or subcontract dollars to small, local business.

It may be time to take a look at JOC as a model for Canada’s municipalities to deal with the increasing volume of small facility upgrades while promoting small local business and making procurement staff more efficient and effective.

This approach would work very well in municipalities throughout Canada, and is available to come and talk to procurement staff to explain how this process could be applied in municipal procurement contracts. Government procurement is always looking for ways to create value for money as well as a way to be completely fair, open, and transparent to all contractors. JOC would be the ideal way to create a level playing field for everyone involved in the process of government procurement.

Stephen Bauld, Canada’s leading expert on government procurement, is a member of the Daily Commercial News editorial advisory board. He can be reached at stephenbauld@bell.blackberry.net.

Lisa Cooley, LEED AP, is a recognized Subject Matter Expert on Job Order contracting and an employee of RSMeans, a business line of Reed Construction Data Canada. She can be reached atlisa.cooley@reedbusiness.com

via 4Clicks.com:  Premier cost estimating and efficient project delivery software solutions for JOC, SABER, IDIQ, MATOC, SATOC, MACC, POCA, BOA, BOS … featuring an exclusively enhanced 400,000 line item RSMeans Cost Database, visual estimating/automatic quantity take off ( QTO),  and collaborative contract/project/document management, all in one application.   Our technology is currently serving over 85% of United States Air Force bases and rapidly growing numbers of other DOD and non-DOD (United States Army Corps of Engineers,  Army, GSA, Homeland Security, VA..) federal departments/agencies, as well as state/county/local governments, colleges/universities, healthcare,  and airports/transportation.  RSMeans Strategic Partner

Steps Toward Successful Construction Cost Estimating

Steps Toward a Successful Construction Cost Estimate

1. Collaboration – “no successful cost estimator is an island”, It is critical to understand the full scope of any project. Collaboration spans discussions with Owners, Contractors, Subs/Trades about the Projects including; site visits and sharing estimates, jointly reviewing/refining, negotiating estimates, and more!

2. Transparency – Despite what you may hear, there is no “secret sauce” involved in cost estimating, and no “black magic” either. It’s all about experience and the application of robust business process and appropriate use/re-use of available cost data, including, “reference cost data” such as RSMeans. All stakeholders must be able to understand the cost estimate thus transparency is a requirement.

3. Technology – Collaboration, transparency, accuracy, productivity and other factors are directly impacted by technology. Using the appropriate tools for the job, is just as important for cost estimating, as it is for construction projects. The exclusive use of spreadsheets for multiple concurrent projects and/or larger projects is typically unproductive and error prone. Don’t fall into the “spreadsheets can do anything” trap.

4. Information – Extensive detailed line time cost databases, such as those from RSMeans, as well as historical costs and other third party sources are extremely important and relative to productivity and accuracy. They enable Estimators to re-use data, validation estimates, and more. That said, proper attention must be paid to the data architecture (how information is categorized, updated, and stored).

5. Localization – Every construction job, while sharing many similarities, is different. Each cost estimate must be localized for physical site conditions, actual location, as well as local labor and material availability.

6. Granularity – A big word, I know but understanding the inter-relationships and variability associated with material, equipment, and labor for each activity or task is critical. Are you using union, open shop, or Davis-Bacon wages? What is the source of your information, what sample size are you using, what could affect productivity?

7. Parallel Approach – Top down or bottom up? The answer is both! Clearly one must understand the overall value associated with a certain projects. That said, detailed line items with associated labor, materials, and equipment, and an associated bill of materials (BOM) are requirements for transparency and to mitigate errors and omissions.

via http://www.4Clicks.com – Premier cost estimating and project management software for efficient project delivery – JOC, SABER, IDIQ, SATOC, MATOC, MACC, POCA, BOA, ….

Job Order Contracting Certification Course

ACE Job Order Contracting (JOC) Certificate Program Mondays, 4:30 – 8:00 p.m. October 29th – March 4th (15 weeks) Four Monday classes will not be held due to the holidays Location: To be Confirmed

The ACE Job Order Contracting (JOC) Certificate Program is an in-person, 56 hour program that will result in attendees receiving their JOC Professional Certification upon completion of the program and the passing of the Certification exam. Sessions will cover: Different Project Delivery Methods and their applications Basic elements of JOC Requirements of a Successful JOC Program JOC Operations including how to set up a JOC Program Roles and Responsibilities of those involved Individual Job Order to include Preconstruction Services, Scope of Work, Price schedule and change orders How to manage a JOC Program to include training, reporting, communication tools, relationship building techniques and audits Job Order Pricing JOC Selection Process Legal considerations and contracts which are key to a successful JOC Program JOC Operations Manual Collaborative Thinking to ensure a win-win Case Studies weaved throughout the 15 weeks Instructors to Include: Gary Aller, Director, Alliance for Construction Excellence Charlie Bowers, LEED AP, Centennial Contractors Enterprises Hank Traeger, Retired, Alliance for Construction Excellence Mark Powell, LEED AP, Kosten Technik International ACE JOCCP is perfect course for: Developers, Owners, Construction Managers, Project Managers, Architects, Engineers, Contractors, Subcontractors, and Residential, Civil, & Commercial Construction Professionals There are no prerequisites to enroll in this program, but basic knowledge about the construction process will be assumed. A certificate of completion will be awarded for successful completion of the course and 5.6 noncredit CEU’s will be awarded for those who attend and successfully complete the 56 hours of instruction (3 absences are allowed to receive full CEU’s). Registration Fee ACE Members — $3295 l Non-Members — $3635 Register Online: www.ace4aec.com/course/job-order-contracting-joc-certificate-program-10292012 If you have not registered for meetings online, please click LOGIN button for information on creating your ACE website account. If you have any questions, contact the ACE office at 480-965-4246. via http://www.4Clicks.com – Premier software for efficient project delivery – Job Order Contracting, JOC, SABER, IDIQ, SATOC, MATOC, MACC, BOA, BOA, including visual estimating / QTO, exclusively enhanced 400,000 line item RS Means electronic cost database, contract management, project management, and document management.

JOC Cost Estimating Class – Job Order Contracting

JOC Cost Estimating Workshop – JOB ORDER CONTRACTING

Job Order Contracting (JOC) Estimating Workshop August 22 & 23, 2012

8:00a.m – 4:30 p.m – Check in at 7:30 a.m
Location- To be Confirmed– Phoenix, AZ

Program Description

WHY IS JOC ESTIMATING SO IMPORTANT?
Owners have a fiduciary duty to assure that there is a value for every dollar spent on Job Order Contracting (JOC).   The Job Order Contractor has no other way to receive payment for work other than the accurate & complete estimate.  In order to be successful estimating an accurate, complete and fair job order, it is essential that the Job Order Contractor and Owner work in a collaborative estimating process.

CLASS OBJECTIVES:
Combining classroom instruction with practical workshops, this two-day program will drill down into Job Order pricing, including the role of the Job Order document, the Owner’s fiduciary duty to obtain a fair and reasonable price, the scope of work, the price estimate, and cost data. It will also explore the criteria for usable and valid cost data bases. It will explore the components of Job Order pricing, including coefficients, contractor overhead and fee, and price escalation and de-escalation. You will learn when and how to use the various pricing methods and review typical alternatives for setting the Job Order price. Bring your laptop for use during the Hands-on practice sessions

WHAT’S IN IT FOR ME?
This course offers a wealth of practical knowledge, hands-on exercises that build and hone your estimating skills, and provides practice sessions in solving real-life estimating problems.

Instructors:
Mark Powell, LEED AP, Kosten Technik International
Michael Brown, 4Clicks Solutions LLC
ACE JOC is perfect course for:

Owners, Facility Managers, Construction Managers, Project Managers, Estimators, Architects, Engineers, General Contractors, JOC Contractors, Superintendents, Planners

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Registration Fee
ACE Members — $650    l     Non-Members  — $715

Register at: http://www.ace4aec.com/course/job-order-contracting-joc-estimating-workshop

For more information on group discounts, please contact Jacki Houchens at 480-965-9359
If you have any questions, contact the ACE office at 480-965-4246.

VIA WWW.4CLICKS.COM – PREMIER COST ESTIMATING AND EFFICIENT PROJECT DELIVERY SOFTWARE FOR JOC, JOB ORDER CONTRACTING, IDIQ, SABER, SATOC, MATOC, MACC, POCA, BOA AND MORE!

Why the majority of CMMS System Implemenations Fail

The majority (60-80%) of CMMS implementations fail for the same reason that the majority of ERP systems and IWMS systems fail…   the lack of  due consideration of robust, lead, processes and procedures.   Quite simply, technology is used to automate existing processes vs. implement more efficient, transparent, collaborative, and accurate policies and procedures.

For example, virtually none of the major (or even minor) CMMS or IWMS technology vendors incorporate a standardized cost database, such as RSMeans, from which users could compare their actual material, equipment, and labor costs against a localized reference standard.   “Just plain stupid”, right?

What good is a CMMS system into which an Owner inputs their own experiences without comparison to industry averages, best-practices, or any third party metrics?  What can these Owners possible be benchmarking against?  How can goals, objectives, targets be established?

1. How many Owners understand the difference between CMMS (Computerized Maintenance Management Systems) and CPMS (Capital Planning and Management Systems) and the absolute requirement for BOTH relative to efficiently managing larger facility portfolios?
2. How many Owners continue to be reactive in their capital allocation, even with a CMMS…aka spending 60%+ of their budgets on emergency or unplanned maintenance vs. planned, preventive and/or predictive maintenance?
3. How many Owners still wallow in design-bid-build and change-orders, legal disputes, and poor quality vs. collaborative efficient methods such as Job Order Contracting and Integrated Project Delivery?
4. …..
The sad part is, there is a lot of information out there on efficient life-cycle management of the built environment supported by digital technology.  Why are many facility management executives still supporting unsustainable business practices?   That’s the hard question.

Facility Life-cycle Management Framework

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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