Estimating

Question 1

What are the 6 levels of estimates?

Answer 1

1) Conceptual Estimate
2) Alternative Design Estimate
3) Architect’s/Engineer’s Estimate
4) Contractor’s Bid Estimate
5) Alternative Construction Methods Estimate
6) Change Orders and Claims Estimate

Question 2

Talk about Conceptual Estimate:

Answer 2

• for project feasibility studies
• owner’s general scope
• estimate based on broad scope/gross units (bldg. - sq. ft. , road - miles/mm)

Question 3

Talk about Alternative Design Estimate:

Answer 3

• to evaluate alternative designs
• refer to past cost experience w/ similar projects
• relies on bid abstracts from past similar projects
• unit prices
• rough quantification of units

Question 4

Talk about Architect’s/Engineer’s Estimate:

Answer 4

• design proceeds to 80-90% completion
• based on QTO
• relies on past bid abstracts
• will likely not consider construction methods
• If owner hires a cost consultant, then estimate would be more sophisticated

Question 5

Talk about Contractor’s Bid Estimate:

Answer 5

• Most detailed estimate
• based on contractor’s quantity take-off
• will consider construction methods
• based on contractor’s detailed cost records

Question 6

Talk about Alternative Construction Methods Estimate:

Answer 6

• to identify cheaper way of getting the job done

- goal is to maximize profit