Linda Candels – Page 4 – Candels Estimating & Training

Why Generation Y

Generation Y and Baby Boomers–why we need them: If you are one of the myriad of contractors who looks for skilled tradesmen or estimators, you will certainly know that there is a shortage of both! This acute shortage holds back many companies from expanding. It is estimated that at least 70% of construction companies have difficulty finding and recruiting qualified workers. With the unemployment rate at 4.4% (down from 10% in October 2009), the shortage will undoubtedly get worse.

Why is there a shortage?

How exactly did this shortage happen? There are a number of contributing factors. Baby Boomers, those born between the years of 1943-1964, are aging, and many are retired or close to retiring. Millennials, those born in the 1980s to late 1990s, have been raised with a college versus “trades” focus. In fact, there has been limited social acceptance, and in some cases, a stigma, of having a job in the trades versus one that requires a 4-year college degree. Statistics point to the fact that this shortage will be further exacerbated by the following: The number of adults, aged 18 to 26, is expected to decline over the next 5 years, and the number of those younger is expected to stay flat for the next 10 years. However, there are 80 million people between the ages of 10 and 30, so despite the decline, the available number of employable adults is still rather large.

The solution seems simple but it’s not.

It is clear that the construction industry as a whole, with the help of state and/or federal funding, needs to make technical education a priority in high schools and community colleges. However, many states, not to mention the federal government, appear to be cutting expenses rather than investing in the future of the technical education system. That doesn’t help with the public’s somewhat negative perception of careers in construction. With so much emphasis on college education, a career in the trades often has been looked down upon. As a result, there hasn’t really been definite career paths available to those that are interested so they can use their ambition to train and ultimately land a job in the construction field.

A career in the trades can be lucrative though… especially for Generation Y

A job in the trades can be financially compelling, especially for Generation Y. Consider this. A four-year college education can run somewhere between $100,000 to $160,000 plus interest on student loans. Trade school can run somewhere between $6,000 and $30,000 depending on the trade and the duration of the schooling. At the high end, then, a student would save $130,000 (plus interest) on schooling and they would be able to work at their trade during schooling, immediately making money.

There are also other advantages of a career in a trade. Most of the trades are experiencing growth ahead of other professions. Jobs for electricians, for example, are experiencing a 14% growth rate and this rate is projected to last until at least 2024, well ahead of other jobs. Jobs for estimators are on the rise as well! Industry professionals say that the estimator shortage across all trades is approximately 150,000 and from what we see, that number is probably much higher. As demand increases for seasoned estimators, so do salaries. In effect, a person could start off in the trade as an apprentice and work his or her way into an office position in estimating or project management, catapulting their earning capacity to that rivaling a college graduate! An attractive consideration for Generation Y, for sure.

A job in the trades also offers job security that is unrivaled in any other industry. Skilled trade labor cannot be outsourced to another country, like so many jobs have been of late. Another advantage? Unlike many professional careers, a skilled tradesman’s work is done at the end of the day and there is no reason to check emails or stay “plugged in” to the job. And, unlike a desk job when at times it feels like you are getting little accomplished, there is a sense of satisfaction from manual work done skillfully.

Untapped potentials?

So we still haven’t solved the problem of getting people into the construction field. I think that there are more people available than what the Bureau of Labor and Statistics estimates. Consider those that are unemployed. There are “discouraged workers” who have stopped looking for work because they don’t think there are any available jobs. What if training was available? Would they move toward the trades?

There are also two groups of individuals that the construction industry could tap—returning veterans and women. Some tradesmen are returning veterans and due to illness or injury they cannot work in the field anymore, but they can still be a valuable sources to the trades. How about training them for positions in estimating or project management? Positions for women are also available in construction trades, although women have not been “traditional” construction workers. However, with groups reaching out to women to join the trades, they can be viable construction workers. The National Association of Women in Construction estimates that in 2014, women accounted for 8.9% of all people working in the construction industry, and in construction, women earn on average 93.4% of what men make. In terms of the construction estimating field, opportunities for women are vast and women traditionally make better estimators than men!

How will the trades catch the interest of Generation Y aka the Millennials?

The Millennials (Generation Y) are an interesting group. They grew up with the Internet, cable television, video games (the sophisticated ones!) and so much more. They literally have the world at their fingertips. This group has been labeled “self-absorbed,” “special” (think about ‘everyone gets a medal’ and participation trophies), and “coddled.” On the flip side, this group is team oriented, interested in learning (especially where it involves technology), and in finding their place in a corporate culture that promotes from within.

Communication is the key with this group of young people, but it’s not the “old-fashioned” methods that work. It’s a collaborative approach to work; it’s using social media; it’s using training to keep them interested and moving forward. Mentoring works well here, especially when paired with a mentor that can effectively communicate with a person that may not be the best communicator. (Let’s face it. Texting is not the best form of communication yet it is the preferred method over talking on the phone or emailing.) Keep in mind that in general, the construction industry isn’t one to coddle; it’s all about production and at times “trial by fire.” However, if a company uses a proactive approach to effective developing and managing this unique group, it would help to bridge the gap in the workforce deficit.

Technology also offers huge appeal to Generation Y. When advertising a position within your company, use the words that they want to hear—software, advanced methods, tablets, efficient new methods to completing a task. It all helps. When recruiting, also consider the use of social media. This generation is the most plugged in to social media than any other. Believe it or not, “having a life” is also extremely important to this group. They expect flexibility. Yet the construction industry is not usually flexible. Flexibility comes when the work is getting done despite taking Facebook or phone breaks, versus the old-fashioned coffee or smoke break. Are they really that different from each other? Perhaps it is just a matter of perspective.

Moving Forward

Construction is moving at a fast pace with a growth rate of 22% per year. The shortage of qualified workers must be addressed sooner rather than later. The reality is that the younger generations are different and as such, a different approach must be used to attract and retain these workers. Corporate culture must shift a bit from what used to work with the Baby Boomers towards what will work with Generation X and Generation Y, also known as Millennials. For Generation Y, work is a means to an end yet they are looking for a “quality of work” environment that respects their opinions, offers a career path, promotes teamwork, and has a dynamic, changing environment that is not boring.

Industry trade associations must band together to collectively appeal to this group. Social media must be at the forefront of this campaign—Twitter, Facebook, Instagram, YouTube and LinkedIn are all vehicles to deliver the message. The companies that do the best job of recruiting, managing, training and retaining newer members of the trade will be the most successful; it certainly is a long-term project. It’s going to take construction companies of all trades to think differently, unlike any time in the past. As the industry ages, we will not have a choice but to employ new methods to attract and retain new workers. It’s not going to be easy but it is going to be absolutely imperative as the economy rebounds and even more construction takes place. What will you do to ensure that this happens?

Construction Estimating Process Starts Earlier than you Think

Construction estimating process: Mistakenly, many construction professionals believe that the estimating process starts with the take-off. In reality, the estimating process starts much sooner than that, and it requires careful thought and consideration of many factors. So before you unroll that set of plans and uncap a highlighter, consider the following.

Start with knowing your business

It would stand to reason that contractors know their own businesses, right? Yet every day, we speak with owners and managers of businesses that do not know their overhead, labor or material costs, or even how much money they made (or lost) on a project. We’ve even met a few contractors that think that if there is money in the checking account at the end of the week, all is well!

Realistically, a contractor should not even consider bidding any projects, until they know the costs of running their company, and how much revenue they need to generate in order to cover their annual overhead. This is where a good relationship with your accountant comes into play. Quite frankly, if you don’t have a good relationship with your accountant, try to make it better or find a new one! Your accountant is the person that can help navigate your business into successful waters. That starts with knowing your overhead costs, and how to apply that to your estimates to make sure that your costs are covered. You can apply your overhead as a percentage rate at the end of your bid, or you can carry a “fully burdened rate” when you apply your labor rate/costs to an estimate. Either way works, but your accountant can explain the benefits of using one method or another for your company.

Analyze what project size you can handle

What types and sizes of projects have you successfully managed in the past? Many projects require bid, payment, and performance bonds, so another person critical to your company success is your insurance/bonding agent. Each company should understand its bonding capacity, both per job and the aggregate amount. If you cannot bond a project of a certain value, why chase it? Your insurance agent can also advise you on the steps to take to raise your bonding capacity over time.

Consider your labor force

In the construction estimating process, labor is the biggest variable in a construction project because of the human factor. You can estimate and predict material prices, but you cannot always ensure that your field labor will perform to the standards that you have estimated. Labor composition is important to your success! Both union and non-union contractors have unique circumstances with labor. Union contractors rely on the union labor available at the start of the project. (That isn’t to say that a union worker cannot be employed continuously by the same company for many years and many projects, just to clarify.) Non-union contractors must be able to continuously employ or recruit qualified workers. In either case, company management must evaluate the level of experience and competency of the workforce, when deciding the type and size of projects to bid.

It would stand to reason that a company will bid on projects on which they have the experience to complete the project and turn a profit. If a company has absolutely no experience in a type of project, they should probably think twice about bidding it. Of course, the only way to get experience is to take a project to gain the experience. A company may make a strategic decision to do this to break into a market, knowing that for the first few projects, there will be a learning curve and the anticipated profit may be low.

The labor component also includes subcontractor labor. A general contractor estimator will solicit bids for various pieces of construction such as site/civil, concrete, structural, mechanical, electrical and more. Having good relationships with subcontractors will ensure that a fair price will be reached, and that the work will be performed to the specifications. In many cases, the work of the subcontractors will make or break a project. The better the relationship and the communication between parties, the better the process goes.

Finally, estimators of every trade have their own methods to determine the cost of material on their projects. An important part of that is making sure that commodity material pricing is constantly updated in the construction estimating process to ensure that your estimate includes realistic prices, whether you are estimating a project yourself or putting together an estimate based on a multitude of subcontractor proposals.

You know your company now! Do your customers (or potential customers) know you?

Getting to the point of knowing your business, its costs, and its strengths leads to the point of wanting to find the right work for your company. One thing that your company should consider is: Do your potential customers know you? This is probably something that a lot of company management doesn’t think about too much because they may be fortunate enough to work for a long-term, well-established company with a great reputation. However, every company starts somewhere. What if a company is young? How does that company gain a reputation that will enable them to get more work?

The power of relationships

When a company solicits a bid from several companies and they have knowledge and/or experience with two out of three companies, guess who has the better chance of project award? It’s probably going to be one of the two companies with a relationship. Relationships can also help your company find private projects and jobs that the customer already has. Contractors who put time and effort into building and maintaining relationships with their client base, making it an integral part of their business, are generally more successful than those who don’t. On the whole, this is an advantage in the construction estimating process.

Also, do not underestimate the power of advertising! Granted, advertising has changed a lot over the years, and it is much easier to been seen and known within the realms of social media. That’s a good thing. However, the old “tried and true” methods of industry events, trade shows and the like are still viable ways to build your brand. It really does make a difference! Industry associations, such as NECA or IEC (union vs. non-union electrical associations), Associated Builders and Contractors (ABC), Associated General Contractors (AGC), American Society of Professional Estimators (ASPE), the Consulting Estimators’ Roundtable (CERT), and even local civic organizations are all great networking options. Pick the organizations and advertising methods that you think will work best for your company and can support you with the construction estimating process.

When to bid, when not to bid…

Company management must decide what to bid based on the size and scope of each project as it is important for the long-term success of the company. Some of the factors that a contractor must consider determines whether the project will be desirable to bid, and ultimately be profitable. Where is the location? Is it close to the contractor’s office or will a significant amount of travel time be required, adding extra expense to the cost of the project? Does the company have a relationship with the entity soliciting the bid? Are they reasonable to work with and do they pay their bills? What is the size of the project? Can the contractor handle a project of that size and do they have experience in that type of work? Does the contractor have the manpower, equipment and materials required to complete the project on time and within budget? What is the estimated time to complete the project? If a schedule is compact, labor efficiency will be lessened due to possible overtime work and stacked trades on the project. Finally, what are the liquidated damages if the project is not completed on time?

Ultimately, a contractor must decide if the potential rewards outweigh the risks of the project. And, the “right” project for one contractor may not be the right fit for another contractor. The ultimate goal is for each contractor to know their strengths (and their weaknesses) and to capitalize on projects that can ultimately earn a profit. After all, isn’t that why we are all in business?

Is it worth it to sink time into the “budgeting” phase?

When a project is in its infancy, a company may decide not to engage in the project because a project is rarely awarded in the budgeting phase. A company may expend a lot time and effort into a budgeting a project, while running the risk of never being awarded the project. It is frustrating for contractors who budget the same project many times in hopes of an eventual project award, to only then find out that the construction documents are issued and they are bidding against companies that did not put any effort to get the project to that point! Certainly there are no guarantees of a project award, but when a company budgets the same project several times, it would stand to reason that the company would receive some special consideration in bidding the project. The only way that this is guaranteed is in a design/build project where the entire construction team works together to design and build the project.

Construction contracting can be tricky. Knowing your company’s strengths and weaknesses will guide your company to bidding the “right” projects, and ultimately make a profit. Relationships with your customers, vendors, subcontractors, accountant, and your bonding agent enhance the estimating and construction process, and will lead to a more successful business.

Quotes and Expenses: Checking your take-offs for accuracy

Quotes and expenses are highly detailed and an important step throughout your estimating process. Check your take-off for accuracy with these steps!

Summarize your estimate
Sort the material cost from high to low
Does everything that is supposed to have a cost associated with it have one?
Does anything look unusual? (Sometimes in our rush to get things done, we type fast and “fat finger” an entry…for example, you might have wanted to enter a quantity of “7” but you ended up typing “77” or worse yet “777,” which can really throw things off.)
Sort your labor column from high to low. Does everything look normal?

Some other tips!

For every 100’ of EMT in your estimate, you should have at least 10 couplings.
For every junction box, you should have an average of 3 to 4 wire terminations.
For every 100’ of pipe (EMT, PVC, rigid), you should have at least 3 times the wire, or 300’ plus slack, plus 100’ of ground wire.
For an average job, your material cost plus quotes should equal 1/3 of your cost.
For every project, you should know the square footage. The ratio of labor hours to the project square footage can be telling. For a labor intensive job, this ratio should be 20-25%. Conversely, for a less intensive job (building core/shell), this ratio could be 10% or a little lower.

Generally, you should always complete a detailed take-off versus “square footing” the cost of a job. However, if you keep good historical data, an average cost per square foot for a particular building can be helpful to check to see if your numbers are “in the ballpark.”

Quotes

When you receive quotes (especially for lighting), check the quantities.

Does the quote match the counts that you provided the vendor? Often the vendor uses the first set of counts that he is provided, but they may not match yours. Differing quantities (high/low) can make a difference in your bid price (and the bid price of others), so be careful!
For gear quotes, check the bill of material.
Does it contain all the items from the riser?
Is it the right manufacturer?
Sometimes the items that a particular vendor doesn’t carry are simply excluded from his quote, and he might not tell you about it to make his price look “better.”
If your project requires “attic stock” or “spare materials,” make sure those are included in your quote.
Specialty testing can be an expensive item to miss. Make sure you know what you own, and be sure to include the price in your estimate.
Buyer beware! Ultimately it is the bidder who is responsible for everything on the drawings, not the vendor!

One last word about vendors. If you do not cultivate relationships with your vendors, they will be less likely to work with YOU on bid day. In today’s bidding world, you need every advantage you can get, so relationships become even more important. You won’t get the “whisper” number on bid day if you do not have a relationship with your vendor.

Direct Job Expenses

Direct job expenses (DJE) are costs that are directly related to the project. This includes:

Lifts, scaffolding, staging or ladders.
A place to store your material for the project which may include a trailer for a field office with fax/phone/network connections, computers, phones, copiers and furniture.
A site vehicle/shuttling costs. Depending on the site, you may also have to include money for parking or if the lot is remote, money to shuttle your workers from the lot to the site.
Depending on the tools being used on the project, it may include the appropriate training and certification that your electricians will need in order to work on the site.
- This could include lift specific training, harnesses and PPE, and NFPA70E and OSHA 10-30 training. If your project requires this, it is best to cover these expenses, and make sure you can have the training completed in time to start work on the job in case you are awarded the project.
If there is a generator or large switchgear on the project, rigging should be included as a DJE, as well as the cost of permits to complete the rigging such as “over the road” or “wide load” permits.
Check for “factory witness testing” and load bank testing also. Often general contractors will require a designated person at the factory to witness the testing of the generator.
Finally, don’t forget to include money for small tools! They can account for 2-3% of the labor cost of the entire project.

As with the take-off phase, checking your take-off and applying quotes and direct job costs takes time.

Lighting Fixture Take-offs & More

Lighting fixture take-offs need serious consideration.

The lighting is counted, the branch is wheeled, and you, the estimator, have sent your lighting counts to your vendors. Before you move on to the next system, let’s talk a minute about take-offs in the estimating process for lighting and dimming controls, daylight harvesting, and occupancy sensors.

Occupancy Sensors

Occupancy sensors can be like a simple switch. The light goes on when someone enters the room, and if the sensor does not “sense” anyone in the room, the light turns off. However, lately we have seen that there are many types of occupancy sensors which work in concert with lighting control and dimming systems. I must say, the first few times I saw a lighting control riser, I thought it was complicated and intimidating! However, when you break down the pieces, you realize that generally, for each item in the system, you need a stub-up or a box or both. And you must assign a labor factor to each as well as a material quote from your vendor, and carry the labor and material for the wire. That’s it. More daylight harvesting systems are shown lately, as a way to save energy on bright, sunny days. In this case, the sensor detects the presence of daylight, and adjusts the building’s lighting accordingly to save energy.

Branch Devices

Moving on to branch devices, take-offs for these items are pretty straightforward. The things you want to watch out for are notes pertaining to tamper-proof receptacles. They are not as expensive as they once were, but still a good deal more than a standard duplex. Leviton Decora devices and faceplates are certainly more costly than standard devices. Sometimes there are keyed notes or a schedule for items requiring something other than a standard duplex, even though the symbol on the drawing would indicate a standard duplex. Again, it always pays to read the drawing keyed notes before you start so you can be aware of anything “special” you might have to take off.

The same is true of kitchen equipment. There is usually a schedule that will either state the proper receptacle. Or, you will be provided with information regarding voltage, amperage, and the number of wire. Then you will have to cross-reference this information with the NEMA configuration chart. This can be found either in the NEC code book or in one of the cross reference books, such as Ugly’s. I guess my point is…completing a take-off is more than counting. You have to know what you are looking at and what to look for.

Branch Wiring

Do you wheel off your home runs? What do you carry for each item? You can certainly review the drawings to see what you should carry for an average length for a receptacle, and then take the cable or wire off as you do take-off each device. Always wheel off the branch for specialty outlets to ensure that you have enough cable for these items. I look at the specs and determine how many circuits the specs say to carry in a conduit. If there is no information about this in the specs, then I do my conduit fill to code. Keep in mind that you should run your lighting home runs in separate raceways from your power and certainly from your low-voltage wiring.

Mechanical

Take-offs with mechanical equipment can be made much easier if you print the mechanical schedule and put your lengths next to the schedule as you find the equipment on the floor plan. Often, however, the electrical drawings will contain a mechanical schedule from which you could do the same thing. This is handy because you will be able to determine the wiring and voltage requirements of the unit, and whether or not you will have to carry the disconnect. Keep in mind that even if you do not have to carry the material cost for the disconnect, you will still have to carry labor for wiring the disconnect and any control wiring. Pay special attention to whether the equipment is inside or out. Anything outside will need a NEMA 3R disconnect, which is much more pricey than a NEMA 1 disconnect. If the item is in an area designated as “explosion proof,” then you’ll need to use the appropriate wiring method for the Division and Class, and use the appropriate explosion-proof fittings, devices, and disconnects. This can add additional cost to your job. In any event, you want to be sure to cover your costs appropriately.

Installation

Many software programs offer an option to “build” your panel with the appropriate breaker fill. We have found that it is much more cost-effective to come up with labor hours that work for you. For example, we carry 6 hours for 100 amp panels, 8 hours for 200 amp, 10 hours for 400 amp, and this formula works for us. Be sure you know how the panels are going to be mounted. Will they sit on a pad or will they be mounted on the wall? If mounted, will you have to carry Unistrut for mounting? Also, do you have to carry the housekeeping pads? Probably not, but you should always be sure to exclude concrete work if you know you don’t have to carry it. The same would be true of the transformer pad or, if applicable, the generator pad. Speaking of the generator, don’t forget to carry the rigging; and determine whether you need to carry generator fuel, start-up, and testing. If you are not responsible for it, please exclude it from your proposal.

Does your project have emergency feeders? Please read the specifications carefully as emergency feeders may have to be run in MI cable, or they may have to be run in EMT that will be concrete encased. Again, be sure to exclude the concrete work if you know you don’t own it. If you have not bid a job with MI cable lately, call your supply house or check your material pricing service to ensure that you are carrying the right price.

Utilities

Incoming site utilities are generally run in Schedule 40 PVC, but read your specifications and drawing notes to ensure that you can use Schedule 40 PVC, as opposed to Schedule 80 PVC, or PVC coated rigid. In the event that there is a conflict between the drawings, the notes and the specs, submit a Request for Information (RFI). Certainly there is an appreciable labor and material cost difference between these methods, and while you want to cover your costs, you also want to be sure that you do not artificially inflate your labor or material cost. Also, while you will have incoming power requirements, you may also have incoming telephone, CATV or fiber, so be sure to carry what you should. Read the specs to see if you are responsible for manholes or pull boxes, too. Site lighting–are you responsible for site pole bases?

Low-voltage systems may or may not be part of your bid package on any particular job. Be sure you know what to carry: whether it’s simply “rings and strings” and EMT stub-up, or a full-blown system including device installation, pipe, and wire.

Construction Take-offs: Much More than Counting

There’s much to review before you start counting

When it comes to estimating construction take-offs within the estimation process, there’s much more involved than just counting.

A thorough review of the specifications helps you, the estimator, map out the entire bid process and set up your take-off. Most estimators want to “get the counts done” before they really review the job. That’s because they feel like the sooner they get this information, the more likely they are to get the quotes submitted on time. Although I agree that getting the counts out is important, I recommend “walking the drawings” before you even uncap your highlighter. By taking a proactive approach with this step of the process, you can get a feel for the scope of work and building layout – and quite possibly determine anything that seems to be missing from the drawings. You will also determine if there are alternates and allowances that must be addressed.

Construction Take-offs – Review the whole set of drawings

You may find upon your initial flip-through of the drawings that there is no fire alarm shown. It may be that fire alarm equipment/systems are not part of your scope. However, it could also mean there are separate fire alarm drawings you may not have downloaded – or maybe there’s no fire alarm on this particular job at all. Now is a good time to get whatever is missing from the general contractor so you don’t lose any precious estimating time.

Once you review the electrical drawings, you should also review the architectural drawings, looking for information regarding the building construction details. This step is critical in estimating construction take-offs because not only does this information help you determine the appropriate wiring methods as listed in the specifications, but it also gives you valuable data regarding ceiling heights and elevations.

For example, the specs might read “MC in concealed areas, EMT where exposed or subject to physical damage, and Schedule 40 PVC in the slab or underground.” With this spec – and a building made of steel with metal studs and a poured concrete deck with acoustical ceilings in most areas – you’d run your lighting and branch circuits in MC with EMT home runs, running as much as possible in the slab to save time and money. It’s always good to know the building construction up front because you will want to count those items that need to be surface-mounted separately from recessed, and you can measure the slab work “as the crow flies” versus surface EMT that runs parallel with building construction.

Other drawings you should quickly review are the civil drawings, which usually show the location of the incoming utilities, the transformer, and sometimes even site lighting. The mechanical drawings are handy to examine as well because they contain information regarding the equipment specifications and whether or not the disconnects are provided with the equipment.

Before you uncap that highlighter, I must mention one more thing when it comes to estimating construction take-offs. Every general contractor, construction manager, or building owner will tell you that you “own” everything on all the drawings, not just what is shown on the electrical drawings. Many times, items are “hidden” on another trade’s drawings, which is why I suggest you at least glance at the other sets, familiarizing yourself with the job as a whole.

Counts

Now that we’re finally ready to count, you may be asking what’s next in the estimating process. Should you pick up a piece of paper, a pencil, and a highlighter or let one of those snazzy “counting software programs” do the legwork for you? The answer is really up to you. Because I own an estimating consulting firm, we have to be absolutely certain that our counts are correct; therefore, we count or measure items manually with the use of an on screen take-off program. We do not use the “auto count” feature.

I usually count the lighting items first to ensure that I give my vendors plenty of time to get me a quote. On some smaller projects, when I count luminaries, for example, I will put the count directly into the computer software program. However, on larger jobs, we keep the counts in the on screen take-off software. Keep in mind that many estimating programs have count sheets built in, so you never have to use a piece of paper again if you don’t want to. Regardless of the method you choose for the estimating process and construction take-offs, you should always list the fixture types across the top and the drawing numbers down the side so you can easily isolate where you found a specific luminaire. Because you have already reviewed the building construction, ceiling types and heights, you know which luminaires you will have to assign a higher labor factor to, such as high ceilings, other areas that may be difficult to access, or locations where you’ll need to use an aerial lift.

Once your counts are done, it’s time to send them off to your vendors. I know I have mentioned this many times before, but if you do not have a relationship with your vendors, start working on them sooner rather than later. They are the ones who will ensure you get the “right” price on bid day. When you receive your quote, please review it to ensure the vendor has quoted “your” quantities.

Look for Safety Protocols in the Specs

A seasoned estimator will know to look for injury prevention and safety protocols in the bid documents. Some contractors will require that all construction site workers attend a “stretch and flex” meeting every morning. On a recent job that we bid, due to the size and duration of the project and the number of workers this bid line item accounted for a cost of over $1 million over the life of the project! This is something that a company would not want to omit from their job costs before they submit a bid.

From an operational standpoint, avoiding employee injuries is paramount. Check your specs for safety protocols for your jobsite! Here are some tips:

Educate employees on safety. Ongoing safety meetings are required on many construction sites. Make sure all employees know how to properly use and store equipment.
Provide protection equipment. Some jobs require protective equipment; be sure it is provided to employees. Hard hats, safety vests, and glasses are usually a requirement on most construction sites.
Don’t take shortcuts. Taking shortcuts may save some time initially but in the long run, an injury will cost the business owner time and money. Or it could injure (or worse kill) a worker.
Monitor safety measures. Check periodically that everyone is in compliance with safety regulations. This gives the business manager the opportunity to correct bad habits before an injury occurs.
Keep the workplace organized and clean. Make sure equipment is properly used, and then stored.
Have a safety and wellness plan. By having a plan in place, employees should know how to act in case of an emergency.

Businesses should require their to always use safe practices when working, no matter how big or small a job is. With the proper investment in safety protocols and injury prevention measurements, accidents can be prevented, saving a business time and money.

OSHA reports that nearly 6.5 million workers are employed at approximately 252,000 construction job sites in America on any given day. With all of these workers, it is crucial that you are committed to job site safety. OSHA lists five of its safety standards that are most frequently violated.

Include 5 Safety Standards when estimating injury prevention

Scaffolding Safety
Fall Protection
Excavation Safety
Ladder Safety
Hazard communication

In terms of estimating, review the safety protocol for each job you are bidding. You may find that there are safety requirements and training for field workers that must be covered in your estimate. When it comes to injury prevention, it is better to be safe than sorry.

Special Take-offs: How Many and How Much?

Ok, the lighting is counted, the branch is wheeled, and you have sent your lighting counts to your vendors. Before you move on to the next system, let’s talk a minute about lighting and dimming controls, daylight harvesting, and occupancy sensors.

Estimating Lighting, Dimming Controls, and Occupancy Sensors

Occupancy sensors can be like a simple switch. The light goes on when someone enters the room, and if the sensor does not “sense” anyone in the room, the light turns off. However, lately, we have seen that there are many types of occupancy sensors which work in concert with lighting control and dimming systems. I will have to admit, the first few times I saw a lighting control riser, I thought it was complicated and intimidating! But when you break down the pieces, you realize that most of the times for each of the items in the system, you need a stub-up or a box or both, and you must assign a labor factor to each, get a material quote from your vendor, and carry the labor and material for the wire. That’s it. More daylight harvesting systems are shown lately, as a way to save energy on bright sunny days. In this case, the sensor detects the presence of daylight and adjusts the building’s lighting accordingly to save energy.

Drawing Keyed Notes

Moving on to branch devices, taking off these items is pretty straightforward. The things you want to watch out for are notes pertaining to tamper proof receptacles (not as expensive as they once were, but still a good deal more than a standard duplex), Leviton Decora devices and face plates (certainly more costly than standard devices), and carrying the proper receptacles for specialty devices. Sometimes there are keyed notes or a schedule for items requiring something other than a standard duplex, even though the symbol on the drawing would indicate a standard duplex. Again, it always pays to read the drawing keyed notes before you start, so you can be aware of anything “special” you might have to take-off. The same is true of kitchen equipment. There is usually a schedule that will either state the proper receptacle or you will be provided with information regarding voltage, amperage, and the number of wire and then you will have to cross reference this information with the NEMA configuration chart which you can find either in the NEC code book or one of the cross reference books, such as Ugly’s. I guess my point is: completing a take-off is more than counting. You have to know what you are looking at and what to look for.

Let’s Talk About Branch Wiring

Let’s talk about branch wiring. Do you wheel off your home runs? What do you carry for each item? You can certainly review the drawings, and see what you should carry as an average length of a receptacle, and take the cable or wire off as you take off each device. Always wheel off the branch for specialty outlets to ensure that you have enough cable for these items. I look at the specs and determine how many circuits the specs say to carry in a conduit. If there is no information regarding this in the specs, then I do my conduit fill to code, keeping in mind that you should run your lighting home runs in separate raceways from your power and certainly from your low voltage wiring.

Taking off Mechanical Equipment

Taking off mechanical equipment can be made much easier if you print the mechanical schedule and put your lengths next to the schedule as your find the equipment on the floor plan. Often, however, the electrical drawings will contain a mechanical schedule that you could do the same thing from. This is handy because you will be able to determine the wiring and voltage requirements of the unit, and whether or not you will have to carry the disconnect. Keep in mind that even if you do not have to carry the material cost for the disconnect, you will still have to carry labor for wiring the disconnect and any control wiring. Pay special attention to whether the equipment is inside or outside. Anything outside will need an NEMA 3R disconnect, which is much more pricey than an NEMA 1 disconnect. If the item is in an area designated as “explosion proof”, then you will have to use the appropriate wiring method for the Division and Class, and use the appropriate explosion proof fittings, devices, and disconnects which again can add additional cost to your job. In any event, you want to be sure to cover your costs appropriately.

Installation of Feeders, Switchgear, and Panels

The installation of feeders, switchgear and panels is often where most of the money in your job is. It is not just a matter of wheeling off the “from and to” this panel and that. You must ensure that you are using the appropriate method of running the conduit, be it in the slab, on bar joist or on steel beam. Many younger estimators wheel the feeders very tight, but you want to be sure that you again cover your cost and cover extra wire for terminations. Don’t forget to labor your panels and switchgear as well. Many software programs offer you the option to “build” your panel with the appropriate breaker fill. We have found that it is much more estimating time cost effective to come up with labor hours that work for you. For example, we carry 6 hours for 100 amp panels, 8 hours for 200 amp, 10 hours for 400 amp and this formula works for us. Be sure you know how the panels are going to be mounted. Will they sit on a pad or will they be mounted on the wall in which case you are going to have to carry unistrut for mounting? Also, do you have to carry the housekeeping pads? Probably not, but you should always be sure to exclude concrete work if you know you don’t have to carry it. The same would be true of the transformer pad or if applicable, the generator pad. Speaking of the generator, don’t forget to carry the rigging, and determine whether you need to carry generator fuel, start-up, and testing. If you are not responsible for it, please exclude it in your proposal.

Emergency Feeders

Incoming site utilities

Incoming site utilities are generally run in Schedule 40 PVC, but again, read your specifications and the drawing notes to ensure that you can use Schedule 40 PVC, as opposed to Schedule 80 PVC, or PVC coated rigid. In the event that there is a conflict between the drawings, the notes, and the specs, submit a Request for Information or RFI. Certainly there is an appreciable labor and material cost different between these methods, and while you want to cover your costs, you also want to be sure that you do not artificially inflate your labor or material cost. Also, while you will have incoming power requirements, you may also have incoming telephone, CATV or fiber, so be sure to carry what you should. Read the specs to see if you are responsible for man holes or pull boxes too! Site lighting! Are you responsible for site pole bases?

Low voltage systems may or may not be part of your bid package on any particular job. Be sure you know what to carry, whether it just be “rings and strings”, and EMT stub-up, or a full blown system, including device installation, pipe, and wire.

Ok, your take-off is done; now what? The real work is about to begin. Stay tuned for our next post on reviewing your take-off, applying quotes, and starting to think about direct job expenses.

6 Construction Industry Trends for 2017

As the economy and construction begin to pick up, certain trends have begun to emerge. Here are the top trends to watch for in 2017:

Collaborative project delivery methods will become more popular. The days of design-bid-build domination might be winding down, as experts expect collaborative approaches to become more common for projects. Design-build, public-private partnerships, and integrated project delivery are three of the most often-cited methods that are altering the industry and are likely to gain ground in 2017.
The labor shortage will continue to plague the industry. One trend that the industry hoped would fade away is, instead, raging on. The skilled labor shortage is a major concern for firms across the U.S. as employers struggle to staff their job sites.
Offsite/modular construction will gain a stronger foothold in the market. Experts predict that offsite construction will continue to grow in 2017 as quality, time, and labor concerns make alternatives to traditional construction methods more attractive.
Construction costs will rise due to materials and labor. One of the most common concerns industry experts cited for 2017 is the escalating cost of doing business. With rising material and labor costs, firms will likely struggle to maintain their margins in the coming year.
The sustainable construction movement will consider changing its message. The incoming Trump administration has implications beyond infrastructure, as sustainable building leaders are now considering the possibility of altering their messaging to ensure the movement continues.
Construction firms will face increased scrutiny and prosecution of safety and fraud incidents. The construction industry continues to face increased scrutiny for safety violations and incidents amid a building boom. Experts predict that 2017 will see continued heightened attention to job site safety from agencies and law enforcement.