Cost Estimation For Electrical Works

Basic Cost Estimation For Electrical Works?

To win jobs and continue in business in the area of electrical contracting, you must estimate and submit bids. This entails bidding low enough to win against a large number of competing electrical contractors while bidding high enough to cover all project costs such as labour, materials, equipment rents, subcontractors, and indirect costs, sometimes known as overhead. Don't forget to include enough earnings to cover the risk and, of course, to develop the firm. To get you started, we've outlined a tried-and-true electrical estimating system in the stages below.

11 Steps to Estimating Electrical Work

• Choose the Right Work to Bid
• Review the Specifications
• Review the Drawings
• Perform a Quantity Takeoff
• Request Supplier Quotes
• Create your Estimate
• Add Overhead and Profit
• Build your Proposal
• Double Check Takeoff Quantities & Estimate
• Submit Bid
• Review the Result

Selecting the Right Work to Bid - The first stage in the electrical estimating process is deciding what type of work to bid on. You should avoid bidding on electrical construction projects if you have insufficient experience because you are more likely to make mistakes throughout the estimation phase and project execution if you win the project. When taking on any new form of work that can eat into your profit, electrical estimators and your field crew must go through a learning curve.

Review the Specifications - Thoroughly review the Division 01 general specifications as well as the Division 26 specifications, paying special attention to contractor qualifications, payment terms, bonding capacity, and insurance requirements, and ensure that you can meet the qualifications and live with the legal language if you win the construction project. When you've finished with the general specifications, continue on to the Division 26 standards and make a note of the material grade, installation methodology, and cost responsibilities.

Examine the Drawings - Examine the drawings at a high level to obtain a sense of the overall scope of work. You should look over both the architectural and electrical drawings to understand the working heights and elevations that will affect labor expenses, material pricing, and equipment requirements. Once you have a general understanding of the general construction (think of it as a bird's eye view of the project), it's time to review the Division 26 drawings, taking note of any technical details depicted and keeping an eye out for any discrepancies between the drawings and specifications, which you should record.

Perform a Quantity Takeoff - Get out your highlighters, scale master, or favorite takeoff programmed and start counting and measuring the components illustrated in the electrical drawings, such as light fixtures, receptacles, conduit lines, panels, and gear. Begin with one item (light fixtures, for example) and count all things sheet by sheet, keeping totals per page before going on to the next item. If you discover something you missed earlier, count it right away and amend your previously documented quantity. Now add up your totals for each sheet and go to a quantity takeoff sheet, as shown in the sample excel sheet below. Are you in charge of HVAC hookups or any low voltage?

Request Supplier Quotes - One of the reasons we recommend getting your lighting counts first is to speed the process of acquiring a quote for these goods, which are typically quoted separately from the rest of your materials. A few of things to keep in mind: don't worry about getting the specifics on the light fixtures; instead, take note of the designations used to identify the fixtures on the plans, such as A1, B1, C1, and so on. The lighting company will consult the lighting schedule, research the item specifications, and present a lump amount price. It is in your best advantage to cultivate relationships with local lighting companies to ensure you receive reasonable pricing in a timely way.

Create your Estimate by taking the quotes from supplier and perform the break down based on prices of material, labor, accessories and transportations that is dry cost added on it the indirect cost overhead and profit to get on the priced estimated.

Add Overhead and Profit by knowing the average overhead of indirect cost such as offices, mobilization, fees and wages so all of this indirect cost added to the estimated budget and finally adding profit as a percentage of the total cost of the project price.

Build your Proposal by submitting technical and commercial offers including all details and specs.

Finally cost estimating for electrical works is a very important step must to be performing with clear and detailed way.