Sure, we all use spreadsheets every day.  What a great tool for transferring information and performing some analysis work!

However, if you do a lot of detailed RSMeans line item estimating for JOC, SABER, IDIQ, BOS, or similar work, you know there’s a need for greater productivity, collaboration, and transparency than what spreadsheets, online cost books, or generic cost estimating software can provide.

Best management practices (Process), robust cost data, collaboration, and supporting technology are requirements for assuring maximized productivity, transparency, and continuous improvement.

PROCESS: It is the construction delivery method that sets the tone, establishes responsibilities, details deliverables, defines risk, and ultimately determines the success or failure of any renovation, repair, construction project. Traditional ‘ad-hoc’ methods, such as design-bid-build, pit owners, contractors, subs, and AEs against one another and have largely contributed to the decades long history of declining construction productivity.

COLLABORATION: Collaborative construction delivery methods such at integrated project delivery and job order contracting should be used for virtually every construction project.   These performance-based methods distribute risk and reward and promote long term, productive relationships.  They also foster, actually they require, information sharing.   Lastly, they provide information and metrics to enable continuous improvement in concert with other LEAN practices.

COST DATABASE:  A detailed unit price cost database including material, equipment, and labor, line item modifiers, and localization factors is equally important.  An example of such a database is the RSMeans Facilities Cost Book, which is use for the majority of current Job Order Contracts.   In fact, RSMeans Cost Data in general is considered to be the standard for North America.   It’s time to put aside CLINS without cost data, and leverage third party and owner experiences with the use detailed unit prices.  In short, “you can’t manage what you don’t measure”.  The use of detailed unit price books to validate lump sum “hard bid” values from contractors and subs provides must become standard practice.  With respect to RSMeans, is also important to have the best representation of RSMeans cost data available as well as tools and training/support.

SOFTWARE:  Software’s role is simple, to enable the cost effective deployment of best management practices, information access and reuse, and ongoing monitoring at both global and local levels.   Software must be “domain-specific”, in other words, just like the apps on your phone, software must be designed specifically for the task at hand.

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