Levelset

MARCH 11, 2022

Prioritizing a low bid over contractor performance is a lose-lose procurement strategy. Unfortunately, low bidding is an accepted practice for both owners and contractors alike. Owners will say that focusing on the lowest bid possible ensures they get a good price. Who’s responsible for low-bid procurement?

Bidding 98

Bidding Cash Flow Contractors Procurement 98

HardHatChat

MAY 18, 2010

Commercial construction change order myths. If I had a dollar for every time I had to set the record straight on commercial construction costs and change orders… I would still have this job. There’s a misconception that general construction contractors love change orders. But, I would also be a lot richer.

Change Orders 174

Change Orders Commercial Construction Bidding 174

Constructonomics

NOVEMBER 28, 2010

It’s hard to describe how owners feel about change orders. Sometimes I think they would rather be forced to eat a bucket full of glass or perhaps permantly lose feeling in all extremities before accepting a change order that increases their project cost by.01%. Why is this? However, they do. . What should you do?

Change Orders 138

Change Orders Bidding Budgeting Budget 138

Job Order Contracting

AUGUST 17, 2023

Consistently delivering quality projects on time and on budget simply requires leadership, accountability, and commitment. Validate Contractor and Subcontractor Quotes Obtaining comparative bids on all subcontracted work will not provide sufficient cost visibility. Controlling Construction Costs is not rocket science 1.

Travel 177

Travel Construction CSI Subcontracting 177

Job Order Contracting

DECEMBER 10, 2022

OpenBUILD(TM) is The ONLY Construction Integrated Project Delivery Solution with Locally Researched Cost Visibility with Program Management, Contract Management, Proposal/Bid/Estimate Management, Workorder Management , Project Management, Document Management, Team Management, Issues/Task Management, Workflow Management, and BIM integration.

Procurement 221

Procurement Construction BIM Change Orders 221

HardHatChat

MARCH 4, 2019

One of the biggest challenges for commercial construction firms today is the tighter project timelines that have become the norm at every phase of a project – from shorter deadlines for submitting initial bids and budgets, to quicker resolution on addendums and change orders, to compressed schedules for construction and delivery.

Project Management 349

Project Management Commercial Management Construction 349

Construction Marketing Ideas

DECEMBER 13, 2015

Some years ago, in addressing how a successful contractor has managed to maintain a profitable business despite needing to compete in “low bid wins the job” open competitions, the contractor opened up to me with an observation: He wins the jobs because they are rigged in advance. And that happened.

Change Orders 48

Change Orders Bidding Contract Contractors 48

Chianelli Estimating

NOVEMBER 11, 2011

Does the owner benefit from the lowest bid? Their accounting department has established a project budget that can not be exceeded and, if adhered to, the project is feasible. Bid packages are distributed to interested contractors and the process begins. . Bids received and opened. Not always. .

Bidding 100

Bidding Estimating Budgeting Budget 100

Job Order Contracting

APRIL 8, 2019

Construction Change Order Best Management Practices. Definition of a construction change order: A construction change order is work that is added to or deleted from the originally agreed upon and contracted scope of work which alters the original contract amount and/or completion date. Change Order Impacts.

Change Orders 100

Change Orders Contract Negotiation Management 100

Job Order Contracting

OCTOBER 25, 2021

Waste is rampant to the extent that 80% or more of all projects are late, over-budget, and/or poorly completed to the dissatisfaction of participants and stakeholders. Supporting robust processes, tools, and training are readily available to assure on-time, on-budget, and quality outcomes 90%+ of the time. Leverage technology.

Renovating 212

Renovating Procurement Budgeting Budget 212

Job Order Contracting

JULY 22, 2020

Adaptive Lean Construction Planning, Procurement, and Project Delivery tools and services are readily available to assure the consistent delivery of quality repair, renovation, maintenance, and new construction projects on-time and on-budget. Rampant waste and high levels of dissatisfaction of all participants and stakeholders are the norm.

Procurement 147

Procurement Plans Construction Bidding 147

Job Order Contracting

JUNE 13, 2019

An innovative, yet proven method of construction services planning, procurement, and project delivery is gaining traction with owners who require consistent quality repair, renovation, and construction services that are both on-time, and on-budget. It embodies all of the fundamental aspects of LEAN construction, including: Collaboration.

Innovation 100

Innovation Construction Procurement Bidding 100

Autodesk Construction Cloud

JUNE 8, 2023

Many things can happen during this period, and project teams often face complications like design creep and price increases, which negatively impact budgets and schedules. When the process isn’t carried out efficiently, bid management takes longer and causes more stress than necessary. How do you accomplish this?

Profitability 98

Profitability Bidding Estimating Risk 98

Autodesk Construction Cloud

MAY 24, 2022

This pie chart displays the percentage distribution and cost values of the total budget and can be toggled to display values from a selection of five columns from the budget overview. Note, the chart is only visible to members with Budget View All or Full Control permission. . The first chart is now available on the Home Page.

Autodesk 105

Autodesk Products BIM Construction 105

Job Order Contracting

APRIL 15, 2018

Change orders easily increased project costs by 50% or more, and claims and litigation were the norm, versus the exception. JOC contractors strive for: • Fast Delivery • High Quality • No Change Orders • No Warranty Hassles • Maximize budgets. Focus limited staff and budgets on mission critical and priority needs.

Contract 100

Contract Change Orders Procurement Estimating 100

Pro Builder

APRIL 19, 2021

For practices like estimates, time tracking, project management, change order management, accounting, and other key processes, mechanical contractor software has helped complete jobs more efficiently and effectively. Using an intelligent solution allows project managers to base their bids on past project data and actual expenses.

Software 52

Software Software Contractors Change Orders 52

HardHatChat

JULY 11, 2013

The summer always brings more commercial construction activity, more bids, and, as a result, higher pricing. It’s a common misconception that commercial construction general contractors make money on the change orders that sometimes take place during a project. Englewood recently began work on Season’s 52 in Chicago.

Commercial 276

Commercial Construction Bidding Chicago 276

Viewpoint Construction Technology

JULY 19, 2017

Using estimating software simplifies bids, estimates, and financial project planning and makes the process somewhat foolproof. Coordinating actions and approving items quickly can keep jobs on time (maybe even ahead of time) and in some cases, under budget. Stay on top of schedules and budgets to avoid delays.

Viewpoint 190

Viewpoint Construction Schedule Estimating 190

Lets Build

FEBRUARY 3, 2023

Prioritise value over competition One mistake project owners and procurement teams often make is prioritising bidding price over value. And while the bids might look good at first glance, the possibility of costly change orders in the future is much higher. Communication needs to happen at every level.

Construction 148

Construction Materials Risk Management 148

Job Order Contracting

FEBRUARY 10, 2021

Early and ongoing collaboration between contractors, designers and owners…procurement, facilities management, building users… drives consistent attainment of on-time, on-budget, and satisfactory outcomes for all… But… it requires a change in CULTURE, and the adoption of LEAN SYSTEMS AND PROCESSES.

Procurement 211

Procurement Plans Construction Renovating 211

Autodesk Construction Cloud

FEBRUARY 3, 2023

They ensure everyone is on the same page from the get-go, on topics as diverse as how change orders how the chain of communication will be handled on site. In fact, surveys show that construction projects routinely come in over budget. Budget and payments Next, review your project budget. And timelines?

Change Orders 52

Change Orders Documentation Schedule Budgeting 52

Autodesk Construction Cloud

JANUARY 23, 2024

The second enhancement adds an additional trigger for Contract approval workflow if the committed SOV value exceeds the Revised Budget. Autodesk Takeoff Takeoff | Unit Costs – Autodesk Takeoff users can apply a unit cost to both their 2D and 3D takeoff types, which can help to establish rough budgets and estimates.

Products 105

Products Autodesk BIM Accounting 105

HardHatChat

MARCH 17, 2015

Interestingly enough, we have found owners for many of the commercial construction projects out-to-bid are looking to work with design-build construction firms. A design-build firm will likely work with a trusted set of subcontractors that they know will deliver a successful commercial construction project on time and budget.

Design 120

Design Commercial Budgeting Budget 120

Viewpoint Construction Technology

APRIL 23, 2019

This helps contractors complete their construction deliverables on time and within budget. Budget Inaccuracies. Using estimating software simplifies bids, estimates, and financial project planning and makes the process somewhat foolproof. Accurate estimating ensures there is always enough money for materials, wages, and more.

Construction 187

Construction Software Software Estimating 187

Construction Business Owner

APRIL 26, 2012

Just about every contractor has been there — a project starts out strong but, as it moves forward, delays and incidental added work and changes knock dollars and cents off of the bottom line. Know the Contract and Budget. Stay on Top of Changes. Or have you done extra work that wasn’t covered by a change order?

Change Orders 120

Change Orders Construction Profitability Software 120

Job Order Contracting

OCTOBER 22, 2019

It is not design-bid-build, design-build, CM@R, LastPlanner(TM), black belt, kaizen, et al. LEAN, BEST VALUE construction, planning, procurement, and project delivery is embodied with collaborative processes and frameworks such as integrated project delivery, IPD, and LEAN job order contacting (i.e. the OpenJOC(TM) Solution).

Procurement 100

Procurement Plans Construction Life Cycle 100

HardHatChat

JANUARY 18, 2011

Don’t always take the lowest bid. I know this is a tough one to follow as we all need to keep commercial construction budgets in check, but we saw too many companies go with pick-up truck contractors in 2010 only to be burned later. While bidding on the commercial construction remodel of a 500+ sq. Take a leap of faith.

Commercial 263

Commercial Bidding Negotiation Construction 263

Pro Builder

NOVEMBER 20, 2020

Evaluating the damage to every home and putting each project out to bid is impractical; people want to repair or rebuild and move back into their homes. They review the book and bid a coefficient to cover their cost of business. Know before you bid. For example, let’s say a flood washes out a city’s riverfront neighborhood.

Contract 108

Contract Bidding Negotiation Income 108

HardHatChat

JUNE 23, 2015

Working with a commercial contractor on a negotiated-bid basis, as Englewood Construction does with long-term client American Girl, can minimize the likelihood you’ll hear “no” from your GC during the bidding process. As a national commercial contractor , we are first and foremost in the business of customer service.

Commercial 120

Commercial Contractors Bidding Negotiation 120

Levelset

MARCH 16, 2022

Every project involves planning, designing, bidding, hiring, and more — and these are all parts of stages. The performance and monitoring stage is a phase in which the project’s progress, timeline, and budget are constantly assessed in order to keep the job on track. What is the performance and monitoring phase?

Lien 52

Lien Construction Budgeting Budget 52

Viewpoint Construction Technology

OCTOBER 23, 2018

Bidding Smarter and Winning More Work. Closely tracking things like job costs, change orders, material and equipment usage and worker productivity from your projects can help better forecast future work and lead to smarter bidding. Transitioning from Analytics to Predictive Analytics.

Construction 195

Construction Software Software Cash Flow 195

Autodesk Construction Cloud

DECEMBER 3, 2021

How Proper Planning Can Help Keep Your Project on Budget. In fact, according to a study from KPMG, just 31% of all projects came within 10% of the budget in the past 3 years. Oftentimes, overruns hint at deeper issues in project management and from schedules and budgets being set improperly from the very beginning of the project.

Budgeting 52

Budgeting Budget Construction Software 52

HardHatChat

JULY 19, 2011

Also, heed my warning on hiring low-bidding pick-up truck contractors. The more information you provide, the more accurate the shopping center construction budget – especially if you plan to work with retailers who have proprietary facades. And I know people don’t believe this, but the best Chicago contractors hate change orders.

Commercial 201

Commercial Retail Change Orders Construction 201

Job Order Contracting

AUGUST 31, 2021

A collaborative construction solution, capable of consistently delivering quality repair, renovation, and new builds, on-time and on-budget, is available to any real property owner. All that is needed is owner leadership and commitment. The Problem. Participants are rarely invested in how other participants perform.

Construction 153

Construction Procurement Contract Budgeting 153

Building Information Management

APRIL 6, 2016

Owner focus upon a BEST VALUE approach to facility management is required in order to maximize productivity and minimize waster. BEST VALUE construction project delivery methods include Integrated Project Delivery – IPD, and Job Order Contracting, JOC. Greater Frequency of On-budget Projects. Fewer Change Orders.

Renovating 40

Renovating Change Orders Procurement Construction 40

Viewpoint Construction Technology

MARCH 20, 2018

In 2010, for example, Wisconsin became the first state to require BIM on publicly-funded projects with a budget over $5 million. Currently, the United States doesn’t have requirements for BIM on a national level. We have seen steps at the local level to increase BIM use, though. The exact opposite is true.

BIM 172

BIM US United States Los Angeles 172

Viewpoint Construction Technology

APRIL 4, 2017

Detailed take-offs and bids, referencing historical data and experience, calculating the scope of a project and more in an efficient and consistent manner lessens the risk of incurring a loss on the job. By setting up procedures and expectations, you can keep tabs on process, timelines, and budget. Consistent estimating.

Software 130

Software Software Construction Project Management 130