Cost Estimation

In the early stages of project planning, initial, high-level estimates are commonly utilized and can affect whether a project is ultimately continued or not. More precise and granular cost estimates are required once a project is approved and an organization decides to move forward with it in order to properly deploy various resources.

The direct and indirect costs related to carrying out a project should both be included in an accurate cost estimate. This may include a variety of overhead expenses (utilities, labor, etc.), labor costs (including both time and wages paid), material and equipment costs, vendor fees (if the project calls for third-party workers, or other contractors), and more, depending on the particulars of the venture.

We follow Bottom-up Estimation:

A major project is divided into a number of smaller components in bottom-up estimating. After that, the project manager makes cost projections that are particular to each of these smaller work packages. Costs may be broken down per department, for instance, if a project involves work that will be divided among several organizational departments. After all expenses have been calculated, they are added up to provide a single, larger cost estimate for the entire project.

Bottom-up estimating facilitates a more precise estimation process since it enables a project manager to examine individual activities within a project in greater detail.

Estimation Services include:

• conceptual estimating

• schematic estimating

• design development estimates

• quantity surveys

• budget preparation

• quantity takeoffs