Friday, October 26, 2012

To help you more effectively navigate the cost-estimating process for construction projects, here are 10 of the most common cost-estimating mistakes putting your business at risk:

1. Lack of transparency.

2. Last-minute changes.

3. Focusing on strengths alone, ignoring weaknesses.

4. Underestimating Labor Costs.

5. Lack of margin calculation algorithm.

6. Pursuing every project.

7. Allocating resources incorrectly.

8. Not taking a top-down approach.

9. Lack of successive risk estimation.

10. Limited views of the project.

For the full discussion of these mistakes and what to do about them, read Magnus Therkildsen's article "The Top 10 Estimating Mistakes."


Magnus Therkildsen is the CEO and co-founder of Sigma Estimates. Founded in 2003, Sigma Estimates addresses the needs of contractors, engineers and architects for a comprehensive, accurate and fast way to estimate costs on construction projects. Today, Sigma Estimates serves more than 1,600 customers throughout Europe and North America. For more information, visit www.sigmaestimates.com.