[et_pb_section fb_built=”1″ admin_label=”intro background” _builder_version=”4.17.4″ _module_preset=”default” background_color=”#1E1E1E” global_colors_info=”{}”][et_pb_row column_structure=”1_2,1_2″ admin_label=”Title banner” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”1_2″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_text admin_label=”Title” _builder_version=”4.17.4″ _module_preset=”default” text_font=”Raleway||||||||” text_text_color=”#1E1E1E” header_font=”Raleway|600|||||||” header_text_color=”#FAA61A” header_font_size=”45px” global_colors_info=”{}”]<\/p>\n
[\/et_pb_text][\/et_pb_column][et_pb_column type=”1_2″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_text _builder_version=”4.17.4″ _module_preset=”default” text_font=”Raleway||||||||” text_text_color=”#FFFFFF” text_font_size=”20px” custom_padding=”||0px|||” global_colors_info=”{}”]<\/p>\n
This procedure outlines the process used to develop a cost estimate or a quote to complete projects for PEER Construction. This procedure is used at the beginning of the project to establish an initial estimate used as the basis to develop the schedule and cost baseline.<\/p>\n
[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_row column_structure=”3_4,1_4″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”3_4″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_text admin_label=”Purpose and scope” _builder_version=”4.17.4″ _module_preset=”default” custom_padding=”||0px|||” global_colors_info=”{}”]<\/p>\n
The purpose of this procedure is to provide guidance on managing estimates and is applied across the life cycle of projects whenever cost estimate data needs to be generated.<\/p>\n
[\/et_pb_text][\/et_pb_column][et_pb_column type=”1_4″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_search _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][\/et_pb_search][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ _builder_version=”4.17.4″ _module_preset=”default” background_color=”#F5F5F5″ global_colors_info=”{}”][et_pb_row _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_text admin_label=”H2 text to accordion grey backgorund” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n
The following should be considered when planning an estimate.[\/et_pb_text][et_pb_accordion admin_label=”Accordion grey background” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_accordion_item title=”Methodology” open=”on” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n
The cost estimating methodology used on projects is a bottom-up process based on a logically networked schedule that is resource loaded at the lowest activity level.<\/p>\n
The schedule used for the cost estimate must reflect the scope of work as defined by PEER Construction and support all key event milestones.<\/p>\n
Standard estimating guidelines and methodologies are used as part of the process.<\/p>\n
These components of a resource loaded schedule that reflects the scope of work and uses standard estimating guidelines and methodologies is a key part of the PEER Construction methodology.<\/p>\n
This approach is used to ensure that the cost estimate is based on a reasonable schedule using approved estimating factors; the schedule activity resource amounts are used to generate the time phased cost estimate based on the activity start and finish dates.<\/p>\n
All estimates are assessed in dollars in the actual year spent. All estimating guidelines and methodologies are established by the PEER Construction project office and implemented through the PEER Construction project control team.<\/p>\n
[\/et_pb_accordion_item][et_pb_accordion_item title=”Assumptions” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}” open=”off”]This process assumes that all required labour, material, and procurement types have been identified and the rates and burdens for each type have been developed. It also assumes that the applicable managers have determined the labour, material, and procurement requirements needed to support the scope of work.[\/et_pb_accordion_item][et_pb_accordion_item title=”Inclusions” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}” open=”off”]<\/p>\n
What to include<\/p>\n
To ensure an estimate is an accurate reflection of the cost of the work to be performed consider:<\/p>\n
[\/et_pb_accordion_item][et_pb_accordion_item title=”Specifications and scope of work ” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}” open=”off”]<\/p>\n
Specifications<\/strong><\/p>\n Meet with the client to obtain the details or the client must provide all details in writing. Document all the details so you and the client can refer to them later.<\/p>\n Scope of work<\/strong><\/p>\n The scope of work document should detail:<\/p>\n [\/et_pb_accordion_item][\/et_pb_accordion][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_row admin_label=”H2 intro to accordion ” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_text _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n The process has the following components.[\/et_pb_text][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_accordion admin_label=”Accordion white background” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_accordion_item title=”Quoting for services” open=”off” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n If you are quoting to provide services:<\/p>\n The <\/span>quote template<\/span><\/strong> must be used then quoting for a client on behalf of PEER Construction <\/span><\/p>\n Presenting quote<\/p>\n Precise inputs will give you a precise estimate. Think about the project carefully, double-check drawings, and visit the worksite to plan how the job will unfold.<\/p>\n Approval<\/strong><\/p>\n Apprentices must send their quotes to their supervisor for review and authorisation.<\/p>\n Documentation<\/strong><\/p>\n Completed quote is to be sent via email to PEER Construction accounts payable for processing.<\/span><\/p>\n <\/strong><\/p>\n [\/et_pb_accordion_item][et_pb_accordion_item title=”Costs” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}” open=”off”]<\/p>\n Consider the following about the costs.<\/p>\n Labour<\/strong><\/p>\n Establish how much it costs per day (or hour) for you and any direct employees to complete the work. Multiply that rate by the time you expect the job to take.<\/p>\n Identify where you will need subcontractors and confirm their availability as you do not want to be waiting on them. Ask the contractors to estimate the job but be aware they may not be as precise as you. Double check their calculations based on their hourly rate. Build in some contingency to cover unforeseen work that may be needed.<\/p>\n Refer to the business plan information to get up to date information about costs.<\/p>\n Material costs<\/strong><\/p>\n Calculate a cost for direct materials like wood, steel, plumbing, and electrical wiring, then add indirect materials like fasteners and caulking. Make sure equipment hire is covered. You might also charge a margin on these materials to cover delivery and wastage.<\/p>\n Overheads<\/strong><\/p>\n You will need to charge an overhead to account for depreciation of equipment, and for other business expenses such as office rental and administration. Refer to the business plan information to get up to date information about costs.<\/p>\n [\/et_pb_accordion_item][et_pb_accordion_item title=”Documentation” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}” open=”on”]<\/p>\n All documentation relating to a cost estimate must be retained and sent via email to PEER Construction for record keeping. This includes all specifications, site plans, drawings, estimate, instructions issued by client, and email correspondence.<\/p>\n These should be added to the estimate:<\/p>\n Cost estimates are to be verified with the accounts department before sending to client.<\/p>\n Terms and conditions<\/strong><\/p>\n The following statement must be on all cost estimates and quotes.<\/p>\n Terms and conditions: in addition to any terms and conditions contained in this communication, all dealings with PEER Construction, are subject to the Terms and Conditions of Trade of PEER Construction.<\/p>\n Archive<\/strong><\/p>\n All email correspondence must be archived when the job is completed.<\/p>\n Note: This is done by creating an Archive folder in your emails.\u00a0<\/p>\n [\/et_pb_accordion_item][et_pb_accordion_item title=”Negotiation of contract or estimate” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}” open=”off”]<\/p>\n If you are negotiating with clients, suppliers, lease renewals or any form of negotiation you should consider:<\/p>\n [\/et_pb_accordion_item][\/et_pb_accordion][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_row _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_tabs admin_label=”References and related” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][et_pb_tab title=”References” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n Equal Opportunity Act 1984 [\/et_pb_tab][et_pb_tab title=”Related” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”]Estimating policy[\/et_pb_tab][et_pb_tab title=”Version ” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n Version 2.0 – Last updated 01\/05\/2023<\/p>\n [\/et_pb_tab][\/et_pb_tabs][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ fullwidth=”on” _builder_version=”4.17.4″ _module_preset=”default” global_colors_info=”{}”][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":" Estimation procedureThis procedure outlines the process used to develop a cost estimate or a quote to complete projects for PEER Construction. This procedure is used at the beginning of the project to establish an initial estimate used as the basis to develop the schedule and cost baseline.Purpose The purpose of this procedure is to provide […]<\/p>\n","protected":false},"author":2,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"class_list":["post-504","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/peer.com.au\/peerconstruction\/wp-json\/wp\/v2\/pages\/504","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/peer.com.au\/peerconstruction\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/peer.com.au\/peerconstruction\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/peer.com.au\/peerconstruction\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/peer.com.au\/peerconstruction\/wp-json\/wp\/v2\/comments?post=504"}],"version-history":[{"count":5,"href":"https:\/\/peer.com.au\/peerconstruction\/wp-json\/wp\/v2\/pages\/504\/revisions"}],"predecessor-version":[{"id":1605,"href":"https:\/\/peer.com.au\/peerconstruction\/wp-json\/wp\/v2\/pages\/504\/revisions\/1605"}],"wp:attachment":[{"href":"https:\/\/peer.com.au\/peerconstruction\/wp-json\/wp\/v2\/media?parent=504"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\n
Process<\/h2>\n
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Privacy Act 1988<\/p>\n