426 lines
9.9 KiB
Markdown
426 lines
9.9 KiB
Markdown
---
|
|
title: Mike Holt's Illustrated Guide to Electrical Estimating
|
|
tags:
|
|
- authorship/other
|
|
- exclude-from-word-count
|
|
- type/media/book
|
|
author: Mike C. Holt
|
|
pages: 234
|
|
publisher: Mike Holt Enterprises
|
|
type: book
|
|
year: 2023
|
|
---
|
|
# Mike Holt's Illustrated Guide to Electrical Estimating
|
|
|
|
## Chapter 1---Introduction
|
|
|
|
### Introduction
|
|
|
|
### 1.1 Estimating versus Bidding
|
|
|
|
### 1.2 A Good Estimating System
|
|
|
|
### 1.3 Objectives and Purpose of an Electrical Contractor
|
|
|
|
### 1.4 Why So Many Electrical Contractors Are Unsuccessful
|
|
|
|
### 1.5 Project Management
|
|
|
|
### 1.6 Can I Be Competitive?
|
|
|
|
### 1.7 The Electrical Market
|
|
|
|
### 1.8 Negotiated Work
|
|
|
|
### 1.9 Best Value
|
|
|
|
### Summary
|
|
|
|
### Conclusion
|
|
|
|
### Essay Questions
|
|
|
|
### Multiple-Choice Questions
|
|
|
|
## Chapter 2---About Estimating
|
|
|
|
### Introduction
|
|
|
|
### 2.1 Qualities of a Good Estimator
|
|
|
|
### 2.2 Duties and Responsibilities of the Estimator
|
|
|
|
### 2.3 The Estimating Workspace and Tools
|
|
|
|
### 2.4 Types Of Bids
|
|
|
|
### 2.5 What an Accurate Estimate Must Include
|
|
|
|
### 2.6 Improper Estimating Methods
|
|
|
|
### 2.7 The Detailed Estimating Method
|
|
|
|
### 2.8 How Accurate Can an Estimate Be?
|
|
|
|
### 2.9 Manual Estimate, Estimating Software, or an Estimating Service?
|
|
|
|
### Summary
|
|
|
|
### Conclusion
|
|
|
|
### Essay Questions
|
|
|
|
### Multiple-Choice Questions
|
|
|
|
## Chapter 3---Understanding Labor Units
|
|
|
|
### Introduction
|
|
|
|
### 3.1 What is a Labor Unit?
|
|
|
|
### 3.2 How Labor Units Are Expressed
|
|
|
|
### 3.3 Using Work Experience
|
|
|
|
### 3.4 What Is Included in the Labor Unit?
|
|
|
|
### 3.5 Labor Units Do Nolinciuae
|
|
|
|
### 3.6 Labor-Unit Manuals
|
|
|
|
### 3.7 How to Develop Your Own Labor Units
|
|
|
|
### 3.8 Your Labor Units as Compared to Your Competitors
|
|
|
|
### 3.9 Knowing Your Competitors' Labor Units
|
|
|
|
### 3.10 Variables That Affect Labor Units
|
|
|
|
### 3.11 Are You for Real?
|
|
|
|
### Summary
|
|
|
|
### Conclusion
|
|
|
|
### Essay Questions
|
|
|
|
### Multiple-Choice Questions
|
|
|
|
## Chapter 4---The Estimating Process
|
|
|
|
### Introduction
|
|
|
|
### 4.1 Job Selection
|
|
|
|
### 4.2 Understanding the Scope Of Work
|
|
|
|
### 4.3 Preparing for the Estimate
|
|
|
|
### 4.4 Plans and Specifications Review
|
|
|
|
### 4.5 Estimate and Bid Notes
|
|
|
|
### 4.6 Estimating Forms and Worksheets
|
|
|
|
### 4.7 The Take-Off
|
|
|
|
### 4.8 Determining the Bill-of-Material (Manual Estimate)
|
|
|
|
### 4.9 Pricing and Laboring
|
|
|
|
### 4.10 Extensions An Totals
|
|
|
|
### Summary
|
|
|
|
### Conclusion
|
|
|
|
### Essay Questions
|
|
|
|
### Multiple-Choice Questions
|
|
|
|
## Chapter 5---Determining Break-Even Cost
|
|
|
|
### Introduction
|
|
|
|
### 5.1 Labor Houis (Step A)
|
|
|
|
### 5.2 Labor Cost (Step B)
|
|
|
|
### 5.3 Labor Rate Per Man-Hour
|
|
|
|
### 5.4 Labor Burden
|
|
|
|
### 5.5 Total Material Cost (Step C)
|
|
|
|
### 5.6 Direct Job Expenses (Step D)
|
|
|
|
### 5.7 Estimated Prime Cost (Step E)
|
|
|
|
### 5.8 Overhead (Step F)
|
|
|
|
### 5.9 Overhead Calculation Methods
|
|
|
|
### 5.10 Break-Even Cost (Estimated Cost) (Step G)
|
|
|
|
### Summary
|
|
|
|
### Conclusion
|
|
|
|
### Essay Questions
|
|
|
|
### Multiple-Choice Questions
|
|
|
|
## Chapter 6---The Bid Process
|
|
|
|
### Introduction
|
|
|
|
### 6.1 Profit (It s Not a Dirty Word)
|
|
|
|
### 5.2 Profit to Prime Cost
|
|
|
|
### 6.3 Other Bid Cost Considerations
|
|
|
|
### 5.4 Bid Accuracy
|
|
|
|
### 5.5 Bid Analysis
|
|
|
|
### 6.6 Bid Proposal
|
|
|
|
### Summary
|
|
|
|
### Conclusion
|
|
|
|
### Essay Questions
|
|
|
|
### Multiple-Choice Questions
|
|
|
|
## Chapter 7---Unit Pricing
|
|
|
|
### Introduction
|
|
|
|
Now that you have learned the detailed estimating method and bid process,
|
|
we are going to show you an alternative estimating method.
|
|
It is called "unit pricing," and using it will save you time.
|
|
You can safely use unit pricing on renovations, office build-outs,
|
|
change orders, and other simple or small-scope jobs.
|
|
|
|
### 7.1 What Is Unit Pricing?
|
|
|
|
Unit pricing consists of developing an average price
|
|
to install a given electrical component,
|
|
such as a duplex receptacle, a 2 x 4 fluorescent fixture, or a switch.
|
|
This price includes the outlet box, an average number of wire connectors,
|
|
mounting hardware, and the typical number of raceway or cable box connectors.
|
|
The "unit price" is then multiplied by the number of units on the drawings
|
|
to arrive at a total bid price for the installation.
|
|
|
|
### 7.2 Advantages and Disadvantages of Unit Pricing
|
|
|
|
You still do a take-off to determine the number of luminaries,
|
|
switches, receptacles, and so forth.
|
|
However, you just do not separately count the boxes, fittings,
|
|
and other parts included in the unit pricing components.
|
|
Often you do not measure the wiring runs for every opening,
|
|
but use an average length per installed outlet as part of the "unit."
|
|
|
|
Homeruns to panelboards, communications cabinets, and so on,
|
|
must still be measured in the usual manner.
|
|
|
|
#### Advantages
|
|
|
|
Unit pricing is faster and easier than the detailed estimating method
|
|
described earlier in Chapters 4, 5, and 6.
|
|
It takes less time and therefore costs your company less money
|
|
to determine the selling price for a job.
|
|
Unit pricing is relatively accurate on repetitive jobs
|
|
where many identical items of electrical equipment
|
|
will be installed under the same (or fairly similar) conditions.
|
|
|
|
#### Disadvantages
|
|
|
|
Unit pricing is not suitable for jobs
|
|
where outlets are not located at standard intervals.
|
|
For example, if you have 200 identical fluorescent luminaries to install
|
|
in a building where the ceiling heights vary from 8 ft to 15 ft in different areas,
|
|
unit prices will need to be adjusted to an average luminaire height,
|
|
or different unit prices will need to be applied for the different ceiling heights.
|
|
|
|
### 7.3 Unit Price Example
|
|
|
|
It is easier to demonstrate this concept with an example
|
|
rather than trying to explain it in words.
|
|
|
|
Determine the unit price for a duplex receptacle based on the following factors:
|
|
|
|
* Labor Hour Adjustment---10%
|
|
* Labor Burden---included in overhead
|
|
* Labor Rate---$18 per man-hour
|
|
* Material Cost Adjustment---15% (waste, theft, miscellaneous)
|
|
* Sales Tax---7%
|
|
* Overhead---$18 per man-hour
|
|
* Profit---15% of Selling Price
|
|
|
|
%% TABLE OMITTED %%
|
|
|
|
### Summary
|
|
|
|
#### Introduction
|
|
|
|
An alternative estimating method is called "unit pricing,"
|
|
and using it will save you time.
|
|
You can safely use unit pricing on renovations, office build-outs,
|
|
change orders, and other simple or small-scope jobs.
|
|
|
|
#### 7.1 What is Unit Pricing?
|
|
|
|
Unit pricing consists of developing an average price
|
|
to install a given electrical component.
|
|
This price includes the outlet box, an average number of wire connectors,
|
|
mounting hardware, and the typical number of raceway or cable box connectors.
|
|
The "unit price" is then multiplied by the number of units on the drawings
|
|
to arrive at a total bid price for the installation.
|
|
|
|
#### 7.2 Advantages and Disadvantages of Unit Pricing
|
|
|
|
You still do a take-off to determine the number of luminaries,
|
|
switches, receptacles, and so forth.
|
|
However, you just do not separately count the boxes, fittings,
|
|
and other parts included in the unit pricing components.
|
|
Often you do not measure the wiring runs for every opening,
|
|
but use an average length per installed outlet as part of the "unit."
|
|
|
|
Homeruns to panelboards, communications cabinets, and so on,
|
|
must still be measured in the usual manner.
|
|
|
|
**Advantages.** Unit pricing is faster and easier than the detailed estimating method.
|
|
It takes less time and therefore costs your company less money
|
|
to determine the selling price for a job.
|
|
|
|
Unit pricing is relatively accurate on repetitive jobs
|
|
where many identical items of electrical equipment
|
|
will be installed under the same (or fairly similar) conditions.
|
|
|
|
**Disadvantages.** Unit pricing is not suitable for jobs
|
|
where outlets are not located at standard intervals.
|
|
|
|
### Conclusion
|
|
|
|
From the example,
|
|
you can see that the unit pricing method can be a real time saver.
|
|
Do not let this lull you into trading time
|
|
for the accuracy required for estimating projects that are not small or simple.
|
|
Even minor variations in the work environment
|
|
can call for adjustments to the unit pricing method.
|
|
|
|
Your company can use other costing and pricing methods as well.
|
|
All of these have limited applications.
|
|
Going outside the limits of these methods, or of unit pricing,
|
|
can result in large financial losses.
|
|
|
|
As you practice the unit pricing method
|
|
and the more rigorous detailed estimating method you learned earlier,
|
|
you will become more adept at each.
|
|
The first few times you use the unit pricing method,
|
|
you may also want to use the more rigorous detailed method
|
|
and compare the results.
|
|
|
|
### Essay Questions
|
|
|
|
1. What is an alternative estimating method called that will save you time,
|
|
and on what types of jobs can it be safely used?
|
|
|
|
2. What does the average unit price include?
|
|
|
|
3. When using unit pricing, what must still be measured in the usual manner?
|
|
|
|
4. What are the advantages of using unit pricing?
|
|
|
|
5. What are the disadvantages of using unit pricing?
|
|
|
|
### Multiple-Choice Questions
|
|
|
|
#### Introduction
|
|
|
|
1. An alternative to the detailed estimating method and bid process
|
|
is called the "\_\_\_" method.
|
|
|
|
* (a) square foot
|
|
* (b) unit pricing
|
|
* (c) shot-in-the-dark
|
|
* (d) none of these
|
|
|
|
#### 7.1 What Is Unit Pricing?
|
|
|
|
2. Unit pricing consists of developing a(n) \_\_\_ price
|
|
to install a given electrical component.
|
|
|
|
* (a) set
|
|
* (b) estimated
|
|
* (c) average
|
|
* (d) flexible
|
|
|
|
3. The "unit price" is by the number of units on the drawings
|
|
to arrive at a total bid price for the installation.
|
|
|
|
* (a) added
|
|
* (b) subtracted
|
|
* (c) multiplied
|
|
* (d) divided
|
|
|
|
#### 7.2 Advantages and Disadvantages of Unit Pricing
|
|
|
|
4. The biggest advantage when using unit pricing
|
|
is that you do not need to complete a take-off
|
|
to determine the number of luminaries, switches, receptacles, and so forth.
|
|
|
|
* (a) True
|
|
* (b) False
|
|
|
|
## Chapter 8---Software-Based Estimating
|
|
|
|
### Introduction
|
|
|
|
### 8.1 Computer Estimating System Functions
|
|
|
|
### 8.2 Advantages and Benefits
|
|
|
|
### 8.3 Pre-Purchase Considerations
|
|
|
|
### 8.4 Hardware Considerations
|
|
|
|
### 8.5 Cost Of Software
|
|
|
|
### 8.6 Technical Support
|
|
|
|
### 8.7 Can I Afford it?
|
|
|
|
### 8.8 Software Vendors
|
|
|
|
### 8.9 Training and Support
|
|
|
|
### 8.10 Pricing Services
|
|
|
|
### 8.11 Frequently Asked Questions
|
|
|
|
### Summary
|
|
|
|
### Conclusion
|
|
|
|
### Essay Questions
|
|
|
|
### Multiple-Choice Questions
|
|
|
|
## Chapter 9---The Bid Process Review
|
|
|
|
### Introduction
|
|
|
|
### 9.1 Pre-Estimate
|
|
|
|
### 9.2 Estimate Process
|
|
|
|
### 9.3 Determining Break-Even Cost
|
|
|
|
### 9.4 The Bid Process
|
|
|
|
## Final Exam
|