11 Solid Benefits of Estimating Software for Construction
Manually trying to figure out the cost of your construction projects puts your business at incredible risk. One slight miscalculation can interrupt cash flow, prevent your team from completing projects on time, and even damage the reputation of your business.
Construction estimation software can help you avoid miscalculations by automating much of the estimation process.
Tired of inaccurate construction project forecasting?
If management is on the fence about adopting construction estimation software, here are 11 benefits to help them change their minds.
Construction estimation software reduces expenses by quickly helping you find cost-saving opportunities on projects. Estimating software provides the most up-to-date material prices from vendors.
That means you can quickly get the lowest price on the materials you need for the job without spending extra time on research.
2. Fewer Miscommunications
Miscommunication is a leading reason why construction projects fail. Good communication is the key to keeping your clients updated on the project's progress. But, that's easier said than done across multiple projects and departments in your business.
Many construction companies struggle to move away from spreadsheets for workforce management, procurement, and other day-to-day operations. (Worse, notebooks, sticky notes, and the backs of envelopes...it can get quite messy.) These notes are easily lost, causing important details to fall through the cracks.
Luckily, construction estimation software improves communication by consolidating communication on a single platform.
For example, you can track the progress of your projects while also giving your clients to get updates easily. Plus, you get all the client's contact and project information in one place. This makes responding to and keeping your clients up-to-date easy.
With consistent communication, you and your client will develop a strong business relationship, leading to loyalty and quality references for future business.
3. Faster Project Completion
Faster estimation means faster project completion. Construction estimation software eliminates the paperwork and menial tasks. You can schedule deliveries and calculate costs faster. As a result, you finish your project quickly. That means you can concentrate on the next one faster.
More projects, more business, more money.
Construction estimation software also reduces the possibility of making cost estimation mistakes on your projects. This saves you time and money from correcting those mistakes while reducing the risk to your business.
In short, you'll keep your clients' trust high and your reputation strong.
4. Greater Project Accuracy
There is a lot to keep track of on any construction project. It's easy to make mistakes with labor cost estimates, equipment cost estimates, and subcontractor expenses. And if you're doing all this in spreadsheets, you're harming your business.
Accuracy is key.
Small miscalculations can lead to more significant problems down the road that damage client relationships and put your business at risk.
Sudden fluctuations in material cost (something increasingly common) can lead to errors that cost you millions once you multiple the variants across all the materials for a project. And this is an increasingly common occurrence with inflation, labor cost, and supply chains in constant fluctuation.
Construction estimation software provides a single platform that unifies your data and allows you to get accurate insights into the budget of each project. This allows you to monitor each cost during every part of the process. As a result, you can secure your cash flow and ensure you don't run into the red on projects.
5. Improved Client/Customer Relationships
Happy clients mean probable repeat business, strong recommendations, and a good reputation for your company.
Construction estimation software helps keep your customer relationships successful and productive. Accurate and speedy updates to requests ensure that your customers get information in a timely fashion. It also shows that you are attentive to your customers' needs and value their business.
Construction estimation software provides organized, detailed, and easily understandable reports. As a result, you'll give your customers more transparency, building trust faster.
6. Better Budgeting with Improved Cashflow
Unexpected costs on a construction project can grind work to a halt. It can leave you in the awkward position of asking the client for more money. Or, worse, dipping into your cash flow to cover costs.
Construction estimation software ensures you stay on budget with accurate estimations. This means you can provide more accurate bids and proactively adjust sourcing/purchasing to stay under budget.
In the end, you'll increase productivity on your construction projects and make your business more profitable.
7. Streamlined Procurement Processes
The best procurement software can speed up your procurement process by automating many of the workflows needed to source and purchase materials in your organization. But, construction estimation software can further streamline your procurement by:
- Providing up-to-date information on materials cost and availability
- Showing accurate delivery times
- Outlining materials and equipment needs
- Scheduling and managing labor
- Preventing wasted energy and resources
With construction estimation software, you'll find the procurement process easier and more efficient (with no last-minute calls to vendors). Plus, you reduce instances of your team standing around waiting for materials.
8. Greater Sense of Professionalism
Construction estimation software helps you present information to your customers in a clear, accurate, and easy-to-understand format. No more shuffling through printouts to find the exact data that the customer is requesting. No more jarring emails with screenshots or confusing spreadsheets.
The software provides clear reporting that you can walk your clients through easily. Instead of uncomfortable meetings with clients where you struggle to feel organized, you'll feel more confident as you present your data.
9. More Strategic Project Planning
Construction estimation software provides all the information you need to plan your project. Instead of getting caught up in the details of costs, materials, and labor, you get an overall picture. This helps you to be as strategic as possible with your planning on all phases of the project.
Strategic planning for current projects also provides positive outcomes in the long run. Instead of firing from the hip and hoping for the best, you'll get long-term strategies and project plans built on exact estimates and sound data.
10. Superior Results on Projects
Because construction estimation software gives you more accurate data and automates processes, you get more time to think strategically.
Rather than getting lost in the micro, you'll get the time and insights you need to take a step back and view the project holistically.
As a result, you rethink how your construction business operates. And you can design new approaches to projects that will help your team work more efficiently and more affordably. This will keep your business competitive while finishing projects that exceed your client's expectations.
11. A More Competitive Construction Company
You can only take your business so far without investing in technology. Manual processes put your business at greater risk while forcing your team to carry out menial tasks that drain their mental bandwidth. The end result is an inefficient business that may work hard but struggle to remain competitive.
Construction estimation software gives you the edge by keeping your business more agile and lean using automation. The time and resources you save can be invested into your business, keeping you competitive and expanding your reputation with more client successes.