4 ms·

Actually, you just get better at estimates. 10 years in I am finally starting to get the estimate formula... and it's about as simple as someone told me: ever

by bobx11 13y ago

Actually, you just get better at estimates. 10 years in I am finally starting to get the estimate formula... and it's about as simple as someone told me: every time anyone gets an estimate, double it. so, you estimate yourself, double it before you give it to a manager. the manager should double it before they give it to a client. the client should double it before they give it to their finance department... and you'll come out on budget for the project.

vacri 13y ago
A friend who is an architect says that pretty much every project they do gets a 3-5% allocation for 'contingencies'. Then the client usually starts trying to 'trim the fat', and the first thing out the door (over protests) is 'contingencies', because 'they're not giving us stuff'. Sure enough, when the soil is getting turned, there's a need for more cash to do unexpected -foo- or increased price of -bar-... and now the project is 'over-budget'. And almost always wouldn't have been if the contingencies fund wasn't removed.
- foobarbazqux 13y ago
  In the proposed contracts, is the contingencies portion refundable if unused?
- abduhl 13y ago
  Contingencies in construction should be reduced or eliminated as the project proceeds from conceptual phase to design and more information is gathered. The contingency line item should almost never be carried over into the construction phase for vertical construction and if the project comes in over budget it speaks more to the failures of the design team at estimating than to a budgeting failure. Other types of construction may indeed carry contingencies through construction phase but it must be made absolutely clear to the owner of the project that the contingencies are for X unknown and not just a "we can't estimate very well so hit it with 10%".
  - vacri 13y ago
    I may have inserted the 'turn soil' part - thinking back, he didn't mention anything either way about the phases, just that routinely it was the first thing sliced out, and it came back to bite them later each time that happened.

by bobx11 13y ago

vacri 13y ago

A friend who is an architect says that pretty much every project they do gets a 3-5% allocation for 'contingencies'. Then the client usually starts trying to 'trim the fat', and the first thing out the door (over protests) is 'contingencies', because 'they're not giving us stuff'. Sure enough, when the soil is getting turned, there's a need for more cash to do unexpected -foo- or increased price of -bar-... and now the project is 'over-budget'. And almost always wouldn't have been if the contingencies fund wasn't removed.

foobarbazqux 13y ago
In the proposed contracts, is the contingencies portion refundable if unused?
abduhl 13y ago
Contingencies in construction should be reduced or eliminated as the project proceeds from conceptual phase to design and more information is gathered. The contingency line item should almost never be carried over into the construction phase for vertical construction and if the project comes in over budget it speaks more to the failures of the design team at estimating than to a budgeting failure. Other types of construction may indeed carry contingencies through construction phase but it must be made absolutely clear to the owner of the project that the contingencies are for X unknown and not just a "we can't estimate very well so hit it with 10%".
- vacri 13y ago
  I may have inserted the 'turn soil' part - thinking back, he didn't mention anything either way about the phases, just that routinely it was the first thing sliced out, and it came back to bite them later each time that happened.