Why your future could depend on estimating software
In turbulent economic times of tightened margins, the need to do more for less has never been more prevalent. Technology is a great enabler in better efficiencies and operational productivity, and one area SME building firms are looking to improve is around estimating costs for projects.
More and more SME firms in construction are embracing estimating software and reaping the rewards, making the move from archaic manual estimating by hand and the use of spreadsheets, to digitalising these activities. But what is making them change, and what are the benefits?
The benefits of estimating software for building firms
As with most things, given the economic pressures we face, any investment needs to return a quantifiable return.
When it comes to estimating, traditional approaches are likely costing you money. Firstly, in the accuracy of costing projects - doing so manually generally results in less accurate costings and a looser grip on outgoings and incomings. Unfortunately, the impact of inaccurate or outdated information affects both your business and the consumer experience.
Secondly, time is significantly drained as manual approaches and spreadsheets take up far more time than when using estimating software. In an industry where time is literally fee-earning money, any reduction in time should be seen as a big win, especially when trying to work out areas for profit margin improvements. Plus, less time is required for overtime and those additional admin hours you could really do without. Essentially, less time spent on estimating means more time freed up to do the work that really matters. All profits result in greater business security in tough times, which has never been more relevant right now.
Why use estimating software over apps?
Most phone apps and trade-focused software can give you the basics and are an improvement on spreadsheets. However, they aren’t especially designed for small to medium-sized building firms and the larger projects they undertake. Purpose-built solutions for building firms have far more features to deliver powerful an estimating function.
The result is a seamless way to manage project costs and profits, which is critical for the longevity of many SME building firms. Successful building firms take into account the variables which impact estimations - waste, resources, inflation, overheads, and so on. If these aren’t factored into the costs with the customer, they’ll come out of your bottom line. And best-in-breed estimating software will help you include these costs into your estimates.
The whole experience of using estimating software is what makes the difference. Not only is it easier to use and more holistic than any other option, but it provides the customer with the detail needed to come across as professional and forward-thinking. That helps actually win business if you are leaving a good impression with each touchpoint. Additionally, you’ll benefit from greater organisation, from dealing with delays better to sourcing the right materials.
Making you money and saving you time
It’s all about making money and saving time, ultimately. In the digital age, manual admin is simply a profit-margin killer. Embracing the technology and making the investment in estimating software will improve your firm's efficiency, reputation and bottom line, enabling you to be more accurate with your costings and win more business. Think about it: If your competitors are investing in it, you can’t be left behind by continuing to use archaic spreadsheets or estimating by hand.
Solutions such as EstimatorXpress from HBXL Building Software offer the above features and more. Do your research, find a quality estimating software package and get yourself on the same footing as other forward-thinking building firms.