Cost Estimate Audit/Review
InEight Estimate offers built-in reports to double check your estimate and review different aspects of your project, including material costs, quotes, man-hours and production.
Price Breakdown Structure Tabs
The purpose of the tabs on the Price Breakdown Structure is to assist with estimate reviews.
Markup Analysis
On this tab, you can compare your profit to your costs for labor, subcontract and other cost groupings. By seeing the ratios of your markup compared to your different cost categories, you can gauge if you have the right balance of costs in your estimate.
For example, if your markup is more than 100% of your Labor cost, it may indicate that you don’t have enough labor cost in your estimate to cover the work, which could indicate labor cost overruns during execution that would eat into your profit margin.
Cost Source
The Cost Source tab shows the breakdown of Detail, Plug and Quote cost sources, as well as the amounts and percentages of each that are attributable to Direct and Indirect cost. Your Plug cost source should be the lowest percentage.
Resource Utilization
The Resource Utilization tab shows a breakdown of the man-hours and equipment hours utilized on the job, based on take-off quantities.
Subcontract Status
The Subcontract Status tab displays a breakdown of subcontractor amounts, costs, and percentages for quoted cost items. This is a good place to review how much of your estimate is subcontracted.
Vendor Status
The Vendor Status tab displays a breakdown of vendor information, including amounts and percentages of the Target Price represented by vendors. This is a good place to review how much of your estimate costs come from vendor quotes.