Course duration: 1 Day

Cost: £295 + VAT

1. INTRODUCTIONS

2. ESTIMATING (LECTURE & CASE STUDY)

Intensive lecture covering aspects of estimating in a contracting organization.

• Approaches to Estimating
• Elements of Estimating
• Estimate planning sequence
• Types of Estimate
• Make-up of an Estimate
• Contingencies
• Using the correct estimating technique.
• Uses of different types of estimates.

Estimating case study describing the methods used by the various departments of a company to prepare an estimate.

3. TYPES OF CONTRACT

The different types of contract and their payment terms.

4. COST / PROFIT / PRICE (LECTURE & EXERCISES)

The effect of the payment terms on the pricing of the tender The advantages of progress payments vs. 100% upon completion.

– Identify the importance of cash flow in the life of projects.
– More advanced method for evaluating the payment terms in a bid – Net Present Value.
– “Which Would You Pick” Tender Comparison – Analysis of the payment terms (Exercise).

5. PRICING (LECTURE & EXERCISES )

– Brief brainstorming session to identify different ways of pricing
– Pricing and payment strategies mini cases.
– Pricing exercise for providing services over an extended time period.
– How to make the tender look cheaper – brainstorming.

6. THE SPAN CONTRACT (LEGO BRICK EXERCISE)

Estimating and bidding for a Lump Sum Contract with all the inherent risks involved. Managing the practical realities of a Lump Sum Contract.