Conceptual Estimate a budgeting tool

By Iftikhar Kamil Madni posted 09-30-2017 09:08 AM

Order of Magnitude Estimating - quick tool for budget

This paper discusses a very important phase of estimating called
conceptual estimate. It's used at the inception phase where the goal
is known but physical information is scanty, say 10% design. However
a budget number is required by the client to arrange for funds. The
quickest method is Order of Magnitude Estimate where the project cost
is based on historical data of similar projects based on price per
room for hotels, price per bed for hospitals and price per student
for schools. The estimate requires good information and good
estimator experience. In this paper the author has taken as an
example a 200 room 10 story building in Berkeley, California The
estimator looked at the project like an engineer and architect to
create a conceptual plan to do the quick estimate."