Accelerate the Estimating Workflow for Building Construction

Togal

5 minutes

The fastest way to speed up a construction estimating workflow is to cut the time spent on quantity takeoff, the most labor-intensive stage, and to standardize the other three stages: project review, labor and cost assignment, and the final bid.

Faster estimates mean more bids, more current pricing, and more time for value engineering. AI takeoff software like Togal.AI delivers takeoffs up to 4X faster while your estimators stay in control of the review.

Being awarded construction projects is at the top of mind for every general contractor. Below are two points we’ll tackle in this article:

Point #1: Being awarded work depends greatly on the detail and accuracy of estimates submitted

Point #2: A faster response rate increases the number of proposals estimators can respond to. Effectively increasing the probability of being awarded more work.

One of the most laborious parts of the bidding process is completing the estimate. Ample time is spent analyzing the different features of a project. To further complicate things, material prices constantly change with market fluctuations.

Estimates finished faster benefit from more current and accurate pricing. The faster estimates are finished, the more bids that can be sent, and the more projects to potentially win. Proposals sent faster than competitors have the added benefit of making a team present most competent for the job.

Perhaps the most important benefit to the estimator is the time made available for higher-value tasks like value engineering, scoping, and identifying the best trade partners. Instead of drawing lines and polygons, estimators can improve the job design, help the owner save money, and align project interests. They can also confirm that everything is in the proposal and that the subcontractors can handle the project.

Below, this article details the following:

Increase the probability of being awarded construction projects by submitting more proposals.
Accelerate the estimating process by using standard best practices.
Cut hours, days, or even weeks off the estimating process by implementing new technology.
Combine new technology with the existing workflow to improve efficiency.

What are the 4 stages of construction estimating?

Construction estimating runs in four stages: project review, quantity takeoff, labor and cost assignment, and bid presentation. Takeoff in Stage 2 is usually where the most hours go, which makes it the stage with the most to gain from automation.

Stage	What happens	How to speed it up
1. Project review	Scope, owner, site conditions, permits, and price-impacting factors	Use a standard checklist and visit the site early
2. Quantity takeoff and schedule	Materials list from the drawings, lead times, task sequence	Automate measuring with AI takeoff
3. Labor, resources, and budget	Construction methods, trades, equipment, profit margin, cost buffer	Use vendor quotes, unit pricing, and cost databases
4. Bid presentation	Final pricing and presentation to the owner	Review the checklist and follow up after you submit

Stage 1: Project Scope And Site Assessment

In Stage 1, estimators become familiar with the following:

Project scope and size
Getting familiar with the owner
Project expectations
Site layout and ongoing operations
Permit applications

An estimator needs to assess all factors that will affect the price to complete a project.

Factors assessed include:

Soil quality
Weather conditions
Existing geographical challenges
Shipping and logistics
Storage capacity on site
Environmental regulation
Site accessibility

Identifying price-impacting factors early on and accounting for them in the proposal is essential. Underpricing a proposal can cause a contractor to lose the job or to potentially lose money and risk legal complications.

An example of a price-affecting factor is a project that will encounter heavy snowfall and will need to account for the cost of snow plowing as well as winter storm weather's effect on project delivery. Pricing attributes should be justified to the owner so that the price is accurate and inclusive of all variables. By communicating these factors to the owner, a level of trust and transparency is established. Alternatively, competitors may state a price without justification, creating little rapport with the owner.

Organization Strategies:

List the scope of work including requirements, important details, and budget.
Research the project owners to find out their project history and familiarize the team with their preferences.
Visit the project site to identify factors that may impact the project.
Break down the project to identify how the different components are priced.
Attend pre-construction meetings to clarify details of the project.

Stage 2: Quantity Takeoff And Scheduling

Analyzing the project drawings will help to build a comprehensive list of the materials needed for the project. Once lead times and relationships between tasks are developed, a project schedule can identify the project's timeline.

The quantity takeoff process usually takes hours or even days depending on the size of the project.

New technologies can be implemented to make the takeoff process more efficient and accurate. The time savings provided will transform an estimator's workflow.

What Are The 3 Types Of Construction Takeoffs?

Contractors run takeoffs three ways: by hand from paper plans, with digital on-screen software where you click every point, or with AI that measures directly from the drawings. Most teams that move to AI still want manual tools for edge cases, which is why Togal.AI keeps advanced manual tools behind the AI.

Takeoff method	How it works	Trade-off
Manual	Paper plans, a scale ruler, and a pencil	Slow, and can take weeks on large projects
Digital (on-screen)	Software where the estimator clicks every point of every element	Faster than paper, still labor-intensive
AI takeoff (Togal.AI)	AI detects, measures, and compares from the drawings, and the estimator reviews	Takeoffs up to 4X faster, with manual tools for edge cases

Togal.AI capability	What it does for the estimator
Works with your plan files	Processes PDF, PNG, TIFF, JPEG, and other standard formats
Image Search	Finds every instance of a symbol, like doors, sinks, or parking spaces, across the plan set
3-step takeoff	Upload, set the scale, generate quantities. Then adjust classifications to match how your team presents takeoffs
Advanced manual tools	Split, cut, merge, arc, and circle cuts for anything the AI should not decide
Drawing Comparison	Compares plan revisions and quantifies what changed
More time for high-value work	Hours go to more proposals and value engineering
Lower takeoff labor cost	Fewer estimator hours per takeoff

Togal.AI reduces the time needed to complete a takeoff, it does not replace the estimator. The estimator is an essential part of the pre-construction process that must analyze the plans and identify where problems may exist or where efficiencies can be made. The estimator must review Togal’s takeoff to customize it to their needs for the project. Machines will never eliminate the need for humans but rather make the human workflow most efficient and eliminate the most tedious and time-consuming tasks.

To see it on your own plans, Book a Demo with Togal.AI.

Stage 3: Labor, Resources, And Budget

Labor and resources and how they relate to the schedule will be identified in the third phase.

Variables Identified:

Construction methods
Labor - types of trades and the time needed to dedicate toward the project
Materials - identify lead times and logistical storage available on site
Technologies and equipment needed

Once the variables are identified, the projected costs can be assigned to each component of the project.

Proper budgeting is essential to identify all costs involved. The following must also be accounted for within the budget:

Profit margin
Variable cost buffer - unforeseen circumstances and price fluctuations that could impact the profit margin
Discounts and efficiencies for the owner to best price the bid compared to competitors

5 Recommendations for the Proposal:

Work closely with vendors and obtain quotes for materials
Identify the base rate for labor
Secure unit pricing to prevent cost fluctuations
Invest in cost databases like RSMeans or National Construction Estimator from Craftsman-Books. These indexes will provide average costs and pricing based on zip codes.
Analyze past projects to identify where costs could be similar.

Stage 4: Bid Presentation To The Owner

The final presentation to the owner takes place in the fourth stage.

Bids that are most attractive to the owner are ones that identify all the components involved with competitive pricing. The owner is focused on the bottom line, though they also want to ensure they are partnering with a general contractor that can effectively complete the job and a team that is positive to work with.

3 Recommendations to Stay Most Competitive:

Review the checklist to ensure all requirements have been fulfilled.
After submitting the bid, communicate with the project owners. This will help to stay top-of-mind while other bidders are reviewed.
Keep track of your bid success rate to determine what is most effective. It is important to learn from every presentation to improve for future pitches.

As construction activity grows, efficient estimating is how you turn more opportunities into more awarded work. Staying current with new tools keeps your business model and workflow relevant.

Book a demo of Togal.AI today.

What is the difference between a construction estimate and a takeoff?

A takeoff is the measured count of everything a project needs, pulled from the drawings. The estimate applies material prices, labor, equipment, overhead, and profit to those quantities. Takeoff is one stage inside the estimating workflow.

How should you track your bid success rate?

Log every bid with its scope, value, owner, and outcome. Review wins and losses each quarter to see which project types and price ranges you win most often, then focus your bid calendar there.

Does AI takeoff software work with the estimating tools you already use?

Yes. Togal.AI exports grouped, filtered quantities to Excel and integrates with Ediphi, ServiceTitan, and Zebel. Your pricing and cost databases stay where they are.

‍