Nature of the Work | Working Conditions | Education
Job Outlook | Earnings | More Career Info
Cost Estimator
Nature of the Work:
Accurately forecasting the scope, cost, and duration of future projects is vital to the survival of any business. Cost estimators develop the cost information that business owners or managers need to make a bid for a contract or to decide on the profitability of a proposed new product or project. They also determine which endeavors are making a profit.
After the site visit, the estimator determines the quantity of materials and labor the firm will need to furnish. This process, called the quantity survey or �takeoff,� involves completing standard estimating forms, filling in dimensions, numbers of units, and other information. A cost estimator working for a general contractor, for example, estimates the costs of all of the items that the contractor must provide. Although subcontractors estimate their costs as part of their own bidding process, the general contractor’s cost estimator often analyzes bids made by subcontractors. Also during the takeoff process, the estimator must make decisions concerning equipment needs, the sequence of operations, the size of the crew required, and physical constraints at the site. Allowances for wasted materials, inclement weather, shipping delays, and other factors that may increase costs also must be incorporated in the estimate.Construction cost estimators also may be employed by the project’s architect or owner to estimate costs or to track actual costs relative to bid specifications as the project develops. Estimators often specialize in large construction companies employing more than one estimator. For example, one may estimate only electrical work and another may concentrate on excavation, concrete, and forms.
Working Conditions:
Although estimators spend most of their time in a comfortable office, construction estimators also visit worksites that can be dusty, dirty, and occasionally hazardous. Likewise, estimators in manufacturing spend time on the factory floor, where it also can be noisy and dirty. In some industries, frequent travel between a firm’s headquarters and its subsidiaries or subcontractors may be required.Estimators normally work a 40-hour week, but overtime is common. Cost estimators often work under pressure and stress, especially when facing bid deadlines. Inaccurate estimating can cause a firm to lose a bid or to lose money on a job that was not accurately estimated.
Education:
In the construction industry, employers increasingly prefer individuals with a degree in building science, construction management, or construction science, all of which usually include several courses in cost estimating. Most construction estimators also have considerable construction experience, gained through work in the industry, internships, or cooperative education programs. Applicants with a thorough knowledge of construction materials, costs, and procedures in areas ranging from heavy construction to electrical work, plumbing systems, or masonry work have a competitive edge. Many colleges and universities include cost estimating as part of bachelor’s and associate degree curriculums in civil engineering, industrial engineering, and construction management or construction engineering technology. In addition, cost estimating is often part of master’s degree programs in construction science or construction management. Organizations representing cost estimators, such as the Association for the Advancement of Cost Engineering (AACE International) and the Society of Cost Estimating and Analysis (SCEA), also sponsor educational and professional development programs. These programs help students, estimators-in-training, and experienced estimators learn about changes affecting the profession. Specialized courses and programs in cost-estimating techniques and procedures also are offered by many technical schools, community colleges, and universities.Job Outlook:
Employment is expected to grow by 19 percent between 2006 and 2016, which is faster than the average for all occupations. Employment growth in the construction industry, in which most cost estimators are employed, will account for the majority of new jobs in this occupation. Construction and repair of highways, streets, bridges, subway systems, airports, water and sewage systems, and electric power plants and transmission lines will stimulate demand for many more cost estimators. Similarly, increasing population and business growth will result in more construction of residential homes, office buildings, shopping malls, hospitals, schools, restaurants, and other structures that require cost estimators. As the population ages, the demand for nursing and extended-care facilities will also increase. The growing complexity of construction projects will also boost demand for cost estimators as a larger number of workers specialize in a particular area of construction.Earnings:
Salaries of cost estimators vary widely by experience, education, size of firm, and industry. Median annual earnings of wage and salary cost estimators in May 2006 were $52,940. The middle 50 percent earned between $40,320 and $69,460. The lowest 10 percent earned less than $31,600, and the highest 10 percent earned more than $88,310. Median annual earnings in the industries employing the largest numbers of cost estimators were:
Nonresidential building construction $60,870 Building equipment contractors 56,170 Foundation, structure, and building exterior contractors 52,520 Residential building construction 52,460 Building finishing contractors 51,610 According to a July 2007 salary survey by the National Association of Colleges and Employers, those with bachelor’s degrees in construction science/management received job offers averaging $46,930 a year.
More Career Info:
The following link will take you to the Bureau of Labor Statistics’ Occupational Outlook Handbook (2008-2009). This handbook provides additional information on training and education, employment, job prospects, and more for hundreds of different types of jobs. The Occupational Outlook Handbook is a nationally recognized source of career information, designed to provide valuable assistance to individuals making decisions about their future work lives. http://www.bls.gov/oco/home.htm