Wat is estimate ?

Wat is BOQ quantity

Wat r tender
Wat r estimate and der types ?
List down books of estimates

BOQ sample.


















1) What is Estimate? What are the different types of estimates?

An estimate is to form an approximate judgment or opinion regarding the worth, amount, size, weight
etc. The process of finding an estimate is called as estimation. In making an estimate, the goal is often
most useful to generate a range of possible outcomes that is precise enough to be useful, but not so
precise that it is likely to be inaccurate.
Construction estimators use four basic types of estimates. These types may be referred to by
different names and may not be recognized by all as definitive, but most estimators will agree that each
type has its place in the construction estimating process. The type of estimate performed is related to
the amount of design information available. As the project proceeds through the various stages of
design (from schematic design to design development to contract documents), the type of estimate
changes and the accuracy of the estimate increases.

1) Order of Magnitude Estimate:

The order of magnitude estimate could be loosely described as an educated guess. It is also known as a
napkin estimate, because it is often the result of a conversation between a contractor (or developer)
and a client/owner over lunch or dinner, in which an estimate is created on the nearest piece of paper,
usually a napkin. Order of Magnitude Estimates can be completed in a matter of minutes. Accuracy is
plus or minus 20%.

2) Square Foot and Cubic Foot Estimates:

This type of estimate is most often useful when only the proposed size and use of a planned building is
known. Very little information is required. Performing a breakout for this type of estimate enables the
designer and estimator to adjust components for the proposed use of the structure (hospital, factory,
school, apartments), type of foundation (slab on grade, spread footing, piles), and superstructure (steel,
concrete, or a combination) and to focus the cost more closely to the final price. Accuracy of the square
foot estimate is plus or minus 15%.

3) Assemblies (or Systems) Estimate:

A systems estimate is best used as a budgetary tool in the planning stages of a project. Accuracy is
expected at plus or minus 10%.

4) Unit Price Estimate:

Working drawings and full specifications are required to complete a unit price estimate. It is the most
accurate of the four types but is also the most time-consuming. Used primarily for bidding purposes,
accuracy is plus or minus 5%.





2) What is BOQ (bill of quantity)?

A bill of quantities (BOQ) is a document used in tendering in the construction industry in
which materials, parts, and labor (and their costs) are itemized. It also (ideally) details the terms and
conditions of the construction or repair contract and itemises all work to enable a contractor to price
the work for which he or she is bidding.

Bills of quantities are prepared by a taking off process in which the cost of a building or other structure
is estimated from measurements in the Structural Engineer's drawings. These are used to create a cost
estimate such as in regard to the square area in meters of walls and roofs, the numbers of doors and
windows, and systems as heating, plumbing and electrics. Similar types of work are then brought
together under one item, a process known as "abstracting".


3) What are tenders?

A tender is put out when large-scale buyers advertise their needs and invite bids or tenders from a range
of suppliers. Put simply, a tender /bid/request for proposal (RFP) is an offer in writing to carry out work
or to supply goods/services at a certain price.

Before entrepreneurs start looking for tenders they should make sure that their business has a proper
focus i.e

Tender only for those contracts that fit your business focus or scope.

Plan to use each tender you win to build up capital in your industry enhance your reputation with
credit suppliers, get extended overdraft limit at the bank, invest in equipment, skilled staff and project
management skills.

Do not ever bank on winning a tender. It is said that successful business owners submit at least twelve
tenders for each one they win.

Know that you cannot build a business by using the tendering process alone. Though tendering can at
times provide a good break or move a bidder to a new level of operation, the results are too
unpredictable the whole business around the process. It is advisable to build up a stable non
government client base and tendering be an additional activity.


BOOKS OF ESTIMATES










Open Tender
An open tender is a type of tendering under which an invitation is issued to all interested contractors so they can submit
tenders. This process is considered as one of the most unbiased methods as even an unknown or new contractor can have the
opportunity to receive the contract.
Restricted or Selected Tender
In this process, a few selected contractors are invited to make a bid for the tender. However, this method leaves a lot of room
for bias. The process reduces competition to those invited to bid. The method is used in cases when the construction is
somewhat selective and needs high technology and specialized expertise, skill and experience. Only those contractors who
can fulfill all of these requirements are invited to bid.
Negotiation Tender
The process of negotiation tendering involves the client consulting chosen contractors to negotiate the contract and its
terms. This process is adopted for special circumstances. For example, it is often used in emergency situations that require
the completion of a project within a short span of time or with complex contracts in which financial and technical properties
are difficult to identify. This negotiation tendering process is also used in situations involving security projects of national
importance.
Direct Order Tender
The method of direct order tendering involves directly naming some specific contractor to implement a particular project. An
example of a direct order tender is a project by the military. Direct order tenders usually involve low implementation costs.
Web-based Tendering
Web-based tendering has become a popular option. Web-based technology is used for the tendering processes. Under this
system, tenders are advertised online and tender documents uploaded. Any interested person can fill out the tender
documents and bid for a project online. Various electronic tendering applications are used in countries like America,
Australia, Europe and Japan.