Cutting construction costs: Good or Bad

Yes, you can cut costs with your project and end up with a quality build.

There will always be more expensive and less expensive proposals for your project. How do you choose between them?

Quality design is provided by quality firms. It is as simple as that. How to find these firms can be the challenge. Ask around, look at websites, call them, go to a new build and ask who worked on their project, ask contractors who they like to work with. The variables on fees depend on many factors, how many projects do they take in, how hungry are they, what are their timelines, what time of year it is, where are they located, what is their overhead, how senior are the engineers / designers working on your project.....the list goes on and on and do impact their submitted fees. At the end of the day, you are looking for a responsive engineering firm that will design with good engineering practice and according to the applicable building codes. Keep in mind that they are also a business and need to pay their overhead and make a profit at the end of the day.

Yes, you can take the lowest bid, but know who you are working with. Ask questions, ask for references for completion of similar projects. Did the project come in on time and on budget? Who will be working on your project? Can you communicate directly with that individual? Should challenges come up can they refer you to a complimentary service that they trust and have worked with before. Have they worked with the engineering / architectural firm before.

Yes, you can take the highest bid, but they may not be the company best suited for you, or maybe they are the company you need. How large is your project? Do you need a dedicated team working on it? How tight are your deadlines?

Once you select your firm, there are ways to cut costs to your total construction budget. Discuss your equipment selection with your engineering firm, talk about finishes with your architect / interior designer. Think landscaping, exterior finishes, energy conversation, lighting, fixtures....you can have the Taj Mahal or a minimalist build, it is all up to you and all comes at a cost. The professionals that you choose to work with are working for you and will look at your budget, help determine if it fits your needs. They can recommend options for saving, or put some savings into another feature that you would love.

Are you managing the project yourself to save costs? This is only recommended if you have the right experience and expertise. Too often we see a project fall apart that is not managed properly resulting in cost overruns and project delays. This more often than not results in a dissatisfied client and usually the professionals unjustly get the blame. Please remember, that we design, not construct. Yes, we will be on site periodically for inspections, however, unless we are specifically hired to oversee the construction, challenges may and do arise. Perhaps the contractors deviate from the design documents, take liberty with products, install equipment that was not in the specs, don't submit shop drawings for approval, talk the client into making changes that may impact the functioning of the design/space and not having these changes approved by the designer. Please keep in mind, we are not blaming the contractors. Quite often they are left on their own to make decisions. These decisions may or may not significantly affect other disciplines outside of their own. They are not expected to know all about all of the trades. This is where your project manager is most valuable. He/she will be keeping your project on track, on budget, on design. Quite often we see that the engineering firms / architects / designers need to redesign which results in additional professional fees which no one wants. Your professionals did not submit a proposal to you with the expectation that they would be billing you for additional work; they would rather your project run smooth and according to design. Often times, having a project manager, whether it is the architect or a specialized firm / individual can end up saving you money and allow you peace of mind.

Tendering. Who is doing the tendering? How is the tendering being done? Is it part of the proposal? Does your professional know contractors that they trust and have worked with before?

Changes. Changes once your design has been completed cost money, maybe lots of money. Most changes affect all disciplines as your build is akin to an ecosystem. Changes before construction but after tendering are least expensive as depending on the impact may simply be able to be done with a change order. Changes during construction can have a huge impact and result in a redesign. You don't want this to happen. We totally get why changes happen, but to minimize this occurring, go over your project documents thoroughly with your professionals before the tender documents are produced. Ask questions, seek answers, after all this is your baby.

At the end of the day, the professionals that you select to work with will be looking after your best interest. They will be abiding by their code of ethics as we are held responsible for our services to the public. Open and regular communication with them at the start up of design throughout all construction phases will be YOUR best tool needed to construct your project successfully.

#costefficiency #returns