Estimating Takeoff (Yellow Pad Reviews)

The first task most estimators find themselves facing is the takeoff. What I will outline in the following articles is a systematic approach I have used for years. This system will allow you to review any size project and quickly come up to speed. I call it my yellow pad review as my documentation for this part of the project is done on my trusty legal sized yellow pad.

Read the request for proposal.

This may seem basic but I have watched people go halfway down a road and never bother to read the RFP. This can lead to missed dates and potential disaster if your organization does not qualify for the proposal.

In my first read of the RFP I do a skim. Skiming in the dictionary is defined as;"move or pass swiftly and lightly over the surface of". This is exactly what you want to be able to do with an RFP skim the essential information that will effect your process. With legal pad in hand I look for due dates, special conditions and special qualifiers. I also keep a box of post it tabs and mark items I may need to refer back to.

One of the first things that go on my yellow pad are the legal name of the project. This may seem minor but offices have a way of mislabeling projects.  Its important in my mind to get the name right so I don't make a mistake when writing documents. Other information blanks I fill in is proposal number if applicable and client contact information.

Due dates are one of the most critical things to document and make other team members aware of. Every bid has a due time and proposers must decide what their deadline is for assemble and messaging of the proposal to the site. Part of my review here consists of where I have to send it how do I have to send it and how many copies do I have to send. I also look for any conditions that will extend the mailing or overnight delivery of my proposal. Often remote National Park offices will require two days to deliver a package. Missed due dates are unavoidable but usually preventable by documenting early in the project.

I also document are last day for questions and mandatory bid meetings The last day for questions is a critical task and part of your notes should include contact information for questions. I have often found that questions may need to be addressed to multiple parties, be sure this becomes part of the yellow pad documentation.

Mandatory Pre-bids are becoming less common as museums realize that the current economic climate makes them cost prohibitive. I can count on my right hand the number or pre-bid meeting I have attended that gave me useful information for an estimate. I digress, the pre-bid documentation and dates should be on your essential yellow pad list.

Other things I skim for are special conditions. I'm mainly looking for deal killers or long lead items. Deal killers are contract conditions that would eliminate my company from providing a competitive number. These would include prevailing wage issues, Small business administration size limits, abnormal liability limits, liquidated damages and unreasonable time lines.
Here is my yellow pad list

• Insurance requirements
• Bid Bond
• Surety Bond
• Prevailing wage agreements
• MBA or WBA goals
• SBA size limits
• Liquidated Damages
• Time line for completion
• Is the project funded or partially funded

I especially look for items I may need help with from a company officer like a bid bond or a surety bond. Typically a bid bond issue or surety approval can take several weeks, I find it best to communicate this earlier rather than later. I use a highlighter to mark these items on my yellow pad for email follow on.

Other things I look for in Yellow pad review is the proposal form and what information needs to assembled. I look for these pages and tab them for follow up later.

I also look at the bid form. I need to know how the client wants the price broken up. This is important on how I form my takeoff and final product. This information is so important as it will effect my deep reading and how I do my takeoff or how I roll up my takeoff.

Other things to look for in Yellow pad reviews are scope and project descriptions. Typical process for most design firms is to issue the RFP as the last document so its descriptions of the project are usually the most up to date with the current design. I find these descriptions and overviews very helpful to my full understanding of the project scope. I also will note in the RFP the date it was issued and the dates on the project plans. If you have plans that are two years old, technology items have definitely changed and will need to be closely reviewed.

I have provided a list on this blog of my yellow pad items under example 1, please take a minute and review it and add your yellow pad review items in the comments.

In followup to my Yellow Pad review I send an email. This email lists the project essentials and is provided as an excutive summary.

• Project Name
• Due Date for Proposal
• Last Day for Questions
• Project Value
• Mandatory Pre-Bid
• Bonding
• Bid Bond
• Special Conditions

This is a notifier, to all team members that lets them know you have a project in house and makes everyone aware of any travel or special conditions required for the bid.

Later I will create specific emails asking team members to be responsible for a task and assign due dates for the task. If travel is required I highlight that in the email. If a special conditon exists that is a deal killer I highlight that. This email is no more than 8 bullet points and alerts team members to an impending deadline.

My yellow pad information never leaves my side during the project. Other items I attach to my yellow pad are a copy of the proposal requirements, a copy of client bid form and all addendum's.

Obviously by now you realize my yellow pad is a metaphor, this can be typed into a spreadsheet or written longhand in a notebook. I prefer longhand as it helps me to remember details if I write them out. I spent a lot of my childhood at the chalkboard and it stuck with me in professional life.