It may sound a bit imprecise, but the job of an estimator is crucial to the success of many companies. Basically, an estimator is responsible for determining how much a particular project will cost, how long it will take to complete, and how much revenue the company can expect to generate from it.
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To do this, the estimator must not only have an intimate knowledge of the business, but he should also be aware of all current equipment and material costs as well as rental fees. The estimator must consider a number of other factors such as location, labor costs, and permits and licensing fees. He often works closely with the project supervisor to ensure that the project is on target and that the budget can support any changes or adjustments that must be made.
Most estimators work in either one of two industries: construction or manufacturing. An estimator who seeks a career in construction will generally examine the job plans of the architects and general contractors. Then he will visit the job site and speak with the job supervisor. Afterward, he will submit a bid to the company based on all the data he has examined. The bid or estimate will let the company know how much they can expect to pay for the project as well as how much they might earn upon its completion.
Estimators that work in manufacturing are charged with examining the manufacturing costs of a new product against its potential profitability. The company will then use this information to help them decide whether they should manufacture the new product at all, and if so, what they should charge.
As you might expect, an estimator is not a prognosticator and he does not have a crystal ball. He is, in fact, a trained financial professional. Therefore, he must rely to a great extent on historical data. That is, he must take into account past projects that are similar to the ones he is presently working on. This gives him a good idea of what to estimate for things like labor costs and equipment rentals. Really, without historical data, the average estimator would be lost.
That is one reason why a career as a manufacturing estimator is a bit easier. After all, with manufacturing you have easy access to real labor costs as well as material costs that will be used to determine your estimate. But with construction estimation each project is different, and you will have to do quite a bit of research to locate a similar one.
Relationships
Whichever industry he chooses to work in, an estimator must maintain close relationships with suppliers and vendors. These vendors will help him keep track of all current costs, which may give him a leg up on negotiations for larger projects. As you might expect, the estimator that can save the company money is one that will never want for work. Estimators that work in construction are also expected to preserve union labor rates so that estimates always reflect current wages.
The Job
Even after the estimator has submitted his recommendations his work is far from over. He is expected to remain an active participant in the project and to help maintain the profit margin by dealing with any alterations to the initial estimates. For instance, if an estimator uses the wrong rate for a building material, he will be expected to at least try to negotiate a better one.
And after the project has been completed, the estimator must submit a process program that allows the company to track the profits or losses for the project.
Employment Opportunities
If you are seeking a career as an estimator there are several things you should know. To begin with, employers expect estimators to have a background and a degree in engineering, architecture or mathematics. It is also possible to gain employment as an estimator with a background in accounting or finance.
It should almost go without saying that careers in estimation also require that individuals have exceptional computer skills. An applicant may also receive special consideration if he has experience in the industry, whether it is manufacturing or construction.
Salaries
Careers in estimation are generally well-paying with an average salary range of $30,000 to $90,000 per year. Of course, the salary you receive depends almost entirely on your experience and your reputation in the field. If you have completed a number of projects on time and under budget, your salary is bound to grow by leaps and bounds.
On average, employment as a manufacturing estimator does pay a little bit better.
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Cost Estimator United States-CA-El Segundo
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There are estimator jobs in manufacturing and construction industries. Advanced companies use software solutions to aide the estimator’s complex job responsibilities. The majority of cost estimators are employed in the construction industry. The advancement and expansion of many businesses, construction of residential buildings, condominiums, and...
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