Your Project Was in Trouble Before Award

A contractor can spend three weeks putting together a $30 million estimate, win the project, celebrate the award, and then spend the next 18 months arguing internally about how the work was supposed to be built.

And the interesting part is that everyone involved might be very good at their jobs.

I recently spoke at the ASPE Orlando Summit about this during my presentation, "Two Languages, One Project," where I discussed something I've experienced throughout my construction career: estimators and field operations can look at the same project AND see two completely different things.

Having spent years managing construction in the field before moving into estimating, I understood how important it was to visualize the work behind the numbers. Even with that experience, I was uncomfortable pricing operations I couldn't confidently picture being performed.

Now imagine an estimator pricing work they've never seen built, while the Superintendent who understands that operation doesn't get involved until after award.

There's your first problem, and nobody necessarily realizes it yet.

Here are four takeaways I shared that contractors should pay closer attention to.

1. The handoff shouldn't be the first real conversation.

By the time the PM and Superintendent attend the kickoff, the company has already committed to a price, schedule and certain production assumptions.

• Before bid day: Have Operations challenge the production assumptions carrying the greatest risk, particularly crew sizes, equipment, access restrictions and construction sequencing.
• During the handoff: Explain why those assumptions were made and identify what the field needs to verify immediately.
• After mobilization: Compare estimated and actual production early enough to make adjustments before small losses become expensive problems.

The objective isn't to eliminate disagreements. It's to have them while there's still an opportunity to do something about them.

2. Understand why great employees become defensive.

As contractors grow, estimating, project management and field operations develop separate responsibilities, pressures and expectations. However separate departments turns into increased separation. 

The estimator doesn't want to be accused of missing something. The Superintendent doesn't want unrealistic production expectations, and the PM doesn't want responsibility for a budget nobody properly explained.

Eventually, people stop challenging assumptions openly because nobody wants another argument.

Here's something worth trying during your next handoff:

Have the estimator ask "What's the part of this number you're least sure about?"

Have the field openly express what they feel most uncomfortable about, then give the estimator an opportunity to explain without making the conversation feel like an interrogation.

I know what your saying, “Jerry seems obvious, we always ask that.”  You probably have, BUT it’s more like “what are your thoughts about the number” NOT the exact question above. The question above can drastically lower the defensive guard and open up a much deeper conversation. 

That question might uncover more useful information than another hour reviewing quantities.

3. The symptoms rarely look like estimating problems.

This is where I believe contractors often misdiagnose what's happening, because the consequences show up in completely different places.

• Superintendent turnover: Good field leaders become frustrated repeatedly inheriting commitments they had no opportunity to question.
• PM performance: Managers spend valuable time resolving preventable conflicts instead of managing construction.
• Estimating accuracy: Production assumptions continue appearing in future bids because nobody consistently shares actual field performance.
• Owner involvement: Leadership gets pulled into disagreements that should've been resolved between departments.

These problems can slowly compound across multiple projects while everyone searches for solutions within their own department.

4. Small habits can prevent expensive mistakes.

You don't necessarily need another procedure or a lengthy weekly meeting.

• Have estimators visit active projects monthly to understand how the work they're pricing is actually performed.
• Involve PMs in weekly, short preconstruction discussions so Operations can question assumptions before pricing is finalized.
• Identify the top riskiest production assumptions during each handoff and assign someone to verify them.
• Compare estimated versus actual production after major operations and use those lessons when building future bids.

That last point is especially important. If actual field performance never influences future estimates, the company can repeat the same mistakes for years.



One final thought

My years in both field operations and estimating taught me that these positions don't always disagree because someone lacks experience or ability. Often, they simply don't understand the pressures and decisions facing the other person.

That's something I carry into my work developing estimators, PMs and Superintendents today, helping people understand how their responsibilities connect rather than treating each position as a separate part of the company.

The objective isn't getting everyone to communicate more. It's getting them to make better decisions together.

Your next troubled project might already be sitting in your estimating department, and the people who could prevent it haven't been brought into the conversation yet.

Gerard Aliberti
Pro-Accel, Owner

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Ways We Can Work Together

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The goal across all of it is pretty simple. Better people. Better decisions. Better operations. Better results.

If any of this sounds like something your company is working through, reply to this email and let’s talk.