Don’t Make These Mistakes When Using Construction Estimating Software

Introduction

Construction estimating software can change the game for contractors and project managers when it comes to bidding, cost tracking and collaboration. But even the best software can produce subpar results if used incorrectly. From overlooking features to skipping updates, there are certain mistakes that can undo the efficiency gains you’re hoping for.

In this post, we’ll go over the most common mistakes contractors make when implementing or using estimating software and how you can avoid them. We’ll also cover how Bolster ensures quality assurance, so software is an asset, not a liability.

1. Using Default Settings

The Mistake: Many estimating tools come with pre-set configurations for the masses. Using only the default settings will result in inaccurate estimates or missing line items.

How to Avoid It

• Customize for Accuracy: Customize the software for your workflow. Enter your labor rates, typical materials and overheads.
• Adjust for Regional Variations: Material prices and labor availability vary by region. Make sure the software accounts for these local differences.
• Review Default Formulas: Some platforms apply default markups or contingency percentages. Make sure these match your company’s actual policies.

2. Not Training Your Team

The Mistake: Assuming your staff will figure it out on their own can result in half-baked adoption. Untrained or undertrained teams will go back to manual methods or, worse, misuse the software and introduce errors.

How to Avoid It

• Invest in Training: Host in-person workshops, remote webinars or one-on-one sessions with a product specialist.
• Create How-To Guides: Document step-by-step instructions for common tasks—like setting up a new project or finalizing a bid.
• Try It Out: Give your team a sandbox environment to practice without affecting live projects.

3. Not Updating Software

The Mistake: Not keeping up with the latest software versions or not updating your cost databases will undermine the tool. Outdated cost data will result in gross errors, and older software versions may have bugs or security vulnerabilities.

How to Avoid It

• Enable Auto Updates: If the platform offers it, this will ensure you’re always on the latest version.
• Schedule Database Reviews: Regularly check and update material and labor costs, especially if you’re in markets that fluctuate.
• Read Release Notes: Vendors often outline new features and fixes in release notes. Stay informed, and you can implement those features into your workflow.

4. Not Backing Up Data

The Mistake: No system is 100% foolproof. Relying on a single source of data, especially if it’s stored locally, puts you at risk of losing data forever due to crashes, hardware failure or cyber attacks.

How to Avoid It

• Cloud-Based: Consider a cloud-hosted estimating platform that backs up data for you.
• Scheduled Exports: Download project files and store them on a separate secure server or cloud storage regularly.
• Disaster Recovery Plan: Create a protocol for data restoration in case of disaster, outlining responsibilities and timelines.

5. Not Updating for Change Orders

The Mistake: Change orders are a reality in construction. Whether it’s the client changing design specs or encountering unexpected site conditions, not updating your estimating software each time can result in inaccurate financials.

How to Avoid It

• Real-Time Updates: Whenever a change is approved, update the software immediately. Some platforms have mobile apps, so you can do this on-site.
• Automate approval workflows: Set up triggers or notifications so all relevant team members and departments are notified when a change order is issued.
• Itemize Changes: Break down labor, material and equipment costs for each change order. This level of detail will keep your estimates accurate and transparent.

6. Not Standardizing Processes

The Mistake: If each estimator or project manager uses the software differently—naming tasks differently or organizing projects in different ways—the result is inconsistent data that can’t be compared or aggregated.

How to Avoid It

• Standardize Naming Conventions: For tasks, cost codes and templates. Consistency across projects will save time and headaches later.
• Centralized Templates: Create company-approved templates for different project types (e.g., residential, commercial, renovation).
• Regular Audits: Review how projects are being set up to ensure everyone is following the rules.

7. Not Using Reporting Tools

The Mistake: Estimating software has robust reporting and analytics features. Not using them means you’re missing out on opportunities to see cost patterns, labor productivity or potential bottlenecks.

How to Avoid It

• Use Built-In Reports: Get to know the standard reports like cost variance, resource utilization and profit margin analysis.
• Custom reports for stakeholders: Create reports for different audiences—detailed for project managers and simple for clients or senior leadership.
• Estimates vs. Actuals: Post-project reviews will show where estimates were off so you can improve future bids.

Bolster’s Quality Control

At Bolster, we take our commitment to smooth construction services very seriously. Here’s how we do it:

• Training: Every new team member goes through a formal onboarding process so they know the software and how we use it.
• Regular Updates and Audits: We have a strict schedule for database reviews to check for changes in material costs or labor rates. We also review past projects to see where we can improve our estimates.
• Change Management: When one team member issues a change order, relevant managers and departments are automatically notified. Our integrated approach ensures that everyone is in agreement.
• Company-Wide Rules: From naming conventions to report formats, we have standards across all projects so there is no confusion and better data.

Summary

While construction estimating software has many capabilities—from automating calculations to collaboration—its full potential is only realized when you avoid the common mistakes. By setting up the software, investing in training and keeping cost data up to date, you can avoid the mistakes that new users make. And by monitoring backups, real-time change orders and standardized processes, you’ll keep your data accurate, secure and usable.

We have learned this at Bolster; we continue to refine our process to deliver to our clients transparent and reliable services. Apply this mindset to your own operations, and you’ll take your estimating from a chore to a competitive advantage. In an industry characterized by tight margins and high client expectations, the attention to detail is crucial. Follow best practices and watch out for these mistakes and your productivity, accuracy and reputation will grow.