Author: admin

  • How to Quote For Jobs

    The Golden Rule: Be very clear and specific about what you are quoting for. e.g. I am only going to work on the following (insert specific details), and everything else is excluded.

    Why is this important?

    • Clarity: Your client will know exactly what you are quoting for. Use diagrams, and present documentation to improve clarity. The last thing you want is your client to call you and say: “what about the stairs?”. It will not do for you to turn around and say: “oops, I meant I was only quoting for structural steel”. Clarity eliminates these types of problems.
    • Limited Liability: Do not write a blank cheque for clients. If you return a quote to: “build a house” then this quote is essentially open ended. They might get the wrong ideas in your their head: how large is the house? How much material? How long will it take? How will it be built? What if the client keeps changing the design? How much time are you willing to devote to keep making those changes? Even worse, what if you are forced to keep redesigning a house according to the caprice of a third party – whom you have no control? i.e if an engineer and architect keep changing their designs, then you may be destroying your margins and taking a steep loss, as well as massively increasing the risks something goes wrong. Always limit your costs, in some way. Make this clear to clients.

    Variations:

    • Watch out for design and build jobs: As alluded to above, the design process is fraught with difficulties. Too much back and forth with engineers. Limit this liability in some way: e.g. perhaps by hours worked on a project.
    • How we quote: we quote to a specific set of drawings. Invariable, these drawings change due to the discovery of problems as the building/structure progresses. Whenever something changes: that adds considerable risk to the project, cost, and delays. These costs need to be recorded and passed up the chain. No longer can engineers, architects and builders make changes, willy-nilly, and pass on risk, expenses to sub-contractors with equanimity.

    Specific Examples of Quoting:

    1. Limit scope to a drawing number.
    2. Limit scope to a particular drawing revision.
    3. Limit scope to the number of beams etc.
    4. Limit scope to grid lines.
    5. Limit scope to quantities.
    6. Limit scope by listing exactly what you are building.
    7. And exclude everything else.
    8. Show diagrams so that your quotes are crystal clear. This gives confidence to the quotee – they will know that your quote is well considered, and probably accurate.

    Here are some examples, of how we quote.

    Northern Retaining Wall

    Detailing structural beams, connections details, according to the following scope:

    Drawing 1: Type – T1 250UC90 HDG QTY: 299

    Drawing 2: Type – T2-L 250PFC HDG QTY: 1

    Drawing 4: Type – T2-R 250PFC HDG QTY: 1

    Drawing 5: Type – T7 250PFC HDG QTY: 26

    Drawing 6: Type – T8 250PFC HDG QTY: 1

    EPH – Station Platform Northern Retaining Wall

    Drawing 7: UC 150 x 37.2 post with base plate. QTY: 58

    Drawing 8: PFC 200 with Base Plate. QTY: 4

    Everything else is explicitly excluded. Changes might incur charges via variations. Fully documentation will be provided.

     

    Highlight Items on a Drawing

    • highlight scoped items in a drawing.
    • Add a note showing what is in scope. Why? Sometimes it is not immediately apparent what is being scoped in and out – especially if we are using a drawing with someone else’s markup. Do not simply highlight – we need the note as well. The note should say:
      • “The highlighted elements are in scope. If it is not highlighted, then it is OUT of scope”.

    Here is an example:

     

    Highlight Scopes + include a note
    Highlight Scopes + include a note

     

     

  • The Beauty of Status Updates

    The Beauty of Status Updates

    At scale, efficient systems of communication and coordination are required in order to efficiently prosecute projects. These systems will likely be of immense value to yourself, and your clients. Consider the following example:

    Our critical path sits within the ABCD building, I have run a target date commencing 29/6/22.

    Is this possible for the ABCD given the attached review?

    What further do you need from us to mitigate any time frames lost?

    Can we get ahead on the procurement of the Steel while we look to focus on getting the SD’s to IFC this week with Tek1?

    Email received for the ABCD Building.

    The critical question: what are the hold-ups for the project?

    Likely our client, has no idea, let alone the builder/developer (a large one). Projects are held up in the weeds. The folks at the top of the supply chain need to make resource allocation decisions. Right now, they’re doing so, effectively blind. Or they have to send out emails like this one.

    Would anyone remember, what the specific hold up for the project was a few months ago? It’s very hard to remember. And it’s hard to dig it out of the 100s of emails you would have received over that time period. But if you have built up a timeline, it is relatively easy to see what’s happened. All I had to do was to check out our status reports:

    Status reports for this project. Details redacted.

    As you can see: the project has been in limbo since the 20th of April. It’s self evident. If you didn’t have a timeline, you’d have to bury your head in 100s of emails to retrace your footsteps. We’ve been waiting for this review for three weeks. That’s roughly three weeks ago.

    As usual, the reviewers are holding up the show. Except now, given everything is tracked, it’s very hard for them to conceal their inefficacy. Then there were the delays due to: (i) asking RFIs, and (ii) waiting on those answers. (The RFIs are usually asked in the first place, due to the poor quality drawings that are received). The price of inefficient designers (architects / engineers) is monumental. Add poor coordination into the mix, as well as ballooning material / labour costs, and that spells a perfect storm for builders.

    Building up a simple status timeline massively improves transparency, improves communication with your client – and all this for very little cost.

  • Memo 11 – Avoid using AWS VPN Client while in the Office

    • When accessing our Tekla servers, we have traditionally been using the AWS VPN client to access our licenses. All of this results in high costs for the firm, just to access our licenses.
    • But now we can access our licenses, from the office, without doing anything. You don’t need to log into Azure, or use the AWS VPN Client. Simple Open Tekla at the following IP address: 1237@172.31.42.153

    Summary: Until further notice, only use the VPN Client when at home. Do not use the VPN Client in the office. Because it is expensive.

     

     

    VPN To The Office

     

  • Light Gage Framing Scottsdale

    This is the first project we have completed after an extended training period on the Scottsdale software.

    Thanks to Rob, Lance, Derek from Scottsdale

    Also thanks to Christy and Nick from Elite Homes.

  • Memo #9 – Justify Variation Hours to Clients

    If you have 20 hours worth of variations: do you think your client will rejoice? Typically, no!

    Clients demand transparency! They have every right to know: (i) why you are charging them, and (ii) what they will get in return. It will not do to simply say: variation: 20 hours. Why not? Clients will assume you are pulling the wool over their eyes. If you wanna get paid, you need to justify your pricing and proposed scope of works to them.

    Justify variations - and break them down.

    Break your costs / hours down!

    Where are these 20 hours going? Well, that’s 2 hours per level. And there are 120 panels per level. Which equates to a change of about 1 minute a panel. That seems extraordinarily efficient, now that you state it in those terms.

    Your clients will thank you. Remember, they’re going to use your justifications so they can in turn claim costs from their clients. And best of all, it means you’re more likely to get paid for your labour.

  • Memo #8 – Don’t use private emails/channels etc for firm correspondence

    This will probably apply wherever you work: don’t send project and firm related correspondence on your private whatsapp chats, or on your private emails etc.

    Why not? It’s very hard to track. We have no record. Nothing can be verified.

    Protect yourself, your careers, your firm, and your clients: it’s pretty simple: avoid using private channels for firm correspondence.

  • Memo #7 – How to on Statuses, ETAs must be accurate

    When traveling overseas, especially India, I often hear the following:

    “Where are you?

    “I’m almost there”

    “When will you arrive?”

    “Five minutes!”

    They always say: “five minutes”.

    Once, I remember waiting, for at least 45 minutes.

    Not sure if this is a cultural thing. I’ve heard Indians say:

    “Oh, that’s IST – Indian Standard Timing”.

    Friends – Indian Standard Timing might work very well for your own personal arrangements, but it will not work well in the USA / UK / Europe / Australia / NZ, on construction projects, where tight deadlines are involved, and where “Liquidated Damages” are at stake.

    Why are ETAs important?

    Because clients need to order material, organise labour, and equipment. It will not do to organise a crane, and hire labour, only for them to sit idle for a couple of weeks because you were overly optimistic with your delivery times. Cranes alone might cost $5000 – $15,000 per day. What about site crews? If you give the wrong ETA, then it could cost your client a lot of money. Which means it’s gonna cost you a lot of money.

    Give real ETA. Not the typical: “5 minutes later” ETA. Update your clients constantly on your Tek1 status reports.

    Summary: Give the correct ETA, and make sure you meet it.

    Lesson – Keep the statuses short and sweet

    ETA – This means Estimated Time of Arrival. Just put the ETA and then the date, the time and the time zone:

    e.g. We will issue the Takeoff reports by the end of 02.04.2025

    Don’t do that.

    ETA: COB 2025-04-02 (AEST)

    Clients care about their time zone, not yours.

    Lesson – Clients Pyramid Their ETAs on top of Your ETAs – so add a buffer

    Why is a client asking for an ETA? Because they need to:

    1. Tell their client the ETA.
    2. They need to plan / arrange resources. So does their client. e.g. if they hire workers to come to their factory on date: XYZ to do work – how can they do any work without any drawings to work on? These workers will be sitting on the site twiddling their thumbs, and it is very expensive.
    3. If you promise a time and don’t deliver: then you will lose your client.

    The Cost of promising ETAs and not meeting them is large – if it does not come on time, and the communication is poorly managed – then we’re hurting our clients

    Let’s take this job for example: https://tek1-quotes.herokuapp.com/organisations/2/quotes/12046

    It was filled with issues: some from our side, the other from the client, and the other just due to coordination issues.

    We need to ensure that our communication on the hold-up points is clear.

    I’m not here to lay blame: but to make people understand the cost.

    • You promise a time to the client.
    • That time gets blown out. The reasons must be clearly communicated. If it is not communicated clearly you will get blamed.
    • The client promises a time to his client based on your ETA. If the drawings don’t come on the time, then the client cannot meet his ETA. In this case, the delays became so egregious that our client’s client – was threatening to de-scope him from the job, cancel his contract and go somewhere else.
    • This particular job is worth over $100,000 to our client. And our client is about to lose millions of dollars because he will have burned his client – because of the ETA issues and delays. Again not laying blame on anyone.
    • Think of the cost: our poor ETA management and poor communication costing our client, but it is also costing our client’s client.
    • In addition I had x2 clients who were about to be severely compromised because of LGS delays, and I was delayed in my other projects.
    • The cost? My x2 clients potentially burned (they were not), our client potentially burned, and our client’s client also potentially burned.
    • The cost is very very high.

    Do me a favour: add buffer time, and communicate your hold-ups effectively. Perhaps this might require a technological solution.

  • Memo #6 – Drawings not to be issued “IFC” markings without approvals

    Here is a memo we received from one of our clients. Such memos are not infrequent:

    I am pushing for stamped drawings, however from the IFAs issued there should be no changes made. I need to begin the steel ordering process tomorrow. There is a lead time on the ordering of the steel, and by that stage we should have the finalised drawings. Anything that gets altered can be held at the processing of steel stage.

    Can you please issue the full pack for the Spiral tonight.

    Thanks

    Question: what should you do?

    1. Do whatever the client says, because the client is always right?
    2. Stamp with IFC and send to the client?
    3. Ask your boss what you should do?
    4. Send the drawings without the IFC stamp?
    5. Send the drawings with an IFA stamp + a disclaimer on the drawing + another disclaimer in the same email?

    To answer this question, you need to first understand the approval work-flow in building and construction projects:

    Process in Building and Construction

    1. You do the shop drawings.
    2. You submit them for approval.
    3. The architects and engineers then approve the documents.
    4. AFTER they have been approved (not before, but after), then you can mark: “For Construction” and release the drawings.

    Please follow this process. It is very important from an insurance and legal liability point of view.

    Why is the process important?

    In every building and construction job, there is risk. If something goes wrong, then fabricators and builders are likely to start blaming people – lawyers will blame anyone who is not insolvent so they can recover the loss. If people fabricate from IFC drawings without a stamped approval, then we will not be covered by insurance: the entire firm could go under.

    When things aren’t approved: the things are likely to be in a rush, and things are likely to be poorly planned and coordinated. When the builder starts blaming you for releasing IFC without stamped approval, even though he demanded it: what are you going to say in response? We want to avoid problems and disputes at all hazards. To keep it simple:

    DO NOT MARK AS IFC WITHOUT STAMPED APPROVAL

    So what should I do?

    1. Release the drawings as IFA with the following annotation:

    Shows how to annotate when you don't have the stamped approvals
    You defeinitely don’t want to mark as IFC without stamped approvals. If the client wants to fabricate, then he must very clearly understand that he is playing with fire.

    2. Add in the following disclaimer ON THE DRAWING:

    Summary:

    DO NOT MARK AS IFC WITHOUT STAMPED APPROVAL

    Why? Check the insurance documentation here (internal link):

  • Junior Modeller At Koyambedu

    We have a few positions available to young Engineering graduates at the Koyembedu office in Chennai

    To be successful – You have to be a recent graduate in Civil, Mechanical or structural engineering.

    Must have a good command of English and Tamil.

    1-2 years of Tekla skills is appreciated. Else you have to demonstrate the ability to learn quickly via our online tutorials.

    There will be an appropriate task to complete whether you have no experience or have some experience.

    The position involved shift work (We work 2 shifts).

    Please send your applications to hr@tek1.com.au