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Estimating intelligence for a Sydney architectural builder

A high-end residential builder delivering projects up to about $24M, where every tender response was assembled by hand. We scoped, prototyped and are now building an estimating pipeline that reads the architect's tender pack and hands the estimator a review-ready position, inside the builder's own systems.

8real tender packs the prototype was scoped and tested against
48trade categories the builder estimates in, mapped from the architect's forms
15completed jobs reconciled against Xero actuals to calibrate the rates
~4 wksof estimating effort per tender before the engagement. Measured against one to two.
The prototype

The estimate workbench, rebuilt with demonstration data.

The screen below is a demonstration build. The company, the job and the numbers are invented. The mechanics are the ones running in the client's business: every line carries where its rate came from, every adjustment is logged with a reason, and the tool declines to price what it cannot defend.

HB
Harbour Build Co · EstimatorDemonstration environment · sample data
EstimatorJSJohn Smith
JobJ-2041 · 12 Seaview Crescent, VaucluseArchitect tender pack received 6 Oct · 31 documents · 3 scanned
Tender total (incl. PS and GST)$4,182,600
GFA412 m²
Rule and rate confirmedDerived from your Xero actualsEstimated from reference jobsProvisional sum, locked by architect
CategoryMethodQtyRateLine totalBasis
01 PreliminariesProgramme weeks × crew38 wks$6,400$243,200Confirmed
04 DemolitionAllowance per m²188 m²$310$58,280Xero, 6 jobs
07 Concrete and formworkMeasured from drawings142 m³$1,480$210,160Confirmed
09 BlockworkMeasured from drawings612 m²$265$162,180Confirmed
18 Windows and doorsSchedule count × reference rate46 units$4,900$225,400Ref. jobs, band ±22%
22 RenderMeasured, corner loading applied540 m²$118$63,720Xero, adjusted +10%
31 JoineryDeclined to price--Question raisedSwings >40% across jobs
40 LandscapingProvisional sum--$85,000PS, architect
44 Home automationExcluded by estimator--ExcludedLogged 14:02
Showing 9 of 48 categories · 31 confirmed · 9 derived · 5 estimated · 3 provisional sums
Ask the estimate
where did the render rate come from?
Derived from six completed jobs in Xero at $107/m², then adjusted +10% on your instruction at 14:02 ("renderer will load the corners"). Band across the six jobs: $98 to $121.
dial down cranes 20%
Decisions to close · 3
Joinery scope: confirm with architect whether the kitchen is in the PS.
Window schedule shows 46 units, elevations show 44.
Preliminaries: confirm 38 week programme.
Adjustment log · 4
Every change is recorded with its reason, so the number you submit is one you can defend.
The problem

Tenders built by hand, against forms that did not match the business.

The estimator copied specifications and drawings into up to 24 trade folders per job. Architect tender forms did not match the builder's own 48 trade categories, so every pack was re-mapped by hand. Some tender letters arrived as scanned images and had to be retyped.

The deeper issue was that the rules behind the estimate, which trades are measured, which are allowed per square metre, which get a corner loading, lived in one person's head. The business could not scale its tender response, and it could not say with confidence how a past estimate compared to what the job actually cost.

What Alvo delivered

Scoped, prototyped, then built inside the builder's own systems.

1

Rules captured across three working sessions

We sat with the owner and the estimator and wrote down the estimating method for all 48 categories: what is measured, what is allowed, what is excluded and why. That became the knowledge base the tool runs on, and a document the business now owns.

2

Rates calibrated against fifteen completed jobs

We reconciled the estimating files for completed projects against the builder's Xero actuals, so each derived rate carries a band from real jobs rather than a guess, and the tool says which categories swing too widely to price.

3

A pipeline that reads the tender pack

Architect packs are ingested, including scanned documents, requirements and provisional sums are extracted, the architect's trade forms are mapped to the builder's 48 categories, and supplier quote requests are drafted. The estimator receives one review pack instead of 24 folders.

4

Validated on live tenders, then into production

The prototype was reviewed by the owner and the estimator on eight real tender packs, including a blind test on a job the tool had never seen. Production build is now under way inside the builder's own systems, with Alvo's three-phase model and an exit at every gate. Day to day, the estimator keeps working in their existing estimating software and spreadsheets; the review pack lands in the job folder they already use.

First step, fixed price

Estimating rules capture · $3,000 to $5,000

Three working sessions with your estimator to write down the method for every trade category, handed over as a document you own. Useful on its own, and the foundation for everything else.

Full build

$15,000 to $30,000 · 8 to 16 weeks

Rates calibrated to your actuals, the tender-pack pipeline, and the review pack, as three to five milestones with an exit at every gate. Production engineering by Syfre, Brisbane-based, under Alvo's scope.

Does it transfer?

Smaller jobs, different tender formats

The method is the rules capture plus calibration to your own completed jobs, so it carries to a $3M fitout as readily as a $24M house. What changes is the trade list and the document formats, which the first milestone captures.

Fees exclude GST, fixed per milestone, payable only when the milestone reaches its measure. Data, pricing and who does the work ›

What we are not claiming

Honest about accuracy.

A stated band, not a promise

The tool prices the measured part of a job within a stated band and declines to price categories that swing widely between jobs. It raises questions on those instead.

Measured figures only when measured

Estimating a tender took about four weeks before the engagement. The engagement is measured on bringing that to one to two. The measured figure will be added here once the production build has run across a full quarter of tenders, with the client's agreement, and it will be the same figure everywhere on this site.

The estimator owns the number

The estimator still owns the number. The tool's job is to get them to a defensible first position faster, with every assumption visible.

Run a construction business with the same problem?

Estimating, variations, handover documentation: if it lives in one person's head, we can usually get it into a system you own inside eight to sixteen weeks. Architect packs and QS bills of quantities are both tender formats the rules capture covers.

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