How does a contractor know if the job is profitable? Incorporating job costing into the project estimate a founder will instantly know, line-by-line, where are the deltas.

Challenge

The client owns a drywall/ metal-stud framing company and didn’t have an accurate system for revealing job losses on a line-by-line bases. This lack of knowledge affected the founder’s confidence and weighed heavily on pursuing larger and more complicated work.

Solution

We paired w/ the owner to incorporate actuals vs. estimates or job costing into their project estimate to reveal granular levels of data including, losses and/ or profits on material, equipment, labor and ancillary costs. Incorporating job costing into the company provided a roadmap and endstate for field staff to run their jobs with more intention and a careful eye for productivity.

Results

Through our forensic analysis of the project estimate, P&L by Job, we incorporated formulas into the processes to calculate with certainty where the founder needed to focus more of their efforts to ensure total job profitability for future jobs and stay in business longer.

For more information, contact: David Molina.

At Molinas, we’re known for building internal tools for maximum productivity, efficiency and optimal use of time. Schedule consultation today.