How builders can profit from good software and management processes.

Inaccurate material takeoffs cost builders a lot of money. New software makes it easier to get the details right, but builders can’t translate that information into savings unless they collaborate with their teams to fully vet their project plans.

A few years ago, Continuum Advisory Group analyzed hundreds of plans and takeoffs from high-volume builders. “A lot of builders don’t know exactly how much of what materials goes into their homes,” says Clark Ellis, cofounder of the homebuilding consultant firm. “Virtually all were losing money from inaccurate takeoffs and waste factors.” The resulting delivery errors and field variances kept those builders from understanding their true costs. According to Ellis, it’s not unusual for these errors to add $2,000 or more per home.

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