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Key Responsibilities and Required Skills for Estimation Engineer

💰 $75,000 - $120,000

EngineeringConstructionProject ManagementManufacturing

🎯 Role Definition

As an Estimation Engineer, you are the financial architect of our projects. You will be at the forefront of our bidding and proposal process, meticulously analyzing project requirements to produce comprehensive, accurate, and competitive cost estimates. Your work is critical, directly influencing our ability to win new business and ensure the financial viability and success of projects from conception through to completion. This role requires a blend of sharp analytical skills, deep technical understanding, and strategic thinking to navigate complex project specifications, manage risks, and collaborate effectively with diverse teams.

📈 Career Progression

Typical Career Path

Entry Point From:

  • Junior Estimator / Trainee Estimator
  • Site Engineer / Field Engineer
  • Project Coordinator

Advancement To:

  • Senior Estimation Engineer / Lead Estimator
  • Estimation Manager / Head of Tendering
  • Commercial Manager

Lateral Moves:

  • Quantity Surveyor
  • Project Controls Engineer
  • Procurement or Contracts Manager

Core Responsibilities

Primary Functions

  • Develop and prepare comprehensive, accurate, and competitive cost estimates for complex projects, covering everything from raw materials and labor to equipment and subcontractor costs.
  • Meticulously review and interpret project plans, technical drawings, specifications, and contract documents to determine the full scope of work.
  • Perform detailed quantity take-offs for all required materials, labor, and equipment using both manual and software-based methods.
  • Solicit, procure, and analyze subcontractor and vendor quotations, ensuring they align with project specifications and budgetary constraints.
  • Prepare and submit detailed, well-structured, and compelling tender and bid documentation in full compliance with client requirements and deadlines.
  • Identify, analyze, and quantify potential risks and opportunities within a project, developing mitigation strategies and contingency plans to be factored into the estimate.
  • Collaborate closely with project managers, engineers, and procurement teams to refine project scope, optimize costs, and develop value engineering proposals.
  • Create and maintain a comprehensive historical cost database, leveraging past project data to improve the accuracy and efficiency of future estimates.
  • Present final cost estimates, bid proposals, and detailed cost breakdowns to senior management and key stakeholders for review and approval.
  • Participate in pre-bid meetings, site visits, and client negotiations to clarify requirements, answer technical questions, and defend the basis of the estimate.
  • Develop detailed Bill of Quantities (BOQ) and Bill of Materials (BOM) as a foundational document for project execution and procurement.
  • Conduct post-mortem cost analysis on completed projects to compare estimated costs versus actual costs, identifying variances and lessons learned.
  • Stay current with industry trends, new construction methods, material costs, and market pricing to ensure estimates remain competitive and realistic.
  • Prepare preliminary budget estimates and feasibility studies during the early stages of project development to support business decisions.
  • Manage the entire tendering process, including tracking amendments, responding to clarifications (RFIs), and ensuring a complete and timely submission.
  • Develop and maintain strong professional relationships with clients, consultants, subcontractors, and suppliers.
  • Evaluate and recommend new estimation software, tools, and methodologies to enhance the accuracy and efficiency of the estimating department.
  • Prepare detailed cash flow projections and financial models associated with the proposed project bid.
  • Assist the project management team during the handover phase, ensuring a clear understanding of the project budget, scope, and key assumptions.
  • Formulate a clear and concise "Basis of Estimate" document that outlines the scope, methodologies, assumptions, exclusions, and risks for each bid.
  • Review and assess the commercial and contractual terms of a tender to identify potential financial implications and liabilities.

Secondary Functions

  • Mentor and provide guidance to junior estimators and technical staff, fostering a culture of continuous improvement.
  • Support ad-hoc data requests and exploratory data analysis to inform strategic pricing decisions.
  • Contribute to the organization's data strategy and roadmap for cost management.
  • Collaborate with business units to translate data needs into engineering requirements.
  • Participate in sprint planning and agile ceremonies within the data engineering team if applicable to internal tool development.

Required Skills & Competencies

Hard Skills (Technical)

  • Cost Estimation Software: High proficiency in industry-standard software such as CostX, Bluebeam, Planswift, On-Screen Takeoff, or similar platforms.
  • Advanced MS Excel: Expertise in creating complex spreadsheets, financial models, pivot tables, and using advanced formulas for data analysis and reporting.
  • Reading Technical Drawings: Ability to expertly read and interpret complex engineering, architectural, and construction blueprints (P&IDs, Isometrics, Schematics).
  • Quantity Take-off: Precision in calculating material, labor, and equipment quantities from technical specifications and drawings.
  • Contract Knowledge: Strong understanding of various contract types and commercial terms (e.g., FIDIC, NEC, JCT, Lump Sum, Cost-Plus).
  • Bid & Tender Management: Proven experience in preparing and managing the full lifecycle of tender submissions.
  • Cost Analysis & Control: Skills in value engineering, life cycle costing, and variance analysis.
  • Database Management: Experience in creating and maintaining historical cost databases for benchmarking and future reference.

Soft Skills

  • Attention to Detail: Meticulous and thorough in all aspects of work to ensure the accuracy and reliability of estimates.
  • Analytical & Critical Thinking: Strong ability to dissect complex problems, analyze data, and make logical, data-driven decisions.
  • Negotiation & Communication: Excellent verbal and written communication skills for liaising with clients, suppliers, and internal teams, and for negotiating favorable terms.
  • Time Management & Organization: Ability to manage multiple bids simultaneously, prioritize tasks effectively, and meet strict deadlines.
  • Problem-Solving: Proactive in identifying potential issues and developing creative and effective solutions.
  • Commercial Acumen: A strong understanding of business and market dynamics to ensure bids are not only accurate but also commercially competitive.
  • Collaboration: A team player who can work effectively within a multidisciplinary project environment.

Education & Experience

Educational Background

Minimum Education:

  • Bachelor's Degree in a relevant technical or engineering discipline.

Preferred Education:

  • Master's Degree in a relevant field or professional certification.
  • Professional chartership or certification (e.g., PQS, RICS, AACE Certified Cost Professional - CCP).

Relevant Fields of Study:

  • Civil Engineering
  • Mechanical or Electrical Engineering
  • Construction Management
  • Quantity Surveying

Experience Requirements

Typical Experience Range: 3-7 years of direct experience in a cost estimation or quantity surveying role.

Preferred: Demonstrable experience in estimating large-scale projects within a specific sector (e.g., commercial construction, oil & gas, infrastructure, or heavy manufacturing). A proven track record of winning profitable contracts is highly advantageous.

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