Whether you've been pricing works for years or are new to the industry, understanding the key players and timelines in a construction project is crucial.
This guide offers insights from a seasoned estimator who has worked closely with subcontractors and suppliers to ensure well-prepared quotes and smooth project execution.
Understanding the Project Lifecycle
Before diving into strategies, let’s examine the typical lifecycle of a $20M–$50M apartment tower project. Knowing when and where to focus your efforts can significantly impact your success.
Phase 1 - Design Stage - 12-24 months
The client engages an architect to develop the project, bringing in engineers and consultants to create a set of plans. For suppliers, this is a crucial business development phase.
Networking with architects and consultants to get your product specified in the design is the best way to secure work early.
Phase 2 - Tender Period - 4 weeks
Once the design is finalised, the project is uploaded to the E1 Noticeboard, and packages are sent to subcontractors for pricing.
While builders may not seem interested in supplier pricing at this stage due to managing multiple trades, the best approach is to contact the estimator, identify the subcontractors they work with, and connect with them.
Phase 3 - Tender Close - 1 week
The builder submits their bid to the client, who spends two weeks reviewing and comparing submissions.
Phase 4 - Value Management & Clarification - 4 weeks
Clients may return to builders with revised designs or questions. Estimators might reach out for cost options or re-quotes. Suppliers often have limited influence during this stage.
Phase 5 - Contract Negotiation - 2 weeks
The client selects a preferred builder and issues a letter of intent, pending contract finalisation. The delivery team begins preparing for the project.
Phase 6 - Project Handover & Trade Awarding - 2-4 weeks
The estimator hands the project over to the delivery team. Key early trades, such as piling, concrete structures, and hydraulic services are awarded now.
Phase 7 - Site Mobilisation & Construction
The project moves on-site, and additional trade packages are awarded in the coming months.
What does this mean for me?
Building Relationships & Winning Work
1. Get to know the Estimator
Establishing a relationship with the estimator is vital. Even with technology streamlining quoting, personal connections remain key. Regularly check in, introduce yourself, and make sure they know who you are.
“It’s better to be ‘Tony from ABC Stonemasons who always calls’ rather than ‘that random guy who emailed a quote.’”
2. Be an Educator
Estimators manage pricing across dozens of trades but aren’t experts in each. Be prepared to educate them about your product and how it can improve project outcomes.
- If your product can enhance the design, discuss it with the estimator
- Understand the contract type (D&C vs. Lump Sum) before suggesting changes
3. Connect with Subcontractors
Since subcontractors are often the decision-makers for supplier selection, building relationships with them is essential.
4. Submit Well-Detailed Quotes
Avoid generic quotes - clarify any deviations from the design to prevent costly misunderstandings later.
Some examples?
- Changed the switchboard design to a single layout? Clarify it.
- Changed the stormwater pump from a dual to the single ring main? Clarify it.
- Changed the aluminium suite to a different product? Clarify it.
- Using an alternative carpet supplier than specified? Clarify it.
5. Follow-up Strategically
After submitting your quote, follow up in four weeks—this aligns with the value management stage when adjustments are being made.
Some suggested conversation starters:
1. How did you go with the tender? Do you have any info from the client?
2. How did my quote stack up? How do I compare to the other subbies?
3. Can I help with anything? Has the design changed? Do you want me to see if I can do some value management?
“The subcontractors and suppliers that followed the above process were my favourites. They were the ones who provided the most value to me and the people I would go in to bat for with the delivery team.”
6. Use Awarded Tender Information
With a full E1 membership, you can see awarded tenders as they are updated, instead of waiting months.
7. Engage the Right Person Post-Award
Once a bid is awarded, contact the estimator to congratulate them and ask for the CA’s details.
For awarded projects:
- If you priced the project, ask how your quote compared and whether the CA needs additional pricing.
- If you didn’t price the project, introduce yourself and request the CA’s contact information.
Once you've got the CA's details, put a script into action to get consistent information. Questions can include;
1. (If quoted) How does my quote stack up? Did I leave anything out? How does my price stand up to other suppliers?
2. What is the trade budget? Is the package being broken up? Do you have a scope of works for me?
3. When do you plan on letting the trade?
“And as a reminder, call them again when they plan on letting the trade. Often the CA’s are under the pump and pick one or two suppliers based on the estimator's recommendations. If you're in the estimator's good books, that should be you. But if you're still new, keep on the CA until they either bring you in for a meeting or say they're not interested. The squeaky wheel will get the grease.”
Strategise for Long-Term Success
Winning work in construction is about more than just capability—it’s about strategic networking and timing.
Try these steps over the next few weeks and refine your approach based on your results. Consistency and persistence will set you apart and help you build a strong pipeline of work.