Any construction project begins with a clear plan, and in the soul of every plan is material takeoff (MTO).
Think about the last project where materials ran short, or the storage yard was crammed with unused stock. Mistakes in material estimation often snowball into wasted time and material wastage. With material takeoff software, you can procure accurate quantities and better manage those expensive project budgets.
Let’s see how material takeoff can help your company better manage inventory and save money.
Material takeoff in construction identifies and calculates materials needed for a project. It involves reviewing construction plans to determine the types and amounts of materials required.
Through this information, you can accurately estimate costs and ensure the right materials are available. The accuracy of the material takeoff directly impacts a construction project's budget and timeline.
In the material takeoff process, quantity surveyors determine the required materials for a project and how much of each is needed, typically through specialized software for estimating. They do this by carefully studying the project’s blueprints and plans to make a detailed list of materials, such as wood, concrete, steel, pipes, wires, etc.
To create this list, they look at the project's different parts, such as walls, floors, and roofs to measure and calculate how much material each part will need. This helps them plan better and save materials during the project.
A takeoff for a particular trade or job helps general contractors or homeowners know the cost of a particular job before starting it and setting budgets. Suppose you’re a general contractor who wants to bid on a construction job. In that case, having this information can help you determine the correct value of the project and place a bid that’s profitable and competitive simultaneously.
What’s more, through material takeoff, you can plan budgets and make procurements on time. This will supply the insights you need to assess the quantity of material you need to procure to save waste and extra time.
Ideally, project owners add a manual markup to reflect any material price fluctuations. This increases the transparency of costs while keeping clients updated about it. It also encourages accountability and makes sure products are acquired based on necessity.
Cost estimators typically perform takeoffs. They have the required skill set, proficiency, and experience to handle complex projects. Business developers, architects, engineers, or owners often hire construction estimators. They supply the takeoff estimators with relevant designs or blueprints of the project.
For smaller projects, contractors may take on this task themselves. These takeoffs are pretty simple and focus on fewer materials with small-scale needs.
MTOs do a great job listing items required for a construction project and presenting the key details. These lists can be extensive. They generally present materials in two different parts: quantities and costs.
Depending on the project and its stakeholders, a takeoff list may or may not include weight and product description.
Estimating the cost of material is a part of the broader project estimate, which also includes the cost of labor and any other expenses.
The estimates include prices marked up for future price increases, helping project owners or contractors add a margin to remain profitable. Here’s an example of an actual project cost estimate:
Source: QTOestimating
This way, an estimator creates a tentative project cost estimate while customizing it for its actual location and size.
Here’s an example of an actual material takeoff list for electrical work in a construction project:
Source: QTOestimating
Broadly, you can create a material takeoff manually or using software. Creating takeoffs manually is time-consuming as it individually estimates each material's quantity, type, grade, or size based on current and future market standards. It’s a labor-intensive process in which the estimator studies the design blueprints thoroughly to calculate the required material quantity.
Contact the supplier to check for the actual prices when creating the material takeoff manually. While general computer programs can support some calculations, the manual approach is prone to human error and demands significant time and effort.
On the other hand, takeoff software automates the most time-consuming tasks involved in the material takeoff process.
The takeoff software optimizes the process using automation to make it more efficient and less stressful. Simply begin by loading a digital blueprint of the project into the software. The software automatically generates the list of required materials. You can review it and make adjustments as required while considering material wastage. Then, based on the quality of the materials, the price is assigned to each one.
Many takeoff software programs let you import material costs from a database, automating the process. However, estimators are free to add the costs manually. Some estimators might draw cost data from external sources.
This is how you get a material takeoff sheet digitally through software. It reduces legwork while eliminating the chances of human error. It helps owners and contractors prepare accurate material takeoffs, provides the team with accurate budgets, and ensures smooth procurement.
Regardless of your route, the exact details of the material takeoff process might vary based on different factors like:
Below is a general overview of the material takeoff process.
It’s advisable to verify the details mentioned in the takeoff sheet. Just roughly count the symbols (on the plan) to determine the components required to complete the job. These components will include switches, fixtures, etc. Non-standardized components are generally identified with a key in the drawings. Add the total number of different elements and verify.
Make sure the scale dimensions are accurate. If you’re not working on original blueprints, there is a chance that you might be working on a reduced scale. When in doubt, consult a designer or an architect. In your final check, ensure a cushion for price fluctuations to help you calculate a reasonably accurate cost.
Material takeoff and quantity takeoff (QTO) are often used interchangeably in construction, but they’re used in different phases of the planning process.
While drafting initial budgets, quantity takeoff estimates the materials required in the construction process. For example, it helps find out how much concrete is necessary for a foundation or how many bricks are required to build walls.
Material takeoff then digs deeper into the details of the materials required. It focuses on creating a complete list of all materials required for the job, including quantities and specific details like types, sizes, and grades. Unlike QTO, which zeros in on how much material is needed, MTO provides a full inventory that helps with ordering and procurement.
Material takeoff lists exact material counts for oversized items like beams and smaller ones like paints. It also mentions the required product quality to meet the construction project standards.
Here’s a quick comparison between material takeoff and quantity takeoff
Material takeoff (MTO) |
Quantity takeoff (QTO) |
Lists all materials with details like type, size, and grade using project drawings. |
Calculates the exact amount of materials needed with the help of project plans. |
Helps with ordering and procurement with the help of a detailed inventory |
Ensures accurate budgeting and resource planning while estimating materials for cost planning and project needs. |
Covers every material required for the project |
Focuses on measurable materials (e.g., concrete, bricks) |
Example: 200 steel bars, Grade A, 20 feet long. |
Example: 200 cubic yards of concrete for the foundation. |
In essence, while QTO provides the "how much," MTO offers the "what exactly."
Material takeoffs ensure effective planning in the construction process. You procure only the required materials while considering price fluctuations. This reduces wastage and gives you the data you need to bid or quote the construction costs, including your profit margins.
It sets the foundation for a successful project while ensuring everything runs smoothly across different teams. Accurate material takeoffs help set the correct estimates and allow procurement managers to procure the optimal quantity.
This reduces surprises in the project that might derail a project schedule or inflate costs. It helps you build a reputation for delivering projects on time and within estimated budgets.
Learn more about construction estimating software to track costs and manage a job's budget before and during a project's lifecycle.
Sagar Joshi is a former content marketing specialist at G2 in India. He is an engineer with a keen interest in data analytics and cybersecurity. He writes about topics related to them. You can find him reading books, learning a new language, or playing pool in his free time.