Purpose of Estimation

• To ascertain the necessary amount of money required by the owner to complete the proposed project. For public construction works, estimates are required in order to obtain administrative approval, allotment of funds, and technical sanctions.
• Ascertain quantities of materials required to program their timely procurement.
• Calculate the number of workers that are to be employed to complete the work within the scheduled time of completion.
• Assess the requirements of tools and equipment required to complete the work according to the program.
• Fix up the completion period from the volume of works involved in the estimate.
• Draw up a construction schedule and program.
• Justify the investment from the benefit-cost ratio.
• Invite tenders and prepare bills for payment.
• An estimation for an existing property is required for valuation.