Boost Your Business

Arrest the Slide - Use Technology - Use AppliCad for Estimating

AppliCad software is marketed all over the world and through various communications with our customers and prospective customers, we become very aware of the issues effecting the industry.

In some markets it is getting enough material while others it is the escalating costs of material. We also have markets where home building has dropped off by nearly 40% which effects all levels of the industry. Another issue widely reported to us during the many face to face meetings with people involved in the roofing industry is recruiting and retaining good staff.

Many of the issues described are perennial problems dealt with by sound business management. Some need additional help, tools that increase accuracy, efficiency and profit margin. As a developer of the most innovative technology, AppliCad is very tuned in to the benefits that may be had using computer technology or Information Technology (IT) as a means of addressing even in a small way, all of the above issues. We're not saying IT is a cure-all. It isn't, but IT can certainly help you differentiate your business from all those around you and set your business up for the inevitable return to more prosperous times.

It is widely recognised that IT solutions are necessary to remediate many of the difficulties experienced when processing the full circle of paperwork needed for projects. Assessment reports, proposals, work orders, custom flashing details, purchase orders, installation details. Does your company have the stability to provide consistent, accurate reports? Wouldn’t it be great to know that there is a solution to achieve this? Can your current method select trim, metal panels, gutters, skylights, etc… and know that every accessory to properly install this item has been included in your pricing for purchase orders & pricing? If not, why are you working so hard?

AppliCad Managing Director - Ray Smith

To understand the benefit of using technology, it helps to understand what you're working with now. Do some analysis on your business as it is now using the current processes. Only then will you appreciate the value of improving these processes and quantifying the benefit. Investment in technology can be expensive in time and money and if you don't understand the gains to be made, then there will be a general reluctance to move forward with it. Remember that some benefits may be difficult to assess in pure dollar terms - better quality documentation or faster response times for example.

Take the time to understand your competitive environment too. How will improving your internal processes improve your competitiveness? Understand how and you will figure the why. The motivation is not so much to eliminate costs as much as it is to make the current overheads (costs) more efficient and effective.

Material Costs
Take the materials problem as a start. Roofing material prices are soaring due to rising petroleum costs, causing roofing material suppliers and contractors to cut their margins to keep business coming in. As much as 90% of many roofing materials are made of petroleum by-products, and costs have soared dramatically since the beginning of the year. So what's new? We're all seeing this and it is evident on the material supplier's invoice each week.

Using a PC based automated estimating program, and using it correctly, will help you take control! If you were to use an automated system that is more precise, you could be saving as much as 10% on material costs alone.

Metal costs are soaring as demand from the emerging markets of India and China suck up just about every scrap of tin they can get there hands on. If you run a roofing company in the metal roof market you can save even more than 10%. Often the saving isn't just in material - it may be simply delivering the right material to site, the first time. Errors and omissions cost money too - in re-running part of a job, in delivery, insurance and delays.

Have you had a job that was held up (with contractors standing around) waiting on screws or clips? A $10 item that costs you $1000's. Fast and accurate estimating that picks up all the ancillary items will help with this issue.

Building Downturn
The slowdown in construction is almost worldwide, many countries harder hit than others. Some sectors, such as middle range residential is one particularly hard hit. Maybe technology can help you here as well. There is no doubt that building work is still going on, even in a downturn. If you need to change focus you will find yourself bidding jobs that may be less familiar. You will need all the help you can get.

Using an automated system can deliver this help. You must also be realistic - we all know that 'gargage in' = 'garbage out'! Take the time to set up your systems precisely and they will deliver the results you need to make that little bit of difference you're seeking. Respond to enquiries faster, respond with better quality presentations that help explain your bid and look like a company that wants the business and will take care of customers. More precise bids also allow you to be tighter with the quantities and the pricing. Better pricing makes you more competitive in an increasingly competitive marketplace.

Training and Retaining Staff
Using the latest technolgy in your business also helps the staff. Estimators don't deliberately make errors, after-all who needs the aggravation? Install the best technology solution for your staff and they will repay you with enthusiasm and loyalty. These are not things you can put a monetary value on. However, their improved efficiency and accuracy you can. Trials have shown that using the AppliCad estimating software can return the investment in as little as a few months! That is just in time saving alone. Do more bids in less time - more bids done = more bids won.

Investing in software on its own is not a solution. You must also invest in the best possible training. Owning a Ferrari doesn't mean you know how to drive a Ferrari. If you're going to go fast, know how to go fast safely. Our software will only give the results you want if you use it correctly. As we often say - training doesn't cost, it pays. Our experience also tells us that when you invest in your staff, they give it back to the business.

Implementing a technological solution doesn't stop with the purchase of it. The IT budget must outline the full cost of ownership and will include the initial investment, operator training and possibly re-training, plus initial lost time while the system is setup until it becomes productive for you and any annual maintenance or service charges from the vendor. The maintenance or service charge is vital, especially in the early days when you will no doubt need a bit of hand holding. The software should be making you money and a proper budget process will clearly show the returns that you can achieve. The full return on investment (ROI) only comes when the process is subscribed to by everyone involved from management through to production.

AppliCad has produced a dynamic ROI calculator using just operator costs as the basis. Go to our web site and try it for yourself - www.applicad.com.au/savings.html - you test your own situation and see just how easy it is to justify. Take other savings in materials costs, customer satisfaction etc and the decision to invest in new technology is really quite a simple one.

Small businesses rarely if ever budget enough for support or training. Often the result is that employees are not up to date on the latest software and are not working as efficiently as they could. With the rate of development in the AppliCad products makes a training refresher course every other year almost mandatory, so budget for it.

Further assisting training staff is the recent innovation at AppliCad to provide for language files for all the prompts and dialogs. This will improve operator's use and efficiency using the technology.

Planning Ahead
Most small to medium businesses are not so good at strategic planning, but very good at seat of the pants managment. Most large enterprises manage medium to long term planning, but cannot adjust as quickly to day to day needs. Planning ahead, regardless of the size of your business will ensure some standardisation or systems and processes. Even in small business, planning your needs for 2, 3 or 5 years out allows you to have the right structures in place.

That's why it is good to invest now. If your market is a little slow, investing in systems now will set you up for when the market gets better. Having the right systems in place will help you through a downturn and ensure maximum benefit when the market heads North again.

Summary
Well, we know what to do. We know we can't change the course of our respective country's economies, but we do control the destiny of our business and the options are pretty simple when evaluated in terms of where you are now and where you want to be. Invest in your business now and the returns will come with the recovery, with interest!

roofestimating.com - FREE AppliCad software available online

The online roof estimating system revolves around a new application for roofers called RoofScape - the system that allows you to operate remotely and online. The best news is that you can use RoofScape for FREE! Prepare and access your take-off and quotation from anywhere in the world where you have an internet connection - from a client's office or from your truck! The RoofScape software is a result of AppliCad's 'top down' development strategy where we have cut the best tools from our top product to provide the world's best full function 3D roof modelling tools in a web-based solution.

Check it out now - go to roofestimating.com and get yourself into 3D modelling and estimating now.