CONSTRUCTION TRADES THAT PASS THE ASSEMBLY LINE JOB COSTING TEST: UNIT COST VS PHASE COST.
Not every construction trade can be job costed the same way. The assembly line test works out whether a trade's output can be measured in consistent, countable units. Civil, concrete, paving, underground utility, framing, and drywall all pass, and for those trades cost per CY, per LF, per SF, and per ton is usable at the pour or the installation rather than only at month end. Where output can't be counted consistently, phase level budgeting is the right instrument instead.
The reason the test is worth running is that unit cost is the earliest financial signal a job produces. A weekly comparison of actual cost per unit against estimated cost per unit tells you about a production problem while there's still scope left to fix, usually somewhere around 20 to 30 percent complete. Phase level budgeting does the same job for work that won't reduce to one countable unit, just with less resolution. Getting the choice right per work type is what keeps the reporting honest, because a unit average built over inconsistent work is worse than tracking no units at all.
WHAT IT MEANS.
The assembly line test is a diagnostic that asks whether a trade's output can be measured in consistent, countable units that correlate to labor and cost.
The test asks one question: can the work being performed be measured in consistent, countable units that correlate to labor and cost? Linear feet of pipe, cubic yards of concrete, square feet of drywall, tons of asphalt, and joints made on structural steel all qualify. If the answer is yes, unit cost tracking is the strongest financial control instrument that contractor has available.
When the answer is no, because the work is highly variable or depends on judgment call by call, phase level cost tracking becomes the right control instead. General contracting supervision, complex specialty mechanical and electrical systems, and demolition on highly variable site conditions don't reduce cleanly to a single measurable unit. Those run estimated hours and cost for each defined phase against actual, with unit tracking applied only to the portions of the work that can be counted.
WHERE THE METHOD GOES WRONG.
One costing method gets applied to every trade
Not every construction trade can be job costed the same way, and the default is to pick one method and run it across everything. A civil contractor tracking phase budgets only gives up the CY and LF comparison that would have caught a production problem in week three. Push a supervision division the other direction into unit tracking and you get a cost per unit figure that means nothing, because the units were never consistent to begin with.
Work types with different unit rates get lumped together
A single unit rate spread across dissimilar work produces an average that hides both halves of it. Slab on grade and elevated deck need separate cost tracking because the CY rate differs by $10 to $20. Lump them and the blended number reads acceptable while one pour type runs well over and the other one subsidizes it.
The estimate and the job cost run on different units
If the estimate prices work in cubic yards and the job cost report tracks it some other way, there's no direct comparison available to make. The methodology has to line up before the weekly number means anything at all. Most contractors find this out the first time they try to explain a variance and can't tell whether the estimate or the production is the thing that's off.
WHAT IT LOOKS LIKE IN DOLLARS.
Civil and grading track CY moved, LF of pipe, and LF of curb. Concrete tracks CY placed by pour type, flatwork tracks SF by finish type, paving tracks tons by lift type, and underground utility tracks LF by pipe size. Framing runs on LF or SF by structural type, drywall on SF by board type and ceiling height, and insulation on SF by type.
For every trade on that list, cost per unit is estimable, trackable, and comparable to actual, which makes it actionable at 20 to 30 percent project completion rather than at closeout. The weekly comparison of actual unit cost to estimated unit cost is the earliest available signal of a production problem. Nothing else in the financial reporting stack moves that fast.
Slab on grade and elevated deck differ by $10 to $20 per CY, which is more than enough to justify separate categories rather than one blended concrete rate. Light versus heavy reinforced concrete splits the same way. Where the variation inside a single unit type is large, the sub category is the thing that keeps the average from burying it.
THREE QUESTIONS PER WORK TYPE.
Run CY, LF, SF, and tons against each major work type you perform. If one of them fits the work cleanly, unit cost tracking applies to that work type. If none of them fits, that work type belongs on a phase budget and you stop there rather than forcing a unit onto it.
If the estimate is in CY and the job cost is in CY, the comparison is direct and needs no translation step. If the two use different units, the methodology has to be lined up before the comparison tells you anything. That alignment is usually a one time build rather than an ongoing cost.
Light versus heavy reinforced concrete is a different rate. Slab on grade versus elevated deck is a different rate as well. Where the spread inside one unit type is large, build the sub categories, because a blended rate that buries an overrun is worse than no rate.
FLAT MONTHLY FEE. NO SURPRISES.
Three tiers, priced by your trailing twelve month revenue. Which one you're in depends on how much of the work you want off your desk. No hourly billing, no payroll, and no add-ons.
| Last 12 months revenue | Monthly fee |
|---|---|
| Up to $1M | $1,900 to $2,900 |
| $1M to $3.5M | $2,600 to $3,900 |
| $3.5M to $6.5M | $3,800 to $5,700 |
| $6.5M to $9.5M | $5,100 to $7,100 |
| $9.5M to $12.5M | $6,100 to $8,500 |
| $12.5M to $15.5M | $7,400 to $11,000 |
| $15.5M to $18.5M | $9,400 to $13,500 |
| $18.5M+ | Quoted individually |
Range reflects the three tiers below. Which one you're in depends on how much of the work you want off your desk. No payroll. No hidden line items.
You stop guessing.
You get the CFO work. Job costing built against the way you estimate, a 13 week cash forecast, monthly WIP, and a meeting every month that ends in decisions rather than a report.
Your bookkeeper keeps doing the books.
You stop touching the books.
Everything in Core, and we run the bookkeeping and the controllership as well. Nobody in your office is answering coding questions or chasing a reconciliation at month end.
We do the books. No payroll.
Every job shows its margin while it's still running.
Everything in Executive, plus the job costing and WIP platform set up, loaded with your cost codes, and managed for you every month. You never have to learn it.
We do the job costing.
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