If you are a contractor on the hunt for take off software, let us show you how and where the Roof Wizard saves money in your business. Many people believe that the biggest benefit of an estimation software is to get quotes out the door quickly. Yet, there is much more to be gained from the Roof Wizard even AFTER you have won your bid.
Let us give you an example!
Case study: How Roof Wizard saves money
Typical estimating departments are capable to complete anywhere from 5 to 25 bids a day. For the purpose of this, let’s just say you are a small roofing contractor, doing about 2 residential bids a day. We will use typical industry standard rates.
Estimating – You save $18,000 p.a.
The usual ‘test’ for Return on Investment of an estimating software is done by looking at the Estimating department alone, but this is only the start of how Roof Wizard saves money for your business.
Saving: $75 per day of your estimator’s time equates to $18,000 per year (at $45 per hour).
Once a job bid is successful, measurable benefits flow on:
Inventory – You save $21,000 p.a.
With Roof Wizard, cutting lists are generated automatically, saving the Inventory Department staff time with paperwork.
Saving: $87.50 per day (at $35 per hour) which equates to $21,000 per year for a 45 week year.
Manufacturing – You save $50,000 p.a.
When the new job is set up and the cutting list is input to the roll forming machine, it is offline. It might be offline for 20 minutes for a job that takes 20 minutes to run. You could double production or instead of running two shifts, you could be running one. The cost benefit here is potentially going to double the return from this department – if your machine is making you $50,000 a year, you could be making $100,000!
Accounting – You save $9,000 p.a.
The savings in the accounting department usually come from reduced paper work and reduced errors from transcribing hand-written work orders and similar documents (where a 1 becomes a 7 for example). The Accounting Department can take the output directly from AppliCad via seamless file transfer, saving data entry time.
Saving: $37.50 per day (at $45 per hour) resulting in annual savings of $9,000.
Installation – You save $28,800 p.a.
These guys have the best potential to save time and money. The accidental omission of items as insulation, clips and screws can hold up a job for many hours or even days. With better documentation generated by the Roof Wizard, these errors are eliminated.
Saving: $120 per day (at $30 per hour) contributing $28,800 per year to the ROI.
Total savings (not including material savings) in one year: $76,800.
What will you do with the savings?
When will I break even?
When you roll out a new software, the actual investment goes beyond the purchase price and will need to include implementation costs such as training and initial setup time.
Using the above example of around 2 bids a day, the break even point for your initial investment is reached after around 8 months.
But wait, there is more: Material savings
Our case study above does not include the additional savings from the factory through material savings and the reduced costs due to elimination of errors, and this number will easily double. Savings from material waste reduction could be as much as 10%. In subsequent years, as efficiencies continue to grow, the ROI is even greater.
Where to from here
Crunch the figures to find out how Roof Wizard can save you money!
Feel free to conduct your own calculations, for example in our ROI calculator or contact us to have a chat about how we can help your business.
If you are curious and want to try the Roof Wizard take off software, here is how you can get to the Roof Wizard free download (5-day free trial).
