Setting Up a Cost Model

Establishing a cost model in Ediphi is relatively straightforward using our Cost Modeling tool. It all starts with benchmarking the relevant estimates you would like to compare in your cost models.

For more information about Cost Modeling, please click here.

Benchmarking Estimates

Benchmarking is the process in which users "archive" specific estimates to be used within the Cost Modeling tool on future projects. These estimates are typically finalized versions of a project estimate which will be used as project comparisons in future cost models when identifying projects of like kind.

It is important to note that not every estimate within a project is suitable as a benchmark. Benchmarking should be approached as an action specific to each estimate, rather than to the project as a whole.

To benchmark an estimate, go into the specific project the estimate is located under, and click on the ellipsis to open the more menu within the navigation panel. Select the Benchmark Export option.

A pop-up will appear, providing the option to input a Published Date, a Project Summary (where you can briefly describe the project's scope and any key highlights), and the ability to upload a picture or image to enhance the project's distinction when adding it to a cost model.

Pro Tip: We also provide a Use Groups tab where you can get a bird's eye view of all the Use Groups within that estimate, as well as some key information for each Use Group.

If you expand that Use Group information, you will also see all unit and cost/unit unit specs that were previously associated for that Use Group.

When all the relevant information is filled out, click Save.

A confirmation modal will be displayed, prompting you to agree to the following terms listed below. If you agree, click Confirm.

Since benchmarked estimates are meant to be finalized versions of a project's estimate, once an estimate is benchmarked, it gets automatically locked in order to prevent any subsequent modifications. The estimate can be unlocked by a project owner and/or admin, although we advise against doing so unless absolutely necessary. Upon benchmarking an estimate, the "Benchmark Export" option within the estimate's dropdown menu is updated to indicate that the estimate has been utilized as a benchmark, thereby avoiding unnecessary duplications.

Some important points to consider regarding benchmarking:

If a benchmarked estimate is unlocked and modified, users can then re-lock the estimate. However, there is no need to benchmark the estimate again, as it is already linked to the Cost Modeling tool.
If an estimate is benchmarked, and a user modifies that estimate, any changes made will be saved to the estimate selection in the cost modeling module. This applies solely if the estimate has not yet been incorporated into a cost model.
Once an estimate is integrated into a cost model, it represents the cost at the time of its creation for that specific model. Consequently, if one revisits the project to update the estimate with new values or removes it as a reference point, the cost will remain reflective of the original time it was included in the cost model (the data within the cost model remains unchanged).
There is no limit to how many estimates can benchmarked and added to a cost model.
A benchmark can always be removed by clicking on the ellipsis menu, and selecting Remove Benchmark.

Importing Estimates for Benchmarking

For comprehensive instructions on how to import estimates into Ediphi, please refer to our article here.

Below are some recommendations for setting up your imported estimate to be used as a benchmark:

Before (or after) importing your data, ensure that you associate Unit Specs with Use Groups at the tenant (admin) level to track the most relevant metrics for a particular Use Group.
When creating a cost model, it is essential to complete all project information, particularly the Region and City, within the project where this cost model will be located. This enables us to present crucial information for Escalation in Cost Modeling.
It is important to add the respective Use Groups to your imported estimate, and to verify that all line items have been assigned to a Use Group.
Add any Markup line items as needed. This enables us to incorporate the complete project value into cost modeling and facilitates the comparison of markups within the cost modeling process.
It is important to complete the Area Sheet of your imported estimate. This step will enable us to calculate Cost/GSF values and populate contextual information within Cost Modeling.
It is important to complete the Unit Mix of your imported estimate and all associated Unit Specs, per Use Group. This will allow us to calculate Cost/[Unit], where Unit can be substituted with any Unit Spec metric associated with that Use Group.
Upon completion of all the tasks, you can proceed to benchmark the estimate for use within a cost model.

To make it easier to differentiate the status of an estimate, we have provided different locked icons, explained below:

Locked estimate, but Not Benchmarked:

Locked and Benchmarked estimate:

Unlocked and Benchmarked estimate:

Creating a Cost Model

Users have the ability to create cost models within their projects, by following these steps:

Proceed to the My Projects page and then select the specific project in which you intend to create the cost model. Within the left navigation menu of the project, there is a section labeled Cost Models. Please click on + Create Cost Model . Alternatively, if there are existing cost models, hover over the Cost Models header to reveal a + button, which you can select to create a new one.

Pro Tip: You can also create a new cost model by clicking Create New within your project's Overview page, and then selecting Cost Model.

A pop-up will appear, in which you'll be able to give the cost model a name (required), and add a picture (optional). Once added, click Create.

Your cost model will be created, and you can now proceed to add benchmarked estimates to compare.

Selecting Benchmarked Estimates

After creating your cost model, it is time to incorporate your benchmarked estimates in order to commence cost comparisons. The process is quite straightforward:

Within your newly created cost model, you will see a box stating "Start your cost model by adding benchmarked estimates." Click the Get Started button.

A pop-up will display a comprehensive list of all the estimates that have been benchmarked within your environment. This list will include details such as the project name under which the estimate was created, the number of Use Groups it comprises, its overall value, gross area, Published date, etc.

Note: If there are no estimates benchmarked within your environment, you will see the following screen:

Please ensure that you have benchmarked some estimates by following the steps outlined above.

Select the relevant estimates you would like to add to your cost model. There’s no limit to how many you can add. Then click Continue.

Pro Tip: You can always click on the 💡 icon next to each benchmarked estimate on the list to get Estimate Insights, like Project Cost, Use Groups within the estimate, etc.

Please note that this panel is in-sync with the estimate, and it is not a snapshot of the estimate at the time of the creation of your cost model, since this estimate has yet to be added to your cost model.

Now that you have selected your benchmarked estimates, the platform will bring up a pop-up with all the Use Groups that are available for your cost model (based on the benchmarked estimates selected). Here you'll be able to select the Use Groups you would like to include in your cost model, and enter any corresponding quantities. Once selected and filled, click Save.
It is important to note that in this section, you will input the quantities for the current project for which you are creating the cost model. While we already have the quantities of your benchmarked projects, we require your input to accurately capture the details of the current project. This will enable us to correctly derive averages from the comparison projects.

Note: You can always skip this section if you don’t currently have these values, however we highly recommend filling your Use Groups and Units in your cost model, otherwise the platform will not have any data to compare your benchmarked estimates to. If you skip it and need to fill this in at a later time, you can click on Use Groups in your cost model, and then on Add Unit Quantities to access this pop-up again:

Also note that, if you were to add new Use Groups to your cost model (that weren’t already existing from the benchmarked estimates; see Adding Scope), we will automatically prompt the pop-up so you can add the relevant data for that new Use Group.

Your selected benchmarked estimates will now be displayed within your cost model. Note that if any new Use Groups were added to the cost model in the process of adding these benchmarked estimates, we will prompt the Add Unit Quantities modal so you can add the relevant data for said new Use Groups for your cost model.

Note: The Use Groups of these benchmarked estimates will now show as Rows (Groupings) within the cost model, instead of columns.

One final thing to note, is that within your selected benchmarked estimates, under Escalation, you will see that the platform automatically added year rows based on the published date of the estimate, and the creation of your cost model. You can always add future escalations by clicking on the + Add Future Escalation prompt.

Pro Tip: Unwanted benchmarked estimates can be easily removed from your cost model by navigating to the relevant estimate, clicking the ellipsis button, and then selecting Remove.

The platform will ask you to confirm that you want to remove said estimate, since it will impact cost model averages and any previously made updates for the estimate. If you still want to proceed, click Delete.

Adding Scope

When creating your cost model, you have the option to select the specific Use Groups that will be brought from your benchmark estimates, but you also have the ability to add other Use Groups that might not be in your benchmarks, but that you still want to factor in. You will also have the ability to add Sort Codes to better track when they don’t exist within the benchmarked estimates that you’ve added.

To add a Use Group

Click on the Use Groups button located under the cost model name, and then select Add Use Group.

A pop-up will appear where you'll be able to select the Use Groups you want to add to your cost model (Use Groups already added will not display in this list). Once you select the desired Use Groups, click Save.
The Add Unit Quantities modal will appear since you’re adding new Use Groups to your cost model; enter the corresponding quantities for your new Use Groups, and click Save.

To add a Sort Code

You are able to add Sort Codes based on the Groupings you have set within your Cost Model. Let's say your cost model is set with the following Groupings: Bid Package and MF3.

If you want to add a new Bid Package, you would hover over any of the Use Group headers, and click the +, which will prompt a dropdown for you to select any of the available Bid Package Sort Codes within your environment.

Once selected, it will get added under that specific Use Group.

If you now want to add MF3 sort codes within this (or any other) Bid Package, you can click on the respective + button, and select the MF3 code you would like to add under said Bid Package. If you don’t see the specific code you are looking for in the dropdown, it means it’s already under that Bid Package in the cost model, or it doesn’t exist in your environment.

Pro tip: You can always delete any Sort Code that was manually added, by hovering over the specific Sort Code and clicking the trashcan icon.

Note: If you need to edit the information within a Sort Code, it is only possible to make edits at the lowest level of that Grouping. Meaning that, if a Grouping is established for the cost model with Bid Packages for example, and MF3 is set as a secondary grouping within those Bid Packages, the edits can only be made to the MF3 cells, and not the Bid Packages (unless MF3 is removed as a Grouping).

Please also note that added Sort Codes are saved per Grouping; meaning, if you change the Grouping of your cost model, you will no longer see that Sort Code any longer. It is still saved in the previous Grouping, so we recommend ensuring you have set your preferred Grouping before adding Sort Codes.

If you have any questions, feel free to contact our support team and we'll be happy to help!