On most commercial jobs, a general contractor buys structural steel one of two ways. You can split it up and buy detailing, fabrication and erection from separate companies, or you can hand the whole package to one steel contractor. Both work. They just put the risk in different places.
We do both kinds of work out of our shop in Woodway, Texas, so this isn’t a pitch for one over the other. Here’s how we’d think about it if we were sitting in your seat.
What a split steel package looks like
In a split package, you hold separate contracts for each piece. A detailer produces the shop drawings. A fabricator builds the steel from those drawings. An erector sets it in the field. Sometimes the fabricator brings the detailer, and sometimes the erector is someone you’ve used for years.
The appeal is control and price shopping. You can pick the low number in each trade, use an erector you trust, and keep options open if one sub falls behind.
The catch is the handoffs. When a beam shows up and doesn’t fit, the detailer points at the drawings, the fabricator points at the detailer, and the erector bills you for the standby time. Sorting that out is your project manager’s job, and it usually happens while the crane is sitting there.
What a turnkey steel package looks like
In a turnkey steel package, one steel contractor carries detailing, fabrication, delivery and erection under a single subcontract. You have one number to call and one company responsible for the steel being right.
When something doesn’t fit, there’s nobody else to blame. The same team that drew it and built it has to fix it, and that tends to make people careful earlier in the process. Shop and field also talk to each other directly, so erection sequence and delivery order get planned before the first truck leaves the yard.
The tradeoff is that you can’t shop each piece separately. You’re buying the whole package from one company, so you need to trust that company’s estimator and schedule.
How the two compare
Coordination
Split packages put coordination on your team. Turnkey puts it on the steel contractor. If your PM is already stretched across several jobs, that difference matters more than any line item.
Schedule
With a split package, every handoff is a place for time to slip. Drawings sit waiting for a fabricator’s review, or steel sits in a yard waiting for an erector who’s finishing another job. With turnkey, detailing, fabrication and erection get sequenced together by one company.
Cost
Split packages can come in lower on paper because each trade is bid on its own. Whether they stay lower depends on how many change orders and back charges show up once the work starts. Turnkey bids usually look cleaner because there are fewer gaps between scopes for anything to fall through.
Accountability
This is the biggest difference. With turnkey, one company owns the finished steel scope. With a split package, three companies each own part of it, and the gaps between them belong to you.
When a split package makes sense
Splitting the steel is a reasonable choice when:
- You have an erector you’ve worked with for years and want to keep using
- The owner or engineer has already contracted the detailing
- The steel scope is small, simple and easy to coordinate
- You have the staff to manage three steel subs and their handoffs
When turnkey makes more sense
Turnkey usually wins when:
- The schedule is tight and steel is on the critical path
- The building has a lot of connections, miscellaneous metals or phasing
- Your project managers are already running several jobs at once
- You’ve been burned before by steel that didn’t fit in the field
Quick answers
Is turnkey steel more expensive?
Not always. The bid can look higher because it includes scope that a split package leaves for you to sort out, like coordination, fit up fixes and erection sequencing. Compare the total cost to the project, not just the bid totals.
Can I buy fabrication and erection without detailing?
Yes. If the drawings are already detailed, a fabricator can build and erect from approved shop drawings. Just make sure it’s clear who owns any errors in those drawings.
Does Heartland Steel bid both ways?
Yes. We bid turnkey packages and individual scopes, including fabrication only, fabrication and erection, and miscellaneous metals on their own.
Get both numbers
If you’re not sure which way to go, ask for both. Send your drawings to estimating@heartlandsteeltx.com or use our bid request form, and tell us you want turnkey and fabrication only priced separately. You’ll see exactly what the difference buys you. For what to include in the package, see what to send for an accurate structural steel bid.
