Pre-tender cost control Total process which ensures that the contract sum is within the clients approved

budget or cost limit 1. To ensure that the client receives an economical and efficient project in accordance with the agreed brief and budget 2. To make the design process more efficient thus reducing the time needed to produce a successful design 3. To ensure that all work arising from the clients brief to the design team is included in the cost planning process 4. To acquaint the client, if appropriate, with the costs in use or life cycle costs of the project. Post tender cost control The tendered Bill of Quantities becomes the key cost control document post tender. The Contractors progress on site is gauged against the Bill of Quantities, the interim payments are valued on the basis of the work complete at the agreed milestones or time period. 1. Project cash flow projections can be estimated in advance based on the construction schedule to further assist in anticipated monthly expenditure throughout the construction stage. Central to Cost Control during the construction phase is the continuous monitoring of both field and design orientated variations. 2. Cost Reports are produced on a monthly basis providing up to date cost information on known variations and further potential variations. The early identification of potential variations allows corrective action to avoid or minimise the cost and time impact. 3. The Cost Report forecasts the cost impact of all changes to constantly keep the client aware of the estimated Final Account. 4. Active 'Close Out' on an elemental basis as the work proceeds with the contractor provides an acceptable and assured Final Account settlement.