Perhaps the most effective manner of controlling construction costs is to ensure you have a well balanced program of contract administration internal controls which help prevent overpayments from being made and/or help identify potential overcharges before they occur.
We realize that a smooth paperwork flow for processing payment applications and change orders is critical. Owners should not be burdened with unnecessary approval procedures and "red tape". Our goal is to identify only those control enhancements which will yield a high return for the investment of time on the part of your representatives.
Objectives
Determine that the construction contract terms adequately protect the interest of the owner.
Determine that the bidding and contractor selection procedures are designed to maximize cost effectiveness of the construction process.
Determine that home office contract billing review procedures are adequate.
Determine that job site monitoring and inspection procedures provide controls which ensure that the owner gets what he pays for.
Determine that requests for changes are properly controlled, that adequate change order documentation is obtained from the contractor, and that change order pricing is adequately reviewed.
Approach
A thorough review of a project in progress and/or a recently completed project is conducted to identify opportunities to improve contract methods and procedures.
A comprehensive management report is prepared identifying potential contract control deficiencies and potential overcharge exposures on future contract billings. Control improvement recommendations tailored to meet your management philosophy and needs are developed.