Cost reporting (Stages 4 to 6)
Cost reporting (Stages 4 to 6)
Stage 4 – Technical design
The External Cost Manager is to produce regular cost reports (frequency to be agreed) on progress of procurement, to include but not limited to:
- Executive summary
- Financial summary including contingency spend profile
- Project Manager’s instructions
- Agreed compensation events
- Notified early warnings
- Cash flow forecast V actual spend
- Key risks
- Next steps
During the second Stage procurement process the Cost Manager should also complete the following:
- Review risk registers with the Project Manager
- Undertake value engineering when deemed necessary
- Review whole life costing appraisals
- Assessment of VAT liability
Stages 5 and 6
Throughout Stage 5, the Cost Manager shall continually control and report on costs which should include, but not limited to, the following:
- Executive summary
- Financial summary including contingency spend profile
- Project Manager’s instructions
- Agreed compensation events
- Notified early warnings
- Cash flow forecast V actual spend
- Key risks
- Next steps
Initial estimate of costs (Stage 0)
Responsibility
Cost Manager
Output
Cost report
NEC change control process
The Cost Manager will assist the Project Manager with the preparation and assessment of the following:
- Early Warning Notices (EWN)
- Compensation Events (CE)
College Change Control (CCF) Process
The Cost Manager will implement a change control tracker to monitor and control changes post contract.
In the event of any changes to the agreed project brief and scope, the Cost Manager shall assess the final implication and provide the Project Manager with all relevant information to allow the completion of a change control form.
The Cost Manager will complete Change Control Forms (CCFs) for accepted EWN/CE and issue to the Project Manager for final authorisation who will then formally instruct via a Project Managers Instruction.
Cost Manager will use internal CCF forms (inside/outside tolerance).
Initial estimate of costs (Stage 0)
Responsibility
Project Manager
Output
Change control - inside budget (pdf), Change control - outside budget (pdf)