2 Workflows for Cost Management You’ll Be Glad You Implemented

7 February 2024Autodesk Construction Cloud, Build, Construction, Project Managementautomate, Budget, Cloud, Connected Construction, Increase profits, risk mitigation, workflows

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Tracking costs, managing risk and keeping a project within budget are some of the most critical and challenging tasks on a construction project. When you are able to find efficiencies in these processes, it can make a big difference in the way you finish and deliver a project.

One key is finding a tool with cost management functionality. This enables teams to reduce risk by managing cost-related activities in the cloud with streamlined and connected workflows. When team members keep an eye on cost-related risk in real time, it improves their ability to do more accurate forecasting and make more accurate cash flow predictions and profitability projections.

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There are two cost management workflows that will help you manage expenses and field activity, resulting in streamlined and connected workflows.

1. Costs and Changes

The purpose of this workflow is to help you control project expenses. The goal is to confirm that all change orders are known, accounted for and managed effectively compared to the budget. Tracking costs and changes effectively helps you maintain a positive cash flow, reduce risk and maximize profit.

The following graphic shows a suggested cost and change management workflow.

cost management workflow for budget and changes

Image by Autodesk

The best version of this workflow is when it is customized to fit your users’ needs and preferences. It should provide a real-time summary of all budget items and contracts. It can also streamline earlier and later change order workflows.


Find more insights into Cost Management using Autodesk Build in the free eBook: The Importance of a Common Data Environment.


2. Payment Applications

A payment application workflow helps you manage a series of periodic pay requests as the project proceeds. When done effectively, this automates tasks and gives you a real-time view of the financial condition of your project. The graphic below shows a suggested pay application workflow.

Cost management payment workflow

Image by Autodesk

The goal for this workflow is to make it easy to manage and track. It will add a level of automation and provide a real-time summary view of all expenses and budgeted payments. Useful results might be shown in a pie chart, for instance, that displays the percentage of payment distribution, with the ability to toggle among:

  • Original budget;
  • Revised budget;
  • Projected budget;
  • Original commitment;
  • Forecasted final cost.

When your construction cost workflows are connected, you can reduce data loss and increase access to information that is critical to your project management. You can improve your control over expenses by streamlining construction project workflows and connecting data.

For optimum cost management, be sure to choose a software tool that enables you to manage cost activities for project management and field activity in the cloud, allowing streamlined and connected workflows.


Autodesk Build subscriptions include cost management, project management, quality management, and safety management features, including access to Autodesk Docs and the Autodesk Construction Cloud mobile app.

To learn more about the Cost Management feature in Build, contact Applied Software, Graitec Group today.


 

 

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