Most construction projects are faced with challenges, these challenges can manifest at any time during the project timeline. Proper risk identification and management of risk is one of the key components of avoiding negative impact on projects. However, due to the unique nature of each construction project it is evident that they can and do go wrong.
At BGD our construction professionals are able to provide diagnostic tools that can be implemented at all stages of a project to assist parties in avoiding the many pitfalls faced. These tools can also be adapted to suit projects where unfortunately things have gone wrong so as to minimise their impact on time, cost, quality and relationships.
Where BGD are requested to provide advice on a project a tailored approach will be given to suit the needs of our client. The plan provided by BGD can then be implemented according to those needs.
It is often the case that cost planning is carried out retrospectively against a design that has been sold to a client. This inevitably will lead to disappointment, either through having to “value engineer” the project, poor procurement and a drop in quality.
BGD are able to offer cost planning services throughout the design process so as to tailor a cost plan and make it an integral part of the design. Due to our extensive knowledge and contact with the entire construction supply chain, real time cost advice can be provided.This makes the cost planning relevant to facilitate informed choices for clients.
This process works hand in hand with the project diagnostics in terms of risk identification and management.
A detailed and integrated approach to cost planning which clearly identifies budgets will enable subsequent cost management and reporting to be undertaken clearly and effectively.
Whilst the importance of developing an integrated cost plan has been explained, ongoing cost management is of equal importance. Construction projects are almost always subject to change. This can be through the introduction of variations to the work and / or changes to project duration.
BGD are able to provide management tools and professionals that understand the importance of providing early and detailed cost advice throughout a project. This ensures that effective decisions can be made by the parties in a proactive manner. No one likes shocks at the end of a project. BGD recognise that a key indicator of success will be measured by the ability to provide contemporaneous cost advice and overall management from beginning to end.
The ability to accurately manage cost will also provide accurate cash flow forecasting for clients and contractors alike. Whilst not a definitive indicator dramatic shifts In cash flow forecasts may also identify delays to the construction programme.
Clear and appropriate procurement strategy is essential in the delivery of a complex construction project. The identification of risk and apportioning it where it can be best managed is the cornerstone of professional procurement management. The commercial and legal expertise at BGD is combined to identify, advise and structure the procurement path most appropriate for the project and the client’s eventual goals.
Construction management, traditional contract, design and build or a combination of these can be tailored to suit the needs of the client and the unique features of the project. This accounts for known factors, critical demands and site, time and financial constraints.
Early decisions on Procurement strategy are essential to dictate the sequence of appointments and operations and drafting of procurement documents. The procurement strategy must be reflected in the project programme identifying key procurement dates. This will set timelines for each stage of the project from conceptual design through to construction completion.
At BGD we would welcome the opportunity to discuss with you in confidence projects which you may be considering to help set out some early milestones and discuss procurement options.
Bills of Quantities
Bills of Quantities remain the most transparent and readily comparable methods of securing competitive tenders providing a ‘level playing field’ for all tendering parties. They also are a cornerstone for the evaluation of variations post contract and have proved to be the most efficient and productive way to evaluate stage payments. To prepare Bills of Quantities requires a sound knowledge of building design and construction process as well as building materials properties and component assembly. They can be used at the contractual interfaces between employer and contractor as well as between contractor and sub contractor.
BGD has the experience and capability to produce Bills of Quantities, whether that is under SMM rules, CESMM or any other protocol. We also produce ‘builders’ quantities’ when these are required.
Bank & Fund Monitoring
Banks and other project funders need to have certainty that their investment is being managed effectively and will deliver in accordance with their contract. That means tight controls on projects to ensure cost, quality and time are being managed. BGD can structure a reporting system to meet with funder’s requirements which captures all these project aspects and additionally, can identify specific project risks. From the outset, BGD can pre-contract progress, identify key milestones, assess the strengths and weaknesses of consultants and Contractors, comment on procurement strategy, and review the insurance programme. From project commencement BGD can provide monthly reports on progress, financial risks and changes and quality issues. We can then report back in any suitable format as directed by the lender, highlighting where divergence from the planned works is occurring.
Project Forensic Analysis
For all parties engaged on a construction project concerns are often raised about the accuracy of internal project reporting. An outside objective overview by a specialist with contract experience can be a vital tool in identifying where and why a project is deviating from planned progress and make recommendations on how to rectify. BGD has that expertise to provide a snapshot of a project’s position at a point in time so that senior management can know exactly what is going wrong and why.
Proposals put forward by BGD can also be reviewed at the end of the project to determine the effectiveness of their implementation such that the same challenges are avoided on future projects. BGD will be happy to assist a client in formalising the necessary strategies and reporting documents to streamline these processes further.