About Cost Control For Planning Engineers:
From Its Name, Cost Control is the Process of Monitoring and Controlling the Actual Costs of Any Construction Project and Compare it to the Budget Cost of the Project. Accordingly, the following are the Cost Elements of Any Construction Activity:
1- Materials Cost
2- Manpower Cost
3- Equipment Cost
The above called the direct cost. There is also another cost which called indirect cost such as (Engineers Salary & Company Head Office Costs) and this should be a % from the project value, therefore its monitoring is very easy and usually, such sensitive data is not shared within the company and main focus on controlling the direct cost.
Cost Control VS Earned Value Management EVM:
Earned Value Management is Not Part of the Cost Control Process. The EVM Uses Terms Such as Planned Value and Earned Value for Monitoring the Project Progress and Its Status, Not for Controlling the Actual Costs. Cost Control Uses the Terms “ Actual Cost “ and “Budgeted Cost” EVM is a project performance measurement technique that converts progress into money to measure it. Cost Control Measures the actual cost against each activity to compare the money spent to the budget money.
Why we need to Perform Cost Control in Construction Projects?
- The Simple Answer to this Question is We need the Cost Control to Forecast the Project Profit before it is Completed.
- The Financial Department Can Give Accurate Information About the Project Profit After the Project Completion, But Cost Control Can Give your Early Interesting Information in Very Early Stages during the Execution.
- Prevent Project to Exceed the Budget Planned Cost.
- Cost Control Can Tell the Project Cash Out Errors and Where to Find Them.
- Cost Control Can Limit the Use of Materials to the Actual Limits and Fully Control the Stores
How to Perform Cost Control?
In Order to Perform Cost Control, you need to Have a well-developed Baseline, Data Collection System, and Reporting System. In the big construction companies, usually, they have their own system for cost control and even it might be a separate department from Planning. However, in midsize and small size companies where there is no system for cost control, you might need to build it yourself if you are going to perform the cost control.
What you will learn in this course?
1- We will start with Project Excel DataBase which includes a Project BOQ Cost and Resource Loaded and linked to Schedule Activities + Project Schedule Cost and Resource Loading.
2- You will learn how to prepare your baseline data for Cost Control.
3- You will learn how to prepare the forms where you will collect the data from the project team with minimal efforts.
4- You will learn how to store the data from different sources and connect all data together.
5- You will learn how to create different reports using Excel and Power Bi to show the Cost Control Performance.
You will learn with a real project case study how to build your own Cost Control System where you will be able to collect the date from project team members and convert it to amazing cost control reports.
What we will NOT study in this course:
1- How to create cost and resource loading (There is a different course for this called PPE).
2- How to create the project Baseline schedule (There is a different course for this called PPE).
How This Course will Work?
This Course will start the First Day of Ramadan 2020. I will Post the Study Plan by then. However, it is expected to be completed during the holey month of Ramadan where I will post every 3 days new video with required steps to do from your side. The step by Step Case study will take into consideration most of the different scenarios you might face in the real-life project and will provide you with a relevant solution. We will create a private group in Facebook for the course members to exchange ideas and ask questions about cost control.
1- Complete Study Plan with Real Project Case Study.
2- Step by Step procedures to build your cost control system.
3- Follow up and correction by Engineer Hany Ismael.
4- Private Facebook Group to exchange ideas and questions.
Course fees and how to join:
The Course fee is 399 USD. One time Payment Includes the Following:
1- Access to the course lessons’ lifetime.
2- Download the templates and files used in the course.
3- Access to the private Facebook group to share questions and ideas with other engineers from all over the world.
4- Personal Support by Email if you have any questions in the course or in your real projects.
5-Continuous improvement by providing new lessons upon request to cover all course members’ needs.
How To Join:
Since this course is special and needs close monitoring and support from Engineer Hany Ismael, the course will be conducted in groups. Accordingly, if you are interested in the course contents and agree about the course fees, please register your email below and we will contact you for the next group: