Level 3 Questions - UBS (Cost Reporting)

Question 1

Talk me through the process you adopted to ensure the cost report aligned with the client’s internal reporting procedures?

Answer 1

The cost report included a headline summary which included:

-

Question 2

How was the cost report tailored to suit the client’s reporting procedures?

Answer 2

The cost report included a headline summary dashboard which included..

• a financial summary
• key movement in the month
• contingency expenditure
• provisional sums
• status of change (agreed, to be agreed)
• % works certified to date

Question 3

What were the client’s internal reporting procedures?

Answer 3

The client had to report internally so therefore used the headline summary dashboard to convey this information

Question 4

How would you advise a client if they said they did not want a cost report?

Answer 4

1) Explain the benefits of using a cost report
2) Offer to produce a shortened version / 1 pager
3) I would still maintain a cost report for my own due diligence and to regularly report to the client

Question 5

How did you advise the client on the reporting frequency?

Answer 5

I advised that a typical cost report would be issued on a monthly basis as this aligns with the payment timescales set within the contract

Question 6

What other ways could you have amended the cost report to suit the clients needs?

Answer 6

• Could have produced a 1 pager

- Could have issued a cost report on a more frequent basis (weekly)

Question 7

How did you advise the client on UBS on project costs?

Answer 7

• Issued monthly cost reports

- Weekly change control meetings to discuss change management to date

Question 8

How did you advise the client on UBS on change control?

Answer 8

• I included sections within my cost report which highlighted instructions agreed, instructions yet to be agreed, anticipated instructions and early warnings

Question 9

What information did you advise your client on each month?

Answer 9

• Current position
• Anticipated final account
• Instructions (agreed, yet to be agreed, anticipated)
• Early warnings
• Provisional sums
• Contingency and risk
• Cash flow forecast against actual

Question 10

How did you advise the client on UBS on project contingency? How was this managed throughout the project?

Answer 10

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Question 11

How did you advise the client on UBS on project progress?

Answer 11

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Question 12

Talk me through the process of producing / finalising and presenting the cost report to the client?

Answer 12

1) Update cost report
2) Go through internal QA process
3) Formally issue to client
4) Arrange a meeting to discuss cost report

Question 13

If a member of the project team or the contractor was not adhering to the change control process, how would you ensure this was followed?

Answer 13

Remind them of the change control process

Refer to the flow chart which outlines the process

Question 14

What changes did you advise the client of on UBS?

Answer 14

Total of 27 instructions on UBS

Examples include:

• change to cable size due to bending radius
• additional firestopping
• relocation of fire detection

Question 15

How did you approach your meeting with the client to discuss reporting procedures and frequency?

Answer 15

1) Set up a meeting to go through key client objectives
2) Advise on benefits of cost reporting
3) Advise on timescales and frequency
4) Discuss the different sections of the cost report
5) Explain how a cash flow can be used to assess project progress
6) Discuss change control arrangements