Project Finance (Control & Reporting) Level 3 Flashcards
On the Windsor Retail Project, explain how you set up the change control procedure with your client and ensured that it met their needs.
On the Windsor Retail Project, how did you determine the cost impact of the change of glazing?
I requested the contractor provide a cost by going out to tender and obtaining 3 quotations for a specialist. I then applied the contractors pre-agreed OH&P. Because of the lead in times and the point within the programme that this issue arose, this had to be undertaken as a separate visit outside of the programme, thus I also accounted for contractor preliminaries. In addition, because the store team were preparing for the stores first opening. I had to consider the impact to the store of carrying out these works during their working hours; thus, I also accounted for these works being undertaken at night.
On the retail programme, how did you ensure that the reporting regime implemented met your client’s requirements and continued to do so over time?
Well, firstly prior to issuing the first report, I spoke with the client stakeholders that would be in receipt of the report to ascertain what it was they wanted to gain from it - as I believe in ensuring the report caters to the end user, i.e. my client, and not only for the benefit of the role and myself.
Having spoken with them, I was able to understand the levels of interest between them. For example, the Client Project Manager was interested in the individual stores within the programme. Therefore, I included a detailed summary within the report, providing store-by-store forecasts and budgets. Conversely, the Head of Department was interested in the overall picture, so for him, I included a high-level summary of the report, with the overall programme forecasts costs against budget.
Upon first issue of the report, I met with both stakeholders, to take them through the report, and ensure it gave them what they needed. Then throughout the project -
I met weekly with the Client Project Manager to take her through the store-by-store overview.
I met fortnightly with the Head of Department where I was able to advise on the overall position, but also the % of tenders versus final accounts to ensure he was presented with the varying levels of accuracy as the project progressed.
On the retail programme, what assurance measures did you put in place to quality assure your reports that they were error free when presented?
On the Windsor Retail Programme, you say the change relating to the glazing replacement could be accommodated within the budget. How?
Well, we (as in the project team) were fortunate in that after budget approval, the client had entered negotiations with the Landlord, and the Landlord had agreed to a complete a number of works as part of the shell that had been accounted for as the client undertaking within the budget. So, there were cost reductions against the budget in those areas which meant the shopfront glazing and replacement could be accommodated,
