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The Construction Cost Control Procedure provides construction management information in order to know and control construction project costs. Construction costing information is also necessary to assist in preparing future estimates and conceptual budgets.
A construction company must maintain the Total Construction Costing System and the Construction Labor Costing System on all construction projects over $1,000,000 in value. Also, all construction projects with a labor content over $100,000 will be placed on both costing systems regardless of contract value.
The Construction Cost Control Procedure applies to all construction project managers, supervisors, and project administrators. (2 pages, 497 words)
Standard cost codes should be developed and utilized in order to communicate our construction costing information in a clear manner to all who use it. A certain amount of flexibility should be built into the standard cost coding system to accommodate various construction clients and projects.
Construction Cost Control Responsibilities:
The Construction Project Manager and Project Superintendent are jointly responsible for the preparation of the Construction budget for a Construction project.