PLZ PLZ HELP

TOPIC 3 Post Contract Cost Control

The client has commissioned a glamping holiday resort, including a main 4-story building and leisure amenities plus single-level and double-level chalets designed across the site. The project is to be built in the far Northland on the west coast of New Zealand (in the allocated site). The client wants to maximise the number of units on the site as well as being Eco Friendly in its construction. They have expressed environmental concerns and the desire to minimise CO2 emissions from the building in both construction and operation. A key in this respect is efficiency in terms of minimising waste in all its forms including materials, wastewater, time and energy, both in construction and in use. The client has an ambitious plan for the site to be operational 1^st September 2023. So timescales are important. The client has good construction industry experience, however, this will be a one-off project to complete the client's holiday resort portfolio. The market is highly competitive, and the tender will be open to 7 contracting organisations including our company. The project is based in a remote location and coastal in nature.

The client has now signed a contract with your contracting organisation for the glamping holiday accommodation on the west coast of the Far Northland New Zealand. The project will commence on site in the next few weeks. Cost control during the construction phase of a project is critical to the project's financial success. Provide advice to your new graduate employees concerning post contract cost reporting processes.

Task 1: Post Contract- Clients' Perspective

Compare and contrast two key post contract control methods.

1. The purpose and process of a typical monthly financial statement/ cost report prepared by the Quantity Surveyor employed by the client during the construction phase of the building project.
2. The pupose and process of the 'Cost Value Reconciliation' undertaken by the Constractor's Quantity Surveyor during the construction phase of the building project.