Astute management of risk and contingency budget is key to understanding project profitability during the delivery stage. Many projects appear successful, but if contingency budget has not been tightly managed alongside project events, the opposite may be true. In this case, costs can exceed budgets and forecasts, causing sudden losses, governance problems and excessive short-term borrowing.
Rowfield helps you ensure all contractual, project and external risks are identified and quantified. This allows the contingency budget to be calculated accurately. Risks are regularly reviewed during delivery and either recalculated or retired, and the variation account is updated as the project progresses. This gives us a clear understanding of the project’s true status at every stage, delivering accurate forecasting and minimal potential for financial or reputational damage. Rowfield can implement a risk management procedure tailored to your company. This might take the form of a simple spreadsheet, or a more complex web-based Monte Carlo risk simulation tool.
Rowfield are a firm of Chartered Quantity Surveyors that provide commercial management, dispute resolution and project support services to the construction industry.