The line between the success and failure of a project is normally drawn and determined by the Project Cost Summary Report. A comprehensive breakdown of Project Cost Summary Report enables and assists one to establish all the costs associated with the project. In most cases, the project summary report is prepared with the aim to analyze financial requirements of a project.
Key guidelines to assist in preparing Project Cost Summary Report :
Research
Before settling on the items, materials, and labor required for full completion of a project, it’s advisable to conduct some research as to avoid excess input financially. The cost summary report should contain effective and reasonable market rates. Project Cost Summary Report with minimum input in cases of proposals and quotations normally wins in cases of tendering for projects the examiner of all submitted tenders will want to go for the most elaborate and researched summary report of the same.
Precision
In most cases, Project Cost Summary Report is for the purposes of establishing the budget of the project; therefore sticking within the bill and quantities assist the people the report is intended for the important points of the summary easily. In the case of proposal Project Cost Summary Report, avoid unnecessary information on this report as its main purpose is to serve to show the expenditure. In such cases, a separate report can be created to explain the additional non-financial information. This may include project duration, benefits of the project etc. for projects that require newspaper publishing, e.g. government projects, precision will be the key into preparation of the report as its publishing space will be limited too.
Bill of Quantities
This is the most important part of the Project Cost Summary Report as it’s the part that breakdowns all the financial expenditure of the project. Construct a neat table consisting of columns and rows defining different materials and their cost. Having a well tabled Project Cost Summary Report saves one from much explanation and translation of the same. It’s recommended to specifically include all financial requirements of the project here, including labor, as a lot of people will ignore other parts of the report and concentrate with the bills and quantities part.
Budget Analysis
The final stage while preparing a Project Cost Summary Report is analyzing its cost effectiveness. No one will want to go into cost and financial overruns in premature stages of the project. Underestimates and overestimates can affect the entire project from the completion duration to the effectiveness and profitable aspiration of the same project. In conclusion, one should make sure to justify the costs and expenses tabled in the Project Cost Summary Report. Be specific with materials with expiry dates so as to make sure timely consumption of the same to avoid unnecessary loss. On the same report, remember creating miscellaneous columns on the bill of quantities which should be of reasonable figure. All the information gathered should be presented in a table form for easy translation of the same by the party the Project Cost Summary Report is intended for.
