The Missing Link Between Project Execution and Profitability
Introduction Construction firms devote much effort toward improving estimation, cost control, and scheduling. This is important, but it does not necessarily ensure good financial results. A project may be finished on time ,be of good quality , and fulfill customer expectations, yet bring margins below the expected levels. It is not because something was wrong with construction. It is because something went wrong with project information after construction. Throughout the process, project information is shared among the field teams, project managers, operations, and accounting. Daily reports, approvals, labor hours, equipment utilization rates, photos of construction sites, and other project information help shape their financial performance. If this information flows smoothly, decisions can be made , and control can be exercised more efficiently. If not, visibility will be impaired, decisions will get delayed, and profitability will be hard to ensure. This link is often unde...
