Tracking Your Field Production

Presented by:

Robert Scherer, President, TAG

Optimize PerformanceOutsourced Accounting & Software Solutions

We are true construction accounting and software experts,providing critical tools, financials and reports to help you with allaspects of your construction projects.

Purpose:

Implementing and tracking field production

Items to be Discussed:I. Overview

I. CultureII. EstimatingIII. AccountingIV.Field / Operations

II. Accounting & ReportingIII.What happens when you track jobs closer &

report regularly

I. Culture

1. General culture about reporting, details, etc.

2. Corporate rhythm

3. Environment of accountability 4. Starts at the top (this can mean a few things)

I. Estimating

1. Pricing summary breakdown

2. Detailed estimate which can be converted to a

j/c budget to track against

3. Scope outline and/or summary

4. Job set-up (sheet or digital) to accounting /

project administration / contracting

5. Job pre-planning meeting with field

I. Accounting (including job cost reporting)

1. Set up budget (and target rates if appropriate)

2. Job set up: Also set up misc. items, checklists for

job (retention, certified payroll, business permits,

insurance certificates, etc.)

3. Distribute and/or give access to appropriate

personnel for reporting

4. Provide weekly unit reporting and monthly

budget vs. actual and unit/dollar reporting*

*if possible/applicable

I. Field / Operations

1. Review budget

2. Set goals/targets rates with field personnel

3. Plan out job logistics1. Jobsite layout

2. Material delivery sites

3. Understanding of scope

4. Tool & equipment budget

5. Prefabrication if possible

4. Job pre-planning meeting with estimating

II. Accounting & Reporting

Project Tracking E

stim

ate Direct Costs

Indirect Cost

Overhead Allocation J

ob C

ost

Direct Costs

Indirect Cost

Overhead Allocation

Inco

me

Sta

tem

en

t

Project Tracking

Direct Costs:

Labor

Material

Equipment

Subcontract

General

Unit Savings/Loss

Hours + / -

Unit + / -

Hours + / -

Scope and change order management

Miscellaneous

Avg. Cost-Unit Savings/Loss

$ per hour cost

$ per unit cost

$ per hour cost

Miscellaneous

Project Tracking

Indirect Cost - Equipment

• Depreciation – Field Equipment

• Non Job-Costed Equipment Labor

• Equipment Repairs/Maintenance

• Equipment Supplies

• Etc.

Indirect Cost - Labor

• Depreciation – Field Vehicles

• Safety Expense

• Non Job-Costed Supervision Payroll

• Repairs/Maintenance – Field Vehicles

• Small Tools

• Gas/Oil/Etc. – Field Vehicles

• Cell Phones – Field Personnel

• Etc.

Indirect Cost – Material

• Depreciation – Shop Equipment

• Shop Supplies

• Shop Labor

• Freight

• Small Tools

• Utilities

• Etc.

III. What happens when you

track jobs closer & report

regularly:

1. Arguments (first sign of progress)2. Scope is followed3. More change orders4. Problems are brought forward to management quicker5. Shakeout in the under-performers throughout

company6. You save (at least) 5%

Recap: First Steps to Take

• Culture:

• Starts at the top

• Estimating:

• Detailed estimate which can be converted to a j/c budget

to track against

• Job pre-planning meeting with field

• Accounting and Job Cost Reporting:

• Set up budget (and target rates if appropriate)

• Provide weekly unit reporting and monthly budget vs.

actual unit/dollar reporting

• Field Operations:

• Set goals/targets rates with field personnel

• Job pre-planning meeting with estimating

Thank you!

Q & A