Performance Analysis & Resolution
Gentile Consulting Group provides project performance analysis to the construction industry. As part of our mission to provide the best overall construction loan monitoring services in New Jersey, we strive for excellence in performance analysis & resolution.
We understand the complex nature of loan monitoring for large construction projects and have vast experience in this field. If you are searching for construction loan monitoring in New Jersey with an excellent performance analysis & resolution service, give us a call today! Below are a few of the services we provide:
- Project performance analysis
- Forecast at Completion
- Earned Value Analysis
- Budget Analysis
- Identify cost, schedule and contractual issues for corrective action
- Negotiate Change Orders
Budget Analysis
Budget analysis involves examining and evaluating the elements of budget costs and revenue. We look for ways to reduce cost and increase revenue, leading to better returns. The use of budget indicators (ratios) can help identify areas for improvement in the bottom line. In the construction industry, the main objective in budgeting analysis is to develop and agree on a realistic budget, provide adequate contingency for potential risks, control expenditures and predict future budget needs. This ultimately allows decision makers to approve their budgets knowing they’re reliable and can be executed within the agreed parameters.
Earned Value Analysis
Earned Value Analysis (EVA) is an industry standard method of measuring a project’s progress at any given point in time, forecasting its completion date and final cost, and analyzing variances in the schedule and budget as the project proceeds. It compares the planned amount of work with what has actually been completed, to determine if the cost, schedule, and work accomplished are progressing in accordance with the plan. As work is completed, it is considered “earned”.
EVA is a snapshot in time, which can be used as a management tool as an early warning system to detect deficient or endangered progress. It ensures a clear definition of work prior to beginning that work. It provides an objective measure of accomplishments, and an early and accurate picture of the contract status. It can be as simple as tracking an elemental cost estimate breakdown as a design progresses from concept through to 100% construction documents, or as detailed as needed for large complex projects. In either case, it provides a basis for course correction. It answers three key questions:
- What elements of the project are on time and on budget, and which elements are at risk, requiring Management attention to correct course?
- At the end of the project, is it likely that the cost will be more or less than the original estimate?
- Will the project likely be completed on time?
Estimate At Completion
Estimate at Completion (EAC) is the current expectation of total cost at the end of a project. The EAC represents the final project cost given the costs incurred to date and the expected costs to complete the project.
EAC is arguably the most crucial component of the construction loan monitoring process for companies in New Jersey. We evaluate EAC throughout the project lifecycle to determine financial trends early in the project, giving stakeholders time to take the proper action needed.
Negotiate Change Orders
Change orders are often unavoidable in the construction industry, especially renovation projects with unknown conditions. However, these changes are always negotiable. That is why having Gentile Consulting Group on your side can benefit your company’s next construction project.
We ensure all change orders are properly documented, fully describing the scope, cost, schedule impact and need for the change. Then we compare the justification to the contract to determine eligibility and assess the cost/benefit with the client. Finally we negotiate the cost to minimize any impact to our client.