The discipline of forecasting improves management acumen across the company thereby enhancing profitability and resource utilization. There are few things that will improve the financial acumen and communication within your team more than building an accurate and collaborative forecasting process.
At the simplest level, you will be forecasting profitability based on your Work-In-Progress run-off and overhead budget.
As you improve the accuracy of this basic model, you will continue adding information and using the feedback to drive decisions improving profitability including.
We have worked with many types of Contractors and systems to develop forecasting systems appropriate for their business.
The Work-In-Progress (WIP) schedule is the single greatest tool for integrating Operations and Accounting driving profitability. It is also the single biggest risk on a contractor’s financial statements.
Aligning the markets you serve with your organizational structure and your financials will dramatically improve your profitability and the quality of your management team.
Nothing is more central to a contractor’s financial and project management than accurate job costing including budgets, change orders and projections.
Learn best practices in cash flow management that allows a contractor to better leverage their working capital significantly increasing return on equity.
