FinanPoor project planning is one of the most common problems in the construction sector. The main causes include: a lack of accurate information; poor estimations; ineffective communication.

It isn’t uncommon to find jobs where there is no planning at all. “Hoping for the best” is common practice in the construction sector. Unfortunately, poor project planning can lead to overspend, delays, rework, inadequate credit control and cash flow difficulties – all eating into your profitability and delivering sub-optimal experiences for your customers.

Prevail can help you to master effective project planning.

How can Prevail help?

With our support, you can overcome the challenge of poor project planning.

  • With the right financial analysis, you can determine whether or not to take on a job. By preparing a project budget, timeline, dependencies, schedule and cash flow forecast, you can set yourself up for success.
  • We recommend a “five D” navigation strategy. We help you to define: distance, duration, direction, description and destination. If you are missing any of those criteria, it’s far too easy to get lost!
  • Only by understanding the project plan can you decide whether or not to take on a project. If the margin of safety is low, it may be better to redirect your resources to a more profitable project. Sometimes bigger projects result in lower margins – so it may be better to take on several smaller projects with higher margins instead.
  • Our project profitability calculator is ideal for high-level project planning. It helps you to decide whether you can afford to take on a project and whether the project will be profitable for your business.
  • An effective project plan clearly shows the busiest points and the points where you will need greatest cash flow. It is important to understand the dependencies between payments to you and payments to your suppliers. This way, you will know exactly when you need to be paid.
  • To manage your project effectively, you must be able to track your performance against the plan. If necessary, you will need to adjust your plan to account for any delays or other impacts. You will need to track expenses and revenue in real time, monitoring cash flow effectively with the right tools to ensure great financial control. This way, any variances can be quickly identified and mitigated. In this case, information is power – and it powers your profit.
  • As well as helping you set up the right processes and use the right tools to stay on track, Prevail supports you with regular meetings and project reviews when we’ll review your company finances and run variance analyses. The sweet spots are working capital requirements, cash operating cycle and cash flow planning.

Get in touch!

We can help you overcome challenges commonly faced by construction industry businesses, including:

For specific understanding about how we can help you address these challenges, please visit the relevant page.

Alternatively, you can contact our team to discuss the challenges you are facing within your own operation.

Call us on: 01706 550 825