A Cost Engineer manages the project cost, and carries out activities such as estimating, cost control, cost forecasting, investment appraisal and risk analysis. They balance cost, quality, and time requirements. They contribute to project success by identifying problems and challenges before they result in cost overruns and scheduling deviations.
Cost Engineers manage the cost budget estimate and can facilitate and play an important role in preventing cost overruns on the project.
During tenders they ensure contractors’ certificates and billing are done as per contract prices.
Cost Engineers align project costs to the schedule ensuring a value for money approach throughout the various project lifecycles.
Cost engineers inform management’s decisions as they are responsible for the estimates and cost data that decisions are made on.
Ensure correct project cost estimations/budget which in turn has a positive spin off on capital spent (ROI, NPV and Opportunity Cost)
Cost engineers help minimize risk in that they raise early warnings and awareness of potential cost overruns and propose/facilitate/implement corrective risk strategies.
Accurate and timeous recording of actual costs incurred and key project cost metrics ensuring accurate monthly reporting of cost status for decision making and corrective actions.
Ensure accurate budget vs proposed order comparisons before order placement for management visibility and decision making.
Timeous recording of approved site queries/instructions into the project cost system, settlement of final accounts and order closeout, and processing of approved transfer of funds when required.
Timeous identification of potential cost overruns, negative trends against contracted/order amounts and cost impacts of variances.
Regular review and optimizing of processes within the Cost Management Plan.
Compile votes and extensions maintain Cost Change records within the cost control software and ensure governance followed in terms of Budget Limits of Authority.