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In the EPC sector, cost & cash flow analyses not only determine actual profit at the end of the project, but also estimate required cash resources or cash balances at the end of every month. Cash flow analysis is a significant challenge in managing a construction project; however, it requires extensive information that is not immediately available to the general contractor. Before companies can perform cash flow analysis, they must first complete a series of pre-requisites such as the quantity takeoff, scheduling, and cost estimating, followed by accurate assessments of project costs incurred and billable progress made. Consequently, cash flow analysis is currently a lengthy, uncertain process. This requires a detailed understanding of financial flows and a business-level vision of processes and information flow channels. This business-level vision coupled with a detailed knowledge of financial information flows is a complex challenge.
Rajbir Bhatti
Fluor Canada Ltd
Sociology
Construction and infrastructure; Professional, scientific and technical services
Mount Royal University
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