Inertia Engineering’s Post

Issues affecting the construction industry in 2025 The construction industry is navigating a period of significant change, shaped by new government initiatives, regulatory shifts, technological advancements, and global challenges. These factors are creating both obstacles and opportunities […] #transformfm #ifma #ashe

Construction Activity Report available for free download: https://zurl.co/ifjJ This interesting analysis from #CIS covers all phases of the construction cycle in Northern Ireland for Q1 2024. The report is compiled by my colleague Cheryl McLorn

🤝💦 Northumbrian Water's AMP8 Framework: 33 Strategic Partners Appointed 🤝💦 NWG (Northumbrian Water Group) Water has completed its AMP8 framework procurement, enlisting the support of 33 new construction and engineering contractors. These partnerships are now in place to help them deliver their ambitious £3.6 billion AMP8 capital investment program. 💰 👇 Main Points 👇 🔹 Emphasis on regional suppliers, aligning with the promise to spend 60p in the £1 with local suppliers. 🔹 Innovative procurement strategy encourages 11 new entrants into the water sector, offering mentorship and guidance. 🔹 Appointed partners to work across 11 procurement Lots within NWG (Northumbrian Water Group) and Essex & Suffolk Water operating areas. 🔹 Lot values range from £0-£5m to £20m-£40m per annum, catering to projects of varying scales and complexities. 🔹 Partners to collaborate primarily with the in-house Integrated Delivery Services (IDS) team, focusing on lean and agile short-term schemes. 🔹 Integrated delivery model fosters collaboration between in-house expertise and partner capabilities for optimal outcomes. List of Companies: A E Yates Ltd. Absolute Civil Engineering Ltd Applebridge ARM Pipetek BCE NORTHERN LIMITED Britcon (UK) Limited Colemans Enisca Browne Esh Group G&B Civil Engineering Galliford Try GLC Projects GOWLAND AND DAWSON LIMITED IES Utilities Group Ltd. Integrated Water Services M&E Jackson Civil Engineering J MCCANN & CO LIMITED Keltbray (Highways) Kilnbridge Knights Brown Land & Water MGL Group (Demolition) Meldrum Group (Structural and Civil Eng) Network Plus Rainton Construction Limited Rhodar Specialist Enabling Works (Industrial Services) Sapphire Utility Solutions Ltd SB Utilities Ltd Seymour Civil Engineering) Stonbury Story Contracting Limited VolkerLaser WorkFlow Services Ltd Monisha Gower MAPM MIET, Assets Director at NWG (Northumbrian Water Group), emphasises the importance of having the right partners on board with their investment programme nearly tripling. 📈 It certainly looks like a strong list of partners! 💪 #waterindustry #investment #partnership #amp8 #meicahub #grs

Attended webinar on “Delay, and Disruption in Construction Projects"

The latest annual construction industry market sentiment report, released by Arcadis and the Australian Constructors Association (ACA), highlights growing concerns over the impact of political decisions on project pipelines and the significant effects of the current industrial relations environment on construction costs.

Southern Water names eight for £3.7bn AMP8 capital works https://lnkd.in/eYrHRXgm Southern Water has named eight suppliers for its capital delivery frameworks for the next five years. Read Full Article: The Construction Index #Construction #UKConstruction #Building #Infrastructure #Engineering #ProjectManagement #ConstructionNews #InnovationInConstruction #SustainableConstruction #MegaProjects

#hardhatREVIEW: The National Construction Summit highlighted the urgent need for reform in the South African construction sector, focusing on improved regulations, compliance, and transparency. https://lnkd.in/dA3CpZbS

Cash flow forecasting is critical in large construction projects due to the high capital involved, long project durations, and complex financial obligations.Here’s why it is important: 1. Financial Planning and Control • Ensures that sufficient funds are available at all stages to avoid work stoppages.•Prevents over-borrowing or unnecessary accumulation of debt. 2. Risk Mitigation • Helps identify potential cash shortfalls early, allowing time to arrange financing or adjust plans.• Reduces risks of insolvency or financial disputes with stakeholders. 3. Contractor and Supplier Management • Ensures timely payments to contractors, subcontractors, and suppliers, maintaining smooth project operations.• Builds trust and long-term relationships with vendors. 4. Budget Adherence • Tracks actual expenses against budgeted amounts.• Highlights variances, enabling corrective actions to prevent budget overruns. 5. Improved Decision-Making • Provides clarity on financial health, aiding in strategic decisions like resource allocation or cost optimization. How to Do Cash Flow Forecasting Correctly in Construction Projects 1. Understand the Project Scope and Schedule • Break down the project into phases or work packages (e.g., foundation, structure, MEP works, finishes). • Link each phase with the project timeline. 2. Estimate Costs Accurately • Use detailed Bill of Quantities (BoQ) and cost estimates for labor, materials, equipment, and overheads. • Include contingencies for unforeseen costs 3. Identify Income Streams • Include progress payments from the client based on milestones or monthly valuations. • Account for any potential delays in client payments. 4. Develop a Detailed Cash Flow Plan • Plot anticipated income and expenses over the project duration. • Use tools like Excel, specialized software (e.g., Primavera, Procore), or ERP systems for tracking. 5. Monitor Payment Schedules • Synchronize contractor, supplier, and vendor payment terms with cash inflows. • Consider retention sums, advance payments, and final settlements. 6. Factor in Financing Costs • Account for interest on loans or lines of credit. • Plan repayments based on project cash inflows. 7. Regular Updates and Monitoring • Update forecasts periodically to reflect changes in project progress or external factors. • Compare actual cash flows with forecasts to identify and address variances. 8. Use Scenario Analysis • Simulate different scenarios (e.g., delays, cost overruns, or changes in payment terms). • Develop contingency plans for each scenario. 9. Collaboration Among Stakeholders • Involve the project team, finance department, and procurement staff to ensure comprehensive planning. • Communicate the forecast to all stakeholders. 10. Leverage Technology • Use construction management software integrated with accounting systems for real-time cash flow tracking. • Implement dashboards for visualizing cash flow trends.

#hardhatREVIEW: The National Construction Summit highlighted the urgent need for reform in the South African construction sector, focusing on improved regulations, compliance, and transparency. https://lnkd.in/dXBs-mHh

What is RFA & RFI in construction?