How to Manage Your Claims Through a Cost Tracking System
Summary: The right documentation, whether through digital tracking or software can be a life-saver.
In addition to keeping daily logs of every workday, there are also a significant amount of records that should be prepared and stored in case of any claims being filed and private mediation isn’t an option on the table. For one, they can help prove claims and also effectively manage the project itself. Here are some samples of documents that you should always have in your file cabinets.
Always Create a Strong Case
Plans and specifications, which include things like clarifications, amendments, and other visuals showcasing the plans and specifications should always be kept in a written document and stored away. This can be significant during the construction claim analysis process and provide you with a stronger case.
Change/Work Order Files
There should also be a change/work order file that showcases any work orders requested in regards to the work that is subjected to the claim itself. Any department that the claim is targeting should at least have a change/work order file which will provide fully-detailed documents that pertain to that specific department. Talk to any of the construction consulting services out there, and they’ll tell you that good documentation will ultimately give you the upper hand in terms of claim preparation.
If you have a contractor that is expecting to receive additional compensation for an encountered condition, you’ll want to create a new category that discusses the extra work that’s being filed. Once the new cost category has been created, the supervisor that is responsible for creating daily reports should assign labor and equipment hours to match the cost code.