Managing any project large or small can be a complex business, making sure you have the right team at the right place and at the right time is a feat in itself. Bringing everything together to complete one set of tasks before the next starts takes a lot of planning and this should go hand in hand with keeping control over the costings. This can become a bit of a juggling act and if you’re not careful costs can spiral, making sure you have good controls in place is paramount so a few things to consider are listed below….
Project management is not only about making sure each activity within the project is executed correctly and within a certain timescale but that the budget agreed with the client is adhered to. Sometimes there are mitigating or unforeseen circumstances whereby a project spend will overrun, the Project Manager will allow and build in a contingency to cover these and maybe make small cuts elsewhere should the circumstance be greater than the contingency so a compromise may come into play. They can only achieve this by being aware of all of the elements affecting each project so a good system is essential.
A good project manager will layout the plan knowing which activity needs to be completed and in which order. Having the right software to manage this is critical for your business. There’s a lot of software for SME’s and professionals to choose from out there and an accounting program in the cloud would be the preferred choice based on various factors, the main being that at any point in time you have access to the system and can monitor costs real time. Having the ability to create each activity for each project, whether it’s chargeable or non-chargeable, fixed cost or variable, a main project with sub-projects linked, the ability to outline the project status at any time are all considerations, also the ability to invoice your client at certain stages of a project accompanied by a detailed list is an added advantage and saves queries at a later date.
Keeping track of all hours spent on certain activities within the project is a must. Ensuring all subcontractors and employees have access to a system whereby they can record their time spent on any activity within any project they may be working on during the course of a day or week is an essential part of managing your projects and your business. A fixed price may have been decided upon so running over budget needs to be recognised immediately and managed accordingly. Having time approval features built in establishes much needed controls.
Managing the expenses relating to projects can be a difficult task. Everything purchased for a project needs to be properly allocated and for this you will need a system that fully integrates with your accounting system, this dual process allows you to see both the spend against your company accounts while also analysing the spend by project. Along with this is any employee expenses that may have been incurred while working on any project. The ability for each employee to enter their expenses, analyse them against the cost type and allocate to a project on a daily/weekly basis along with project manager approval built in is an excellent way of making sure all costs are captured.
Accounting program in the cloud
Having a project management system that’s fully integrated with your accounting system will give you real time management. The ability for anyone working on a project to login in, enter time, mileage, expenses, for your accounting staff to enter supplier invoices and charge these to each project, run daily reports on each project which in turn fully integrate with your company accounting system will give you so much more information and control over every project you’re managing.
Reviso has all of these benefits within it’s Project Accounting Module along with a friendly interface and excellent support should you need it. Why not take out a trial and see for yourself!