Contractor’s Quantity Surveyor
For any construction project, big or small, effective cost management is key to success. This is exactly the function of a Contractor’s Quantity Surveyor (QS). These professionals specialise in overseeing the financial aspects of a project and keeping expenditures under control. Simultaneously, they ensure that all operations follow the contract terms. Ultimately, they help contractors maintain their profit margins while delivering quality standards of work.
We are PEJA Surveying, a reputable Quantity Surveyor team with more than 40 years of combined experience. We are committed to making a valuable contribution to the overall financial management of your construction project.
Client’s vs Contractor’s Quantity Surveyor
When it comes to quantity surveying in construction projects, there are typically two key roles involved: the Client’s Quantity Surveyor (also known as Professional Quantity Surveyor or Consultant Quantity Surveyor) and the Contractor’s Quantity Surveyor. While both positions involve cost control and management responsibilities, there are distinct differences in their roles.
The Client’s Quantity Surveyor represents the client’s interests throughout the project lifecycle. Their main objective is to assure that the project is delivered within the client’s budget, the terms established by the contract, and the expected quality.
In contrast, Contractor’s Quantity Surveyors work for the construction company. Their main focus is the contractor’s profitability and its maximisation. To achieve this, a Contractor’s QS handles multiple important tasks beyond daily construction activities. These include, among others, detailed cost estimates for the work, participation in procurement, monitoring of project scope changes, reviewing payment applications, and assisting in resolving valuation disputes.
While there are differences in their perspectives and priorities, Consultant QS and Contractor’s QS often collaborate to achieve common objectives. Their expertise and cooperation contribute to the smooth delivery of construction projects while balancing the interests of the client and contractor.
The Contractor’s Quantity Surveyor and Its Role in a Construction Project
In design-bid-build projects, the bill of quantities is usually included in the bidding package for contractors. Since it already features predefined materials and quantities, contractors have the option to skip their own quantity takeoff and use the BOQ directly for pricing.
Contract Document Preparation
Contractor QSs prepare, review, and ensure accuracy in key documents like bills of quantities and specifications to keep the project compliant with contractual agreements and scope.
Cost and Budget Monitoring
They estimate and track project costs throughout the contract’s duration, ensuring expenditures remain within budget, and helping the contractor manage financial risks effectively.
Subcontractor Payment
Contractor QSs measure and evaluate subcontractors’ work, ensuring timely and accurate payments, fostering positive relationships, and avoiding delays due to financial disputes.
Dispute and Claim Resolution
They handle contract variations, disputes, and claims efficiently, minimizing disruptions and ensuring the best possible outcome for the contractor by resolving issues early.
Financial Control and Reporting
A key duty of a Contractor’s QS is establishing, managing, and reporting on a project’s finances. This means, they create detailed cost estimates for construction work and track actual spending against the budget. Along with this, they monitor the project’s cash flow (both incoming and outgoing) to ensure the contractor has enough money to complete the project on time. Regular financial reports are also one of a Contractor’s QS responsibilities. In their financial updates, they point out any budget issues, potential risks, as well as ways to save money.
Procurement
Procurement plays a crucial role in construction projects, as it involves acquiring the necessary materials, equipment, and services. The Contractor’s QS joins forces with Design management, Operation and Planning team members to develop procurement strategies. To be more specific, they are involved in selecting appropriate procurement methods as well as identifying potential suppliers and subcontractors. They prepare and evaluate tender documents, negotiate contracts, and manage the procurement process to meet the project’s budget and schedule.
For procurement scheduling, the Contractor’s QSs assistance extends to providing details on specifications, quantities, costs, and delivery dates for materials and services. Additionally, they monitor each procurement activity and update the schedule as the project moves forward. In case of any problems or delays, they promptly alert the relevant team members.
Design Review
The Contractor’s Quantity Surveyors work closely with project architects and engineering consultants to assess the design plans, specifications, and drawings from a cost perspective. Since the role of a QS is to optimize the project’s financial viability, they identify any design elements that may result in excessive expenses or have a potential for cost-saving. They also verify that design solutions meet all contract requirements.
Lastly, their cost advice enables the design team to make better decisions during the development phase. By spotting potential issues at the early stages of a project’s lifecycle, Contractor’s Quantity Surveyors help prevent expensive changes later on.
Supply Chain Valuation and Payment
Managing the supply chain and ensuring timely payment to suppliers and subcontractors is another critical function of Contractor’s Quantity Surveyors. During the contracting phase, they evaluate potential suppliers and help secure the best payment terms possible. At the later stages of project development, CQs assess subcontractors’ work, approve their payment requests, and make sure everyone gets paid fairly and on time. They also administer any necessary adjustments to the contract sum due to changes in scope or variations.
Client Valuations
A Contractor’s QS prepares and presents valuations to the client at various stages of the project. These valuations reflect the work completed, and they form the basis for payment to the contractor. Their particular scope of tasks includes assessment of the construction progress, identification of completed work quantities, and value calculation based on the contractual rates. The Contractor Quantity Surveyor also works closely with the client to resolve any questions or disagreements about these valuations.
Pricing Change
During the life cycle of a project, the price of some materials or services may change despite the original agreement. The task of a Contractor’s Quantity Surveyor is to monitor pricing fluctuations and, if necessary, reflect them in the Change Order, Variation Order, or Compensation Event.
The QS analyses costs and advises the relevant parties about potential price changes and risks for the budget. Together with procurement specialists, they draw up measures to minimise negative impacts from price fluctuations. At the same time, they look for ways to save money through alternative suppliers or value engineering solutions.
Why Does Contractor’s Quantity Surveyor Service Matter?
The Contractor’s Quantity Surveyor plays a vital role in managing the financial aspect of a construction project. Their functions encompass cost management, procurement, design review, supply chain valuation, payment administration, and many others. By diligently carrying out these responsibilities, the Contractor QS contributes to the effective cost control, adherence to contractual obligations, and overall success of a construction project.
Are you searching for a top provider of Contractor’s Quantity Surveyor services in London? Then don’t look further than PEJA Surveying. We are committed to delivering outstanding quantity surveying solutions for projects of all sizes and complexity levels. With our expertise, you can ensure that your projects stay financially viable from start to finish.
At PEJA Surveying, we understand the unique challenges contractors face while managing costs and optimising profitability. We strive to work closely with our clients to provide tailored services that meet their specific needs. We are looking forward to assisting you in achieving your financial goals with our expertise and professionalism.
