Cost over budget to agreed value engineering options and a reconciled price

How the steps join up

It starts when: the cost forecast at a design stage, or a second-stage or design and build price, comes in above the client's budget.

1. Report stage one cost forecasts and design proposals against the client budget under early contractor involvement

   Your team checks and decides at this step.

2. Find value engineering options and track the savings agreed

3. Assess a proposed product substitution against the specification and building safety requirements

   Your team checks and decides at this step.

4. Keep the derogation schedule against the employer's requirements and sector standards, and track each departure to approval

   Your team checks and decides at this step.

5. Estimate embodied and whole life carbon from the cost plan or bill

6. Assess the knock-on effects of a design change on programme, cost, orders and other packages

   Your team checks and decides at this step.

7. Separate design development from client change on design and build jobs

   Your team checks and decides at this step.

8. Keep the project document register current and catch out-of-date copies in use

9. Reconcile every revision of the tender sum from submission to contract

   Your team checks and decides at this step.

What you end up with: Options are generated with cost, programme and carbon effect, each is checked against the specification, building safety and the brief, the client decides with the knock-on effects known, accepted options are classified and reissued in the drawings, and the price is reconciled.

Who signs it off: The client accepts options and derogations, designers confirm substitutions and your commercial director approves the reconciled price.