Character of the Work
The construction project cost controller or cost specialist works
closely with the project manager and other disciplines, such
procurement, logistics, and field personnel, so that all incurred costs
are timely obtained and correctly recorded. Cost control differs from
accounting, in that a cost controller looks beyond historical costs. The
cost specialist applies historical records within his observation of how
the project activities are performed, so that he creates reliable cost
forecasts. Seasoned cost people normally have a working knowledge of
multiple cost record software programs and databases. Besides working
with costs and cash outflows, they might also forecast cash inflows for
a full picture of project’s economic viability. (One may hear this
position referred to as being that of a cost engineer, but cost
engineering is far more comprehensive and extends beyond the realm of
project controls alone.)
Capable construction cost professionals generally know construction
methods applied on the project, as well as the documentation processes
in various project offices by which actual costs are verified and
documented. Cost specialists gain such knowledge in other types of
project offices or the field. In publicly-traded construction companies,
some critical reporting to comply with federal financial regulations
devolves to the cost controller. The project team routinely turns to the
cost professional to determine why costs varied from the budget--so that
the cost professional can forecast future variances and determine ways
to reduce costs for remaining work. If cost appears to be exceeding
budget for an activity or account, the cost controller collaborates with
the project manager to justify contract modification documentation or
reprogram funds from elsewhere to adjust the budget.
As software further develops to enable more integrated cost analysis,
from jobsite to general ledger, cost controllers willing to accept new
challenges will be immersed in progressively more demanding tasks. A
system such as Earned Value Management, growing in use on larger
projects and programs, places a premium on simultaneous understanding of
budget and schedule, so the future would seem to reward those
professionals who are both cost and schedule savvy.
Education and Training
A baccalaureate degree is not essential for success as a construction
cost controller, but gaining technical mastery of the discipline or
advancement to management roles makes a four-year degree almost
essential. A quantitative degree is appropriate for this work, and a
construction management, business, or engineering program of instruction
probably offers the best education for a construction cost controller.
Besides their formal education, cost professionals should have some
practical experience with the activities whose costs they forecast.
Throughout their careers, they will encounter new software and
techniques, so recurring professional training provided by the employer
or obtained on their own is necessary.
Career Opportunities
Construction cost controllers who seek advancement will take on lead
cost responsibilities. It is common for a lead cost professional to
later manage the project controls department, or the “lead” chooses
instead to master technical aspects of the work, as for types of risk
analysis. Executive-level promotions can result.
Character of the Work
