Video - InEight Control - Contract Adjustment

TRANSCRIPT

This video is an overview of how to make contract adjustments in InEight Control.

A contract adjustment, more commonly called a change order, represents a change to the overall dollar amount of the project budget and contract Contract adjustments involve changes to both your contract price, involving your pay items, and your budget or cost items.

Note, that this video covers how to create a contract change exclusively within innate control.

To see how to create a contract adjustment using both innate change and innate control, see related instructional videos under the innate change product.

Let's assume you have a new change order you're costing out for your project.

You've already estimated out quantity, man-hours, and cost in the CBS register.

Now you need to create a contract adjustment record to track this change through an approval process.

To do this, click actions, budget move, and contract adjustment, contract adjustment.

From here, you can either start change by making pay item or cost item changes.

We'll start with cost items.

Add details as needed.

Then, click next.

Click here to add the cost items for the adjustment.

Add the related cost items.

Now, we need to assign the cost items to a pay item, which we haven't created yet. Let's select the cost item to assign.

Then click here.

Note that I can assign to a new or existing pay item.

In this case, we'll create a new one.

For the unit price, We'll just put the cost amount at this point, since we'll figure out markup on the adjustment form.

Then click apply.

Now we see our cost item is assigned to our pay item.

To add your change order cost, man hours and quantities, you can fill them out manually here.

Or Since we estimated our values already in the CBS, we can select auto calculate to automatically add our estimated values.

At the pay item level, you can add a markup percentage.

And fees, if applicable.

Next, on the pay items tab, you can review the pay item adjusted values, and make any last minute corrections if needed.

Sensor fee and markup percentage have been added These now need to be included in the price.

To do this, select the pay item.

Then click here to auto calculate.

Now, you can see the adjusted current price has been updated.

If your company uses approval probability, you can indicate the probability percentage of the change order.

This will affect how much unapproved revenue is considered for your forecasting.

Then, click next to do final review of the contract adjustment changes.

Click here to add any conversation notes for the change order.

Also note, the top of the adjustment record provides a summary of the contract adjustment as you work through the steps.

You can save a draft for future edits, or click submit to save it for approval.

In the change register, note that the contract adjustment is added and awaiting approval.

From here, you can see all contract adjustments that have been drafted, submitted or approved.

With the proper permissions, you can reject, revise, and approve the contract change.

Remember, this change order has an approval probability of fifty percent.

From the pay items tab, Notice we now have unapproved revenue.

When we look at the details, We can see it is calculated in just fifty percent of the revenue, and this can be included in our forecast even before the change order is approved.

Well, that's an overview of contract adjustments in InEight Control. Thanks for watching.