Top 5 Risks & Mitigation Strategies: K-12 Facility and Construction Owners

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e-Builder.net 800.580.9322 info@e-builder.net 03/19/18 K-12 WHITE PAPER 3 Poor Cost Controls For a large majority of K-12 organizations, Excel remains the preferred method of tracking project budgets and changes, along with a combination of databases and accounting software. It's a disconnected approach that requires multiple data entry points, increasing the chance for human error. One wrong number can throw multiple calculations off which will then 1) paint an incorrect picture of project status, and 2) cause the team to make decisions based on inaccurate information. The decentralized process fails to provide automated user error alerts and may not provide stakeholders with efficient, timely, and accurate reporting. Additionally, entering the same information into multiple systems requires significant time and money as compared to a single data-entry, shared use approach. Here's how a few top performing K-12 facility owners have streamlined their processes to pass information from one system to another without the need for duplicate data entry, thus reducing the risk of errors in key data points. Albuquerque Public Schools, Albuquerque, NM Centralized Cost Tracking and Reporting Albuquerque Public Schools replaced multiple cost management systems with a single Project Management Information System (PMIS), to automatically track and report on school construction projects financials. This change has eliminated the need to enter information in multiple places, resulting in more accurate data. The new system also provides seamless integration between the school's processes and cost management capabilities. One of the benefits is the ability to track project activities (i.e., change orders) that carry a cost impact from inception through review and approval. All communications and comments that occur during the review process are also completed in the system. The resulting audit trail helps answer questions that may arise at any time as to why a change or revision has occurred. School board members and auditors can quickly view any historical documentation or review the different contracts that make up the capital master plan. The PMIS- enabled system also helps the school district meet audit and compliance requirements, while demonstrating integrity of both processes and data. The New Mexico Public School Facilities Authority (PSFA), Albuquerque, NM Simplified Funding Source Management The PSFA is a resource administration leader in the K-12 market, managing, prioritizing and spending funds to support all educational programs in the state. The PSFA oversees 91 school districts consisting of approximately 900 schools covering 61 million square feet of public school facilities. The organization uses a cloud-based PMIS to create and distribute accurate spending reports to stakeholders and taxpayers, thus building trust and transparency. With e-Builder Enterprise, the PSFA has full visibility into all funding sources at various levels of detail. As well, the system addresses the complex distribution rules that are required for the different funding sources. The integrated reporting capabilities facilitate the generation of customizable reports to meet the needs of end users and funding agencies. The Top 5 Risks & Ways To Mitigate Them 1 Owners Addressing Poor Cost Controls

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