Projects and Contractors Audit: Effective Control Strategies

Course Description

This intensive 5-day course equips auditors and project managers with advanced skills to effectively audit construction projects and contractors. Participants will learn risk-based audit approaches, cost control techniques, and strategies to enhance project delivery. The course covers key aspects of construction auditing, from contract review to change order management.

Learning Objectives

• Develop a comprehensive understanding of construction project lifecycles and associated risks
• Master risk-based audit techniques for construction projects and contractors
• Learn effective cost control strategies and how to identify potential overcharges
• Understand best practices in contract management and change order auditing
• Gain practical skills in conducting construction audits and reporting findings

Course Modules

Day 1: Introduction to Construction Auditing

• Overview of construction industry and project lifecycles
• Risk assessment in construction projects
• Roles and responsibilities in construction auditing
• Introduction to construction contracts and procurement methods

Day 2: Risk-Based Audit Approach

• Developing a risk-based audit plan
• Identifying key risk areas in construction projects
• Audit techniques for different project phases
• Case study: Applying risk-based approach to a construction project

Day 3: Cost Control and Contract Management

• Auditing cost-plus and time-and-material contracts
• Identifying common overcharges in construction billings
• Contract review and analysis techniques
• Best practices in construction cost control

Day 4: Change Order Auditing

• Understanding the change order process
• Auditing techniques for lump sum and unit price change orders
• Evaluating labor and material pricing in change orders
• Detecting and preventing change order fraud

Day 5: Advanced Topics and Practical Application

• Auditing contractor-controlled insurance programs
• IT project auditing considerations
• Effective reporting of audit findings
• Workshop: Conducting a mock construction audit

Practical Wins for Participants

• Ability to develop and implement effective construction audit plans
• Skills to identify and recover potential cost overcharges
• Improved contract management and change order review capabilities
• Enhanced ability to partner with project teams for better cost control