Financial Forecasting Improvement – Public Works Program

The Challenge
In a large public works program, project cost forecasts lacked accounting for teams’ productivity, workload constraints, or delivery realities. Forecasts were largely static, updated infrequently, and disconnected from actual progress. This resulted in recurring cost overruns, late identification of funding pressures, and limited confidence in financial reporting at the program level.

The GCS Approach
GCS led a structured review of the existing forecasting approach and identified gaps between financial forecasts and on-the-ground delivery. We worked collaboratively with the consultants and operations teams to design and implement a practical, repeatable forecasting system based on productivity and monthly progress.

Key improvements included:

• Establishing a monthly forecasting cycle aligned with real delivery performance

• Holding regular forecast review meetings to discuss risks, constraints, and emerging issues

• Standardizing forecast templates and assumptions for consistency and transparency

• Streamlining reporting so forecasts clearly linked progress, cost, and remaining work

The Outcome

• Significantly improved accuracy and reliability of financial forecasts

• Earlier identification of cost pressures and mitigation opportunities

• Better cost control and reduced risk of unexpected overruns

• Clear, defensible financial reporting for senior management

• Enabled government (the owner) to make informed fiscal and funding decisions with greater confidence
  

  Smart Procurement Strategy Delivering Real Cost Savings

  The Challenge
  A federal government client on infrastructure rebuilding program required bulk procurement of steel rebar to avoid a fiscal year budget lapse. The challenge was significant: the project design was still at the conceptual stage, meaning quantities were not yet firm. Ordering material too early created a high risk of surplus inventory, wasted funds, and potential disputes with suppliers—while delaying procurement risked budget loss and future price escalation.

  The GCS Approach
  GCS identified the key commercial and delivery risks early and worked closely with the engineering lead, estimator, and construction manager to develop a realistic bulk quantity based on concept-level information. An estimated 858,000 kg of rebar was established using conservative, defensible assumptions.

  To protect the client’s financial position, GCS negotiated a locked-in steel price covering the full two-year construction period, eliminating exposure to market escalation. In parallel, we collaborated with legal counsel and the supplier to structure a contract amendment that included a clear refund mechanism for any surplus material.

  The Outcome
  When final quantities were confirmed, surplus rebar was successfully refunded—delivering approximately $226,000 in direct savings to the client. These funds were reinvested into procuring classroom furniture for schools, demonstrating how strong procurement planning and contract strategy can directly translate into meaningful public value.