Join Bonnie Biafore for an in-depth discussion in this video Reviewing subcontractor profit and loss, part of Managing Subcontractor Projects with Microsoft Project.
- With a fixed price contract, a subcontractor…takes all the risk for cost overruns.…If you're the project manager for a fixed price gig,…you can calculate profit right in your project file.…Here is a project file for the security system job…and it has tasks with work resources assigned.…So we can calculate the profit based on…the labor costs for the project…and the fixed price that you're getting for doing the work.…
We're going to do that with some Custom Fields.…In the table, click the Add New Column heading…and we're going to start by inserting the Cost1 field…I type cost, and when I see Cost1 in the list…I can click it to add it to the table.…Now, I'm going to change the name of this Custom Field…so I'm going to right-click that heading…and on the shortcut menu, choose Custom Fields.…Project opens up the Custom Fields dialogue box…to the field that is in the table that we selected.…
So I can jump right down and click the Rename button.…I'm going to use this Custom Field…for the fixed price for the job.…So I'm going to type in Fixed Price…
Expert project manager Bonnie Biafore introduces approaches for working with subcontractors, including how to set them up in Project and incorporate their schedules. The course then explains how to set up multiperson team resources, assign subcontractors to tasks, periodically update the project, and review subcontractor performance based on cost, work, and schedule, and in relation to the overall project. Follow along with the sample Project file, featuring before-and-after examples you can use to compare your work to the author's.
Note: This course was designed in collaboration with author John Riopel. The techniques apply to Project 2010, 2013, and 2016.
Lynda.com is a PMI Registered Education Provider. This course qualifies for professional development units (PDUs). To view the activity and PDU details for this course, click here.
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- Explain how to show the type of contract for a new resource.
- Recall how to set up a team resource to track time and cost.
- Recognize the benefits of inserting a subcontractor’s project into a main project file.
- Determine how to add a summary task as a part of a last milestone.
- Identify the steps taken to view all tasks assigned to a specific subcontractor.
- Summarize the type of relationships shown in four kinds of charts in the Resource Cost Overview.