Investments

What is included in the management of investment construction

Investment projects in construction, like all long-term investments, are at risk of changing the value of money. During the implementation of the project, prices for raw materials, materials, labor, energy, and finished products may change.

Effective management of investment projects in construction allows you to understand in a timely manner whether all indicators meet the stated standards, what you should pay attention to, what actions to take. Digital solutions for developers are an integral part of such management at all stages of project implementation — from calculating the cost of a potential facility and resource costs to optimizing investment construction management.

Investment construction management includes such important areas as risk management (in order to minimize them) and profitability management (in order to maximize it).

Profitability management. Profitability is the most important characteristic of an asset. On its basis, the investor decides on the expediency of investing capital in a particular project, comparing them with each other according to this indicator. The profitability of real estate investments directly depends on the effectiveness of management decisions, which are based not only on large-scale marketing analysis, calculation of investment efficiency, detailed feasibility study, but also on long-term forecasts of changes in the external market. Constant monitoring of the environment allows the developer to adjust the management strategy, maintaining or changing the volume of investments according to the investment attractiveness of the construction project.

Risk management. The tasks of the head of investment construction include calculating all possible risks before the start of the project, even at the planning stage. It is important to budget the costs of eliminating and preventing risks. To achieve the goals of the project, it is necessary to constantly analyze, evaluate, and systematize project risks. This is how you can take control of the complexity and mobility of the external environment that affect the implementation of construction.