Attribute 3 is designed to ensure that, as a professional engineer, you possess a comprehensive understanding of the legal, commercial, and financial aspects that impact your work.
This attribute emphasises the importance of managing costs and budgets, understanding statutory and commercial frameworks, and demonstrating sound judgment in contractual and financial matters.
By acquiring this attribute, engineers are better equipped to navigate the complexities of their industry, make informed decisions, and contribute effectively to their organization’s success.
Key Targets:
- Manage, prepare and control costs/budgets of engineering tasks or projects.
- Use sound knowledge of statutory and commercial frameworks within their own area of responsibility and have an appreciation of other commercial arrangements.
- Manage, prepare and control costs/budgets of a significant engineering task or project. (Ability at CEng)
- Demonstrate sound judgement on statutory, contractual and commercial issues in relation to own area of responsibility. (Ability at CEng)
“The Commercial Ability Attribute equips engineers with the essential legal, commercial, and financial acumen to navigate industry complexities and drive organizational success.”
Anonymous 2024
The Breakdown
Manage, prepare and control costs/budgets of engineering tasks or projects.
HOW DO I ACHIEVE THIS?
- Develop detailed cost estimates for your projects or tasks, including all relevant components such as materials, labour, equipment, and contingency funds.
- Monitor and control project costs on an ongoing basis, ensuring that actual costs do not exceed the budgeted amount.
- Identify and implement cost-saving measures where appropriate, such as sourcing more cost-effective materials or streamlining work processes.
Use sound knowledge of statutory and commercial frameworks within their own area of responsibility and have an appreciation of other commercial arrangements.
HOW DO I ACHIEVE THIS?
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Understand the regulatory and legal requirements that impact your area of responsibility, such as environmental regulations or planning permissions.
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Understand the commercial arrangements that apply to your area of responsibility, such as contract terms or procurement processes.
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Understand the commercial and financial implications of your decisions and actions and be able to communicate these effectively to stakeholders.
Manage, prepare and control costs/budgets of a significant engineering task or project. (Ability at CEng)
HOW DO I ACHIEVE THIS?
- Develop a detailed budget plan for the entire project, taking into account all costs associated with design, procurement, construction, and commissioning.
- Monitor and control project costs on an ongoing basis, ensuring that actual costs do not exceed the budgeted amount.
- Report regularly on project costs to stakeholders, such as clients, and address any concerns or issues that arise.
Demonstrate sound judgement on statutory, contractual and commercial issues in relation to own area of responsibility. (Ability at CEng)
HOW DO I ACHIEVE THIS?
- Analyse and interpret relevant legislation, regulations, and contract terms to ensure compliance and mitigate risk.
- Identify potential contractual or commercial issues that could impact the project or task and take appropriate action to mitigate or address these issues.
- Ensure that all contractual and commercial agreements are clear, transparent, and fair to all parties involved.
“Commercial ability involves understanding and capitalizing on business opportunities, blending strategic insight with effective execution to achieve success.”
Anonymous 2024
