Prices moved and nobody captured it
Materials, plant and haulage crept up over months; there is no notified position and nothing in the forecast.
What's happening?
Escalation rarely announces itself; it drips. Each order costs a little more than the last, each haulage invoice creeps, and because no single jump justifies a conversation, months pass with the drift landing silently on margin. By the time someone compares today's rates with tender's, the gap is real money - unrecorded, unnotified, and absent from every forecast the business has been reading.
Capture has two halves. Commercially: whether the contract gives any route to recover it - a fluctuations provision, changed work priced at current cost - and where a route exists, the position built and notified while invoices can still be matched to the movement. Internally, and regardless: the cost to complete carried at real current rates, so the outturn stops assuming last year's prices. Recoverable or not, the movement has to be in the number.
The solution
The drift measured, notified where it can be, forecast where it can't.
