For many construction managers, the lack of a clear view of the physical-financial schedule can lead to delays, budget overruns and even project stoppages. 

Thus, this solution arises to prevent these problems. It helps ensure that deadlines are met and both human and financial resources are well allocated. 

In this article, we will explore in detail what the physical-financial schedule is and how to implement it effectively to avoid unpleasant surprises in your project.

What is the physical-financial schedule?

The physical-financial schedule is a management tool that combines the planning of the stages of the construction with the costs of each of them.

Basically, it works like a graph that shows the progress of the construction and the expenses as the stages are completed.

This tool is essential for managing the construction site and is provided for in the 13531/2017 ABNT standard.

In summary, it answers two important questions: What will be done? And how much and when will it be spent?

4 things that the physical-financial schedule allows:

1. Budget control: 

Monitor expenses in relation to the planned budget, identifying deviations and allowing corrective actions

2. Cash flow management: 

Forecast financial resource needs throughout the project, ensuring cash availability for paying suppliers, labor, and other costs;

3. Monitoring the progress of the construction: 

Assess the project's performance against the schedule, identifying delays and enabling decision-making to optimize execution time.

4. Decision-making: 

Provide accurate and up-to-date information for strategic decision-making, such as resource allocation, negotiation with suppliers, and rescheduling activities.

Essential components of the physical-financial schedule

A complete physical-financial schedule must include the following components:

1.  WBSs

The Work Breakdown Structures (WBSs) are divided into two parts: one for the construction activities and another for the costs.

The Physical WBS organizes the project into stages, activities, and tasks, helping to understand what needs to be done and in what order. Create a list of all items.

The Budget WBS, in turn, is responsible for defining how much money will be needed for each phase and activity. It ensures that costs are properly allocated throughout the construction. Leave a space for 

In summary, each task in the physical WBS has a defined value in the budget WBS, showing how much will be spent at each stage.

2. Activity schedule: 

This is when you will determine the average estimated duration for each task in the project. It's also the time when you should list the order in which each activity will occur. 

3. Detailed budget

Cost estimation for each activity, including direct costs (materials, labor, equipment) and indirect costs (overheads, administration, insurance).

4. Creation of the physical-financial schedule

If you do not yet have software to help you create this physical-financial schedule, you can make a table with the following information. Each item should be in a column: 

• Activities, organized in the order of execution;

• Duration of each activity in days;

• Estimated start and end of each task;

• Estimated value for each activity;

• Percentage of each activity in relation to the total cost of the construction.

Best practices for implementing the physical-financial schedule

To ensure the effectiveness of the physical-financial schedule, it is important to follow best practices:

1. Use project management software: 

Project management software can automate many of the tasks involved in developing and tracking the physical-financial schedule, such as creating the WBS, listing activities, allocating resources, estimating costs, and generating reports.

2. Engage the project team: 

Involve the project team in developing the physical-financial schedule, ensuring everyone is aware of the objectives, activities, and project deadlines.

3. Monitor progress regularly: 

To ensure the construction is on track, it is important to regularly monitor progress, comparing actual performance with planned performance and identifying any deviations. 

An effective way to do this is to use the Construct IN project management and reality capture software.

It allows you to track the progress of construction in real time and provides a schedule module where you can import the planning done in MS Project or Excel. This way, it is possible to quickly verify if there are delays.

4. Update the physical-financial schedule

Reflecting changes in scope, resources, costs, or project deadlines.

5. Communicate results: 

To all stakeholders, allowing them to make informed decisions.

Visualize the schedule with 100% efficiency!

Want to improve the visualization of your project's schedule by 100% and have total control over the execution of the construction? 

With Construct IN's reality capture software, you can monitor each step in real time, quickly check if the planning is being followed, and identify potential delays before they become problems.

Request a free demo!