Claims Management - Data Grooming

Claims Management - Data Grooming

To implement Claims Management into Framework, claims against current jobs in Construction must be groomed.

We recommend the following to complete this process:

1. Considerations prior to commencing

• Is Document Management currently being used within Framework (PCV, BV)?.  
• Current contract claim percentages breakdown templates must be created in Framework.
• Claims rounding methods in Framework Preferences must be set.

2. Confirmed Contract Amounts

Once the total contract amount is confirmed, this can be updated in Framework and the progress claims schedule can be created.

• Contract Amount - this can be confirmed on the B. Contract screen under the Document group of the list bar.

STEP 1 - Document Management

Follow this process if currently using the Framework Variations Document module:

Before the contract claims details are entered on the Construction Claims page, all Post Contract Variations & Building Variations marked as Final should be edited and marked as Draft.  This is because PCVs and BVs marked as Final will automatically appear on the Construction Claims page and will create issues with the order of the claims.  

• Select PCV from the Document group of the list bar
• Take a screen shot to have a record of the status of the variations
• For each Final variation, click on the Edit button and change the Status from Final to Draft
• Repeat this process for BVs

If not currently using Framework Variations Document module, proceed to Step 2.

STEP 2 - Contract Claims Schedule

With the contract amount known, the progress claim schedule for the contract must be created:

• Select Claims from the Construction group of the list bar.
• Click the Template button and select the appropriate claim template for the job's method of payment.  A list of claims that breaks down the contract value will appear.  Click on the Calc button to calculate the claims.
• Review each claim and confirm the breakdown percentage and dollar amount against the signed contract.
• If using Document Management, you can then go back to the PCV & BVs and edit their status back from Draft to Final (starting at PCV/BV 1) so they appear on the Construction Claims page in the correct order.
• Edit each claim that has already been invoiced in your accounting system and enter the Invoice Number, Invoice Date.  Update the Exported? flag to Yes. If using Databuild, add the Transaction ID into the Accounts Reference field.

STEP 3 - Document Management

Follow this process if the Framework Variations Document module is NOT being used:

Note: If you actioned Step 1, proceed to Step 4.

Once the contract claims details have been entered, the Post Contract Variations & Building Variations must be updated to appear in the Claims breakdown.  PCVs & BVs that have a status of Final will be added to the Progress Claims area.

• Select P.C. Variation from the Document group of the list bar
• Edit the tender and create a Misc group
• Create one item with the Variation Amount in the retail debt field.  In the Notes tab enter "Pre Framework PCV"
• Mark the PCV with a Status of Final
• Repeat this process for BVs

STEP 4 – Receipting Payments

Follow this process if currently using the Framework Accounts Receivable Integration module.

Once the claim breakdown has been created, the invoice data has been updated against each claim and the variations applied, any applicable payments will need to be recorded in Framework.  This will be achieved by Insula performing a one-off import of all receipts matching the invoices that have been manually updated in Framework.  Insula will also perform a consistency check between both Framework and the Accounting system to ensure they both match.

OR

Follow this process if Framework Accounts Receivable Integration module is NOT being used.

Once the claim breakdown has been created and the variations applied, any applicable payments will need to be recorded.

• Select Claims from the Construction group of the list bar
• Click in the Payments section of the screen
• Confirm the deposit amount paid - with the initial deposit having been receipted prior to the claim template having been applied you now need to indicate which Progress Claim the deposit belongs to
• Highlight the Initial Deposit payment in the bottom half of the Claims screen and click the lower right Edit button
• Click on the drop down menu of the Progress Claim field and select Contract Deposit
  
  
  
  
• Click the OK button
• If the Initial Deposit was not received in one payment, then perform the same steps to any other deposits which make up the Contract Deposit
• Repeat the process for all monies received for Progress Payments, selecting the appropriate Progress Claim from the drop down menu
• Where the deposit has not been receipted previously click New on the bottom right hand corner (Note: Click in the Payments section of the screen first)

STEP 5 - Reporting

The final steps of the data grooming is to run reports at a job level and then at a company level.

Printing at the job level

Print a Claim and Statement report for each job and cross-check this against your accounting system:

• Select Claims from the Construction group of the list bar
• Select the Print Preview icon on the Toolbar
• Select Report #811 - Construction Claim (Tax Invoice) & Statement and click the Preview button to run

Printing at the company level

Print an Outstanding Claims report for all jobs and cross-check this against your accounting system:

• Select the Reports icon on the Toolbar
• Select the Construction - Claims report category and select the Reports tab
• Select Report #5170 - Outstanding Claims and click the Preview button
• On the Base Criteria tab, select the Administration and Construction work flow stages and click OK to run.