Commercial Manager - Civil Construction Background

Locally available candidates Commercial Manager managing the financial aspects of construction projects, including cost control, procurement, contract management, and ensuring overall profitability. The role often involves overseeing the commercial side of construction projects, including managing client relationships, ensuring compliance, and optimizing financial performance. standards.

• Key Responsibilities:
• 1. Financial Performance KPIs
• Gross Profit Margin: Measures the difference between project revenue and the direct costs incurred, divided by project revenue. A higher margin indicates effective cost management and pricing strategies.

2. Cost Control and Budgeting KPIs

• Budget Adherence: Tracks how closely projects adhere to their allocated budgets. This includes monitoring cost overruns and taking corrective actions when necessary.
• Cost per Unit of Work: Measures the cost to complete a specific unit of work or task, helping identify areas where costs can be reduced, or efficiencies can be improved.
• Overhead Costs: Tracks indirect costs (e.g., administrative expenses) and ensures they remain in line with budgeted projections.
• Procurement Cost Savings: Measures the savings achieved in procurement processes, whether through supplier negotiations, bulk purchasing, or value engineering.
• Forecast Accuracy: Measures how accurate cost forecasts are compared to actual costs incurred, providing an indication of how well the commercial manager is estimating project costs.

3. Contract Management KPIs

• Contract Compliance: Tracks the adherence to terms and conditions in construction contracts, ensuring that all parties fulfill their obligations and reducing the risk of disputes.
• Variation Order Management: Measures the frequency and value of variation orders, which reflect changes in the scope of work. Monitoring these helps to ensure that scope creep is managed effectively.
• Subcontractor Compliance: Measures the extent to which subcontractors adhere to contractual obligations, including time, quality, and cost requirements.
• Dispute Resolution Rate: Measures the frequency and effectiveness of resolving disputes with clients, subcontractors, or suppliers. A lower rate of unresolved disputes indicates better contract and project management.

4. Procurement and Supply Chain Management KPIs

• Procurement Lead Time: Tracks the time it takes to procure materials and services for the project. Shorter procurement lead times ensure that materials are available when needed without delays.
• Supplier Performance: Measures the reliability and quality of suppliers, based on criteria such as on-time delivery, product quality, and pricing competitiveness.
• Material Cost Control: Measures the cost control for materials, ensuring that purchases are made at competitive prices without compromising on quality.
• Inventory Turnover: Measures the rate at which materials are used or sold, ensuring that the construction site is efficiently managing its stock levels.
• Sourcing Efficiency: Tracks the number of suppliers and vendors used, aiming to streamline procurement and reduce redundancies or inefficiencies in the supply chain.

5. Risk Management and Compliance KPIs

• Risk Mitigation Success Rate: Measures how effectively risks are identified and mitigated in projects. A higher success rate indicates that risks are being proactively managed and mitigated.
• Contractual Risk Management: Tracks the identification, assessment, and management of risks associated with contracts, such as penalties, delays, and scope creep.
• Regulatory Compliance: Ensures that projects comply with local, state, and national regulations, including safety standards, building codes, and environmental laws.
• Insurance and Bonding Coverage: Tracks the adequacy of insurance and bonding coverage for projects, ensuring that all commercial risks are adequately covered.
• Change Order Impact: Measures the impact of change orders on the project’s cost, schedule, and scope. Keeping this impact low is a sign of strong commercial oversight.

6. Project and Client Relationship Management KPIs

• Client Satisfaction (CSAT): Measures the client’s satisfaction with the overall financial management of the project, including budgeting, procurement, and contract management.
• Client Retention Rate: Measures how often clients return for future projects, reflecting the Commercial Manager's ability to maintain strong client relationships.
• Timeliness of Invoicing: Tracks how promptly invoices are issued to clients, ensuring smooth cash flow and reducing payment delays.
• Number of Payment Disputes: Measures the frequency and value of payment disputes, ensuring that invoicing and financial transactions are clear and dispute-free.
• Cost-to-Value Ratio: Tracks the cost of delivering services against the value perceived by the client. A favorable ratio helps in securing future projects.

7. Performance Efficiency KPIs

• Profitability per Project: Measures the profitability of individual projects, helping to identify which types of projects or clients deliver the highest return on investment.
• Project Overrun Frequency: Measures the frequency of budget or schedule overruns, indicating areas where project management or financial controls need to be improved.
• Utilization of Resources: Tracks the effective use of resources such as labor, equipment, and materials. High utilization rates reflect better management of project resources.
• Cost Forecast Accuracy: Tracks how accurate cost forecasts are in relation to actual project costs. A high degree of accuracy ensures that financial planning is effective.

8. Sustainability and Environmental KPIs

• Sustainable Procurement: Measures the extent to which the Commercial Manager sources materials and services that meet sustainability standards (e.g., LEED certification).
• Waste Reduction: Tracks the effectiveness of waste reduction practices in the procurement and construction phases, including the use of recycled materials and reducing landfill waste.
• Environmental Impact: Measures the project’s overall environmental impact, including energy consumption, emissions, and resource use. A lower impact reflects a focus on green building practices.
• Green Building Certifications: Tracks the number of projects that achieve green building certifications (e.g., LEED, BREEAM), reflecting the company’s commitment to sustainability.

9. Team and Process Efficiency KPIs

• Team Performance and Productivity: Measures the efficiency and effectiveness of the commercial team, focusing on the timely and accurate execution of tasks like cost estimation, procurement, and contract management.
• Training and Development: Tracks the number of hours spent on training commercial staff on best practices, contract law, procurement strategies, and other relevant skills.
• Process Improvement Initiatives: Measures the number of initiatives aimed at improving commercial processes, such as streamlining procurement, enhancing risk management, or automating invoicing.

10. Business Development and Market Position KPIs

• New Business Opportunities Identified: Tracks the number of new business opportunities identified through market research, networking, or client referrals. This helps expand the company’s portfolio.
• Market Share: Measures the company’s share of the target market, indicating the Commercial Manager’s success in positioning the company against competitors.
• Strategic Partnerships Developed: Tracks the number of new partnerships or alliances formed to enhance the company’s competitive advantage in the marketplace.
• Net Profit Margin: Tracks the profitability of the entire company, considering both direct and indirect costs. This is an indicator of overall financial health and project profitability.
• Cost Variance (CV): Compares the budgeted costs to actual costs for a specific project or phase. A positive variance indicates that the project is under budget.
• Cash Flow Management: Tracks the inflow and outflow of cash for the project, ensuring that there is enough liquidity for day-to-day operations and minimizing financial risk.
• Revenue Realization: Measures the percentage of forecasted revenue that has been realized in a specific period, providing insights into how well the commercial team is meeting financial targets.

Requirements:

• Bachelor’s degree in Civil Engineering, or related field.
• Minimum 10-15 years civil construction (e.g., roads, drainage, infrastructure, high-rise)
• MMUP/UPDA certification is an asset (for roles in Qatar)
• Locally available candidates only

Job Type: Full-time

Pay: QAR14,000.00 - QAR16,000.00 per month