Module 6 of 10

Procurement and Cost Control

Buying right and catching leakage while it is still cheap to fix — supplier rates, landed-cost comparison, PO and GRN discipline, reconciliation, and reports that actually get read.

1. 6.1 The Procurement Cycle on a Residential ProjectMost residential sites buy material on phone calls and memory. Here is the eight-step paper trail that stops leakage — and a worked example of timing an order so the slab is never waiting for steel.7 min read
2. 6.2 Supplier Rate History Tracking That Actually Saves MoneyYou cannot negotiate against a rate you do not remember. A simple monthly rate register turns every future purchase into an informed one — here is the format and a worked rate-lock example.7 min read
3. 6.3 Comparing Quotations: Landed Cost, Not Sticker PriceThe supplier with the lowest quoted rate wins most comparisons on Indian sites — and loses many of them on actual cost. A worked 10-tonne steel comparison shows how to find the real number.7 min read
4. 6.4 Purchase Orders and GRN DisciplineThe PO is your contract; the GRN is your evidence. A worked steel-delivery check shows how counting bars and reading the weighbridge slip caught a Rs. 8,990 shortage the invoice would have hidden.7 min read
5. 6.5 Material Reconciliation and Wastage NormsConsumption minus theory equals wastage — or leakage. A worked cement reconciliation catches 26 excess bags, and a table of accepted wastage planning ranges tells you when to worry.8 min read
6. 6.6 Weekly Cost Control Reports the Owner Will ReadOwners do not ignore cost reports because they dislike numbers; they ignore reports that answer no question. One page, five columns, three variances with actions — here is the format, fully worked.7 min read