Practical sheet | REF: FIC1700 V1

Identify the different causes of cost variances

Author: Jean-Pierre PAYRE

Publication date: December 10, 2020 | Lire en français

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4. Deal with discrepancies as they arise

Despite the initial analysis, unforeseen events can lead to a deviation in the forecast at the end of the business.

First of all, you should ask the person responsible for the batch in question to find out :

  • he knows the cause of the discrepancy (technical, planning, contractual, etc.);

  • whether the deviation has already occurred, or whether it is a forecast deviation on which he can still take action;

  • if an action plan is already in place.

Based on this information, you will be able to see the possible impact on your forecast and what room for manoeuvre you have:

  • the risk is already provided for in the provisions for risks ;

  • the risk...

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