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Cost Control and Forecast AI Agent · ProjectVIEW AI
What does the Cost Control and Forecast AI Agent do?
The Cost Control and Forecast AI Agent is an AI cost control agent within DANAOS ProjectVIEW AI. It is designed to forecast cost at completion, detect margin erosion and estimate the probability of overrun for each project, using budget, committed and actual cost held in ProjectVIEW ERP. It explains each warning, and the cost controller or project manager approves any change to the forecast. It is also designed to run Monte Carlo analysis on each project to estimate the range of cost to complete and to size the cost of risk mitigation, as part of a full risk management analysis.
Cost Control and Forecast AI Agent · ProjectVIEW AI
Which ProjectVIEW ERP data does it use?
The agent reads the data in the Cost Control module of ProjectVIEW ERP. Because cost is recorded against BoQ, WBS and Cost Codes, it can trace a variance down to the item that caused it.
- Budget by BoQ item, WBS element and Cost Code
- Committed cost from purchase orders and subcontracts
- Actual cost from invoices, timesheets, materials and machinery
- Progress and earned value (EVM) data
- Approved and pending variations
Cost Control and Forecast AI Agent · ProjectVIEW AI
How does it work?
The agent follows the ProjectVIEW AI agent cycle. Applied to cost control:
- Detect: identify cost codes or WBS elements where committed or actual cost is trending above budget or above earned value.
- Investigate: trace the variance to purchase orders, subcontracts, quantities or productivity.
- Explain: state in plain language why the forecast is moving, for example “Why is Project Alpha over budget?”.
- Recommend: propose a revised forecast cost at completion and the items that need action.
- Request approval: send the proposed forecast to the cost controller.
- Execute: after approval, update the forecast in ProjectVIEW ERP.
- Audit: keep the reasoning, the approver and the before and after values.
Forecasts are probabilistic. ProjectVIEW ERP remains the record of what was approved; the agent supplies the early warning and the explanation.
Cost Control and Forecast AI Agent · ProjectVIEW AI
What goes in, what comes out and where does a person approve?
Main inputs, outputs and decision points:
| Inputs | Outputs | Human approval point |
|---|---|---|
| Budget, committed and actual cost by Cost Code | Cost codes trending over budget, ranked by impact | Cost controller selects items to investigate |
| Progress and EVM data | Forecast cost at completion and probability of overrun | Cost controller approves or edits the forecast |
| Variations and change orders | Margin erosion explained by cause | Project manager confirms corrective actions |
| Portfolio of projects | Executive briefing on projects most likely to exceed budget | Management decides on escalation |
| Risk register, remaining work and uncertainty ranges per item | Monte Carlo range of cost to complete (for example P50 and P80) and the cost to mitigate each main risk | Cost controller and project manager agree the contingency and mitigation budget |
Cost Control and Forecast AI Agent · ProjectVIEW AI
How is the agent governed?
The Cost Control and Forecast AI Agent works inside ProjectVIEW ERP governance, following the chain Identity → Role → Permission → Data → AI → Action. It sees only the data the user’s role allows and proposes only actions that role could take. AI should operate inside enterprise governance, not around it.
- Consequential actions always need human approval.
- Every recommendation, approval and change is recorded for audit.
- Data stays in the client’s private environment and is not sent to public consumer AI services.
Cost Control and Forecast AI Agent · ProjectVIEW AI
Example: how could it work on a project?
Illustrative example. A contractor runs a building project, Project B. Concrete works show committed cost rising faster than progress.
The agent detects the trend on the concrete cost code, traces it to a supplier price change and lower productivity on two floors, and explains both causes with links to the underlying records.
It proposes a revised cost at completion and flags the margin impact. The cost controller adjusts one assumption, approves the forecast, and the project manager opens a review of the productivity issue. The change is logged.
Cost Control and Forecast AI Agent · ProjectVIEW AI
Who uses it?
The agent is designed for the people who own project cost:
- Cost controllers who prepare monthly forecasts and explain variances
- Project managers and executives who need early warning, not end-of-month surprises
It applies to construction, shipbuilding and repair and other project-based industries that control cost against a BoQ and WBS.
Frequently asked questions
How is an AI cost control agent different from a cost report?
A report shows the numbers. The agent is designed to find where the trend is moving, explain why and propose a forecast. ERP records what happened; AI explains why it happened and what will happen next.
Does it change the forecast automatically?
No. It proposes a forecast and the cost controller approves, edits or rejects it. Every change is recorded with the approver and the reasoning.
Does it need committed cost, or only actual cost?
It works best with committed cost, because purchase orders and subcontracts show exposure before invoices arrive. ProjectVIEW ERP records committed cost against the same Cost Codes as the budget.
Does it use Monte Carlo simulation?
Yes. It is designed to run Monte Carlo analysis on the cost to complete of each project, using the uncertainty ranges of the remaining work and the risks in the register. It shows the likely range of final cost and sizes the cost of risk mitigation, so contingency is set on evidence.