Understanding the Lot Start Process

To build and manage effectively, you must create a structure for establishing the budget, managing costs, creating commitments (purchase orders and subcontracts), managing suppliers and subcontractors, and revising lot configuration information. The Lot Start process helps you manage all of these tasks.

The Lot Start process is designed to:

• Streamline the setup of and provide more control over jobs, budgets, and commitments.

• Manage changes, including supplier changes and option changes.

• Identify the status of lots throughout the construction process, including the status of pending and committed costs for each lot.

• Enable you to manage the progression of lot start information, including budgets and commitments.

• Enable you to manage profitability at a detailed level, from initial lot start through completion and sale.

• Track activity by using historical records.

  For example, you can research why a specific commitment line was generated or canceled by reviewing historical records.

The Lot Start process has three steps:

1. Generate the workfile.

2. Review and maintain the workfile.

3. Generate commitments.

The Lot Start process produces several documents, including:

• A configuration list.

  Many builders refer to this list as a garage sticker. They post the configuration list on the job site for subcontractors.

• A notice to proceed.

  A notice to proceed is also known as the AIA (American Institute of Architects) document.

• Purchase orders.

  Purchase orders are based on both bids and takeoffs.

The JD Edwards EnterpriseOne Job Cost system and the JD Edwards EnterpriseOne Procurement system interface with the JD Edwards EnterpriseOne Homebuilder Management system to provide the structure for cost management, analysis, and control.

See also:

• Interacting with the JD Edwards EnterpriseOne Job Cost System.