for Financial Reporting of
Construction Contracts
SECOND EDITION
By Ariba Isaac Robinson
Department Of Quantity Surveying
Ogbonnaya Onu Polytechnic
Aba, Abia State, Nigeria
Abstract
The study examined flowcharting as a digital tool for financial reporting of construction contracts. In doing this, the study was anchored on two research objectives – to demonstrate how flowcharting is created and used for financial reporting of construction contracts; and to justify use of flowcharts for financial reporting of construction contracts. In justifying use of flowcharts for financial reporting of construction contracts, a survey research design was adopted to source for primary data from 50 financial experts who are sound in both construction and information/communication technology using questionnaire comprising of two research questions with multiple choice items. The questionnaire was constructed using Likert Four-Point Scale Response and analyzed using weighted mean. Following development of flowcharts, the study found that flowcharting could be helpful in simplifying, standardizing and verifying of financial reports in the execution of construction contracts. The study also found that there is justification for the use of flowcharts for financial reporting of construction contracts. Making flowcharting integral part of construction contract documents, setting up of an autonomous unit under department of financial information of construction companies and organizing special training for financial experts in the construction industry on flowcharting were among recommendations made.
Keywords: construction contracts, digital tool, flowcharting, financial reporting, information and communication technology
1.0 Introduction
Financial reporting and Information and Communication Technology (ICT) have always made common cause especially in terms of progression and workability. However, the technology innovations within the financial sector have greatly improved the way the financial services industry creates and disseminates reports today. Improved reporting paves the way for financial leaders to handle data in a more structured, procedural and quantitative manner, paying attention to both clients and companies’ bottom line (Dao, 2018).
Financial reporting is the process of recording and disseminating monetary transactions of an organization. Rouse (2018) defines financial reporting as the process of producing statements that disclose an organization’s financial status to management, investors and the government while Robinson (2018) defines finance as the science that describes the management, creation and study of money, banking, credit, investments, assets and liabilities. Robinson (2018) stated that finance deals with the study of investment and includes the dynamics of assets and liabilities over time under conditions of different degrees of uncertainty and risk. He also stated that a key point in finance is its consciousness on time value and its aims at pricing based on associated level and expected rate of return. Its process includes identifying, collecting, summarizing, analyzing, and reporting these activities with financial implications to regulatory agencies as approved by law.
This process follows laid down procedures and are carried out within a specified financial period. Financial reporting is time, accuracy and risk conscious; and it is only Information and Communication Technology (ICT) which flowcharting is part of that can bring such consciousness to fruition. Financial reporting is a function of information that must be properly disseminated within a system following a predetermined procedure. Procedures follow a predetermined sequence of instructions called algorithm; and financial information system is not an exception. Flowcharting is a visual representation of an algorithm using recognizable and standard shapes. This predetermined process is procedural and uniform based on acceptable standard by an organization. In other words, a sequence or step by step approach is strictly adhered to. While some steps are verbally presented, others are visually presented. The visually presented ones are done through flowcharting using graphs, symbols, charts and the like. Financial reporting system embraces flowcharting as a means of carrying its activities.
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Editor’s note: Second Editions are previously published papers that have continued relevance in today’s project management world, or which were originally published in conference proceedings or in a language other than English. Original publication acknowledged; authors retain copyright. This paper was originally presented at the 1st International Conference, The Quantity Surveyor’s Edge, Department of Quantity Surveying, Enugu State University of Science and Technology, Enugu, Nigeria, 25-26 June 2025. It is republished here with permission of the authors and conference organizers.
How to cite this paper: Robinson, A. I. (2026). Title; Originally presented at the 1st International Conference, The Quantity Surveyor’s Edge, Department of Quantity Surveying, Enugu State University of Science and Technology, Enugu, Nigeria, 25-26 June 2025; republished in the PM World Journal, Vol. XV, Issue X, October. Available online at https://pmworldjournal.com/wp-content/uploads/2026/10/pmwj169-Oct2026-Robinson-Flowchartiing-as-Digital-Tool-2nd-ed.pdf
About the Author
Ariba Isaac Robinson
Aba, Nigeria
Ariba Isaac Robinson is currently an Instructor at Department of Quantity Surveying, Ogbonnaya Onu Polytechnic (Formerly, Abia State Polytechnic), Aba, Nigeria. His highest academic qualification is M.Sc. in Quantity Surveying while his areas of Specialization are Quantity Surveying and Accounting. His relevant work experience started in 2007 when he was employed by the Polytechnic as a Quantity Surveying Instructor. He has published 3 books, 11 journals articles; and presented 19 conference papers and one workshop manual. He was an executive member of Nigerian Institute of Quantity Surveyors, Abia Chapter for 6 years.
