Exceptions are problems that throw the project out of tolerances and are usually handled by the project management team and only when project external support is needed, the escalation procedure as described below will be used. An exception occurs when for instance the construction period allocated has been exceeded. SIS will take corrective action when a project is off course, so that the project can still be successfully completed on time. An Exception Report is created immediately upon an exception situation. It includes information on the exception that has arisen, the resolution options that have been examined and the action that is proposed to be taken. The Exception Report is prepared by the Project Manager will also contain an explanation of why a given situation is an exception and the circumstances that led to the situation; a prediction of the schedule, cost, functional, quality and technical impact if no action is taken; the recommendation of the recovery action (changes to scope, organization, budget, timescale, etc) and the consequences of this corrective action.