1.1.1 Cost Management Processes
After the approval of Cost Management plan, Project Manager will ensure that following processes complete on specified times:
• Project Cost Estimation process must be completed within 14 working days of the Cost Management Plan approval. Project Control Accounts Manager and Project Finance Officer will be responsible for completing all documents related cost estimation.
• Project Budget Determination should be completed within 21 working days of the cost management plan approval. Project Finance Officer will have the duty to determine budget while Project Manager will be responsible for analyzing and approving final cost base-line.
• Project Cost Control process will start with first monthly financial report of expenditures and will proceed …show more content…
Out of the three different processes to calculate EAC, third one will be used to accommodate CPI and SPI in calculation which will give a close to reality estimate in terms of schedule too. Project Manager has the duty to analyze performance measurement reports and approve them or to make budget change proposals (BCP) on recommendation of PFO if actual cost is exceeding control threshold level.
1.1.9 Cost Closeout
At the termination of the project, Project Finance Officer has the responsibility to compile all data related to cost of the project and to forward it to Project Manager. Project Manager has the duty to review and approve that document and to submit it to the Project Management Office.
1.1.10 Project Cost Tool
MS Excel will be used as a Cost tool for tracking and budgeting information, all the spreadsheets for cost estimation and budgeting will be managed on excel along with the periodic EVM analysis graphs used for Project cost
After the approval of Cost Management plan, Project Manager will ensure that following processes complete on specified times:
• Project Cost Estimation process must be completed within 14 working days of the Cost Management Plan approval. Project Control Accounts Manager and Project Finance Officer will be responsible for completing all documents related cost estimation.
• Project Budget Determination should be completed within 21 working days of the cost management plan approval. Project Finance Officer will have the duty to determine budget while Project Manager will be responsible for analyzing and approving final cost base-line.
• Project Cost Control process will start with first monthly financial report of expenditures and will proceed …show more content…
Out of the three different processes to calculate EAC, third one will be used to accommodate CPI and SPI in calculation which will give a close to reality estimate in terms of schedule too. Project Manager has the duty to analyze performance measurement reports and approve them or to make budget change proposals (BCP) on recommendation of PFO if actual cost is exceeding control threshold level.
1.1.9 Cost Closeout
At the termination of the project, Project Finance Officer has the responsibility to compile all data related to cost of the project and to forward it to Project Manager. Project Manager has the duty to review and approve that document and to submit it to the Project Management Office.
1.1.10 Project Cost Tool
MS Excel will be used as a Cost tool for tracking and budgeting information, all the spreadsheets for cost estimation and budgeting will be managed on excel along with the periodic EVM analysis graphs used for Project cost