PROJECT COST MANAGEMENT

PROJECT COST MANAGEMENT

1. 7.1 Plan Cost Management

   • Establishes the policies, procedures, and documentation for planning, managing, expending, and controlling project costs.
     • Inputs
       • Project management plan
       • Project charter
       • Enterprise environmental factors
       • Organizational process assets
     • Tools and techniques
       • Expert judgment
       • Analytical techniques
       • Meetings
     • Outputs
       • Cost management plan

2. 7.2 Estimate Costs

   • Developing an approximation of the monetary resources needed to complete project activities.
     • Tools and techniques
       • Expert judgment
       • Analogous estimating
       • Parametric estimating
         • Bottom-up estimating
           • Three-point estimating
             • Reserve analysis
               • Cost of quality
                 • Project management software
                   • Vendor bid analysis
                     • Group decision-making techniques
   • Inputs
     • Cost management plan
     • Human resource management plan
     • Scope baseline
     • Project schedule
     • Risk register
     • Enterprise environmental factors
     • Organizational process assets
   • Outputs
     • Activity cost estimates
     • Basis of estimates
     • Project documents updates

3. 7.3 Determine Budget

   • Estimated costs of individual activities or work packages to establish an authorized cost baseline
     • Inputs
       • Cost management plan
         • Scope baseline
           • Activity cost estimates
             • Basis of estimates
               • Project schedule
                 • Resource calendars
                   • Risk register
                     • Agreements
                       • Organizational process assets
     • Outputs
       • .Cost baseline
         • Project funding requirements
           • Project documents updates
     • Tools and techniques
       • Cost aggregation
         • Reserve analysis
           • Expert judgment
             • Historical relationships
               • Funding limit reconciliation

4. 7.4 Control Costs

   • Monitoring the status of the project to update the project costs and managing changes to the cost baseline
     • Tools and techniques
       • Earned value management
         • Forecasting
           • To-complete performance index (TCPI)
             • Performance reviews
               • Project management software
                 • Reserve analysis
     • Inputs
       • Project management plan
         • Project funding requirements
           • Work performance data
             • Organizational process assets
     • Outputs
       • Work performance information .
         • Cost forecasts
           • Change requests
             • Project management plan updates
               • Project documents updates
                 • Organizational process assets updates