How to Deliver Effective Project Cost Management

Project Cost Management can easily seem both dull and difficult. But whatever your attitude to it, there's nothing your finance director will care about more.

And that means your client, boss, or project sponsor will care about your cost management too. After all, your job title may be Project Manager, but your role is to act as a steward. You're a steward for the project and all of its resources: and that includes money.

So, effective cost management is non-negotiable. It isn't your money. So you need to look after it.

And that means two things:

1. Estimating costs and creating your project budget from them
2. Monitoring and controlling project expenditure to adhere to your budget

The Project Management Institute’s (PMI’s) Project Management Body of Knowledge (the PMBoK) has Project Cost Management as one of its ten Knowledge Areas (or KAs).

In this video, I'll take you through all the key aspects of project cost management:

- What project cost management is
- Your ‘Project Cost Management Plan’
- Establishing your costs - the processes of estimating and budgeting
- The governance considerations for project cost management
- Monitoring and controlling project expenditure
- Tailoring your project cost management process

[Jaguar]

Thank you for this video. Most of the time, internal IT projects only considers the cost of contractors, staff, software licenses, HW costs, and vendor services. We do not include office and general admin costs which is actually paid by the organization.

[adedayoadeyinka]

Your video was recommended by my cost management instructor. Great work, very insightful and concise. Thank you

[AlusineKamara]

This is perfect it make me learn so much from this videos, especially young people like us who want are taking project Management as our profession but did not get the opportunity to further our carrier in the course.

[milner]

Wow. This was very interesting! And that stage process from Prince2 methodology is quite intriguing.

Thank you for sharing

[venturer]

Is work package considered as deliverables?

[neliswamkhwanazi]

Hi Sir can you help double check my project cost Management? It's due tomorrow

[DitechGaming]

I just wonder how much you get paid by the "University of Windsor"?
Because your content on every single class, i'm sure my classmates love your happy bald face

👨‍🦲

[militantessayons]

If you close your eyes he sounds like BBC