PROJECT PLANNING AND

MANAGEMENT
Mid-Term Exam

University Name: Mehran University of Engineering and Technology

Submission Date: 19/07/20
Submitted to: Sir Abdul Qadir Shaikh
Submitted by: Halar Manzoor
Roll no: F16PG125
INTRODUCTION TO PROJECT COST
MANAGEMENT
 INTRODUCTION
 OBJECTIVES
 ELEMENTS
 IMPORTANCE
 COMPLEXITY EASE
 OUTCOME

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INTRODUCTION

 Project cost management is the process of estimating, budgeting, and

controlling costs throughout the project life cycle, with the objective of
keeping expenditures within the approved budget. 

 There are two involvements for a project cost management to work:

 Cost Management
 Cost Management Plan

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OBJECTIVES

 For a project to be called successful, it’s necessary that 

 it delivers on the requirements and scope 
 its execution quality is of a high standard 
 it’s completed within schedule and 
 it’s completed within budget.

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IMPORTANCE
 Some significant attributes about project cost management are:
 Determinant of Business Success
 Focal point of Decision making
 Measurement of performance
 Advisory Role
 Optimal Utilization of Resources

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COMPLEXITY EASE
 Cost management, similar to other aspects of project management, gets complex with
many variables in play. The process itself is elaborate, needing attention to detail along
with a rigorous approach. The use of project management software can simplify this
process considerably.
 Some project cost management software are:
 Hubstaff: Best overall
 Trigger: Best for cost-conscious businesses
 TimeCamp: Best customer support
 Harvest: Best third-party integrations
 Easy Projects: Most user-friendly
 Avaza: Best for startups
 Genius Project: Best for larger sales teams
 aPriori: Best for manufacturing
 Toggl: Best time tracking
 mpower: Best for engineers 7

 Microsoft Project: Best for Microsoft users

 Some advantages of using these softwares:
 Automation
 Forecast analysis
 Multicurrency management
 Integration of data
 Dashboard availability

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OUTCOME
 By implementing efficient cost management practices, project managers
can: 
 Set clear expectations with stakeholders
 Control scope creep due to transparencies established with the customer
 Track progress and respond with corrective action at a quick pace
 Maintain expected margin, increase ROI, and avoid losing money on the
project
 Generate data to benchmark for future projects and track long-term cost
trends

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REFERENCES
 https://
www.costmanagement.eu/blog-article/cost-management-explained-in-4-step
s
 https://
www.simplexpayroll.com/blog/2016/02/importance-of-cost-management-for-
business-success/
 https://www.ecosys.net/reference/project-cost-management/
 https://www.project-management-skills.com/project-cost-management.html
 https://
www.greycampus.com/opencampus/project-management-professional/cost-
management-overview
 https://www.ccstechnologygroup.com/the-importance-of-project-cost-manag
ement
/
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 https://www.business.org/finance/cost-management/best-cost-management
-software-solutions/