Thanks for your interest in Project Cost Management (PMBOK®). You find hereafter the definition and the processes involved in Project Cost Management (PMBOK®) as well as a link to free downloadable templates in the download area on this page. I developed the templates over time from real life documents. You find the download links in the download area at the bottom of this page.
It is important to prepare a solid Project Cost Management Plan. The Project Cost Management Plan includes the details how cost will be
- Structured, and
The Project Cost Management Plan is a component of the Project Management Plan.
Definition of Project Cost Management
The PMI™ defines Project Cost Management as:
Project Cost Management includes the processes involved in planning, estimating, budgeting, financing, funding, managing, and controlling costs so that the project can be completed within the approved budget. (PMBOK® Guide)
Project Cost Management Processes
The PMI™ defines the processes as follows:
- Plan Cost Management
- Plan cost management is the process of defining how the project costs will be estimated, budgeted, managed, monitored, and controlled.
- Estimate Cost
- Estimate cost is the process of developing and approximation of the monetary resources needed to complete the project works.
- Determine Budget
- Determine budget is the process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline.
- Control Cost
- Control cost is the process of monitoring the status of the project, to update the project costs, and manage changes to the cost baseline.