Project Cost Management

Project Cost Management - Definition, Processes, Templates

project cost managementYou find hereafter the definition and the processes involved in Project Cost Management (PMBOK®) as well as a free Project Cost Management Plan Template and other templates further down on this page. I developed the templates over time from real life documents.

A solid Cost Management Plan includes the details how cost will be

  • Planned,
  • Structured, and
  • Controlled.

The Project Cost Management Plan is a component of the Project Management Plan.

Cost Management Definition (PMI)

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)

Cost Management Processes (PMI)

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.

Download Area Cost Management Templates

All you need to know about Project Cost Management

Cost Management: A Strategic Emphasis 8th Edition

Cost Management: A Strategic Emphasis, by Blocher/Stout/Juras/Smith is dedicated to answering the question: Why Cost Management? It answers this question by providing cost-management tools and techniques needed to support an organization's competitiveness, improve its performance, and help the organization accomplish its strategy.

The text is written to help students understand the broader role of cost accounting in helping an organization succeed - and not just the measurement of costs. While the text does include coverage of traditional costing topics (e.g., job-order costing, process costing, service-department cost allocations, and accounting for joint and by-products), its primary strength is the linkage of these topics, as well as more contemporary topics, to an organization's strategy. And with Connect, an easy-to-use homework and learning management solution that embeds learning science and award-winning adaptive tools to improve student outcomes, instructors receive a course solution that includes high quality content and assessment paired with assignments that help students build the skills they need to succeed.

New Co-author: Steven D. Smith is an associate professor of accountancy and the Kristine V. and Randy J. Vest Fellow in the Marriott School of Business at Brigham Young University (BYU). Professor Smith's expertise is in the areas of management control systems, focusing on the provision of incentives and performance measurement.

Check Project Cost Management

16 Comments

  1. I’m not ѕure wherе you are getting your information, but good topic.
    I needs to spend some time lеarning morе or understanding more.
    Thanks for magnificent info I was looking for this info for my misѕion.

  2. Its not my first time to go to see this site, i am visiting this web
    page dailly and take fastidious information from here daily.

  3. I am new to project management and the templates are a great help and starting point for me. Thank you.

  4. Thank you very much, The template is very much useful and appropriate to the current project we want to propose.

  5. Hello, Marc: I am developing a graduate level Project Cost Management project management course at Bellevue University, Bellevue, NE as a part of the University’s Project Management Graduate Degree Curriculium. Please reply to my email address to let us know whether you give BU permission to use a customized version of your Cost Management Plan Template for graduate students to complete as a requirment for completing the course?
    Thank you,
    Dr. Robert W. Zapf, D.M., PMP®, MCT®
    Adjunct Professor, Project Management
    Bellevue University

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.