PMP - Cost Mgmt

Processes for estimating, budgeting & controlling costs so the project can be completed within budget

Estimating the costs of resources needed to complete the project activities

• Inputs:
• 1. Scope Baseline
• 2. Project Schedule
• 3. Human Resource Plan
• 4. Risk Register
• 5. EEF
• 6. OPA

• Tools:
• 1. Expert Judgment
• 2. Analogous Estimating
• 3. Parametric Estimating
• 4. Bottom-up Estimating
• 5. Three-Point Estimates
• 6. Reserve Analysis
• 7. Cost of Quality
• 8. Project Management Estimating Software
• 9. Vendor Bid Analysis

• Outputs:
• 1. Activity Cost Estimates
• 2. Basis of Estimates
• 3. Project Document Updates

Aggregating estimated costs to establish a cost baseline

• 1. Activity Cost Estimates
• 2. Basis of Estimates
• 3. Scope Baseline
• 4. Project Schedule
• 5. Resource Calendars
• 6. Contracts
• 7. OPA

• Tools:
• 1. Cost Aggregation
• 2. Reserve Analysis
• 3. Expert Judgment
• 4. Historical Relationships
• 5. Funding Limit Reconciliation

• Outputs:
• 1. Cost Performance Baseline
• 2. Project Funding Requirements
• 3. Project Document Updates

Monitoring Status and managing changes to the cost baseline

• Inputs:
• 1. Project Management Plan
• 2. Project Funding Requirements
• 3. Work Performance Information
• 4. OPA

• Tools:
• 1. Earned Value Management
• 2. Forecasting
• 3. To-complete performance index
• 4. Performance Reviews
• 5. Variance Analysis
• 6. Project Management Software

• Outputs:
• 1. Work Performance Measurements
• 2. Budget Forecasts
• 3. OPA updates
• 4. Change Requests
• 5. Project management plan updates
• 6. Project document updates