Project Budgeting and Cost Estimation and Cost-saving Techniques

Project Budgeting and Cost Estimation and

Cost-saving Techniques

Methodology

This training course relies on individual and group exercises aimed at helping participants learn the key activities associated with project budgeting and cost estimation. The course also includes case studies, role-playing, and constructive discussions, along with two tests—one at the beginning and one at the end of the course.

Course Objectives

By the end of the course, participants will be able to:

• Explain the process of project cost management and develop project cost management plans.
• Create a feasibility study and utilize capital budgeting techniques to evaluate long-term investments used in the project.
• Develop accurate estimates and identify different methods that can be used to estimate the overall project costs.
• Establish criteria for cost and project budgeting, explain contingency cases, and manage project contingency budgets.
• Determine project variances and calculate project performance measures using earned value analysis.
• Identify various cost-saving strategies for projects and apply concepts of continuous improvement to the overall financial resources of the project.

Target Audience

Project managers who wish to estimate the costs of their project activities, manage project budgets, and deepen their knowledge of various methodologies that help save project costs. This course is recognized by the Project Management Institute (PMI) as part of the Authorized Training Partner (ATP) program. This course is equivalent to 30 Professional Development Units (PDUs).

Program Content

• Overview
• Project Life Cycle
• Project Cost Management Processes
• Cost Management Plan
• Capital Budgeting
• Business Case
• Capital Budgeting Techniques
• Benefit/Cost Ratio (B/C)
• Return on Investment (ROI)
• Payback Period (PBP)
• Net Present Value (NPV)
• Internal Rate of Return (IRR)
• Decision Tree/Expected Monetary Value (EMV)
• Cost Estimation
• Work Breakdown Structure Creation
• Accuracy of Estimates
• Cost Estimation Techniques
• Expert Opinions
• Analogous Estimation
• Parametric Modeling
• Three-Point Estimation
• Project Budgeting
• Cost Aggregation
• Budget Preparation
• Types of Costs
• Contingency Reserves
• Cost Criteria
• Contingency Management
• Funding Limit Reconciliation
• Cash Flow Management
• Project Cost Improvement
• Cost-saving Strategies
• Cost-saving Strategies for Projects
• Labor Utilization Improvement
• Task Distribution Alignment
• Improving the Quality of Your Operations
• Project Duration Shortening
• Earned Value Path Diagrams
• Earned Value Management
• Variance Analysis
• Earned Value Analysis
• Cost Performance Measures
• Performance Measurement Baselines
• Project Prediction and Forecasting
• Accounts Management Control