Project Finances in the Initiation Stage [Video]

From the The Money Files Blog
by
A blog that looks at all aspects of project and program finances from budgets, estimating and accounting to getting a pay rise and managing contracts. Written by Elizabeth Harrin from GirlsGuideToPM.com.

About this Blog

RSS

Recent Posts

Deep Dive: Project Schedule Management: Trends and Tailoring

Negotiating and Contracting [Video]

3 Levels of Risk Management

5 Tips for Better Presentations

Vendor Selection [Video]


Categories: video


You first think about how much a project will cost in the initiation stage.

At project initiation, cost management and project financials are really about understanding. Understanding what you are doing and why, and how much you get out and how much you need to put in.

Firstly, consider whether it aligns to the organisation’s financial strategy, and whether it will create a suitable return. You’ll also want to work out how long it will take to get this return, or work with your financial management team to do so.

The project charter should include a description of the financial success of the project and how it will be measured.

You’ll use these as the success criteria for how the project will be judged on financial performance at the end.

You might be able to add costs to any risks mentioned at this point in the project charter.

The tips here are all discussed in more detail in this book Project Management Accounting. It’s a great primer on the financials relating to projects and it goes into a lot of detail so it’s handy for beginners and those with more experience.

Posted on: January 04, 2016 11:59 PM | Permalink

Comments (1)

Please login or join to subscribe to this item
I agree. Measures of success, quantitative in a dashboard for reporting, are required.

Please Login/Register to leave a comment.

ADVERTISEMENTS

"Do not fear to be eccentric in opinion, for every opinion now accepted was once eccentric."

- Bertrand Russell

ADVERTISEMENT

Sponsors