BSBPMG412 Apply

Project Cost-
Management
Techniques Blended
Delivery

Delivery and
Assessment
Guide
Northern Sydney Institute
School of Business and
Finance
 Delivery and Assessment Guide

Table of Contents
Facilitator and Head Teacher Contact Details ..................................................................................... 3
Unit of Competency: BSBPMG412 Apply Project Cost-Management Techniques .............................. 4
Elements....................................................................................................................................... 4
Resources ............................................................................................................................................. 4
Delivery Schedule ................................................................................................................................. 5
Assessment .......................................................................................................................................... 5
Assessment Task 1: Individual Assignment.................................................................................. 6
Assessment Task 2: Quiz .............................................................................................................. 8
Assessment Task 3: Classwork ..................................................................................................... 9
Additional Assessment Information .......................................................................................... 10
Appendix A – Assessment Task 1 - Workbook for Apply Project Cost Management Techniques .... 12
Element 1: Assist with the development of the project budget ............................................... 12
Element 2: Monitor project costs .............................................................................................. 13
Element 3: Contribute to cost finalisation process.................................................................... 14
Appendix B – Assessment Task 3 – Classwork – Apply Project Cost Management Techniques ....... 16

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Facilitator and Head Teacher Contact Details
Facilitator Name: Sue Stubbs
Email Address: sue_stubbs@hotmail.com

Facilitator Name: Brett Collins

Email address: brett.collins28@tafensw.edu.au

Head Teacher: Name: Jenny Martin, Business Services

Email Address: Jennifer Martin13@tafensw.edu
Phone Number: 9942 0095
Location: St Leonards Campus Room B1.26

Head Teacher: Nola Sher, Business Services

Email Address: Nola.Sher@tafensw.edu.au
Phone Number: 9942 3045
Location: Meadowbank Campus

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 Delivery and Assessment Guide
Unit of Competency: BSBPMG412 Apply Project Cost-Management
Techniques
Elements
Element Performance Criteria
1.1 Implement cost-estimating methods against duration/effort and
1. Assist in developing the
resource requirements
project budget
1.2 Determine estimated costs for tasks and activities and confirm
degree of accuracy with relevant stakeholders
1.3 Communicate cost estimates where required to others to
contribute to project budget and cash flow management
1.4 Contribute to developing cost-management strategies and
processes, and providing financial authorisation within delegated
authority
2.1 Monitor income and expenditure against the project budget
2. Monitor project costs
baseline at predetermined intervals
2.2 Identify and report variations in the budget using established
project cost methods, techniques and tools
2.3 Implement action and report progress to ensure cost objectives
remain achievable throughout the project life cycle
3.1 Assist in the finalisation and transfer of financial assets, liabilities
3. Contribute to cost-
and records to relevant parties
finalisation process
3.2 Assist in the review of project outcomes through the use of
project cost records to determine the effectiveness of cost-
management processes
3.3 Document cost-management lessons learned for application to
future projects

The complete unit of competency is available on the Training.Gov.Au website.

Resources
The following resources are required for this unit:

Resource Additional Information

A Guide to the A Guide to the Project Management Body of Knowledge (PMBOK® Guide),
Project Newtown Square PA, Project Management Institute, 2013, 5th edition
Management Body ISBN13: 978-1-935589-67-9
of Knowledge 5th
Edition

Optional: Project Project Management in Practice by Pearson, Larson and Gray, McGraw-Hill,
Management in 2013, ISBN13: 9781743077238
Practice

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Resource Additional Information

studEspace Site at:

(Learning http://nsfsakai.nthsydney.tafensw.edu.au/library/skin/nsi/home.html
Management
System)

Delivery Schedule

Session Date Content

Number

8 Refer to Course Prior to class (self-study):

Outline studEspace: Apply Project Cost Management Techniques
 Delivery and Assessment Guide
 Learning Program – Apply Project Cost Management
Techniques

In class:
 Cost Introduction
 4.1 Project Charter: Cost
 4.2 Develop the Project Management Plan: Cost
 7.1 Plan Cost Management
 7.2 Estimate Costs
 7.3 Determine Budget
 7.4 Control Costs

Assessment Task 3: Classwork.

Assessment
Task Overview Due Date Weighting Unit of Competency

1. Individual Assignment Refer to Course Satisfactory/ BSBPMG412 Apply Project

Outline Not Cost-Management
Satisfactory Techniques

2. Quiz: 10 multiple-choice Refer to Course Satisfactory/ BSBPMG412 Apply Project

questions Outline Not Cost-Management
Satisfactory Techniques

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Task Overview Due Date Weighting Unit of Competency

3. Classwork Refer to Course Satisfactory/ BSBPMG412 Apply Project

Outline Not Cost-Management
Satisfactory Techniques

Assessment Task 1: Individual Assignment

Student Instructions
Project Choice
Your selected project must be agreed between you and your facilitator so that its methodology,
tools and techniques conform to the performance requirements of each Unit of Competency
before you start work on the unit.

You may use the same project for all units in this Course, unless your selected project changes
during the Course or cannot conform to the performance requirements of any of the Units of
Competency. If either or both of these events occur during your course, you must contact your
facilitator to find out what you need to do to continue to satisfy the Course performance
requirements and achieve competency.

Your selected project must have:

 a practical and comprehensive project plan

 a documented communications strategy
 a detailed project budget
 strategic engagement with stakeholders
 a risk, issues and change-management methodology
 a quality plan with assurance and control processes
 a supportive team-based environment.

Note: it is recommended the project be undertaken within an organisation, business or you are
operating as a consultant. If you continue to the Diploma of Project Management this is
mandatory and it is a mandatory requirement for certification with the Australian Institute of
Project Management.

Workbook
 Use the Workbook provided in Appendix A of the Cost Management Delivery and Assessment
Guide to answer the questions
 All questions in this assignment must be applied to your project (unless otherwise stated) and
specific answers (not just theory) are required to show you can apply what you have learnt to
your project.
 Any answers without reference to your experience will not be assessed as satisfactory

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 Your answers must be satisfactory for all questions.

Submission
Note: It is important for project management to show you can meet deadlines.
 Your completed assignment Task 1 (Workbook) must be submitted to the assignments area in
studEpace by the due date for assessment
 Electronic copies are required for audit purposes.
 More than three attachments for a submission will not be accepted. Accepted file types are:
MS Word, MS Excel, MS PowerPoint, MS Project, MS Publisher and PDF. Versions accepted are
2003 onwards.
 Save Appendix A Workbook as a separate document in your personal course records
 Answer all of the questions and save your answers in .doc or .docx format with the file name –
Cost_AT1_(date)_(Your name__Version (No.).
 Upload to assignments tab in Assessments area in studEspace for assessment

Feedback and Resubmission

You will receive your feedback within two weeks.

You will be notified by email by your facilitator when results are available.

You will need to visit this Assignments area in studEspace and down load your feedback.

Where a student’s answers are deemed not satisfactory after the first attempt a resubmission may
be requested. If a student has demonstrated consistent effort in the learning of a module then, at
the teacher’s professional discretion, the student may be awarded a resubmission. This
resubmission must be made as soon after the initial assessment as possible.
This resubmission must be made as soon after the initial assessment as possible.
When you upload a resubmission to studEspace, it must be version controlled as the resubmitted
version under the File Name: Cost_AT1_(date)_(Your Name)_Version (No).
Students must not remove any previously submitted documents are they are required for auditing
and compliance requirements and will not affect your final satisfactory result.

Criteria for competency

To achieve competency in the unit BSBPMG412 Apply project cost-management techniques, you
are required to demonstrate your knowledge, skills and experience to:

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 assist in implementing cost-estimating methods against duration/effort and resource
requirements
 assist in determining cost estimates for tasks and activities and confirm degree of accuracy
with relevant stakeholders
 communicate cost estimates where required to others to contribute to project budget and
cash flow management
 contribute to developing cost-management strategies and processes and finalisation
authorisation within delegated authority
 monitor income and expenditure against the project budget baseline at predetermined
intervals
 identify and report variations in the budget using established project cost methods, tools and
techniques
 implement action and report progress to ensure cost objectives remain achievable throughout
the project life cycle
 contribute to the cost-finalisation process by assisting with the finalisation and transfer of
financial assets, liabilities and records to relevant parties
 assist in the review of project outcomes through the use of project cost records to determine
the effectiveness of cost-management processes
 document cost-management lessons learned for application to future projects.

Assessor Instructions
Assessment Task 1 requires the student to submit evidence in a project to demonstrate that
student has the knowledge, skills and experience to apply project cost management techniques.
The assessor:
 choice according to the criteria listed in the Project Choice section above
 advises each student that their project satisfies the course requirements according to the
student’s course timetable
 assesses each student’s work to ensure that their work satisfies the performance criteria for
competency listed above in Assessment Task 1
 completes each student’s assessment within 2 weeks of submission
 provides feedback as required about the student’s work overall and/or individual task
elements in writing
 requests each student to resubmit their work or components of their work to satisfy the
performance criteria for competency as soon as possible after each assessment
 notifies each student that they are Satisfactory/ Not Satisfactory in writing
 records each student’s results in EBS.

Assessment Task 2: Quiz

Student Instructions
The Quiz is comprised of 10 multiple-choice questions and is administered by studEspace in
the Tests and Tasks area of the Apply Project Cost Management Techniques Site. The questions
are drawn from the Project Management Body of Knowledge (PMBoK) and from the Learning
Program.
All quizzes are timed to take 30 minutes and be conducted as an open book revision exercise.

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It should be undertaken as an individual assessment with no student interaction or teacher
interaction. Once the time limit is exceeded, the Quiz will save and submit your answers – you
need to be careful to complete the quiz in the time given.
You will be allowed two attempts at the Quiz – you must receive at least 16 marks out of 20 for
one of these attempts.
Feedback: studEspace will give you your mark on submission.

Assessor Instructions
Assessment Task 2 requires the student to answer questions about project cost and submit their
answers on the studEspace Apply Project Cost Management Techniques site. Answers must
demonstrate the student’s application of their cost management knowledge to their project
management skills and experience.
The assessor:
 assesses each student’s answers in accordance with the performance criteria for competency
listed in Assessment task 1
 should not accept theoretical answers or answers copied directly from texts without
acknowledgement of the text
 check whether the student’s answers are consistent with the model answer provided for most
quiz questions
 assess each student’s answers and provide feedback within 2 weeks of submission
 notifies each student that they are satisfactory/ not satisfactory in writing
 records each student’s results in EBS.

Assessment Task 3: Classwork

Student Instructions
Short Classwork exercises require you to demonstrate your knowledge, skills and experience in
project management practice, according to the competency requirement listed above for
Assessment Task 1.
This assessment task is completed as group exercises during the learning sessions. During this time
your facilitator will observe and assess you on a number of foundation skills.
If you cannot attend please notify your facilitator who will discuss the assessment requirement
with you.
Details of the Assessment Task 3 Classwork Exercises are in Appendix B.

Assessment Criteria
The classwork or individual exercises must satisfy the performance criteria listed above.
Submission:
Follow the instructions for the assessment task listed in Appendix B.

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Assessment and Feedback:
You will receive assessment results and feedback from your teacher within two weeks of your
submission.

Your classwork activities must be complete and assessed as satisfactory by the completion of your
course to achieve competency in the overall course.

Assessor Instructions
Assessment Task 3 requires the student to participate in groups to complete the required project
cost activities.
The assessor:
 must inform the students about the purpose, the competency and foundation skills
requirements
 must inform the students that each student must complete and submit their individual
completed template for assessment
 must inform the students that individual participation in group discussion is mandatory
requirement to achieve a satisfactory result
 must observe and encourage active participation in the group activity
 provide support and guidance to the students during the exercise
 must inform the students that their answers must satisfy the performance criteria for
competency listed in Assessment Task 1 and the foundation skills listed above
 assess each student’s answers and provide feedback within 2 weeks of submission
 notifies each student that they are Satisfactory/ Not Satisfactory in writing
 records each student’s results in EBS.

Additional Assessment Information

Finding out Other than from your teacher, unit results may also be accessed using your log-on
results to the Learner Portal. You should have received information about the Learner
Portal when you enrolled.

Dispute of If you do not agree with the result given for your assessment, you may appeal the
Mark/grade assessment decision. You should first discuss the assessment result with your
teacher. If you are not satisfied with the outcome of that discussion you can access
the appeal process through the staff in the campus administration office.
If you have a permanent or temporary condition that may prevent you successfully
Reasonable
completing the assessment task(s) you should immediately talk with your teacher
Adjustment
about ‘reasonable adjustment’. This is the adjustment of the way you are assessed
to take into account your condition and may include providing a support person or
extra time. The assessment criteria cannot be altered.
All TAFE students are eligible to apply for credit for previous formal, informal and
Recognition
non-formal learning. Refer to the Training and Education Support website for
of Prior
information about Credit pathways (Articulation, Credit transfer and Recognition of
Learning
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(RPL) Prior Learning (RPL). There is also a brochure widely available throughout the
campus on RPL.
Each case of student absence from an assessment event, or late submission of an
Policy on
assessment event, will be considered by the teacher on an individual basis.
Late
Students should endeavour to notify their teacher in advance where an absence
Assessment
will prevent them from attending, or submitting, a planned assessment event (e.g.
class test, presentation, project, report, portfolio or assignment). Unexpected
absence and/or late submission due to illness, work commitments and/or other
unforeseen misadventure MUST be supported by documented evidence (e.g.
medical certificate, statements from employers etc.). If you fail to adequately
notify and/or explain your absence/late submission penalties may apply:
1. If the assessment event is more than 7 days late the result is a Fail/Not
Competent for this event.
2. No penalty will apply if the student has an acceptable reason and
negotiates a new date with the teacher before the original due date, or if it
is not possible, at the first attendance after the event or within 7 days
(whichever is the sooner). The negotiated or revised date will become the
due date and Penalties 1 (see above) will apply if the assessment event is
not submitted by the revised due date. If extension is not accepted the
original due date applies and the penalties will be as outlined.
3. If the student does not attend a class test, presentation or other
classroom-based assessment event on a negotiated date Penalty 1 may
apply. May apply.
4. Failure in one particular assessment event may not necessarily mean a Fail
in the unit. Is there a penalty for late submission of assessment tasks?
What is the procedure if a student is absent on the day of an assessment
event? For information about assessment in TAFE please see "Every
Student's Guide to Assessment in TAFE NSW" which was offered at
enrolment and is available on the TAFE internet site at:
https://www.tafensw.edu.au/courses/expectations/assets/pdf/assessment
_guide.pdf

Policy on Definition: Plagiarism involves using the work of another person and presenting it
Plagiarism as your own.
A STUDENT WILL BE GUILTY OF PLAGIARISM if they do any of the following in an
assignment, or in any piece of work which is to be assessed, without clearly
acknowledging their source(s) for each quotation or piece of borrowed material:
a) copying out part (s) of any document or audio-visual material,
including computer–based material;
b) using or extracting another person’s concepts, experimental results,
or conclusions;
c) summarising another person’s work;
d) in an assignment where there was collaborative preparatory work,
submitting substantially the same final version of any material as
another student.

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Appendix A – Assessment Task 1 - Workbook for Apply Project Cost
Management Techniques
Element 1: Assist with the development of the project budget

1. Using the list of tasks already developed for your project together with their time
estimates, provide 5 items for the budget (both labour and non-labour costs) and add to
the project budget below.

Project Task Labou Labour Materia Travel Other Total

r l per
Cost Cost Cost
Task
Hour Cost

4 kitchen design 25 $3000 INC. INC. INC. $3000

6 finalize on the plan and

4 $320 INC. INC. INC. $320
sign contract with client

13 Kitchen demolition 16 $600 INC. INC. INC. $600

14 Switchboard replacement 5 $500 $200 INC. INC. $700

15 Water service installation 24 $1800 $200 INC. INC. $2000

Sub-Totals: 0 $6220 $400 $0.00 $0.00 $6620

Contingency 0 $1000 $100 $0.00 $0.00 $1100

TOTAL (scheduled) 0 $7220 $500 $0.00 $0.00 $7720

2. Explain the level of accuracy required by the relevant stakeholders.

±5% is the range required by the client

3. In relation to the budget items that you have prepared, list key assumptions that you have
made when preparing this budget.
 All contractors and subcontractors have been notified of the start date and finish
date of the tasks and will guarantee their delivery on time
 Access to the site would be provided by the client or his family when requested

4. Provide an outline of the process to:

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 Prepare
 Finalise and
 Distribute the project budget
Including the stakeholders involved and the time frame for each process.

PREPARE
5 days

Base on standardized budget from previous projects

Factor in requirements and specifications collected during client meeting

collect Up-to-date pricing data including material, labor and equipment

FINALIZE 3 days

Email draft budget to client and invite comments in the period of 3 days
Communicate with client when he has request for changes
Amend the budget when request for changes is valid
Send client the final draft for signature

DISTRIBUTE 7 days

Pay deposits to designer, contractors, subcontractors as set out on contracts

Make orders for products chosen and pay invoices

Element 2: Monitor project costs

1. Establish a process for handling and recording project cost variances, including parameters
around when explanations are required and actions needed to be taken.
NB. Documentation of this process will require you to include information on the methods,
tools and techniques and software used to identify and report variances
I will record the planned vs actual budget in monthly status report:

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May 2017

Project Task Total budget Actual to Forecas Over/u explanation Corrective action
at 13/4/2017 date t cost nder
at finish budget

4 kitchen design Clients

Use $ 240 from
requested
$3000 $3240 $3240 +240 contingency fund
changes
$1000
three times

2. Provide an example of the procedure you use to report project costs to stakeholders during
project execution.
Update the client on performance review of planned against actual cost, reforecasting
cost at completion, budget updates with ongoing forecasts and correction of deviation to
the budget on a month basis. . In the May 2015 report it will reflect that kitchen design
cost $240 more than budgeted but at this stage we can use the contingency fund to
recover the extra cost.

Element 3: Contribute to cost finalisation process

1. Provide an example of how you might assist to finalise or transfer a financial asset, liability
or record to the client or your operating company.

I will confirm that the required scope of work including defects rectification satisfies
specification and meets the client’s expectation before final invoices are endorsed and
submitted for payment

2. Write a few sentences evaluating how you project performed in terms of cost
management.
The project came in on budget. I used analogous estimating technique, ie basing the budget
estimating on previous similar projects. It provided high level of accuracy.

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3. List two cost management issues you may have experienced on the project (in the table
below) including a recommendation for future projects.

Date Description of Recommended Action for next Lesson Learnt

problem/opportunity time/project Raised By
The supplier of cabinets has Watch out for promotions from pm
14/04/2017 promotion of 20% on the range of suppliers
products we are making order for

Clients keep request changes to Only allow change once within a pm

20/03/2017 the kitchen plan. It cost to amend set timeframe.
changes in both time and budget.

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Appendix B – Assessment Task 3 – Classwork – Apply Project Cost
Management Techniques
The following classwork is to be completed in class in small groups at the end of learning sessions.
20 minutes will be allowed to complete this task. The answer will be assessed as Satisfactory/ Not
Satisfactory.

Criteria for competency

The classwork or individual exercises must satisfy the performance criteria listed in Assessment
Task 1.
All Team members must demonstrate the following foundation skills:
Description
Skill
Writing  Drafts and develops documents using appropriate format and language for
context
Oral  Participates in verbal exchanges using clear language and appropriate tone
Communication and syntax to provide relevant information
 Uses active listening and questioning to elicit views and opinions of others
Interact with  Selects and uses appropriate conventions and protocols when
others communicating with internal and external stakeholders to confirm
requirements, seek guidance or share information

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Unit Name BSBPMG410 Apply project time management techniques

Assessment Task 3 Class Work Date:

Student Name
Team members’
names

Purpose: To demonstrate that you:

 can work with a project team to identify baseline/actual time and
cost and forecast a revised project completion date based on the
available information
 use your project knowledge skills and experience to document your
answers about cost estimating based on the available information
 satisfy the competency requirements and foundation skills listed
above

Assessment Instructions
1. Read the criteria for competency listed above

2. Team with several members of your class and add their names to the
template

3. Read the Scope_Heathrow_Airport_ Project Case Study in StudEspace in

additional materials tab

4. Read the questions about the procedures to be considered to carry out

a performance variance analysis and scope performance analysis on the
project scope below

5. Discuss and agree the data you need to identify with your team

6. Write your answers in the spaces provided below

7. Check that all sections of the template are complete including your
name and team members’ names

8. Discuss your team answers with your facilitator during the learning
session

9. Save the completed template in .doc or .docx format in your course

folder

10. Submit your completed Assessment Task 3 to Assignments – Scope in

studEspace

11. Team members’ answers in their template can be the same as your

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answers

12. You must complete and submit your own template to satisfy course
requirements

13. Other team members’ completed templates will not be accepted for
assessment
You are the project manager. You have been asked to put together a cost estimate for this
project.

Cost estimating Item to be costed Name of the person who

tool/techniques would provide the cost
estimate
1.
2.
3.
4.

5.
Provide an example of one
cost estimate using one of
the above tools or techniques

Result: Satisfactory/Not yet Satisfactory

Assessor Signature: Date:

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