Cost Management Plan
Cost Management Plan
Cost Management Plan
consists of preparing all the subsidiary plans in different fields such as risk,
coordination, efficiency, human resources, schedule, scope etc. The last paper to be
finalized in the preparation phase would be the project management strategy.
Talking regarding the project management plans involves discussing over ten
separate plans, quite necessary for the credibility of the company.
Introduction
A complete project management plan is required from the following plans:
requirements management plan, scope management plan, timetable management
plan, cost management plan, quality management plan, process improvement plan,
human resources management plan, communication management plan, the risk
management plan, the acquisition management plan and the stakeholder
manpower.
The paper would concentrate on the scope, the cost, the schedule, human resources,
the risk management portion and Quality Management during the next stage of
growth. The paper would focus on quality management.
Cost Budgeting
The project plan is the mechanism to convey the jobs to be done, the company
finances and the schedules with which the job is to be carried out. The project plan
should represent all the work involved in the project delivery on time. The project
manager cannot communicate in full costs and services required to implement the
project without a comprehensive and complete plan. The schedule displays the
timetable for each operation to begin and end and the final project dates.
The project management plan planning component is as follows described by
PMBOK: Creation of schedules involves setting the beginning and end dates of work
on the project. If the start and end deadlines are not reasonable, the project would
therefore not end as planned. Input methods, in particular duration estimates and
expense estimations, must be iterated in addition to the processes used to
determine the project plan.
Companies also use bar charts called Gantt charts to describe the correct timetable.
They show starting and ending dates and anticipated periods of activities, but
normally do not demonstrate addiction. It is very simple to read and is mostly used in
management presentations. The use of milestone maps is another helpful tool. They
are close to bar charting except the biggest benefit is that the big deliverables and
primary external interfaces are planned start or finish. (Project Management
Institute, 2013)
The PMBOK Guide goes into greater depth and three main procedures are found in
the human resource portion. Project human resource management refers to the
procedures that may be followed in order to allow the most use of the project's
resources. Both project partners, including donors, clients, and individual
participants, are included. Organizational preparation (identifying, tracking, and
assigning job positions, obligations, and reporting relationships), personnel
acquisition (getting the human capital required allocated to and operating on the
project), and team building are the three mechanisms listed above (developing
individual and group skills to enhance project performance). (Project Management
Institute, 2013)
1.0 Initiation
1.1 Develop project charter
1.1.1 Identify Goals and Objectives
1.1.1.1 Capture and author goals and objectives
1.1.2 Develop Strategies and Plans
1.1.2.1 Capture and author strategies and plans
1.1.3 Research Previous Experience
1.1.3.1 Incorporate lessons observed into project
charter
1.1.4 Develop project charter
1.1.4.1 Author project charter
2.0 Planning
2.1 Secure office location
2.1.1 Identify space requirements
2.1.1.1 Ensure (4) workstation capacity for: (3)
permanently assigned PMs plus (1) rotator desk
for PMCs use when on-site
2.1.2 Secure office space
2.1.2.1 Facilitate contract, lease, approval etc. as
necessary
2.2 Develop Information System plan
2.2.1 Gather requirements
2.2.1.1 Receive Galaxy approval for IS requirements
2.2.2 Draft IS Plan
2.2.2.1 Identify IS hardware and software
2.2.2.2 Detail data storage plan
2.2.2.3 Determine contingency plans
2.3 Develop procurement plan
2.3.1 Identify inventory for procurement
2.3.1.1 Create inventory procurement list
2.3.1.1.1 Hardware list
2.3.1.1.2 Software list
2.3.1.1.3 Equipment list
2.3.1.2 Perform inventory cost analysis
2.3.2 Subcontract data installation
2.3.2.1 Identify potential subcontractors
2.3.2.2 Select a subcontractor
2.3.2.3 Contract subcontractor
2.4 Identify personnel
2.4.1 Coordinate with Galaxy to determine PMO
assignments
2.4.1.1 Assign (2) Project Managers from CIO’s
office
2.4.1.2 Assign (1) Project Manager from COO’s
office
2.5 Develop personnel training plan
2.5.1 Coordinate Galaxy PM PMP bootcamp attendance
2.5.1.1 Research PMP bootcamps
2.5.1.2 Select PMP bootcamp
2.5.1.3 Schedule Galaxy PMs for bootcamp
2.5.1.4 Fund Galaxy PMs for bootcamp
2.6 Plan office intranet
2.6.1 Gather requirements
2.6.1.1 Receive Galaxy approval for procurement
requirements
2.6.2 Outline intranet implementation plan
2.6.2.1 Research intranet options
2.6.2.2 Select intranet facilitation software
2.6.2.3 Draft intranet contents and organization
(software page, etc.)
2.7 Develop PM Processes
2.7.1 Develop PM Methodology
2.7.1.1 Receive Galaxy approval PM Methodology
2.7.2 Develop PM Policies
2.7.2.1 Receive Galaxy approval PM Policies
2.7.3 Develop PM Procedures
2.7.3.1 Receive Galaxy approval PM Procedures
2.7.4 Determine PM Evaluation Criteria
2.7.4.1 Determine Measures of Effectiveness (MOE)
2.7.4.2 Determine Measures of Performance (MOP)
3.0 Execution
3.1 Execute Procurement Plan
3.1.1 Inventory Acquisition
3.1.1.1 Purchase office hardware
3.1.1.2 Purchase office software
3.1.1.3 Purchase office equipment
3.2 Configure Office Location
3.2.1 Office configuration
3.2.1.1 Assemble office furniture
3.3 Implement IS Plan
3.3.1 Data installation
3.3.1.1 Supervise subcontractors installing phone,
network and fax capabilities
3.3.2 Setup office phone, fax, computer
3.3.3 Install required software
3.4 Deploy PMO intranet
3.4.1 Build intranet site
3.4.1.1 Build intranet backbone
3.4.1.2 Load content onto intranet pages
3.4.1.3 Publish intranet site
3.4.1.4 Test intranet site
3.5 Ensure Galaxy PM PMP Training and Certification
3.5.1 Validate PMP requirement satisfaction for each PM
3.5.1.1 Validate 35 hours of project management
experience
3.5.1.2 Validate passing test score on PMP exam
3.5.2 Conduct PM Process training for Galaxy PMs
3.5.2.1 Review and instruct on PM Methodology
3.5.2.2 Review and instruct on PM Policies
3.5.2.3 Review and instruct on PM Procedures
3.6 Implement PM Procedures and Policies
3.6.1 Publish PM Policies
3.6.1.1 Acquire Galaxy PM signature acknowledging
all policies
3.6.2 Handoff procedures to Galaxy PMs
3.6.2.1 Ensure Galaxy PM procedure
comprehension and way forward
4.0 Monitoring/Controlling
4.1 Monitoring and control project
4.1.1 PMO site
4.1.1.1 Collect metrics
4.1.1.2 Assessment
4.1.1.3 Corrective action as necessary
4.1.1.4 Replanning as necessary
4.1.2 Galaxy PM Training
4.1.2.1 Collect metrics
4.1.2.2 Assessment
4.1.2.3 Corrective action as necessary
4.1.2.4 Replanning as necessary
4.1.3 PM Processes
4.1.3.1 Collect metrics
4.1.3.2 Assessment
4.1.3.3 Corrective action as necessary
4.1.3.4 Replanning as necessary
4.1.4 Office Intranet
4.1.4.1 Collect metrics
4.1.4.2 Assessment
4.1.4.3 Corrective action as necessary
4.1.4.4 Replanning as necessary
5.0 Closing
5.1 Perform staff evaluation
5.1.1 Provide feedback to Galaxy PMs
5.2 Ensure contract satisfaction
5.2.1 Validate timely delivery
5.2.2 Validate project quality
5.2.3 Render final payment as required
5.3 Conduct post-project evaluation
5.3.1 Create after action report
5.3.2 Document lessons learned
5.4 Archive project documents
5.4.1 Organize project documents
5.4.2 Move documents to permanent storage location
5.4.3 Destroy documents as needed
References
Project Management Institute, (2013). A Guide to the Project Management Body of
Knowledge: Sixth Edition. Project Management Institute