PMP - Project Cost Management

Project Cost Management includes the processes involved in planning, estimating, budgeting, financing, funding, managing, and controlling costs so that the project can be completed within the approved budget. 

The Project Cost Management processes are:

  • Plan Cost Management-The process of defining how the project costs will be estimated, budgeted, managed, monitored, and controlled.
  • Estimate Costs-The process of developing an approximation of the monetary resources needed to complete project work.
  • Determine Budget-The process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline.
  • Control Costs-The process of monitoring the status of the project to update the project costs and manage changes to the cost baseline.