
Managing Projects
80
Budget overruns
Cost overruns happen all the time, but that doesn’t
make them any easier to deal with. When you notice
that costs are creeping upward beyond what you have
budgeted, you really have only three choices.
• Substitute a readily available item or seek
alternative sources for whatever is causing the
bottleneck.
• Off er bonuses or other incentives for on-time
delivery.
• Demand better compliance. (This may require
support from upper management.)
• Renegotiate with stakeholders to increase the
budget or extend the deadline.
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