Project Management Maturity Model, 3rd Edition

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Chapter 6

Cost Management

The overall purpose of cost management is to determine the

total costs of a project, manage to those costs, and ensure the

project completes within the approved budget. Cost manage-

ment involves estimating the costs of identied resources,

developing a project baseline, comparing progress against the

baseline, and controlling costs.

Components

Cost Management Planning

This component covers the processes whereby the policies

and procedures for cost management are established. These

include documenting, planning, managing, expending, and

controlling the project costs.

Cost Estimating

Cost estimating is an analytical proces ...