Cost Management in Contracts and Projects
Duration: 1 Day 8:00 a.m. - 5:00 p.m.
Continuing Education Hours: 8
This course covers the various aspects of contract and project cost management including resource estimation and assessment for activities for work package, aggregating the resources costs to produce a budget (the cost baseline), and monitoring and controlling the resource expenditures during execution. Both cost analysis and price analysis techniques are covered as ways to evaluate bids for solicitations. A portion of the course is dedicated to Earned Value Management, especially the definition/calculation of the metrics used to monitor the performance during execution. The development of the performance measurement baseline is also covered. Exercises are used throughout the course to ensure participant understanding of the content.
Who Should Attend:
- Anyone who creates or manages contracts, or is involved in planning, executing, or managing projects.
- Anyone who evaluates solicitation bids.
- Anyone who produces or evaluates budgets.
- Anyone who monitors performance relative to the planned budget.
Benefits of Attendance – participants will:
- Financial metrics
- Cost estimating and forecasting techniques
- Resourcing tasks, activities, and deliverables
- Earned Value metrics for estimating and control
- Cost Baseline & Budgeting
- Assessing cost control
- Cost Analysis & Price Analysis of solicitation bids
- Review the basic financial cost metrics utilized in contracts and projects.
- Review basic cost estimating techniques.
- Understand the process of rolling up constituent costs into a budget.
- Recognize the benefit of developing a cost performance baseline (cumulative cost curve).
- Explore the Earned Value approach to cost estimating and monitoring and reporting of costs.
- Realize the importance of documenting the basis for cost estimates and forecasts.
- Understand the approach of "cost" based assessment of a solicitation bid.
- Understand the approach of "price" based assessments of solicitation bids.