Cost Management is an organizational methodology by which a company controls and plans the costs of doing business.

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Agile and increased costs

The digital function of the organization is attempting to adopt the agile methodology and this is causing an issue with the perceived increased in costs when due diligence is performed on the initial ...
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52 views

Indirect cost calculation

As shown in the picture below, my task is to calculate direct and indirect costs using this table at first. Further I have to do the calculation according to Direct costing, Standard costing and ABC ...
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73 views

S-Curve in Cost Management

I learned in class that the cost management on a project could be graphed as an S-Curve. Low in the beginning but then very high and stays high. Do you have an idea why the graph stays high even ...
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82 views

How to calculate Present Value and Net Present Value?

I´m doing a feasibility study to check the benefits of an investment in a certain tool. My table shows the savings and the costs in the project over 4 years. So, I´m trying to understand how to apply ...
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4answers
146 views

How do I estimate costs for running a finished software project?

I have an ongoing software development project nearing completition. My question is how I can estimate the necessary budget to run the software once it's finished (run), develop it further, for ...
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52 views

Vocabulary used in drawing activity diagrams

In a drawing activity diagram when it says: Activity A Follows Activity B does it mean A->B or B->A? I am confused with this lingo.
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132 views

MS Project: Show annual project cost

I am currently planning a project in MS Project. After allocating all resources and other cost to the tasks I need to present the annual budget of the project (split into manpower and direct cost). ...
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1k views

Cost estimate template or examples for software development [closed]

I am preparing my first cost estimate for a project as a freelance software developer, and I am wondering if there are templates or examples available to help me get started. I understand that a ...
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4answers
186 views

How can I prove on paper that we need more resources for our team?

The higher management in most places seems to have a pigheaded tendency to avoid hiring more resources at all costs. The company has been growing in the last few years and a lot more functionality has ...
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418 views

Formula for calculating cost over a certain time period

How can I calculate the cost of a project over a given amount of time. For example: Solution 1: cost 30k setup and 3k/month for as long as we have the service. Solution 2: cost 40k setup and ...
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261 views

Cost of resources in virtual environments

In planning hardware costs, considering the distribution of the product in virtual/cloud environments, where the cost is derived from the use of resources, considering the following points: The ...
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90 views

Estimated costs

Should I consider a margin calculating work hours, then increase the final cost, based on estimated hours + margin hours? Or should I add a margin after the estimated hours of work, increasing the ...
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4answers
838 views

Factors to consider for Merging two or more IT Operations team into ONE

I believe this question falls under a Project from the Management side. But I would appreciate any help or resources for the scenario. The project as an IT Manager, is responsible for ...
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291 views

Queuing theory for measuring “change” delivery?

In his presentation "Adopting Continuous Delivery" (http://www.infoq.com/presentations/Adopting-Continuous-Delivery), Jez Humble mentions (~6:50) that queuing theory proves that optimizing for ...
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185 views

How to estimate cost to remove bug?

Couple of month before I committed one project to remove bug from that software, that project is not developed according to customer requirements. So, I have included some advanced function according ...
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1k views

The meaning of & Calculating Project Budget

I'm very new to the whole Project Management world, so this question may be at the beginners level, anywho: What is the Budget Cost compared to the full Cost of the Project?, based on the research I ...
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178 views

Agile team management strategy for small projects [closed]

I would like to thank StackExchange - Project Management group for providing me with full support and guidance to move forward in my career path. I'm now a Project Manager and a Junior web and ...
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832 views

Difference between “Earned Value” and “Contribution Margin”?

I have been searching here and there for the meanings of "Earned Value" and "Contribution Margin", it doesn't seem to make sense to me why so many project could have a positive(+) Contribution Margin, ...
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671 views

Microsoft Project: How to represent salaried employees?

I can't figure out how to represent salaried employees in Microsoft Project. I created a 24 month schedule, and assigned a $100/year resource to a 12-month task. I ran into two problems: I expected ...
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143 views

Rent total cost prediction

I have a project management course now. One of points of my project requires me to rent a territory, and I need to include its cost in the project's total cost. The first thing I thought was to ...
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784 views

Microsoft Project - View Resource Cost for a Specific Timeframe

Using Microsoft Project 2010, how do I view how much a resource costs the project between a specific time period? For example, I want to view how much the "HR" resource cost the project between ...
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1answer
104 views

Project Planning For Merchant-based Software

I'm quite new to project management. I have a software project in mind and would like to manage it the correct way. The app basically allows movie theater owners to announce their upcoming movies, ...
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7answers
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Can we use a electronic Kanban board to track actual time spent?

My title sums up my question pretty well. We're investigating whether we can use a Kanban-based system to manage and track some internal projects and one of our requirements is to track time spent on ...
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2answers
108 views

How can an EV be calculated when there are different versions of a project plan?

There is a project manager who is trying to come up with a way to calculate EV under a specific situation where there is a project management system which allows different versions of project plans. ...
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Should a project Manager include his own cost when costing a project?

Should a project Manager include his own cost when costing a project? I have included the cost of resources I have hired to work on the project, but should I include my own cost to the business in the ...
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Developing a digital strategy

I work in Australia for one of the world's largest companies. Our marketing team has a large budget for IT (information technology) projects but has very little direction or guidance in the way that ...
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1answer
139 views

What is the cost of a Software Department in a Software Company? [closed]

I'd like to know what is the approximate cost of a software department (Product + R&D) in a typical startup (20 employees)? For example, considering the others departments are sales, accounting, ...
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How to calculate / estimate the cost for one man hour?

I want to know what are all the things need to add for one man hour costing. How to calculate / estimate it?
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What techniques are necessary to convince (upper) management to abandon a project once time has been invested?

I want to convince my manager and (probably) his manager that a project needs to be scrapped and we need to purchase an off-the-shelf solution. Somehow it was recommended that, rather than use a ...
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4answers
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Is it possible to reduce costs by crashing a project?

I'm working on a study assignment, which involves creating a WBS and GANTT chart for a 6-month project. Then I'm supposed expedite one of the tasks by increasing resources to it, thus decreasing the ...
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166 views

What lessons in budgeting a project a PM should remember? [closed]

In budgeting cost of the overall project, what should the PM remember? What are the do's & don't s when dealing with the budget of the project?
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991 views

A project manager should know how much his/her project members earn monthly?

A project budget includes fixed and variable costs. In most cases (especially in weak matrix and pure functional organizations) salaries of project members are variable costs. In order to calculate ...
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how to apply the fixed and variable costs on the WBS to estimate the profit?

I have been asked to estimate the profit that could be achieved for a portfolio for IT training courses. I have to estimate the income and the fixed and variable costs and hence the profit. I made ...
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3answers
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Should every WBS item map to a single “charge number”?

Assuming you are running projects where every employee submits their time in a corporate accounting system like SAP or Deltek, should every project always define charge numbers for every WBS item? ...
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What will be the standard increase of price from a Time and Material to a Fixed Price?

Knowing there are pros and cons for each type of procurement contracts. I am trying to find the real price % increase from a time and material contract with specific scope to a fixed price. As an ...