This video addresses the most common approach for recovering from project budget problems, trading scope for cost, and how prioritization techniques can assist you as the project manager.
- The one thing you can be assured of…when you establish your project plans…and spending projections is that…it'll never go exactly as you plan.…There are way too many variables…in the dynamics of the average project.…The trick is to know how to adapt…and respond to those changes.…And this is often done through management of scope.…Scope defines the activities that need to be performed…to achieve the business benefits of your project.…These activities require resources,…people, time, or equipment.…
You can redefine or adjust your project…in terms of its scope.…The most powerful way to respond…to budget status changes is to examine the trade-offs…between budget and project scope.…Let's discuss some common approaches to do this.…First, you may be asked to increase scope…to deliver more features in your project.…Let's say you're building a new computer system,…and you're asked to add more capability…to the solution you're providing.…In this instance, there are…several questions you should ask.…
What's the budget impact going to be?…
Note: This course follows the latest guidance from Project Management Institute, Inc., as outlined the PMBOK® 6 Guide.
- Recall best practices for project budgeting and estimation.
- Distinguish common estimation approaches used to build project budgets, and understand when to use them.
- Identify best practices for budget expectation management, while utilizing sound budget refinement techniques.
- Describe and explore agile project budgeting techniques.
- Review various approaches for correcting project budget overruns.
- Review sound budget reporting approaches, including how they can be used to report project status.
- Recognize the issues and changes that can put a project budget in jeopardy.