Project management training course - budget
On these project management courses, one of the topics that is covered is budgets and budgeting.
A budget is the amount of money or resources which has been allocated to perform the project. In order to build and develop the deliverables of the project, the project manager must first estimate how much effort will be required to complete all the work required.
The project manager must then calculate how much this effort will cost since all labour will require the payment of salaries, wages, agency or consultants fees. In addition most projects require additional money to be spent on things such as equipment, travel, plant, office space etc. The project manager needs to calculate what all these things will cost and will need to add these costs into the budget.
Finally he/she will arrive at a provisional budget which must be agreed and approved by the project sponsor who is the person providing the money for the project.
Budgets are included in the project plan, and smaller plans such as stage plans and team plans.
You can find a comprehensive project management training glossary including entries for budgets and plans at the Max Wideman site.
