Monday, September 9, 2013

Dear PM Advisor. Sep 9, 2013

Dear PM Advisor,

Why should I add the project cost number to my Objective if my management doesn't ask for it? They never tell me my budget anyway. I'm told, 'Money is no object.' They do authorize project budgets but keep that information at their level.

Feeling Wealthy in Reading, PA 

Dear Wealthy,

All companies are somewhere along the continuum of Project Management Maturity. Your's is mature enough to authorize projects and assign budgets but not mature enough to let you know what that amount is. We hope that they will get there some day. In the meantime you should try to get that number and work towards it. 

If they refuse to give you the number, work with the hours and capital costs that you know. Plan the project with the level of effort  for each task and add the capital costs and place that total in your Objective. 

This will allow you to plan costs and see how good you are at hitting those costs as the project proceeds. Then you can improve your predictions on future projects.

Eventually management will come up to your level of maturity and be happy with the data you have generated. 

Good luck,

PM Advisor

Send your questions to Bruce@RoundTablePM.com

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