Budgeting In Project Management Essay

3.3 Budgeting, Resource and Cost Management

It is the people who make the project work hence it is critical to plan for project team. But project resource is not just about the people to be involved in the project, rather materials, equipment required for successful completion of the project. Having mentioned this, generally resource planning tends to revolve about people/staffing management. This plan tries to answer following questions but rather precise details:

• What kinds of people are required to complete the project – necessary qty, competencies?

• What should they do – roles & responsibilities?

• Whom will they report to?

Thus, human resource plan identifies and document the staffing requirements – skillset, roles, responsibilities and also establish the reporting structure of the project resources. It also provides the staffing plan which specifies timeline of acquisition & release of staff. The staffing plan in last decade has become

Such arrangement will save project managers’ time during project execution while dealing with amount of information he/she receives & has to communicate. Just for example, some stakeholders necessarily have to receive certain information (e.g. project sponsors to know about achievement/failure to achieve milestones in respect of specific timeline) similarly; project planner can identify categories of project stakeholders such as follows. For each of the identified stakeholder category, there has to be modes of communication that we need to establish as appropriate to the context of the project. Project manager need to be clear about how information would be gathered & shared–Receiving information: should it be through meeting (e.g. User Acceptance Test meeting with customer) or over email (collect status of activities/issues over email or s/w tool from team members) or some other