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Project Cost Management

November 08 2023

Project cost management is one of the key pillars of project management and is relevant regardless of the domain, be it manufacturing, retail, technology, construction and so on. It helps to create a financial baseline against which project managers can benchmark the current status of their project costs and realign the direction if needed.

CloudCC project management system subdivides project costs into three categories: budget costs, planned costs and actual costs. Budget cost is an estimate of the cost of the project; planned cost is a budget value calculated based on the tasks assigned to members; and actual cost refers to the actual cost of the project.

Budget Cost

When creating a new project, you can set a total budget cost for the project in advance, including the budget cost of labor hours and procurement for the project, which can help you keep the project cost within a reasonable range while managing the project.

Planned Cost

When assigning tasks to project members, you can set the start date and end date of the task. CloudCC project management system will calculate the planned cost and the ratio of planned cost to budget cost for you based on the project member's rate and task duration.

Actual Cost

Project members fill in daily work hours for project tasks and issues to generate timesheet. The project management system will calculate the actual labor cost and the ratio of labor cost to budget cost based on the project member's rate and actual working hours.