(FALL 2009)

Project Cost Management (Section 2) MGMT X442.29  (2.5)

A required course in the Certificate Program in Project Management.
This course helps participants focus on the critical aspects of managing project costs. Because no organization has unlimited time, money, or resources, it should evaluate the benefits and costs of the project in relation to other potential projects before a project is selected. This includes an analysis of both the financial viability and non-financial issues. Participants will review basic financial terms and concepts that influence project selection decisions. When an organization enters a bid situation or when a project has been proposed, an estimate of project costs will be prepared. This is reliant on understanding all other aspects of project planning including scope and quality issues, estimates of labor, materials, equipment, software, overhead and all other costs, the effects of risk on cost, and make vs. buy procurement considerations. When an organization wins a bid or selects a project, a more detailed budget is prepared and allocated to cost categories over the expected time period for the project. For internal projects or those that are smaller, the estimating and budgeting processes may be completed concurrently. Participants will learn how to prepare a cost estimate and budget. Finally, participants will consider ways to monitor and control cost and manage changes to the cost baseline. Prerequisite: Mgmt X442.28, Introduction to Project Management Principles and Practices. If the potential participant has had significant experience managing projects, they may be allowed to waive the prerequisite requirement with the express permission of the instructor. This course is approved for 24 PDUs from PMI.

Dr. Paul Lu, D.B.A., PMP, has over 20 years experience in the aviation industry and is currently a program manager at an Aerospace firm. He has managed commercial, government, and international projects and programs. Lu has lead project teams in research and development (R&D), product development, implementation, new business, and sustaining projects. His project management experiences are in the areas of international project management, contracts and subcontracts, risk and cost management, product development, and R&D. He is a member of the Project Management Institute (PMI), APICS, the Academy of Management (AOM), the Financial Management Association (FMA), and the National Management Association (NMA).