Project Management Essay

1. deal why many info technology professionals may overlook have cost management and how this might affect completing go fors within compute. entropy technology professionals do non understand basic accounting and finance principles to be able to do a net present take account analysis return on investment and payback analysis. It should also be considered that new technologies or parcel development expenses are very incorrect as it is hard to put a figure on something has not been developed. The problems they face may be they estimate too quickly, do not have the estimating experience, may be biased towards underestimating and management may gather up more accuracy. The book states that IT professionals understand the value of a balanced portfolio aline with business objectives but lack a well-defined and consistent bidding for managing the origination, evaluation and execution of IT investments. As far as contemplating proposes with budgets it would not be an accurate e stimate of cost unless all the stakeholders are involved to mention these determinations.4. Explain what happens during the process to determine the determine budget.A project budget involves allocating cost estimates to individual work over the time of the project and is ground on the WBS. The budget is determined using the cost estimates, basis of estimates, mise en scene baseline, schedule, resource calendar, contracts and organizational process assets. The main goal is cost budgeting which creates a cost baseline for measuring performance and funding requirement and victorious into consideration document updates. It is also important to understand how the company operates so the budget is created appropriately.6. What is project portfolio management? Can project managers use it with acquire value management? bear portfolio management allows organizations to collect and control an whole suite of projects or investments as on set of interrelated activities. Project managers can use it with earned value management as it is a performance measurement technique that let them know how well the project is meeting scope, time and cost goals by entering actual information and then comparing it to a baseline.7. Describe several types of software program that project managers can use to support project cost management.Spreadsheets are a common tool used for cost estimating, budgeting and control. Microsoft Project is a project management software that allows for the following to be created such as hard cash flow, budgets, over budget tasks, over budget resources and earned value reports. whatever project managers simply use the companys accounting software and spreadsheets to receive more flexibility. They have also learnt to connect their accounting software to the project management software for more accurate information.