Planning: Here, a plan or set of targets is framed.
COST MANAGEMENT PLAN EXAMPLE PDF HOW TO
You are free to use this image on your website, templates etc, Please provide us with an attribution link How to Provide Attribution? Article Link to be Hyperlinked The objective of the management process is not reducing the costs but reducing the cost only up to the stage where the quality of the product is not hampered.Coming back to the topic, This is the management of the various components of the cost involved in the manufacture of the product or delivery of service.That means it is the amount that paid or given up for something to be acquired. Now, the “Cost” is nothing but a measure (in terms of money) of efforts, materials, resources, time consumed (hours or days or weeks or months), risk and opportunity are forgone in the production or delivery of a product. Before drilling down into the topic of “cost management”, let’s have a quick glimpse over “what is a cost”.Cost management is an integral part of the business management that works on the basis of estimations, wherein various activities such as collecting the data, analyzing the data and mechanisms, evaluation of the process and reporting of the events are conducted so that the decision-maker can plan & control the budget requirements of the organization and thereby, enabling the decision-maker to decide whether the project can be completed within the specified time and within the specified budget.