COST MANAGEMENT PLAN Version Number: 1.0 Version Date: Insert other necessary information including student names, numbers, tutor etc. Notes to the Author [This document is a template of a Quality Management Plan document for a project. The template includes instructions to the author and fields that should be replaced with the values specific to the project. It has been tailored to suit the assessment. • Blue italicized text provides an explanation of what should be included for each section. Remove this text prior to submission. Where there are two options for you to decide between, revert the option you are keeping to black and remove the other. TABLE OF CONTENTS 1 INTRODUCTION 3 1.1 Application of plan 3 2 COST DESCRIPTORS 3 2.1 Units of Measure 3 2.2 Level of Precision 3 2.3 Level of Accuracy 3 3 ORGANISATIONAL PROCEDURES LINKS 3 4 CONTROL THRESHOLDS 3 5 RULES OF PERFORMANCE MEASUREMENT 3 5.1 Cost Management Measurement 3 5.2 Timing of Cost Management Activities 3 5.3 Reporting 3 COST MANAGEMENT PLAN APPROVAL 4 REFERENCES 5 APPENDIX C: KEY TERMS 6 1 INTRODUCTION 1.1 APPLICATION OF PLAN This Cost Management Plan applies to the Organisational / Program / Project costs. [Decide which level of cost the Cost Management Plan will apply to and delete the other...] 2 COST DESCRIPTORS 2.1 UNITS OF MEASURE [Define the unit of measure of the cost of the project. E.g. Specific currency etc.] 2.2 LEVEL OF PRECISION [Degree of rounding of cost estimates] 2.3 LEVEL OF ACCURACY [Acceptable range in determining cost estimates] 3 ORGANISATIONAL PROCEDURES LINKS [PMBOK Guide pg. 199 provides an example of this, other examples could include how the portfolio funding cycle and procedures, the cost acquittal procedures etc. You will need to provide one example with a description of the procedure that demonstrates your understanding of the concept. Therefore if you used the example of the Portfolio Funding Procedure, you would then go on to briefly describe that and the importance or link to the project. 4 CONTROL THRESHOLDS [Variance thresholds for monitoring costs]. 5 RULES OF PERFORMANCE MEASUREMENT 5.1 COST MANAGEMENT MEASUREMENT [Describe what cost performance measures will be used to determine the performance in relation to cost management during the project.]] 5.2 TIMING OF COST MANAGEMENT ACTIVITIES States when formal cost management activities – include activities that will align to the Organisational cost management timings. 5.3 REPORTING [Describe how, when, in what format and to who the cost performance of the project will be reported.] Cost Management Plan Approval The undersigned acknowledge that they have reviewed the Cost Management Plan and agree with the information presented within this document. Changes to this Cost Management Plan will be coordinated with, and approved by, the undersigned, or their designated representatives. [HINT – there are at least four signatures required, three sit on the same governance structure.] Signature: Date: Print Name: Title: Role: Signature: Date: Print Name: Title: Role: Signature: Date: Print Name: Title: Role: Signature: Date: Print Name: Title: Role: REFERENCES [Include your reference list and ensure that you have used in-text referencing as per the Harvard Referencing style.] APPENDIX C: KEY TERMS The following table provides definitions and explanations for terms and acronyms relevant to the content presented within this document. Term Definition [Insert Term]