Detailed Cost Management Plan for St Dimas Assisted Living Project

This project presents a detailed cost management plan for the construction of St. Dimas Assisted Living residential facility. It outlines the project's objectives, performance measurement rules, and cost reporting formats. The plan covers various aspects of cost management, including estimating costs using analogous, parametric, and three-point estimation methods. It also addresses budget development, updating, monitoring, and controlling project activities. The project emphasizes the importance of project performance measurement for effective resource utilization and achieving project deliverables. Key performance indicators like inspections, design changes, and audits are used to monitor project progress and ensure cost control. The document also includes a bibliography of relevant academic sources.

COST MANAGEMENT PLAN
Project
Title:
Construction of St
Dimas Assisted Living
Residential
Date
Prepar
ed: 9th May, 2018
Level of Accuracy: Units of
Measure:
Control Thresholds:
High Cost, Building
units, square feet
of construction,
and interest rate
Inspection, Indicators, data
authentication
Rules for Performance Measurement:
Project Performance measurement is deployed for analyzing the effective utilization of
the project resources and the development of the final deliverable. The project have
specific objective of constructing the new residentials for St Dimas. The living facility of
the operations had also been helpful for the utilization of the effective operation
development and the alignment of the improved services. The rules of the
performance measurement are management organization, responsibility definition,
clear objectives, personnel reports, measurable indicators, timeliness of reports, and
data authentication. The measurement of the key performances of the project would
be based for the alignment of the effective key performance indicators in the project.
The utilization of the key performance indicators like inspection performed, design
changes, rejection inspections, issue resolvement, internal audits, and independent
audits. These are the performance measurement controls implied in the construction
project.
Cost Reporting and Format:
The cost reporting is developed for the alignment of the operations and utilizing the
implication of the operations and utilizing the support and development of the
operations favouring the utilization of the successive implication of the operations. The
cost reporting would be based on the use of the financial analysis of the activities. The
cost reporting would be formed in terms of the resources/works, their standard units,
rate per unit, and total cost calculation.
Process Management:
Estimating costs The deployment of the activities had also been helpful for
forming the deployment of the successive estimation for the
activities listed as Initial Marketing, Construction, Heavy
Assistant Studio, Heavy Assistant BR/Bath, Light Assistant
Studio, and Light Assistant BR/Bath. Three methods have been
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used for the calculation of the cost for the project and they
are,
Analogous Cost Estimation: The analogous cost estimation had
been done for the analysis of the costs of the project in terms
of the historical data present. The analysis of the past reports
and activities had been helpful for aligning the utilization of the
activities favouring the implication of the improved operation
development.
Parametric Estimation: The parametric estimation had been
based on the calculation of the cost estimation using past
report data for the alignment of the effective deployment of
the operations. The deployment of the activities had also been
helpful for forming the deployment of the successive
estimation for the activities listed
Three Point Estimation: The three point estimation is helpful for
reducing the risk probability in terms of the estimation
methods. The expected calculation of the cost has been based
on the calculation of the 3 point estimation of optimistic, most
likely, and pessismistic. The formula that had been used for
the calculation was cost optimistic + 4X cost most likely + cost
pessismistic and the sum would be divided by 6 for calculating
the expected cost of the activities.
Developing the
budget
The development of the project budget is deployed by
considering the costs of various resources and activities. The
preliminary project budget had been calculated by the analysis
of the effective utilization of the operations. The budget is
developed for forming the listing of the operations and aligning
it for the utilization of the successive operation development.
The use of the preliminary budget, pro forma, and income and
expense statement would be done based on the utilization of
the successive activity implication.
Updating,
monitoring and
controlling
The updating, monitoring, and controlling of the project
activities would be required for the utilization of the methods
of the project analysis. The various tools and activities of
analyzing the implication of the successive deployment of the
operations supporting the implication of the effective
deployment of the project of constructing St. Dimas Assisted
Living.
Cost Management: Project Performance measurement is deployed for analyzing the effective utilization
of the project resources and the development of the final deliverable. The project have specific objective
of constructing the new residentials for St Dimas. The living facility of the operations had also been
helpful for the utilization of the effective operation development and the alignment of the improved
services. The rules of the performance measurement are management organization, responsibility
definition, clear objectives, personnel reports, measurable indicators, timeliness of reports, and data
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authentication. The preliminary project budget had been calculated by the analysis of the effective
utilization of the operations. The budget is developed for forming the listing of the operations and
aligning it for the utilization of the successive operation development. The use of the preliminary
budget, pro forma, and income and expense statement would be done based on the utilization of the
successive activity implication.
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Bibliography
Cooper, R. (2017). Supply chain development for the lean enterprise: interorganizational cost
management. Routledge.
Fayard, D., Lee, L. S., Leitch, R. A., & Kettinger, W. J. (2014). Interorganizational cost management in
supply chains: Practices and payoffs. Management accounting quarterly, 15(3), 1-9.
Klychova, G. S., Zakirova, A. R., Zakirov, Z. R., & Valieva, G. R. (2015). Management aspects of production
cost accounting in horse breeding. Asian Social Science, 11(11), 308.
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