Homework Assignment—Week 3
Course Number & Title PJM 6025
Project Scheduling & Cost Planning
Executive Summary
The Enterprise Information Management project for HealthCare Partners is being developed by a vendor, CTG. CTG’s labor costs represent 70 percent of all costs of the overall EIM budget of $4.5 million. The CIO and the COO are requesting an update to the overall project spend and an estimate of remaining costs to the budget.
Assignment—Part 1
Review the invoices for Homework Week 3 for this document, determine the cost breakdown structure based on the information available (resource based). If these invoices represent a standard monthly cost, and the project is in its fourth month of a 12-month duration, how will you answer the following questions:
- What is your current spend in aggregate and by resource and by month?
- Do you have sufficient budget to complete the project?
- What contingency reserve should you ask for?
- What are your assumptions about your estimates?
Hints: Find the cost for August for all resources identified, extrapolate for the previous and future months based on August’s costs. What might be missing?