Controlling Project Risks and Costs

Learn To Stay Within Budget While Responding To Unplanned Events

A Two-Day Seminar

also known as

Managing Project Risks and Costs

Learn to Balance Project Costs Within Budget While Responding to Unplanned Events |  Credits: 12 PDUs

  • Create a Cost Management Plan
  • Analyze Risks Qualitatively and Quantitatively
  • Measure Schedule and Cost Performance

A critical part of Project Management is the ability to control costs even when uncertainty prevails. The tight connection between cost and risk forces the Project Manager to plan and respond decisively. Any failure to appropriately respond to risks can make the project over budget, behind schedule, or mired in litigation. With effective use of cost and risk management process, a Project Manager can deliver project objectives, even in a severely constrained environment.

In this seminar, you will gain a practical understanding of Project Management’s “Project Risk Management” knowledge areas of the Project Management Body of Knowledge. Participants will experience using the Earned Value Management (EVM) to measure and control project progress.

Who Should Attend

  • Director of Project Management
  • Finance Manager
  • Project Office Manager
  • Project Manager
  • Project Cost Accountant
  • Process Improvement Manager
  • Project Team Member
  • Candidate for the Project Management Professional

What You Will Learn

  • Create a Cost Management Plan
  • Develop Cost Baseline and Control Account Plan (CAP)
  • Apply Earned Value Management (EVM) Technique
  • Establish Estimate At Completion
  • Identify Risks
  • Analyze Risks Qualitatively and Quantitatively
  • Develop a Risk Response Plan
  • Manage Contract-Based Project
  • Measure Schedule and Cost Performance
  • Know What, When and How to Take A Corrective Action

Seminar Outline

I. The Big Picture

  • Identifying the cost management processes
  • Identifying the risk management processes
  • Critical components of a project plan
  • (WBS, schedule and scope statement)

II. Project Cost Management

  • Resource planning – define what resources at what quantities and when for each work package
  • Cost estimating – using WBS, rates, estimates and chart of accounts, develop cost estimates and create cost management plan
  • Cost budgeting – using cost estimates, WBS, and schedule, develop cost baseline and Control Account Plan (CAP)
  • Cost control – using cost baseline, apply earned value management technique to establish estimate at completion

III. Project Risk Management

  • Risk management planning – project principles about how risks will be managed
  • Risk identification – experiencing brainstorming, Delphi technique, interviewing, checklists, and diagramming techniques to develop triggers of risks
  • Qualitative risk analysis – assess impact and likelihood of risks; prioritize risks with probability and impact matrix
  • Quantitative risk analysis – numerically analyze probability of risks with sensitivity analysis, decision tree analysis and simulation
  • Risk response planning – developing options and determining actions
  • Risk monitoring and control – perform audits, risk reviews, perform earned value analysis and take corrective action

IV. Balancing Cost and Risk

  • Understand relationship between risks and costs
  • Developing a learning organization from cost and risk lessons


Project Management InstituteIIBA

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