Project management professionals are highly attuned to budget obligations—nearly everything they do is with an eye toward meeting budget objectives while adding value at every opportunity. But with all of the other tasks under the umbrella of the Project Team, there are some common practices that often wreak havoc with project budgets.

1 – Not appointing a budget monitor. If your team doesn’t have a specific person keeping an eye on the amount spent and dollars still available across the entire project, budget issues can quickly build up and spiral out of control.

2 – Waiting until late in the project to add up actual expenditures. This habit has nightmare written all over it, as you likely won’t recognize problems until it’s far too late to properly resolve them.

3 – Assuming you can get additional dollars approved. This usually guarantees an uncomfortable conversation with an executive who may not have any more money available (and who will surely wonder why your projections were off base in the first place).

4 – Focusing only on high-dollar items for aggressive cost negotiations. Don’t underestimate the amount of money your Project Team can save by value engineering small budget items, which often greatly outnumber the big ticket expenditures.

5 – Expecting to address cost overruns by “borrowing” money from other projects. Even if you resolve your current problem, you’ve now created a new crisis that will need to be tackled later.

6 – Relying on another group for real time cost tracking. Many departments have their own methodology for accruing and recording project costs, and their approach may not provide your Project Team with the information it needs to stay on track.

7 – Monitoring all costs equally. Most projects have high-risk areas that should get additional scrutiny (either checking expenditures more frequently or examining them at a higher level of granularity).

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Portfolio Management
Successful portfolio management calls for exceptional data management skills and diligent oversight across multiple efforts.
Demanding, time sensitive, and finely tuned, manufacturing projects require close attention and experienced oversight.
IT Projects
Organizations must be able to successfully execute challenging and highly visible technology projects to maximize revenue.
Power Plants
Power Plants must be able to keep these vital infrastructure assets current, efficient, and economically positive.
High-profile hurdles and expensive risks of failure make these projects critical to manage properly from the very beginning.
Presents complexities at nearly every stage, from allocating resources to controlling schedule variances, or clearing regulatory & safety hurdles.
Ensuring team members are able to move outside the silos of their department or discipline is the key to achieving success.
Product Dev
Design and other early-stage activities must be carefully orchestrated while maintaining visibility on future impacts and resource needs.
Mergers & Acquisitions
Among the riskiest and most strategically important initiatives a company can undertake, and their outcomes can make or break the business.
Finance & Insurance
Technology implementations call for the right level of planning detail and diligent oversight.
An ERP implementation can be among the most disruptive and strategically important initiative an organization can undertake.