The “business case” that provides the necessary information that is needed from a business standpoint.The “project statement of work” that addresses the business need, the product scope description, and the organization strategic plan (especially the way that the project helps fulfill the strategic vision).The project charter provides the project manager with the authority to apply resources to project activities (PMI, 2008a). The project charter is the process of developing a document that formally authorizes a project or a phase and of documenting initial requirements that satisfy the stakeholder’s needs and expectations. Without proper funding, projects will strive to get the right resources and will be very hard to find the money needed.īecause there are so many things that depend on the decisions made in the finance management of the project, this must be considered a key area for portfolio and program projects managers. And financing the project is, by definition, the most important action that the sponsor has, after having championed the development of the project charter.īeing within the responsibility of the project sponsor, there is no doubt, however, of the importance that financing has to the project. The Project Management Institute’s A Guide to the Project Management Body of Knowledge (PMBOK ® Guide)-Fourth edition defines sponsor as “the person or group that provides the financial resources-in cash or in kind-for the project” (Project Management Institute, 2008a, p. Being one of the primary questions that the sponsor asks, it is not a question that is answered well most of the time. The importance of the topic is prominent. Considering that searches backwards also, there is a huge difference between the information available when you want to investigate “project finances” versus “financing the project.” However, when you search “financing the project” instead, you will find only around 1,768 results at and 159,000 results using Google’s search engine.
At you can find somewhere in the neighborhood of 3,774 results if you search for textbooks on the topic, and, if you “google” it, you will find around 1,710,000 results. “Project finance” is a well-known and frequently addressed topic that can be easily researched in any good library. This paper looks at the best practices in finance and project management areas, and works with them to get to the debt, equity, and return of the project, considering it in the enterprise environment. But without project management tools and techniques and without studying correctly the cost of the project, it’s impossible to know exactly the amount of money that the project needs and the cost baseline that influences the finance needs of the project. The financing area of the project is, in the case of many projects, considered to be within the stakeholder area of influence and, because of that, is not directly addressed by the project manager.
0 kommentar(er)
