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Description

Project Costs: Estimating, Budgeting and Managing Variances Through to Closure

Two days to build a defensible cost estimate and track the real consumption of a project

  • 2 days — 14 h
  • In-person or virtual
  • Intermediate
  • Up to 6 participants

An estimate put together in haste still commits the organisation: the approved budget becomes the benchmark against which the project will be judged, even though the effort assumptions and contingencies were never written down. Midway through delivery, no one can say whether an overrun stems from scope creep or from an error in the original estimate.

These fourteen hours cover the full cost chain: estimating methods and documented assumptions, budget structure, consumption tracking and variance analysis, through to the economic closure report. The programme is designed for project managers already in post.

Learning objectives

  • Select an estimating method suited to the level of requirement definition
  • Document the assumptions and contingencies applied in an estimate
  • Structure the budget by work package and by cost type
  • Track consumption and compare it with physical progress
  • Analyse a variance and distinguish scope creep from estimating error
  • Produce the economic closure report and capture reusable ratios

What makes this programme different

The estimate produced is defended in a budget review exercise before a project sponsor
Variances are analysed on data sets that include overstated progress figures
Participants leave with an estimating template that documents assumptions

Programme

1Estimating Methods

Estimating according to what is known

  • Analogous
  • parametric and bottom-up estimating
  • Level of requirement definition and expected accuracy
  • Gathering and documenting assumptions
  • Handling contingencies and reserves

2Building the Budget

From estimate to committed budget

  • Structuring by work package and by cost type
  • Internal
  • external and procurement costs
  • Spend schedule and project cash flow
  • Approval and baselining of the budget reference

3Tracking Consumption and Variances

Comparing like with like

  • Recording expenditure and commitments
  • Measuring physical progress
  • Comparing progress
  • spend and commitments
  • Interpreting variances and reforecasting

4Corrective Decisions and Closure

Regaining control of cost

  • Cost reduction levers and scope trade-offs
  • Reviewing costed change requests
  • Reporting an overrun to the steering committee
  • Economic closure report and ratios captured for reuse

Who is it for

Experienced project managers · contract and account managers · project management control specialists and engineering office managers.

Prerequisites

Practical experience of project delivery and familiarity with work package breakdown

Dates & locations

36 scheduled dates between November 2026 and December 2027. Seats are confirmed in the order enquiries are received.

November 2026

December 2026

January 2027

February 2027

March 2027

April 2027

May 2027

June 2027

September 2027

October 2027

November 2027

December 2027

None of these dates suit you? We open additional sessions on request, and any programme can be run privately for your team.

Practical details

Before the programme
Online positioning questionnaire. Your development objectives are shared with the trainer, who tailors the practical case studies to your context.
Teaching methods
Theoretical input, workshops and practical case studies. Digital course materials and method sheets provided.
Assessment
Multiple-choice tests and role-play exercises. Assessment of learning at the start and end of the programme, with immediate and 60-day follow-up evaluations.
After the programme
One year of access to the e-learning platform. Self-assessment of the skills acquired and a 30-day follow-up session with your trainer.
How to register
Registration online or on the basis of a quotation.
Lead time
11 working days after confirmation of registration.
Accessibility
Accessible to people of determination. Contact our accessibility coordinator to design a suitable solution: contact@mpf-academy.ae
Start dates
Rolling intake: in addition to the scheduled sessions, this programme can start on request.