PROJECT COST MANAGEMENT

This is includes the processes involved in estimating, budgeting, and controlling costs so that the project can be completed within the approved budget. which include the following:
 Estimate Costs: develop an approximation of the monetary resources needed to complete project activities.
Determine Budget: aggregate the estimated costs of individual activities or work packages to establish an authorized cost baseline.
Control Costs: monitor the status of the project to update the project budget and managing changes to the cost baseline.
These processes interact with each other and with processes in the other KA (knowledge areas) as well. Each process can involve effort from person or one group, based upon the needs of the project. Each process might occurs at least once in every project and might occurs in one or more project phases, if the project is divided into more phases. Although the processes are presented here as discrete elements with well - defined interfaces, in practice they may overlap and interact.
Some projects, especially the projects of smaller scope, cost estimating and cost budgeting are so tightly linked - they are viewed as a single process that may be performed by a single person over a relatively short period  time. These processes are presented here as distinct processes , since the tools and techniques for each are different. The ability to influence cost is greatest at the early stages of the project, making early scope definition  critical..

Cost management process