Maintaining control over time and budget is important to project management success. However, many projects face significant budget overruns. Nearly 70% of projects fail to meet their original cost estimates. This is where the cost performance index (CPI) becomes invaluable. CPI is a metric that helps project managers understand how efficiently their budget is used by comparing the work …
Cost control is an essential part of business strategy, yet it’s one of project managers’ most common challenges. According to the Project Management Institute’s report, organizations lose an average of 11.4% of their investments due to poor project performance, often tied to ineffective budgeting and cost control. Today, many companies focus on upgrading their project management processes to improve efficiency …
Effective project cost management is vital for success, but keeping costs in check is often easier said than done. An analysis of almost 1,500 projects revealed that 27% had overruns. Over 15% of projects will have a 200% cost overrun and suffer miserably. These failures often stem from poor planning, inaccurate cost estimates, and a lack of ongoing …
Every company wants its projects to succeed and fulfill corporate goals and client expectations. But that’s not always how it works. According to a PMI analysis, 14% of the IT projects examined were considered unsuccessful. Only 57% of the total projects evaluated were completed within the estimated budget, while 43% exceeded the budget heavily. When project costs exceed budget, …