Cost budget

What is the cost (budget, personnel, management and staff attention) of a model ... 

The second option considered was use of interception wells. One- or two-pump wells could be constructed at calculated spacings to create a hydraulic trough parallel to the canal to intercept the product. This design was considered more acceptable to the safety officer and the facility engineer, but was rejected by the maintenance foreperson because of the relative complexity of the operation system. The number of submersible pumps and sophisticated electronic controls would have required employment (or training) of technical specialists beyond the cost budgeted under normal operations. 

The third reason why cost budgets are padded is that budgetary cost projections are often cut by others in the resource-allocation process. Thus the process of preparing budgets can result in a vicious cycle. Budgetary projections are padded because they will likely be cut, and they are cut because they are likely to have been padded. 

There are many ways of drawing up a cost budget and every company will have their own formalised system, which an R D Manager will have to follow and understand. However, it is unlikely that these systems will vary markedly from one company to another even across geographical boundaries. Typical components of a budget setting system, which a new Manager is likely to come across, are described below. 

Project Number of People Units Four Monthly Costs (Actual) Four Monthly Costs (Budget)... 

The project plan for the next phase must include detailed milestones, including the expected completion of the EP phase, and exact resource requirements (manpower, cost, budget, etc.). The plan should address the key issues outlined above. This implies that milestones and resource requirements are in line with the effort to manage the risks. 

Regardless, a project team is formed to produce a definite set of deliverables within a certain time frame for a specified cost (budget). The project team is led by a project manager, who is responsible for ensuring that the objectives of the project are achieved on time and within budget. 

Logan, Curse of Coal Robert D. Hershey, Jr., Cutting Cost, Budget Office Blocks Workplace Health Proposal, NYT, March 16,1992, A13. 

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