Unit of competency Outline

Date retreived
22/07/2026 5:58 AM AWST

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Apply cost management techniques

Apply cost management techniques

Unit of competency
National Code
BSBPMG403A
State Code
D0923
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
01/09/2008
View on TGA
State Implementation and Classification
Approved Date
24/10/2014
Field of Education
080315 - Project Management
Original Release Date
24/10/2014
Nominal Hours
40
Description
This unit describes the performance outcomes, skills and knowledge required to work with others to produce a project budget, to monitor project expenditure and to contribute to cost finalisation processes.No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
Notes
Elements and Performance Criteria
1. Assist with the development of the project budget
  • 1.1. Determine estimated costs for tasks and activities and communicate these costs to others for inclusion in project budget
  • 1.2. Map costs against duration/effort and resources allocated, and communicate to project manager for inclusion in the project plan, budget and expenditure flow
  • 1.3. Contribute to the development of cost management strategies and processes, and financial authorisation within delegated authority
2. Monitor project costs
  • 2.1. Monitor income and expenditure against the agreed project plan and budgets to facilitate cost management throughout the project life cycle
  • 2.2. Use established cost management methods, techniques and tools to identify and report variations in the budget to higher project authority for action
  • 2.3. Implement and monitor agreed actions and report progress to others to ensure cost objectives are achieved throughout the project life cycle
3. Contribute to cost finalisation process
  • 3.1. Provide assistance in the finalisation and transfer of financial assets, liabilities and records to the client or relevant operational support agency
  • 3.2. Provide assistance in the review of project outcomes by use of project records, to determine the effectiveness of initial and subsequent cost management strategies and processes
  • 3.3. Report cost management issues and responses to project/program manager for application in future projects
application and registration fees for intellectual property (IP) and patents etc.
contingency (as outcome of risk assessment)
facilities
labour
material
project management overheads
travel and subsistence

higher project authority
project manager
project specialists or other personnel
team members

communication with stakeholders, dispute resolution and modification procedures
implementation of financial control mechanisms
measurement of actual progress against planned milestones
recording and reporting of variations

conducted under limited guidance and supervision
subject to frequent change in a multi-disciplinary environment
within agreed authorisation and limits
within established organisational framework, procedures and routines

cost management lessons learned
cost verification and validation documentation
input to cost management plans
invoice and payment records
lists of potential costs
project and/or organisation files and records
reports to relevant stakeholders

Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the following is essential:

application of cost management techniques in relation to budgets for multiple complex projects
knowledge of cost management tools and techniques.

Context of and specific resources for assessment

Assessment must ensure:

access to examples of project management budgets and related financial documentation
access to evidence or project records of team member involvement in financial management processes.

Method of assessment

A range of assessment methods should be used to assess practical skill and knowledge. The following assessment methods are appropriate for this unit:

direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate
analysis of responses addressing different project cost management scenarios
oral or written questioning to assess knowledge of strategies for managing project costs
analysis of budgets and costing prepared by the candidate
review of communication to others of estimated costs for tasks and activities for inclusion in project budget
evaluation of reporting on cost management issues and responses to project/program manager.

Guidance information for assessment

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:

other units from the Certificate IV in Project Management.

Replaces
State Code National Code Title Type
C7052 BSBPM403A Apply cost management techniques Unit of competency
Replaced By
State Code National Code Title Type
WG091 BSBPMG412A Apply project cost-management techniques Unit of competency