Karim aboshosha, AACE-CCP®’s Post

#projectcontrols #projectstart #process Importance of Project Control process in beginning of Project from Finance point of view. Project control processes are crucial at the beginning of a project from a finance perspective because they establish the framework for managing costs, resources, and timelines. Early implementation of project control helps in: 1. Budget Management: It ensures that financial resources are allocated appropriately, preventing overspending and helping to identify potential cost overruns early on. 2. Risk Identification: By establishing control processes, potential financial risks can be identified and mitigated proactively, preventing unexpected financial setbacks. 3. Resource Allocation: Effective project control allows for optimal allocation of resources, ensuring that financial investments align with project priorities. 4. Timely Decision-Making: With a robust control process, financial data is regularly reviewed, facilitating prompt decision-making to address any financial challenges or deviations from the budget. 5. Accurate Financial Reporting:Establishing control processes at the project's outset ensures accurate and timely financial reporting, aiding in transparency . Just to sum up Project Control is very important aspect specially initial stages. It's very important to strong base and foundation to have successful project.

📊 The Importance of Financial Reports in Project Deliveries 📊 In project management, financial reports are crucial for ensuring successful project delivery. Here’s why: 1. Budget Tracking: Keeps projects within budget by tracking expenses. 2. Resource Allocation: Informs optimal resource use. 3. Risk Management: Identifies financial risks early for timely corrective action. 4. Stakeholder Communication: Provides transparency, building trust with stakeholders. 5. Performance Measurement: Assesses financial performance against key metrics. 6. Decision-Making: Supports informed decisions with accurate financial data. 7. Compliance and Accountability: Ensures adherence to financial regulations and standards. 8. Forecasting: Helps plan for future financial needs. 9. Cost Control: Monitors spending and identifies savings. 10. Continuous Improvement: Drives improvements from past financial performance. Effective financial reporting is essential for maintaining project financial health and achieving success. Let’s prioritize financial transparency and accuracy to drive outstanding project results! 🚀 #ProjectManagement #FinancialReports #BudgetTracking #ResourceAllocation #RiskManagement #StakeholderCommunication #PerformanceMeasurement #DecisionMaking #Compliance #Forecasting #CostControl #ContinuousImprovement #ProjectSuccess #TechLeadership

💡 Ever wondered how financial precision drives successful project execution? In my journey as a cost controller working on subsea project, I have realized the pivotal role of accurate financials to ensure project success. 📊🎯 Here’s what I’ve found crucial: Deep understanding of project scope and execution models to set realistic budgets. Regularly updating project financials in the cost application to reflect the true financial health. Populating Chart of Accounts to maintain consistency across all systems and for the entire project team’s reference. Performing anomaly checks and reconciliation to detect discrepancies early and mitigate risks. Supporting cash flow development to manage liquidity efficiently. Ensuring precise financial management is akin to steering a ship with a reliable compass. How do your finance strategies impact your project outcomes? your thoughts or experiences below! 👇 #ProjectManagement #FinancialControl #SubseaProjects #CostController #Efficiency

Creating a project financial management model involves several key components to ensure effective planning, monitoring, and controlling of financial resources. Here’s a basic outline to get you started: 1. Define Financial Objectives Set clear financial goals for the project, such as budget limits, expected revenue, and profit margins. 2. Develop a Financial Plan Budgeting: Estimate all costs, including direct costs (labor, materials) and indirect costs (utilities, quality control). Funding: Identify sources of funding and allocate resources accordingly. Cost Estimation: Use historical data and expert judgment to estimate costs accurately. 3. Resource Allocation Assign resources based on project needs and priorities. Optimize resource usage to avoid wastage and ensure efficiency. 4. Cost Control Monitor expenses regularly to ensure they align with the budget. Implement cost-saving measures where possible. 5. Financial Reporting Prepare financial statements and performance reports for stakeholders. Ensure transparency and accountability in financial reporting. 6. Risk Management Identify financial risks such as budget overruns or revenue shortfalls. Develop mitigation strategies to manage these risks effectively. 7. Compliance Adhere to financial regulations and standards. Ensure all financial activities comply with legal requirements. 8. Continuous Monitoring and Adjustment Track financial performance using metrics and KPIs. Adjust the financial plan as needed based on project progress and changes.

Managing projects in financial terms is essential for ensuring that resources are allocated efficiently, costs are controlled, and the project remains within budget. Effective financial management allows project managers to track expenditures, forecast future financial needs, and identify potential financial risks early. By keeping a close eye on the financial aspects, projects can avoid cost overruns, ensure that funding is available when needed, and maintain the overall financial health of the organization. Additionally, sound financial management helps in justifying investments to stakeholders, securing additional funding if necessary, and achieving the project's financial objectives, ultimately contributing to its success.

Maintaining financial control in project management is crucial. Funding Limit Reconciliation helps ensure that planned project expenditures align with the funding limits set by the organization. Here’s a quick overview: Compare Planned Expenditure vs. Funding Limits: Regular checks prevent budget overruns. Align Work and Expenditures: Adjust schedules to match funding availability, ensuring a consistent flow of funds. Use Management Reserves: Set aside budget for unforeseen changes to stay within the total project budget. Understanding and applying these principles helps keep your project financially stable and on track! willing to understand the graph visit the link: https://lnkd.in/dJf8PxhR #ProjectManagement #BudgetControl #FundingLimits #FinancialPlanning #CostManagement #ManagementReserve #ProjectBudget #PMI #ProjectFinance #BusinessStrategy

Thoughts of the Day: As a project manager, controlling costs is crucial for project success. Effective cost control strategies involve accurate cost estimation, budgeting, continuous monitoring, proactive identification of cost variances, and implementation of corrective actions when necessary. By implementing these measures, organizations can enhance project profitability, minimize financial risks, and ensure the timely delivery of projects within budgetary limits. #projectmanagement #costcontrol #timelydelivery #financialrisk #projectprofitability

CASH IS KING! 💰 As a Project Manager with P&L responsibility, I've learned the critical importance of ensuring your project is cash positive within its first quarter. The CEO and CFO's scrutiny on project finances reinforces this lesson early in one's career. It's time for project owners to move beyond surface-level indicators like fancy websites and awards. Utilizing tools like #Equifax, it's crucial to assess a contractor's financial health and cash reserves to mitigate risks effectively. Don't just inquire about a contractor's capacity to complete the project; delve deeper. Seek evidence from ratings agencies to determine if the contractor is staking their balance sheet on your project. Remember, contractors who risk their balance sheet on a single project often don't survive in the industry long-term. #ProjectManagement #CashFlow #FinancialHealth 🏗️

Increasing housing supply and reducing Builder going broke its all in the capability of this government! Dear Brad Walters, ICIRT is a positive step forward, but it remains primarily a forensic accounting measure. We both agree that reintroducing the proven independent critical stage building inspection system as a mandatory measure is essential. Furthermore, the responsibility for construction insurance should rest solely with clients seeking to build their homes. No insurance company will issue a construction insurance policy to a client who selects a non-conforming builder, who, under the current setup, can easily present fake insurance papers. We understand that this alternative approach is effective. The government has the capability to facilitate this change if they are genuinely committed to addressing the housing supply shortage and cleaning up the issues introduced by current regulations. Best regards, Gerrit Duits Baumeister Pty Ltd

A Project Financial Management Flowchart serves as a visual representation of the sequential steps involved in effectively managing the finances of a project. The process typically begins with project initiation, where stakeholders are identified, project scope is defined, and a preliminary budget is established. Subsequently, budget planning involves estimating project costs, allocating budgets to specific tasks, and accounting for potential contingencies. Once the budget is formulated, it undergoes a funding approval process, where stakeholders review and provide the necessary financial resources. As the project progresses, there is a continuous focus on expense tracking, ensuring that costs are monitored and controlled throughout the project lifecycle. Financial reporting becomes crucial, with regular reports generated to update stakeholders on budget variances and overall financial performance. Risk management is woven into the flowchart, addressing the identification and mitigation of financial risks associated with the project. Auditing and compliance measures are integrated to ensure adherence to financial regulations and organizational policies. Finally, the flowchart encompasses activities related to project closure, including the finalization of financial documentation, closure of financial accounts, and an evaluation of financial performance against initial projections. It's worth noting that the specifics of the flowchart may vary based on the unique characteristics of the project, industry, and organizational guidelines. Embark on a transformative journey in your projects, unlocking unparalleled achievements with the avant-garde solutions provided by Haris Solutions. Our commitment goes beyond mere promises; it is a dedication to reshaping your capabilities through the fusion of innovation and excellence. Join us to elevate your endeavours, as we lead the path toward a dynamic and enriched project experience that surpasses conventional expectations. Embrace a future where your projects are not merely managed but propelled to extraordinary levels of success, fuelled by the ingenuity of Haris Solutions. https://buff.ly/4aHzKmt #management #learning #harissolutions #projectmanagement #prince2 #prince2agile #training #personaldevelopment #MiltonKeynesChamberofCommerce Milton Keynes Chamber of Commerce