presentation on project cost

Estimating Cost of a Project: Techniques and Examples

Estimating cost is an important process in project management as it is the basis for determining and controlling the project budget. Costs are estimated for the first time at the beginning of a project or even before a project has started. Subsequently, the (re-)estimation of the project cost is repeated on an ongoing basis to account for more detailed information or changes to the scope or timeline.

For instance, if the earned value management measures that are used for controlling project cost indicate significant variances from the budget, a re-estimation of the cost and schedule and a revisiting of the overall budget can be inevitable.

The methods introduced in this article are tools and techniques of the “Estimate Costs” process that is part of PMI’s Knowledge Area “Project Cost Management” (see PMBOK®, 6 th edition, ch. 7.2).

What Is a Cost Estimate?

Rough order of magnitude vs. definitive estimate, estimate to complete (etc) and estimate at completion (eac), when are cost estimated, why is cost estimation important in project management, comparison of estimation techniques, expert judgment       , analogous estimating , parametric estimating, bottom-up estimating, three-point estimating.

A Cost estimate is a quantified expectation of how many resources are required to complete a project or parts of a project.

Such cost estimates are often expressed in currency units. However, other units such as man-days can also be used if the currency amounts are not applicable or irrelevant.

There are different types of cost estimates. The Project Management Body of Knowledge lists the rough order of magnitude (ROM) and the definitive estimate. Both types differ in respect of their accuracy, the project phases in which they are used as well as the available tools and techniques. Some projects use additional, sometimes industry-specific types of estimates.

Cost estimating involves different tools and techniques which typically include

• Expert judgment,
• Analogous estimating,
• Parametric estimating,
• Bottom-up estimating,
• Three-point estimating, and
• Cost of quality.

Read on to learn the details of these techniques, supplemented with examples and practical considerations.

What Are the Types of Cost Estimates?

According to the PMBOK®, there are 2 types of cost estimates:

• Rough order of magnitude (ROM) with an accuracy of -25% to + 75% (other frameworks quote a range of +/-50%) and
• Definitive estimate with an accuracy range of -5% to +10%.

Some sources also list so-called preliminary estimates and budget estimates as further gradations of estimate types. There are also industry-specific types of estimates such as design and bid estimates in construction projects ( source ). However, the current PMI project management framework only refers to the 2 above-mentioned types.

If the budget has to be revisited part way through a project, a so-called estimate to complete (ETC) is determined.

The obvious difference between these 2 types of estimates is the accuracy: the ROM is rather inaccurate with a broad range of possible outcomes. It is therefore typically used in project initiation phases where a ballpark figure is sufficient to get a project started.

The definitive estimate is determined in the course of the project when more information and resources for accurate estimates are available.

Read this article for more details on the ROM and the differences between ROM and definitive estimate .

If partway in a project it turns out that the budget baseline (based on previous estimates) cannot be met, a re-estimation of the project cost is required.

This is done by determining an estimate to complete (ETC) which is used to calculate a new estimate at completion (EAC) that replaces the initial budget at completion and thus becomes the new cost baseline of a project.

Costs are estimated at different points in time throughout the project. The PMBOK states that the process is performed “periodically throughout the project as needed” (source: PMBOK®, 6 th edition, ch. 7.2).

The first point to estimate cost is during the initiation phase, e.g. when the project business case or the project charter is created. For these documents, a project manager has to determine the amount of resources that is required to complete the project.

As the information that is available at that point is usually not very detailed, the project manager will likely end up producing a rough order of magnitude estimate rather than a definitive estimate. Later in the project when more information is available, this order of magnitude estimate will be replaced with a definitive estimate.

After the project initiation phase, the cost will be re-assessed during the planning phase, using the techniques introduced in this article.

In subsequent phases, costs are typically (re-)estimated if relevant new information and details become known or if changes to the project scope or timeline occur. One of the common reasons for re-estimating cost is, for instance, when the indicators of the project controlling suggest that the original budget baseline cannot be met.

Estimating costs is one of the core activities of project management and planning. This is because a project is defined as being subject to at least three fundamental constraints : scope , budget and time. Cost estimates are obviously addressing the budget constraint; hence they are highly relevant for the management of a project. The initial rough cost estimate is usually included in the project charter as well as in the business case of a project.

The estimation of costs is also necessary to compute the project budget which is subject to the approval of the project sponsor(s). In fact, the process “determine budget” uses a technique called “cost aggregation” which directly refers to the outputs of the “estimate cost” process.

Cost estimates are the basis for allocating budget to work packages and deliverables which can be politically sensitive within a project as well as among its stakeholders. Therefore, budget determination and assignment require some stakeholder involvement, communication and, in many cases, their approval.

In addition, cost estimates are input parameters for the earned value and variance analyses as well as forecasting of project costs .

Tools and Techniques for Estimating Project Cost

This section provides an overview of the tools and techniques for estimating project costs. These methods refer to chapter 7.2.2 of PMI’s Project Management Body of Knowledge .

Click on the links to the detailed articles on these techniques to find further explanations and practical examples.

This table compares the approaches to estimating project costs and highlights the differences between these techniques.

This technique is suggested by the PMBOK (ch. 4.1.2.1) as a way to produce a cost estimate.

If you or your team have experience with the kind of work that is in the scope of a project, you can use expert judgment to produce an estimate. This requires a certain level of familiarity with the subject of a project and its environments such as the industry and the organization.

Expert judgment can be applied to both bottom-up and top-down estimating. Its accuracy depends greatly on the number and experience of the experts involved, the clarity of the planned activities and steps as well as the type of the project.

Two examples of expert judgment are:

• Estimating the rough order of magnitude at the beginning of a project. At that time, estimates are often performed top-down due to a lack of team members. more accurate estimation techniques (such as parametric estimating) may also not be available due to a lack of data.
• (Re-)estimating the efforts needed to generate the deliverables of a work breakdown structure (WBS) by asking those responsible for work packages and activities to estimate their resource requirements. This type of expert judgment can lead to comparatively accurate results.

Besides being an estimation technique on its own, expert judgment is also inherent to the other estimation techniques. For instance, if the comparability of previous work and the current project is assessed or adjustments to parametric estimates are determined.

Analogous estimating refers to the use of observed cost figures and related values in previous projects (or portions of a project). In order to be accurate, the type and nature of these reference activities must be comparable with the current project.

“Analogous estimating, also called top-down estimating, is a form of expert judgment.” Source: Heldman, Kim. PMP: Project Management Professional Exam Study

This technique uses historical data in the form of values and parameters to determine the expected resource requirements of a current project. The historic values are adopted for the current work and can be adjusted for differences in scope or complexity. Analogous estimating is categorized as a gross value estimating approach.

In general, analogous estimates are used if a project has access to historical data on similar types of work while the details and resources for more accurate estimates in the current project, such as parametric or bottom-up estimating, are not available.

Parametric estimating is a statistical approach to determine the expected resource requirements. It is based on the assumed or proven relationship of parameters and values. Simple examples are the building cost per square foot in construction projects or the implementation cost per data field in IT projects.

If, for instance, the cost of implementing a new data field in an IT system were $20,000 according to historical data, and a project required 15 new data fields, the total cost of this part of the project would be 15 x $20,000 = $300,000.

The input data can be obtained from previous projects or external data sources such as industry benchmarks or publicly available statistics.

In practice, this technique is employed with a broad variety of sophistication and accuracy. It can be used with a simple ‘rule of three’ calculation but also in conjunction with a complex statistical or algorithmic model that may consider multiple quantitative and qualitative parameters for detailed regression analyses.

In projects that do not use an explicit statistical correlation analysis, some expert judgment is required to assess whether it would be reasonable to apply the historic parameters to the current project. Complexities of projects and activities vary and may therefore require certain adjustments.

For instance, building a highway in a mountainous region likely produces a higher cost per mile than in a flat area. IT development projects in complex IT architectures or systems tend to require more resources than a less complex environment.

Another consideration concerns the expertise and experience of the project team. If a previous project was delivered by highly skilled and experienced resources while the current team is just at the beginning of its learning curve, using unadjusted historic data may understate the estimated cost.

Similar to analogous estimates, adjustments can be made to adapt the parametric estimates to the current project.

Depending on the quality of the input data and its applicability to the current type of work, the parametric estimation technique can produce very accurate figures. However, the higher the accuracy desired the more resources are needed to perform the data gathering and statistical analyses.

Bottom-up estimation refers to a technique that involves estimating the cost at a granular level of work units. The estimates for all components of a project are then aggregated in order to determine the overall project cost estimate.

In practice, these estimates are often performed at the lowest level of the work breakdown structure (WBS), e.g. for work packages or even activities.

While there is no clear rule on who should be performing this estimation, it seems to be a good practice in project management: asking those project team members who are operationally in charge of the respective work packages or activities to estimate there on work.

Thus, this approach to estimating costs often comes with significantly higher accuracy than top-down estimations. However, obtaining and aggregating these granular estimates normally requires some resources and can potentially become a political challenge, especially in large or complex projects.

Three-point estimating is a technique that usually leverages on bottom-up estimates, analogous or expert estimates. The concept requires three different points of estimates: the optimistic (best case), pessimistic (worst case) and the most likely cost estimate.

Based on these 3 points, a weighted average cost estimate is determined that overweighs the “most likely” point. This can be done by assuming a triangular distribution, a PERT or beta distribution.

Read this article for further explanation and examples of this technique.

In this article, we have discussed the techniques of cost estimating as suggested by the PMBOK. Note that the level of detail and granularity of the estimates usually increases throughout the project.

In the initiation phase, the rough order of magnitude (ROM) is often the only type of estimate that can be obtained. Definitive estimates will usually require techniques such as analogous, bottom-up and parametric estimating that may only become available in later stages of a project.

Parametric and bottom-up estimates are usually the techniques that provide the most accurate cost projections. They are commonly used if the budget needs to be revisited and replaced with a new estimate at completion.

When a budget is determined and approved, earned value analysis and variance analysis help project managers control the cost and value generated in a project. You will find more details on the measures and the techniques in this article .

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Project cost estimation: types and techniques for project success in 2024

Plus a 4-step process to calculate project costs as accurately as possible.

Stella Inabo,   Content Marketer

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Project cost estimating is the process of predicting the total cost of the tasks, time, and resources required to deliver a project’s scope of work.

Unfortunately for project and resource managers, humans can’t see into the future 🔮 and that’s what makes cost estimation for projects a daunting task.

But even if you’re not a clairvoyant, there are several methods and tools to help you create cost estimates that will be close to the project’s actual cost. We’ll cover them below, including:

• What a project cost estimate is
• How to create one
• Methods and tools for cost estimation

Plus, we’ll also give you an example of how one of our customers figured out how to estimate costs for a new project.

What is cost estimation in project management?

Project cost estimation is the process of forecasting the financial resources required to complete a project successfully. It involves analyzing various factors such as labor, materials, equipment, overhead, and other expenses associated with the project to come up with an estimate of the total cost.

Cost estimation is a critical aspect of strategic project management as it provides stakeholders with valuable information for decision-making, budgeting, and resource allocation .

It helps ensure that projects are completed within budget constraints and enables project managers to identify potential cost overruns or risks early in the project lifecycle.

Imagine you’re a digital agency owner about to send a proposal to a client to revamp their website. Your main question is probably: How much is this going to cost us? Well, one way to figure that out is by looking back at a similar project you’ve tackled before: how long it took, who was involved, and what they charged per hour.

If you’ve been storing all this project info in a dedicated resource management tool , accessing these details should be a breeze.

You can easily store and track all your projects in Float

Get your project cost estimates right with resource management software

Rated #1 on G2 for resource management , Float helps your team accurately forecast project costs with a detailed view of your capacity, availability, and budget spend.

5 project cost estimation methods & techniques

You can estimate how much a given project might cost in different ways. Here are five cost estimation techniques and who they might work best for—but remember, this list is not exhaustive. 

1. Analogous estimate

Analogous estimation is a top-down approach that uses historical data from similar past projects to estimate the cost of a new one.

Let’s say you want to estimate the cost of an advertising campaign for a new Netflix film: you’d look at the cost analysis of a past project that is similar in size and scope and make some adjustments based on changes in equipment, inflation rates, and resource costs.

This cost estimation technique is best for you if you have a reliable record of the cost and duration of past projects.  

2. Bottom-up estimate 

Bottom-up estimating is where you estimate the cost for individual tasks or components of a project and then sum them up to get to the total project cost. 

It involves creating a work breakdown structure and including overheads for contingencies . 

This cost estimation technique is best for projects with a well-defined scope and list of tasks. 

3. Parameter estimate 

Parameter estimation is a method that makes predictions or estimates based on specific characteristics or data points. It’s like making an educated guess using known factors or measurements.

For instance, a paid ad agency estimates that reaching the target audience on a specific platform might cost $4,000 based on past campaigns and the client’s objectives. So they project that creating multiple ad variations could cost $10,000, and they sum up these estimated costs to provide the client with an overall estimate for the advertising campaign. 

Parametric estimation works best when you have a lot of information from similar projects in the past. 

4. Three-point estimate

A three-point estimation is a way to calculate a project’s cost based on likely, optimistic, and pessimistic cost projections.

The benefit of a three-point estimation is that it ties a project’s costs to uncertainties and risks, which allows you to plan for "worst-case" scenarios.

Let’s say you’re to find the cost of building a new website. Your estimate could look like this:

💰 Likely cost: $10k 😃 Optimistic costs: $7.5k 😟 Pessimistic costs: $15k

These three figures become a basis for building an average estimate. Simply add them together and divide by three:

10,000 + 7,500 + 15,000 = 32,500

32,500 ÷ 3 = 10,833

As a result, the average project estimate is $10,833.

Three-point estimates are best for where there’s a lot of uncertainty or variability in the tasks or projects.

5. Ballpark estimate

A ballpark estimate will give you the approximate value of a project based on the combination of similar projects you’ve done in the past and expenses unique to the particular project.

Let’s say your client needs a website built and your team has done similar projects in the past for $10k. Using the ballpark estimate, the cost might range from -25% to +50% ($7.5k - $15k).

Ballpark estimates are best used when there’s limited information available like at the start of a project. 

How to create accurate cost estimates using a dedicated tool 

The cost estimation process we will outline below is best suited for you if 

1. You are running a professional service business, not an internal project 

2. You have some idea of how much things cost based on historical data

If you don’t have any historical cost data, you can skip to the section below this one to see how to estimate costs for new projects. Note that we will be using our tool, Float, throughout this example; if you are using a different tool (or none at all) some parts of this may not be applicable, but the overall approach remains the same. Here is how you can create accurate estimates:

1. Gather data from past projects

Start by collecting data from past projects that are similar in scope, size, and complexity to your current project. This data should include total costs, duration, resources used, and any other relevant information.

To find similar projects in Float, here’s what you would do:

• Head over to the Project tab in Float 
• Toggle the project view options to “Archive” and voila, all your old projects will apply

You can access records of past projects in Float

If you don’t have any projects in Float, you can sign up for a free 14 day trial , import your project details in, and get started. You can learn how to get set up with this guide .

2. Identify variables and adjust costs

A few things (or a lot) might have changed since you worked on other similar projects. Before estimating costs for new projects, look for any changes from previous work like higher billing rates or pricier software like VFX instead of CGI. 

Aside from cost, consider how durations might have to change. Check if certain phases in past projects took longer than expected and adjust for new projects accordingly.

You can easily check for variations in duration by heading to the Report page in Float and comparing the actual and scheduled time spent on tasks.

You can see your team’s scheduled vs logged time in Float

3.  Create a tentative project to calculate the estimated costs

By now, you should have a good idea of the people, duration, and billing rates you need for the new project. 

To get a good idea of how much will cost, create a tentative project in Float. You can do this by simply selecting Tentative on the project menu.

You can plan unconfirmed projects in Float by creating tentative projects

Then, allocate your team’s time to the project and set your budget type and billing rates. You can use placeholders if you plan to hire freelancers.

Because the project has been marked tentative, the new allocations will not affect your team’s time schedule . 

Once you are done setting up the project, head over to the project report to check for the total estimated cost.

4. Review the estimate with your team

Verify the estimate with stakeholders, experts, or team members to ensure its accuracy. Different team members might notice things that were initially overlooked. This process helps uncover any missed details or factors in the initial estimate.

A real-life cost estimate example for new projects (without past data)

One of our customers , a marketing and communications company, took on a project they had never worked on before (we’re not going to share their name to protect their privacy 😉)

Since they had not done similar projects in the past, they anticipated a learning curve and expected to spend more time than initially scoped due to several potential client revisions. 

To accommodate this uncertainty, they added buffers—increasing the estimated cost by 50% and extending the project duration from 30 to 45 or 50 working days.

You can set your project budget based on estimates in Float

These measures allowed them to manage additional costs caused by a slower pace and multiple rounds of client feedback.

Use resource management software to track and control costs in real-time

When your project budget gets a thumbs up, there lies a new challenge of cost management and control. The things to pay attention to never end!

This is where a dedicated resource management tool can help you not just make estimates, but also track spending as it happens, ensuring that you always know how much money is available and when you’re running out of funds. 

And, yes: you can also do this in a spreadsheet. But if you track your projects in Float, you can just click on a project and see the entire budget. Ta-da!

Project budget report in Float

Depending on the budget type you choose, you can either see the budget displayed in hours or currency.

You can choose between 5 budget types in Float

You can see how much was spent per project phase and the remaining budget. 

You can also keep tabs on your team’s hours and individual rates. And if there are cost overruns , Float alerts you by showing how much over budget your project is. 

If you’re ready to take control of your project costs, sign up for a free trial today .

Forecast project costs with the #1 rated resource management software

More than 4,500 of the world’s top teams rely on Float to plan their projects, track budgets, and keep work on track.

Some FAQs about project cost estimation

What factors influence cost estimates.

Several elements can influence cost estimates. These cost elements include:

• Scope of work
• Material costs
• Equipment costs
• Project duration
• Market conditions
• Location factors
• Inflation rates
• Contingency allowances

Who performs project cost estimation?

Cost estimating can be performed by various individuals or teams depending on the nature and size of the project. This may include project managers, cost estimators, engineers, financial analysts, and other relevant stakeholders.

How can businesses choose tools and software for estimating costs?

Choosing the right estimating software depends on several factors, including the specific needs of your organization, the complexity of your projects, your budget, and the features you require.

Related reads

How to calculate fte for better resource (and budget) management, what is resource utilization formula + examples, how to create & manage timesheets effectively.

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Project Cost Estimation: How to Estimate Project Cost

Good cost estimation is essential for project management success. Many costs can appear over the project management life cycle, and an accurate project cost estimation method can be the difference between a successful plan and a failed one. Project cost estimating, however, is easier said than done. Projects bring risks, and risks bring unexpected costs and cost management issues.

What Is Project Cost Estimation?

Project cost estimation is the process that takes direct costs, indirect costs and other types of project costs into account and calculates a budget that meets the financial commitment necessary for a successful project. To do this, project managers and project estimators use a cost breakdown structure to determine all the costs in a project.

Project cost estimation is critical for any type of project , from building a bridge to developing that new killer app. Everything costs money, so the clearer you are on the amount required, the more likely you and your project team will achieve your objective.

Project cost estimating is a critical step during the project planning phase because it helps project managers create a project budget that covers the project costs that are needed to achieve the goals and objectives of the project set forth by executives and project stakeholders.

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Project Estimate Template

Use this free Project Estimate Template for Excel to manage your projects better.

What Is a Project Estimate?

A project estimate is the process of accurately forecasting the time, cost and resources required for a project. This is done by looking at historical data, getting information from the client and itemizing each resource and its duration of use in the project.

To create a project estimate, you should first define your project scope and then create a project cost breakdown structure, which allows you to pinpoint all of your different project costs for each stage of the project life cycle.

Project cost estimation is simplified with the help of project management software like ProjectManager . Add project budgets and planned costs for specific tasks and include labor rates for your team. When you build your plan on our Gantt chart, your estimated project costs will calculate automatically. Plus, as the project unfolds, you can track your costs in real time on our automated dashboard. Try it for free today.

What Is a Project Cost Breakdown Structure?

A cost breakdown structure (CBS) is a very important project costing tool that details the individual costs of a project on a document. Similar to a work breakdown structure (WBS) , it’s a hierarchical chart where each row represents a type of cost or item. This is done at the task level, which is called a bottom-up analysis.

Creating a cost breakdown structure might be time-consuming, but one that’s worth the effort in that the result is a more accurate estimate of costs than you’d get with a top-down approach, such as basing all your estimates on the costs of previous, similar projects.

Using a cost breakdown structure is an essential part of project cost management and resource management . By zeroing in on costs at the task level early during the project planning phase, you’re less likely to miss hidden costs that could come up later during the project execution stage and throw your project budget off.

Types of Project Costs

There are five main types of costs that make up your total project cost. Here’s a quick overview of these types of project costs and how to measure them.

• Direct costs: Direct costs are those that occur in a project and are attached to specific activities. These are generally costs that are easier to accurately estimate. They include raw materials, labor, supplies, etc.
• Indirect costs: Indirect costs in a project are those that are in support of the project, such as administrative fees. These can include everything from rent to salaries of the administrative staff to utilities, etc.
• Fixed costs: Fixed costs, as the name suggests, are those that don’t change throughout the life cycle of a project . Some examples of fixed costs include setup costs, rental costs, insurance premiums, property taxes, etc.
• Variable costs: Variable costs are costs that change due to the amount of work that’s done in the project and are variable in nature. These costs can include hourly labor wages, materials, fuel costs and so on.
• Sunk costs: In project cost estimating, when an investment has already been incurred and can’t be recovered it’s called a sunk cost or retrospective cost. Some examples of sunk costs include marketing, research, installation of new software, etc.

Free Project Cost Estimation Template

ProjectManager has free templates for every aspect of managing a project, including a free cost estimate template for Excel. It can be used for any project by simply replacing the items in the description column with those items that are relevant to your project.

This free cost estimate template has all the fields you’d need to fill in when estimating project costs. For example, there’s the description column followed by the vendor or subcontractor column and then there are columns to capture the labor and raw materials costs. These can be added together by line and then a total project cost can be calculated by the template.

Naturally, a cost estimate template is a static document. It’s handy in terms of collecting all your project costs and tracking them over the life cycle of the project. However, all that data must be manually added, which takes time and effort—two things that you don’t have in abundance when managing a project. Once you’re ready to streamline the cost estimate process you’ll find that there are many project management software solutions that can build budgets and track them in real time to keep you from overspending.

What Does a Project Estimator Do?

The project estimator or cost estimator, is tasked with figuring out the duration of the project in order to deliver it successfully. This includes determining the resources needed, including labor, materials, etc., which informs the project budget .

In order to do this, a project estimator must understand the project and its phases and be able to research the historical data of projects that were similar and executed in the past. Cost estimators also need to have a firm grasp of mathematical concepts.

Unlike a project manager , who’s responsible for the delivery and oversight of the project, a project estimator is focused on the direct and indirect costs associated with the project. Project estimators work closely with contractual professionals to develop accurate estimates, which are presented to project leaders.

Project Cost Estimation Techniques

All of these factors impact project cost estimation, making it difficult to come up with precise estimates. Luckily, there are cost estimating techniques that can help with developing a more accurate cost estimation.

Analogous Estimating

Seek the help of experts who have experience in similar projects, or use your own historical data. If you have access to relevant historical data, try analogous estimating, which can show precedents that help define what your future costs will be in the early stages of the project.

Parametric Estimating

There’s statistical modeling or parametric estimating , another cost estimation method that also uses historical data of key cost drivers and then calculates what those costs would be if the duration or another of the project is changed.

Bottom-Up Estimating

A more granular approach is bottom-up estimating, which uses estimates of individual tasks and then adds those up to determine the overall cost of the project. This cost-estimating method is even more detailed than parametric estimating and is used in complex projects with many variables such as software development or construction projects.

Three-Point Estimate

Another approach is the three-point estimate, which comes up with three scenarios: most likely, optimistic and pessimistic ranges. These are then put into an equation to develop an estimation.

Reserve Analysis

Reserve analysis determines how much contingency reserve must be allocated. This cost estimation method tries to wrangle uncertainty.

Cost of Quality

Cost of quality uses money spent during the project to avoid failures and money applied after the project to address failures. This can help fine-tune your overall project cost estimation. Plus, comparing bids from vendors can also help figure out costs.

Dynamic Project Costing Tools

Whenever you’re estimating costs, it helps to use online software to collect all of your project information. Project management software can be used in Congress with many of these techniques to help facilitate the process. Use online software to define your project teams, tasks and goals. Even manage your vendors and track costs as the project unfolds. We’ll show you how.

How to Estimate Project Costs in 10 Steps

The U.S. government has identified a 10-step process that results in reliable and valid cost estimates for project management . Those steps are outlined below.

• Define the cost estimate’s purpose: Determine the purpose of the cost estimate, the level of detail that is required, who receives the estimate and the overall scope of the estimate.
• Develop an estimating plan: Assemble a cost-estimating team and outline their estimation techniques. Develop a timeline , and determine who will do the independent cost estimate. Finally, create the team’s schedule.
• Define characteristics: Create a baseline description of the purpose, system and performance characteristics. This includes any technology implications, system configurations, schedules, strategies and relations to existing systems. Don’t forget support, security, risk items, testing and production, deployment and maintenance and any similar legacy systems.
• Determine cost estimating techniques: Define a work breakdown structure (WBS) and choose an estimating method that’s best suited for each element in the WBS. Cross-check for cost and schedule drivers; then create a checklist.
• Identify rules, assumptions and obtain data: Clearly define what’s included and excluded from the estimate and identify specific assumptions.
• Develop a point estimate: Develop a cost model by estimating each WBS element.
• Conduct a sensitivity analysis: Test the sensitivity of costs to changes in estimating input values and key assumptions, and determine key cost drivers.
• Conduct risk and uncertainty analysis: Determine the cost, schedule and technical risks inherent with each item on the WBS and how to manage them.
• Document the estimate and present it to management: Having documentation for each step in the cost estimate process keeps everyone on the same page with the cost estimate. Then you can brief the project stakeholders on cost estimates to get their approval.
• Update the cost estimate: Any changes to the cost estimate must be updated and reported . Also, perform a postmortem where you can document lessons learned.

Project Cost Estimation Example

Let’s take a moment to create a hypothetical project and run through a general cost estimate example to see how this process works. Construction cost estimation is straightforward so we’ll use a construction estimate example. This construction project will focus on the general requirements for cost estimation in project management.

Related:  Construction Estimate Template

First, you’ll want to have a list describing the various elements needed to build your construction project. Gather all your construction project management documents such as plans, designs and specifications, blueprints and permits to find out cost data. In your documents, you’ll find administrative costs, financing costs, legal fees, engineering fees, insurance and other cost items.

Now it’s time to use a work breakdown structure (WBS) to identify all your construction project activities. Identify the labor costs, direct costs and indirect costs associated with every activity in your project schedule. There are various cost estimating techniques such as bottom-up estimating which allow contractors to estimate costs for each construction activity to create accurate proposals for the construction bidding process.

These costs are then added together for a line total, and those line totals are added together to determine your total project cost. Having a cost estimation template is a good tool to collect and track this information.

ProjectManager Helps With Project Cost Estimation

ProjectManager is a project management software that has features to help create a more accurate project cost estimate. Our Gantt chart can be used to help you track costs and expenditures for projects and tasks.

Estimate Costs of Specific Tasks

When estimating individual tasks, costs can also be collected and tracked on our online Gantt chart. Here you can add a column for the estimated costs, baseline cost and the actual costs to help you keep the project on budget once it’s been executed.

Our online Gantt chart can not only track tasks, but you can set it up to track materials and fixed costs associated with each project task and monitor the difference between budget and actual costs. All of this data is collected on one page.

Start by creating a project and then go to the Gantt view on ProjectManager. If you already have data, you can import it by clicking on the import button on the top right-hand side of the page. Or you can use this online Gantt chart to collect the data. It can be easily shared with team members and stakeholders when you’re ready to get input or approval.

Estimate Costs of Resources

The resource management feature on ProjectManager is another tool that can help you achieve a more accurate project cost estimate. It offers a way to look at your costs through the workload across tasks and projects.

When planning a project with our resource management tool , you can account for employee schedules, equipment rentals, holidays and office space, among other factors that’ll impact your budget. Distributing project resources is one way to balance a budget.

Create a resource plan by scheduling the dates for planned resources, how long you’ll need them and the people who will be involved. That includes any equipment or site rentals. Break that down into the number of resources needed for each activity on a daily basis and you’ll be able to create a schedule with detailed resources, including duration and estimated costs.

FAQs About Project Cost Estimation

Here are some of the most frequently asked questions about project cost estimation online.

What Is Project Cost Analysis?

A project cost analysis is used to determine the costs and benefits associated with a project. It’s a process used to determine if the project is feasible.

What Is a Project Cost Breakdown?

A project cost breakdown is the process by which a project manager estimates what will need to be spent in order to deliver a project. A cost breakdown structure is used during the project cost estimating process to ensure all costs are accounted for.

Why Is Project Cost Estimation Important?

Cost estimation and cost management are an essential part of project management. The project manager is responsible for making the most accurate project budget possible by using a cost breakdown structure and project estimating techniques.

The project budget collects indirect costs and direct costs as it estimates the overall cost of delivering the project on time and meeting quality expectations. That means, whatever you’re going to need to make the project a success will be thought through during the cost estimation process.

Related Content

• Project Estimation Techniques: A Quick Guide
• Time Estimation in Project Management: Tips & Techniques
• Calculating Estimate at Completion (EAC)
• Parametric Estimating In Project Management
• What Is Job Costing? When to Use a Costing Sheet (Example Included)

When estimating costs on a project, you want to have the best tools to help you calculate a more accurate budget. ProjectManager is online project management software with online Gantt charts and resource management features that give you control over your project costs. See how ProjectManager can assist with your project cost estimation by taking this free 30-day trial today.

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Home Blog Business How To Create a Project Presentation: A Guide for Impactful Content

How To Create a Project Presentation: A Guide for Impactful Content

Corporate, academic, and business meetings share one common factor: successfully delivering project presentations. This is one skill professionals should harness in terms of articulating ideas, presenting plans, and sharing outcomes through an effective project presentation.

In this fast-paced reality where new tools and frameworks make us question the human factor value, we believe there’s much to be said about how working towards building presentation skills can make a difference, especially for making a project stand out from the crowd and have a lasting impact on stakeholders. We can no longer talk about simply disclosing information, the manner in which the narrative is built, how data is introduced, and several other factors that speak of your expertise in the subject.

This article will explore the art of project presentation, giving insights to presenters to deliver a memorable project plan presentation. Whether you are new to this experience or a seasoned presenter, this article promises to give you valuable information on how to build and present a project presentation that resonates with your target audience and will convert into your expected results for the project. Let’s get started.

Table of Contents

• Who is the audience of a project presentation?

Executive Summary

Project overview, the project process model, the project scope, the project resources, the project roadmap, the project activities plan, the project risks, quality control, project execution and monitoring.

• The Project Team

What Is a Project Presentation?

A project presentation is a business activity that brings together stakeholders and team members to oversee a project from execution to completion. During a project presentation, one or two people present a document or slide deck with an overview of all the project’s details.

During a project presentation, the project manager highlights key data about the project initiation and planning activities, like the project scope, requirements gathering, a deliverable list, timelines, and milestones.

The first instance of a project presentation is right before the execution of the project itself. Then, during the project process life cycle, you present it again with timely updates and news about the progress.

Who is the audience of a project presentation? 

A project-related audience is made up of stakeholders – all individuals and entities that affect or are affected by the project’s existence.

Discuss the project presentation with team members that’ll work on the project so they know what’s at stake and what’s expected of them. They’ll need information like requirements, the roadmap, the work breakdown structure, and deliverables.

Stakeholders

Present your project to the stakeholders that can authorize resources and expenditures. Show them how the project will offer the solutions they want under the conditions they impose in a set amount of time. 

Stakeholders want to know details like project scope, budget breakdowns, timing calculations, risk assessments, and how you plan to confront these risks and be ready for changes. 

The Structure of a Project Presentation

Project presentations follow a standard structure covering all critical elements. Follow this guideline to ensure that you cover everything with the slides, the speech, and the discussion.

In the next section, we describe a project presentation structure you can build with SlideModel templates or working with our AI PowerPoint generator . As you will see, most sections in the structure are summaries or overviews of project management practices completed during initiation and planning. 

At the start of your presentation, add an executive summary slide . This section is meant to welcome the viewer to the presentation and give an idea of what’s to come. To differentiate your executive summary from the project overview that comes right after it, use the opportunity to place the project into context. 

In an executive summary , show how this particular project fits into the overall strategy for the company or the section it belongs to. If, for example, your project is about TikTok Marketing, offer information as to how it fits in the overall marketing strategy.

Continue the presentation with a project overview to show the audience what to expect. This section covers one slide or a combination of slides depending on the layout. The project overview slide serves as the introduction to a project presentation and what’s inside.

Include these items:

• An Introduction with a brief background about the project. 
• A short explanation of the project’s objectives and completion goals.
• A quick overview of the timeline with start and end dates.

The project life cycle is the series of phases that a project goes through from its inception to its completion. The project process model is the group of knowledge areas, processes, and their relationships that will guide the activities along the project lifecycle. The next slide should display the chosen project process model and explain how it’ll be carried out along the different lifecycle phases. Project process models examples include Waterfall, Scrum, and V Model for software development, and Business Process Modeling Notation (BPMN) and Swimlane for general business-related projects.

Process models are important for the team to understand execution processes. Stakeholders need to see the process model to understand the systematic process of activities and how long they will take. 

Use one slide for the model, show only high-level components, and offer details during the presentation if the audience asks for them.

The scope is a crucial element of any project and needs its own section in the presentation. The scoping process begins with requirements gathering and includes the creation of a work breakdown structure , an analysis of what’s in and out of scope, plus validation and scope management plans. 

One or two slides are enough to highlight key scope details in a dashboard-style layout mirroring the information on your project scope statement. Preferably, place the scope slides towards the start of the project presentation close to the process model and project resources.

Every project needs resources, and that assessment must be included in the project presentation as well. In a general sense, all resources are what make up the overall budget for the project. In turn, you’ll need to show a budget breakdown that shows high-level resources.

Like many aspects of a project presentation, what you include depends on the industry you’re working for. Construction projects use constructors, materials, machinery, etc. Software projects use programmers, designers, software licenses, computers, etc.

Time is the main resource of any project. During project planning, the project management team estimates the required effort needed to complete the defined scope. Using the Project Process Model, Scope, and Resources, a plan is built. Present a roadmap to highlight the expected time for project completion and where each milestone falls along that line.

Roadmaps can be constructed with an infinite variety of visual layouts, from highly creative and illustrative to structured formats resembling spreadsheets and tables with color-coded roadmaps across the cells. Use one slide to show the roadmap highlighting time estimates, constraints, and projections. For updated project presentations, mark where the project is on the roadmap at that particular moment in time.

Every phase of the roadmap is broken down into action plans . Action plans list activities, their duration, allocated resources (human, material, and financial), and the relationship between activities.

Present your project activities plan with a Gantt Chart and a Costs Report. The Gantt Chart will show the activities to execute, how long they will take, and who (person or team) will be responsible for them. The costs reports will show how much the execution of activities will cost.

During the presentation, you’ll spend the most time on this section, as this is when and where your entire plan is outlined. To show more detail than the roadmap overview, use a few slides to show specific sections of the main Gantt chart and show key activities per phase or milestone.

All projects present risks, and to control them, they must be identified, assessed, evaluated, and mitigated . Visualize your risk assessment with a risk matrix and include it in the project presentation. 

Use this slide to explain to stakeholders how you plan to mitigate the identified risks. Share with team members what’s expected of them in order to keep the risks under control. Risk management is a critical component of project management and something stakeholders will always be looking at.

Controlling the quality of project deliverables is critical for positive project outcomes and continued success with the deliverable. This process is called quality control or quality assurance.

The project process model includes which quality control techniques the team will use and when. Some quality assurance (QA) techniques include statistical process control (SPC), Six Sigma, ISO 9000, and Total Quality Management (TQM). Use one slide to visualize the process and your plan to execute it.

Once the project starts, the project plan is a living entity and evolves over time. This section will need to be regularly updated with progress reports, performance KPIs, and status updates.

Across these slides, explain how activities will be monitored and deliverable outcomes measured. Show exactly how you will determine if the project is on course or has deviations. Visualize all execution activities with a Gantt chart to show the current progress. Use big numbers and data points to highlight performance metrics. Use a comparison slide to visualize the completeness percentage vs. planned progress and budget consumption vs. planned budget.

Explain all monitoring activities for the execution phase using a calendar or schedule that shows on what days activities will take place and who is involved.

The Project Team 

When presenting a project, include a stakeholder map to describe the management team, the sponsors, the main stakeholders, and the implementation team or teams. Depending on the size of the project, this will be an org chart or multiple org charts across a few slides.

Why is it important to present the project team to the stakeholders and vice versa? So that everyone involved knows the other parties and their responsibilities.

Another use for the team slide or slides is to present the next person who will speak during the project presentation. This gives the audience some background on that person’s role in the project.

Case Study – Project Presentation Example

Using the structure we present above, we outlined a case study of a realistic project and how the project manager puts together the project presentation using SlideModel templates. The project presentation example is based on a complex project of building a bridge (Cline Avenue Bridge). For the educational purpose of this article, we are not delivering all the elements of the project presentation, as it is out of scope. Still, we illustrate the more representative slides of each section, show how to prepare a PowerPoint Presentation for a project and how simple it is to adapt the templates to the content that needs to be presented. As a disclaimer, all information we present is an adaptation and reinterpretation of the real project, modified by SlideModel to fit the use case learning goals. This information and presentation should not be considered a source of information related to the Cline Avenue Bridge Project.

In this slide, the presenter summarises the project highlights in a project charter style. The Project Manager can extend this introduction all over the project lifecycle, and the speech can jump from different knowledge areas without the need to change slides or get deeper into details. Specifically, in the Cline Bridge Project, the objective is narrated, the location is just mentioned and linked to a map for further details, and a set of important facts are presented (Building Information Modelling Process, Budget, Duration, Sponsor, and Constructor). Key Highlights of the final deliverable are listed (Segmental Bridge, Material Concrete, 1.7 miles of length and 46 feet of width)

Process Model

The Process Model slide illustrates the framework for the project lifecycle, processes, planning, and execution. In this slide, the Project Manager will describe the model and how it is tailored to the specifics of the project. In this case, for the development and construction of the Cline Bridge, the builder has defined the use of BIM (Building Information Modelling) as the process model. During this slide, the presenter can describe the lifecycle phases (Design, Production, Construction, Operation, and Planning) and drill down one level over the knowledge practices involved. For example, the initial stage consists of “Design”, which has two main knowledge areas, Conceptual Design, and Detailed Design. The project manager is able to explain this definition without the need to outline detailed processes and activities within them.

The Scope section of the presentation generally involves several slides, as the content layout is a list of “requirements.” Based on this fact, a table layout is suggested to make good use of space. It is important to avoid abusing the “list” and present the group of requirements rather than specific requirements. Otherwise, the project manager ends up transcribing the requirements document.

In this project presentation example, we present 10 groups of requirements traversing different stages of the project lifecycle. 

• Design Standards: Bridge design must comply with local, national, and international design standards, including relevant engineering and safety codes
• Load Capacity: The bridge must be designed to safely carry a specific maximum load, which would include the weight of the bridge itself, traffic, pedestrians, wind, and other factors.
• Seismic Design: The design must account for seismic loads. 
• Aesthetic Design: The bridge must be designed to meet certain aesthetic criteria aligned with the artists and architects.
• Accessibility and Use Requirements: Requirements for pedestrian walkways, bike lanes, vehicle lanes, load restrictions for vehicles, clearance heights for boats if over a waterway, etc.
• Regulatory Approvals: The project must secure all necessary permits and approvals from relevant local and national regulatory bodies.
• Environmental Impact: The project must take steps to minimize its environmental impact during construction and the operation of the bridge, including implementing erosion and sediment controls.
• Materials Simulation: Materials should comply with regulations and usage expectations for current and future expected requirements.
• Site Preparation: The project must include preparation of the construction site, including any necessary land clearing or grading.
• Foundations Construction: Foundations will need to support materials weight and traffic expected for the next 30 years.
• Site Acquisition: Acquire site and terrain for building and logistics.

Building a bridge involves a high level of resource usage. In an executive meeting of a project presentation, the recommendation is to structure this section as a Financial table with only one level of detail. Further details are delegated to specific resources and cost analysis presentations.

The resources list presented is:

• Professional Services
• Construction Labour
• Quality Assurance
• Contingency
• Waste Disposal and Cleanup
• Subcontractors

In order to break the style of table after table during the project presentation, we suggest using visual elements as icons and colors metaphorically related to each of the elements listed.

Project Roadmap

As explained earlier in the article, the project roadmap serves to offer a comprehensive overview of the significant milestones that will happen over the course of time. Given the magnitude of a bridge construction project and its prolonged duration, it is advisable, particularly for such extensive endeavours, to present a roadmap that aligns milestones with corresponding lifecycle phases in a discernible manner. This approach enables the audience to mentally envision the sequential progression of the construction process.

Aligned with previous slides, in the example we created a roadmap with the following high level milestones, and sub componentes:

• Project Budgeting and Financing
• Land Purchase & Renting
• Conceptual Design
• Detailed Design
• Access Routes
• Waste Disposal
• Simulations
• Materials Tests
• Seismic Tests
• Fabrication
• Preparation of Modular Pieces
• Build and Assembly
• Test under Acceptance Criteria
• Stress Test
• Operation and Maintenance

As you can see, the Project Manager decided over a sequential roadmap, presented with little detail in timings, with start and end dates to picture dimension over the diagram.

Action Plan

In the bridge construction project of the example, there will be plenty of activity plans. All along the project several of these slides will be created and updated. The most suitable option for presentation tasks, durations, precedence relationship and resource allocation is the Gantt Chart Template. We present the first Quarter of the project, over the Conceptual Design Activities. 

As displayed in the PowerPoint Slide , the subtitle clarifies the number of slides that will be used for this purpose.

The activities presented are:

• Site Analysis
• Feasibility Analysis
• Design Concepts
• BIM Model Creation
• Model Revision
• Environmental Impact
• Present Design

Project Risks

Risk management is an iterative process all over the project life cycle. When presenting your projects, the risks will vary depending on the progress over the roadmap. For this specific example we decided to present the risks being discussed during the Ideation stage, where the developer is exchanging risks with contractors and the company that will build the bridge.

Our suggested layout for this kind of information is a simple table, where the risks are clearly readable and visible, while the description is a hint for discussion rather than an in depth explanation.

It is very important to classify the presented risks, at least with two dimensions; “Impact” and “Probability”. This will generate quality conversations around them. 

Outlined Risks during the Initiation Phase:

• Design Errors
• Construction Delays
• Budget Overruns
• Regulatory Changes
• Site Conditions
• Equipment Failures
• Health and Safety Incidents

As the reader can spot, the risks outlined, are very high level, and each of them will trigger specific Risk Analysis Reports.

The quality control section of the project presentation may vary depending on the quality process adopted. For large scale companies with a uniform portfolio of projects , it is common to see a continuous improvement quality model, which iteratively builds quality over the different projects (for example software companies) For construction companies like the example, the situation is not different, and the quality control model is aligned with the specific building process model. In this specific case, the project manager is presenting the quality control process to be applied over the BIM model and the Quality Control process to be followed for the physical construction of the bridge:

Execution and Monitoring

During the project, several status meetings will be carried out. During the project presentation the manager can establish the pattern to be used along the project.

For this example, we set a basic progress dashboard where the project manager can present : 

• The current timeline
• Top 5 issues
• Current Burndown
• Top 5 risks.

The art of project presentation goes beyond listing data in random slides. A project presentation is a powerful tool to align stakeholders and foster an environment of trust and collaboration over factual information.

With a structured approach, all members involved in the project design and execution can understand the direction that’s being taken and the importance behind certain decisions. We hope these insights can turn your project into a powerful presentation that inspires and deliver results.

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How to show cost data in presentations.

• 1 Introduction
• 2 Overall Format
• 3 Additional Issues

Introduction

In industry, managers are responsible for many projects. They are well aware that most projects do not fail for technical performance reasons, but usually fail because of problems with costs or schedule. Because of this, they pay extremely close attention to cost data given in presentations.

In these presentations, managers are looking for two major items. First, they're looking at the data itself to see if it's within the parameters established for the project. Second, and possibly more importantly, they're looking to see if the presenter has firm control over the project cost data, and is well aware of how the project is doing financially. If they are not confident on the second issue, they will not trust the cost data being shown to support the first issue. Therefore, it is critical that you be able to present cost data effectively, and give the impression of confidence.

Managers are usually not interested in the details of cost data, but want to be able to see how overall costs are derived. They're happy when they see the clear "chain of evidence" in a presentation, especially when the numbers are good. If the numbers are not good, i.e. costs are increasing or beyond the point where we can make a profit, managers may still be willing to give a project person a chance to correct the situation if they think the presenter is in overall control of the situation and understands the costs. If they have no confidence in the presenter, even if the numbers they show are good, they'll have no confidence that the numbers are actually correct. Worse, if the numbers are not good, they'll get the feeling that the situation is out of control, something that usually does not lead to significant career growth.

This page will act as an introduction on how to present cost data well, and therefore be able to gain confidence.

Overall Format

First of all, cost data is so important that it should have its own slide. It may be tempting to save time by including cost data as part of the materials list or in another part of the presentation. You should not do this. It makes it difficult for your teacher to understand the data, especially when various quantities of material are used. It is also not done this way in industry. Make sure this data gets the respect it deserves by giving it its own slide.

The overall format of cost presentation is very easy. The format consists of four columns. The first column is the item being reported, sometimes with the "unit of measure" shown as well, usually in parentheses. The unit of measure is how the item is priced. For example, if you're showing the price of a gallon of gasoline, the unit of measure would be a gallon. However, if you're showing the price of a dozen eggs, in most circumstances the unit of measure would be a dozen (the usual way eggs are sold). For many tables, the only unit of measure is "each". However, for some tables several different units of measure are used. For example, some items might be priced by the set, by the dozen, by length (feet or meters), or by area (square feet). When several different units of measure are used, you should add a separate column showing the unit of measure in order to make the table easier to read. If this column is present, it usually has a header of "U/M" (the abbreviation of Unit of Measure) to save space. The next column is the cost for each unit of measure. For example, if gasoline is $2.69 per gallon, the price shown would be $2.69. The next column is the number of units. Finally, the last column is the "extension", which is nothing more than the cost per unit multiplied by the number of units. Each column also has a header showing what the column contains.

Finally, the total cost for the project is shown in the bottom right corner of the table, and is the sum of the extensions. Figure 1 shows a typical table of costs that would be shown for a project. Note that in this case, only one item has a unit of measure other than "each", so we can just show it in parentheses next to the item.

Figure 2 shows a more complex cost table where several different units of measure are used:

Note that numbers are always right adjusted and text is always left adjusted. There may occasionally be exceptions to this rule, but it is a good starting point. Also, notice how the column headers are made different in some way to indicate that they are not data themselves. This is typically done by making the column headers bold text.

For the bottom row, if possible do not show the empty cells; just show the "Grand Total" caption and the overall total for the project.

Additional Issues

This project is very small, and therefore all the data easily fits on a single slide. For larger projects this will not be possible. Although managers may be interested in the detailed data, it is still a good idea to present the overall project costs on a single slide. This means that we might have to summarize individual items into groups to show the overall situation.

In this case, when we look at the detailed sheet, we usually see several items which have large costs associated with them. Even a small change in cost on these items can have a major impact on the overall costs of the project. Then, there are a number of minor items, typically involving large quantities, which do not contribute significantly to the overall cost. Frequently, these items are commodities, and therefore do not have significant price fluctuations. In this case, we can group these kinds of items together. Using RoboLAB parts as an example, the RCX block, motors, and sensors typically have a major impact on the overall project cost. On the other hand, things like bricks do not. Therefore, what we'll do is continue to show the high cost items on a line of their own, but lump the low cost items together.

There are several ways we can lump the low cost items. The first way is to lump them by type. For example, we might have a single line of "Bricks" and the total cost for all the bricks In this case we won't show a unit cost or quantity since the overall total will be the sum of a number of all the different kinds of bricks. Another way to group the items would be by major component of the project. For example, we might have a single item of "Gear Train" which consists of all the gears and axles that are involved, and their overall cost. Usually the type of project will guide you on which format to use In any case, with enough summarizing, you should be able to get the overall project cost onto a single slide. However, you should be ready to present the detailed costs if the management wants to see them.

Another issue is the "unit of measure". In most circumstances, the default unit of measure will be "each", so it's not shown. Any different unit of measure (e.g. "pair" for socks, "dozen" for eggs) etc. would be shown in parentheses behind the item. Some companies like to show the unit of measure separately from the item. In this case the item will be in the first column and the unit of measure will be in the second column. The unit of measure for each line is usually shown, even when it's clear wheat the unit of measure is (i.e. "each").

This format is typical of the formats used in industry. It gives the audience a good idea of the cost information, and also gives them confidence that you have a good grasp of the cost data. As you gain confidence with this format you may want to improve upon it. This is only the beginning of an important topic.

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Free Project Cost Templates

By Andy Marker | July 4, 2021

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We’ve rounded up 15 of the most useful cost management templates, available in Microsoft Word and Excel, Adobe PDF, and Google Sheets versions. All templates are completely customizable and free to download. 

Included on this page you’ll find project cost estimating spreadsheet templates , a project cost tracker template , and construction project cost templates , as well as IT project cost templates for estimation and cost benefit analysis.

Project Cost Estimating Templates

Parametric project cost estimating template.

Download Parametric Project Cost Estimating Template

Microsoft Excel | Microsoft Word

Parametric cost estimating is a reliable method of cost estimation for projects with predictable tasks and standard rates that can be expressed in units, such as work hours or product numbers. This template separates project costs by products and labor. Each section shows the number of units, price per unit, and total cost for each item or task. The template will then automatically calculate subtotals and display the total estimated project cost at the top of the template.

Three-Point Project Cost Estimate Template

Download Three-Point Project Cost Estimate Template — Microsoft Excel

Utilize the three-point estimating method to determine project expenses based on optimistic, pessimistic, and most likely costs. The template calculates weighted averages for each activity and the total project cost. Add notes to each line item to create a detailed estimate.

Activity Cost Estimate Template

Download Activity Cost Estimate Template

Microsoft Word | Adobe PDF

Create a list of estimated costs for all activities and resources required to complete your project. This cost estimating template shows direct and indirect expenses, contingency funds, and an estimated cost range for each item. Document the estimation method used, any assumptions and constraints, and your confidence rating. The template provides a simple table format for organizing and planning project costs.

Project Cost Management Templates

Project cost management plan template.

Download Project Cost Management Plan Template

This project cost management plan report template provides a detailed outline from which you can develop your own customized template. Sections include an introductory summary, spending limits, cost variance planning, management approach, reporting processes, change control, and project budget. The template is broken down into subsections, and tables make it easy to present data in a comprehensive and easily readable report.

Project Cost Control Template

Download Project Cost Control Template — Microsoft Excel

This project cost control sheet allows you to track budgeted versus actual costs, whether you’re managing product prices, hourly rates, or other project expenses. It also shows item quantities, budgeted rates, actual expenses, pending costs, and forecasted total costs for each individual item, as well as the project as a whole. The template displays amounts for project budget, actual costs, and projected costs at the top for quick reference.

Project Cost Schedule Template

Download Project Cost Schedule Template — Microsoft Excel

Create a project cost schedule that lists total costs allocated for each item, along with the time frame for distributing those costs. Use the 12-month calendar to view the dollar amounts allotted for a given week or month. This template works as both a planning and tracking tool to help you anticipate future issues, adapt to project changes, and ensure that costs stay on track and within budget.

Project Cost Tracking Template

Download Project Cost Tracking Template

Microsoft Excel | Google Sheets

This project cost tracker template provides both a detailed spreadsheet and a visual chart that shows a snapshot comparison of actual vs. budgeted expenses. Group your project costs by category, and list fixed costs or unit rates for each item. Enter actual expenses as you accrue them to track how far project costs are over or under budget.

Construction Project Cost Templates

Construction project cost tracking spreadsheet.

Download Construction Project Cost Tracking Spreadsheet Template — Microsoft Excel

This tracking spreadsheet functions as both a project cost estimate and budget template. The spreadsheet includes example categories and tasks, ranging from planning and site prep to interior finish work. Compare estimated and actual costs for individual items and the entire project. Keep track of vendors and other responsible parties, as well as task status and amounts due. The template displays summaries of total costs and payments at the top.

Construction Project Cost Comparison Template

Download Construction Project Cost Comparison Template — Microsoft Excel

This cost comparison template enables you to compare bids on a project and evaluate potential costs. The template shows the base bid amount for each party, as well as bids for proposed additive or deductive alternatives. Check boxes help you track qualifications and other bid requirements. Ultimately, by viewing a compilation of bids, you can easily compare potential costs and identify the most competitive bidders.

Multi-Unit Construction Project Estimate Template

Download Multi-Unit Construction Project Estimate Template

Microsoft Excel | Microsoft Word | Adobe PDF

This multi-unit estimate template is divided into sections for on-site and off-site construction and includes sample categories. List work tasks or materials needed under each category, and add estimated costs; the Excel version of this template will automatically calculate the projected subtotal. Then add percentages for fees, insurance, and contingency costs to estimate the final project cost.

Remodeling Project Cost Estimate Template

Download Remodeling Project Cost Estimate Template

This estimate worksheet is designed for remodeling projects, and it groups costs into interior vs. exterior home spaces. Edit the example entries for labor and materials based on your specific remodel project. The Excel estimate template will generate project costs for you, with estimated subtotals listed for each area of the home and the grand total shown at the top.

New Home Construction Cost Estimate Template

Download New Home Construction Cost Estimate Template

This cost estimate template shows gross profit and margin of profit to help determine the total estimated expense for a new home construction project. The spreadsheet provides columns for construction categories, unit quantities, price per unit, base prices, markup amount, and profit. It also includes a thorough list of example tasks, materials, permits, and other items, which you can easily edit to suit your home-building project.

For more estimating templates, see our collection of free construction estimate templates , including for specific jobs, such as roofing, painting, or electrical work.

IT Project Cost Templates

It project cost estimation template.

Download IT Project Cost Estimate Template — Microsoft Excel

Assess project costs with this estimator template designed for IT projects. The template breaks down the project into phases, displaying estimated hours, labor requirements and rates, additional costs, and total cost for each phase. Choose a status from the drop-down menu to indicate whether a project element is not started or in progress, complete, or on hold. The template provides a quick, itemized overview of estimated total hours, staffing, and costs at the top.

Software Development Project Estimate Template

Download Software Development Project Estimate Template — Microsoft Excel

This software development template includes work effort and task duration in its estimate of project costs. For each phase activity, the template computes work effort in hours and days, task duration in days and weeks, the average hourly cost for required resources, and estimated total cost. It also calculates the estimated date of completion for each activity based on your data. Compare estimated hours with actual hours as you move through project phases, and get baseline, minimum, and maximum estimates for total project costs.

IT Project Cost Benefit Analysis Template

Download IT Project Cost Benefit Analysis Template

Microsoft Excel  | Smartsheet

Conduct a cost benefit analysis to determine the value of an IT project over several years. This project cost analysis template includes four spreadsheet tabs. The first two tabs compile projected and current value costs and benefits; the third combines total costs and benefits for a cumulative cost benefit profile; and the fourth tab provides a cost benefit analysis of alternatives. The template also includes example cost categories and covers an eight-year timeline.

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Cost Reduction

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Cost reduction refers to measures implemented by a company to reduce its expenses and improve profitability. Cost cutting measures are typically implemented during times of financial distress for a company or during economic downturns. They can also be enacted if a company’s management expects profitability issues in the future, where cost cutting can then become part of the business strategy.

Shareholders who seek maximum monetary returns on their investments in a company expect that management will maintain growth in profits. When the business cycle is on an upswing, companies are generally able to generate profit growth. However, on a downswing, profits may fall and if they stay down for prolonged periods, management would feel the pressure from shareholders to cut costs in an effort to prop up the bottom line.

Cost reduction measures may include laying off employees, reducing employee pay, closing facilities, streamlining the supply chain, downsizing to a smaller office, or moving to a less expensive building or area, reducing or eliminating outside professional services, such as advertising agencies and contractors, etc.

Implementing new technology can also be seen as a cost cutting method. For example, a new machine may replace a certain number of employees, cutting labor costs, where the cost of the machine is made up after a certain period of time of not incurring labor costs.

Good costs focus on the company’s growth and are aligned with the company’s customers and how to meet the needs of those customers. Bad costs are those that do not match up with the company’s growth strategy, and waste resources. When bad costs are cut, they can free up resources that can be used in a more productive capacity. Best costs are the costs associated with what makes a company unique, how it differentiates itself from the competition, and how it provides true value to its customers.

Because salaries and wages are such a large expense, many companies look to layoffs first as a cost cutting measure when times are lean. However, there are many real or potential costs associated with firing people, including severance pay, unemployment benefits, rehiring costs, wrongful termination lawsuits, lowering of morale, and the risk of overworking remaining employees.

This cost structure template will be primarily useful for company leaders when preparing a company’s cost module strategy and for presenting cost saving opportunities. You can use the slides in this template to help you prepare a general cost-cutting plan for your company.

Crisis managers can use this template when preparing activities to take the company to a profit. Financiers and economists can use this template when preparing a cost reduction report. University professors can use this template to prepare a course on cost management or cost reduction in manufacturing.

Our cost reduction slides is a set of professional and modern templates that contains five stylish and fully editable slides. You can independently change the type and size of the font, color and position of the infographic. This template will be useful for startups, financiers, economists, company executives. The Cost Reduction template will complement your old presentations and will be a worthy addition to your collection of professional presentations.

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The Ultimate Professional Presentation Price Guide of 2023

Table of contents.

A good presentation involves strong brand storytelling, informative slides, and the ability to connect with your target audience. While a presentation may seem like a small aspect of a business marketing strategy, it is actually quite important and can have a big influence on your first impression as a business.

Businesses of all sizes will use presentation visuals to present information to clients. But, if you’re not particularly savvy when it comes to creating presentations, you may be missing the mark when it comes to reaching potential clients.

If that’s the case, you may need to hire a professional designer to help you create a custom presentation. But, you may be wondering about the costs of hiring a professional. So, here is your guide to professional presentation design and the costs associated with working with a professional .

Why Do You Need A Professionally Designed Presentation?

Before we discuss the costs that come with hiring a professional presentation designer, we first need to talk about why you need a professional presentation in the first place. Here are a few reasons why you should consider hiring someone to design your powerpoint presentations.

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Stand out from competition.

One of the biggest reasons you might hire a professional designer is to stand out from the crowd. Even though you may not think it, your PowerPoint presentation design can have a big impact on reaching clients and making sales.

Not only will a quality presentation show your audience that you are experienced and that you care about your brand, but it will also make your presentation memorable. While it’s easy to stick with a basic design for your PowerPoint presentation, a high end graphical presentation can stick in your audience’s head longer.

Present Information

Another aspect of a good presentation is presenting valuable information to your audience. Storytelling is an important aspect of audience engagement and can lead to landing new clients. However, if the information isn’t presented in an engaging and memorable way, it won’t work.

A well-designed presentation will have bite-sized pieces of information that can be easily processed. As well, using icons like arrows, underlines, symbols, and headings can have a big impact on how the information is presented to your audience.

Create a Strong Brand Presence

Finally, strong PowerPoint designing strategies can strengthen your brand image and presence. A custom presentation can use your brand colours, logos, and other brand guidelines in order to stay at your audience’s top of mind.

Being consistent with your PowerPoint presentations can help you not only reach new clients, but strengthen your brand’s image and presence.

Where Can You Find Professionals To Design A Presentation For You?

Now that we’ve proven why hiring a professional PowerPoint designer will benefit you and your business, it’s time to discuss what your different options are.

Here are three main methods you might consider when choosing a presentation professional.

Freelancers

One of the most popular methods of upping your presentation design game is through hiring a freelance designer. There are several main sites, like Fiverr or Upwork, that host freelancers available for hire for things like content writing, graphic design, and presentation design.

On these sites you’ll likely find hundreds of different designers who can help give your presentations a professional design.

Average Presentation Design Cost Using A Freelancer

When you work with a freelancer, they will often set their rate for each project or per hour. The cost of each presentation project with a freelancer will depend on their rate and could vary dramatically.

Typically, freelancers could charge anywhere between $75-$250 for a 10-slide presentation design . For an hourly rate, you could be looking at somewhere between $35-150 per hour.

Pros And Cons Of Using A Freelancer

You can find a freelancer that fits your budget

A lot of options are available

Flexibility and no long-term commitment to one designer

Unpredictable quality

Security risks

Potentially lacking professional design experience

Time involved in finding a reliable designer

Could be a steep price for the quality you want

Presentation Design Agencies

Another option for outsourcing your PowerPoint presentation design is a PowerPoint design agency.

An outstanding presentation will be able to stand out from the crowd, present valuable information, and create a strong brand presence. To do this well, you might consider working with a professional design agency.

One of the best reasons for choosing a design agency to help with your presentation design is that the designers will be experts in their fields. A professional PowerPoint designer will have experience in presentation making and PowerPoint design. As well, they will have the skills needed to create presentations that engage your audience

Average Presentation Design Price

The cost of hiring an agency for your presentation design will depend on the type of agency you hire and how big the project is. In this case, it’s important to remember that time = money, and if you want a large presentation to be completed, the presentation agency designers will be charging more for the time that it takes to put together a high-quality presentation.

Typically, hiring a professional presentation designer will start at around $1500 per project. However, this price range typically entails a quality presentation with high-quality images and icons, strong readability, and other additions like animating elements or subtle transitions. While the final price may be higher than using a freelancer, you should consider how much effort is put into the final project.

Pros And Cons

A dedicated team of professionals working on your presentation

Team of experts in their fields

High quality slides and images

More reliable and a guaranteed deadline

Higher upfront/final cost

Takes time to find the right agency for your business

Here's One We Delivered For British Petroleum

Another route you can take when designing a Google Slides or PowerPoint presentation is to use templates. If you have standard projects that need to be inputted into a presentation, one of the easiest things to do is use a template from the collection available in your presentation program.

Templates are pre-made presentations that use basic slide design and allow users to input their information and add stock images to the presentation. For businesses looking to lower their PowerPoint design costs and who have the time available to create their presentation, this is one option for you.

Average Google Slides or Powerpoint Design Cost

The cost of this type of presentation depends on how you view it. If you already have a paid PowerPoint account, you have access to their templates with an existing structure. It’s the same with the free Google version.

However, the project cost will come from the countless hours it may take to create a complete presentation that looks professional and meets a certain standard. While you may not be spending actual money, the cost comes from the time commitment needed to complete these valuable tasks.

A cost efficient alternative

Straightforward to use

May not be as high quality

Using your own time and energy

Lack of experience

Not as customized/unique

Factors That Impact Your Presentation Cost

In many cases, there isn’t a fixed design cost for a PowerPoint design as there are different factors that can influence the final number.

Presentation Type and Number Of Slides

The first factor is the size and type of the project. The price of a 5-slide presentation will not be the same as a 50-slide presentation. Many presentations vary in size, so the typical cost will fluctuate depending on the size.

As well, the type of presentation can influence the price. If you’re wanting a very informative and detailed presentation, this will cost more than one that is meant to be quite simple.

Turnaround Time

Another factor that will influence the price of your design project is the deadline. If the agency you work with has a tight schedule and you have a tight deadline, you may be charged additional rush fees in order to get the presentation-worthy content you will be paying for. If you don’t have tight deadlines, you may be able to save some money and give the designer time to flesh out more ideas.

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Presentation Clean Up

Like any project, you don’t necessarily want to hand in the first draft. Unlike freelancers, design teams at PowerPoint agencies spend time editing and reworking existing presentations in order to ensure they are at their best.

Especially if your presentation has numerous paragraphs with important information, the design companies will revise and edit the slides before turning them in.

Custom Built Presentation

One other factor in the PowerPoint design pricing is customization. Many agencies have their own collection of templates that they can use for clients. However, if you want the agency to create customized icons and slides, you should be willing to pay more for that service.

Presentation Price Guide Table

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Working With a Professional Presentation Design Agency

Most presentations built through templates or with some freelancers can leave your audience bored, uninformed, and with their questions unanswered.

If you’re looking for a presentation designer that has the experience necessary to build quality presentations for your business, a design agency is your best option. Outsourcing your presentation design will not only check off a secondary task from your to-do list, but will mean receiving a presentation that will reach your audience.

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We are Presentation Geeks, PowerPoint design specialists. We geek out about all things when it comes to presentations. Let’s connect and explore how we can craft a presentation for you that caters to your specific industry that will blow your audience away.

Author:  Content Team

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May 10, 2024

Governor Newsom Unveils Revised State Budget, Prioritizing Balanced Solutions for a Leaner, More Efficient Government

Para leer este comunicado en español, haga clic aquí .

The Budget Proposal — Covering Two Years — Cuts Spending, Makes Government Leaner, and Preserves Core Services Without New Taxes on Hardworking Californians

Watch Governor Newsom’s May Revise presentation here

WHAT YOU NEED TO KNOW: The Governor’s revised budget proposal closes both this year’s remaining $27.6 billion budget shortfall and next year’s projected $28.4 billion deficit while preserving many key services that Californians rely on — including education, housing, health care, and food assistance.

SACRAMENTO – Governor Gavin Newsom today released a May Revision proposal for the 2024-25 fiscal year that ensures the budget is balanced over the next two fiscal years by tightening the state’s belt and stabilizing spending following the tumultuous COVID-19 pandemic, all while preserving key ongoing investments.

Under the Governor’s proposal, the state is projected to achieve a positive operating reserve balance not only in this budget year but also in the next. This “budget year, plus one” proposal is designed to bring longer-term stability to state finances without delay and create an operating surplus in the 2025-26 budget year.

In the years leading up to this May Revision, the Newsom Administration recognized the threats of an uncertain stock market and federal tax deadline delays – setting aside $38 billion in reserves that could be utilized for shortfalls. That has put California in a strong position to maintain fiscal stability.

Even when revenues were booming, we were preparing for possible downturns by investing in reserves and paying down debts – that’s put us in a position to close budget gaps while protecting core services that Californians depend on. Without raising taxes on Californians, we’re delivering a balanced budget over two years that continues the progress we’ve fought so hard to achieve, from getting folks off the streets to addressing the climate crisis to keeping our communities safe.

Governor Gavin Newsom

Below are the key takeaways from Governor Newsom’s proposed budget:

A BALANCED BUDGET OVER TWO YEARS. The Governor is solving two years of budget problems in a single budget, tightening the state’s belt to get the budget back to normal after the tumultuous years of the COVID-19 pandemic. By addressing the shortfall for this budget year — and next year — the Governor is eliminating the 2024-25 deficit and eliminating a projected deficit for the 2025-26 budget year that is $27.6 billion (after taking an early budget action) and $28.4 billion respectively.

CUTTING SPENDING, MAKING GOVERNMENT LEANER. Governor Newsom’s revised balanced state budget cuts one-time spending by $19.1 billion and ongoing spending by $13.7 billion through 2025-26. This includes a nearly 8% cut to state operations and a targeted elimination of 10,000 unfilled state positions, improving government efficiency and reducing non-essential spending — without raising taxes on individuals or proposing state worker furloughs. The budget makes California government more efficient, leaner, and modern — saving costs by streamlining procurement, cutting bureaucratic red tape, and reducing redundancies.

PRESERVING CORE SERVICES & SAFETY NETS. The budget maintains service levels for key housing, food, health care, and other assistance programs that Californians rely on while addressing the deficit by pausing the expansion of certain programs and decreasing numerous recent one-time and ongoing investments.

NO NEW TAXES & MORE RAINY DAY SAVINGS. Governor Newsom is balancing the budget by getting state spending under control — cutting costs, not proposing new taxes on hardworking Californians and small businesses — and reducing the reliance on the state’s “Rainy Day” reserves this year.

HOW WE GOT HERE: California’s budget shortfall is rooted in two separate but related developments over the past two years.

• First, the state’s revenue, heavily reliant on personal income taxes including capital gains, surged in 2021 due to a robust stock market but plummeted in 2022 following a market downturn. While the market bounced back by late 2023, the state continued to collect less tax revenue than projected in part due to something called “capital loss carryover,” which allows losses from previous years to reduce how much an individual is taxed.
• Second, the IRS extended the tax filing deadline for most California taxpayers in 2023 following severe winter storms, delaying the revelation of reduced tax receipts. When these receipts were able to eventually be processed, they were 22% below expectations. Without the filing delay, the revenue drop would have been incorporated into last year’s budget and the shortfall this year would be significantly smaller.

CALIFORNIA’S ECONOMY REMAINS STRONG: The Governor’s revised balanced budget sets the state up for continued economic success. California’s economy remains the 5th largest economy in the world and for the first time in years, the state’s population is increasing and tourism spending recently experienced a record high. California is #1 in the nation for new business starts , #1 for access to venture capital funding , and the #1 state for manufacturing , high-tech , and agriculture .

Additional details on the May Revise proposal can be found in this fact sheet and at www.ebudget.ca.gov .

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Cost Reduction Plans Powerpoint Presentation Slides

Strategize your company’s cost reduction plan using Cost Reduction Plans PowerPoint Presentation Slides. Reduce cost of the production of the product and increase the profit by using cost reduction plans PPT templates. Apply various techniques and tools to reduce the costs such as budgetary control, standard costing, cost benefit analysis, value analysis, contribution analysis, and more. Go step by step to reduce expenditure and continuously analyse costs, functions, etc. This deck covers various topics to help you strategize your cost reduction plan such as key levers to cost management, levers to achieve successful cost optimization, levels of strategic cost optimization, detailed levels within strategic cost optimization framework, prioritizing IT cost optimization, IT cost optimization, cost optimization techniques, cost optimization planning, stages in cost reduction, cost design, comparison of stages, etc. You can use price optimization PowerPoint presentation templates for better cost reduction plan. Create more demand for the product, increase sales and revenue, increase competitive strength and more using cost reduction plan PPT presentation slideshow. Assess the fallout of emerging circumstances with our Cost Reduction Plans Powerpoint Presentation Slides. It helps decipher the implications.

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Presenting cost reduction plans presentation slides. This deck comprises of total of 34 PowerPoint slides. Each slide consists of professional visuals with relevant content. These PowerPoint templates have been designed keeping the customers requirement in mind. This complete presentation covers all the design elements such as layout, diagrams, icons, and more. This deck has been crafted with a thorough research. You can easily customize each template. Edit the colour, text, icon, and font size asper your requirement. Easy to download. Compatible with all screen types and monitors.

People who downloaded this PowerPoint presentation also viewed the following :

• Business Slides , Flat Designs , Strategic Planning Analysis , Visuals and Illustrations , Complete Decks , All Decks , Cost Reduction Strategies , Pricing Strategies , Strategic Management , Finance and Accounting , Mini Decks , Finance And Accounting
• Cost Optimization Strategies ,
• Cost Reduction Plans ,
• Price Optimization

Content of this Powerpoint Presentation

Slide 1 : This slide introduces Cost Reduction Plans. State Your Company Name and begin. Slide 2 : This is an Agenda slide. State company agendas here. Slide 3 : This slide presents Key Levers to Cost Management with the following subheadings- Procurement (Due to reducing cost in china, many procurement teams are facing growing pressure. This will lead to more strategic sourcing, consolidation of resources and improved contract & inventory management). Operational Efficiency (Companies often reduce focus on operational & process efficiency. Top performing companies understand the fact that financial strength is built from driving out operational inefficiencies). Supply Chain (Inefficiencies in channel management and distribution networks needs to be identified & understood to optimize efficiency gains along the supply chain). Working Capital Management (To ensure sustainability, reduce reliance & exposure to short-term funding needs It is also subject to exposure and risks from areas including receivables, payables and inventory management). Slide 4 : This slide presents Levers to Achieve Successful Cost Optimization with the following subheadings- Discover, Insight, Design, Implement, Maintain & Grow. Slide 5 : This slide presents Levels of Strategic Cost Optimization in graph form with the following points- Reduce (Reduce costs and prioritize spend) Optimize (Remove waste, increase efficiency) Rationalize (Business relevance, flexibility, agility) Transform (Invest more to optimize more). Slide 6 : This slide presents Detailed Levels Within Strategic Cost Optimization Framework with the following subheadings- Reduce: Cut costs and prioritize spend, Optimize: Remove waste and increase efficiency, Rationalize: Seek business relevance, flexibility and agility, Transform: Invest more to optimize more. Slide 7 : This slide showcases Prioritizing IT Cost Optimization table on the scale of - Reject, Accept, Evaluate. Slide 8 : This slide shows IT Cost Optimization: Three-Step Approach- IT Investment Optimization: Flat or declining IT budgets, coupled with an increased demand for IT services Removal of expenses from current spend or run rate in order to invest in future business opportunities. Define IT investment Optimization Goals, Identify Investment Opportunity, Prioritize Investment Portfolio, Develop Ongoing Governance. IT Cost Assessment: Business challenges identified through merger, acquisition or divestiture of business operation Increased utilization of IT resources & assets Alternate Sourcing, Business Alignment, Vendor Renegotiation, Consolidation/ Rationalization, Standardization, People Alignment. IT & Business Alignment: Opportunity Identification Realization of Benefits: Software, Hosting, Network, End User Computing, IT Overhead Management. Slide 9 : This slide presents IT Cost optimization Initiative Benefits with the following subheadings- Application Portfolio Rationalization: Improved Cost Management, Increased Efficiency, Business Transformation. Infrastructure Rationalization: Reduce total Cost of Ownership, Improve Economies of Scale by Standardization of Assets. Organization & Operating Model: Savings Due to Process Standardization and Reduced Re-work, Improved Product Quality and Service. Operations & Process Transformation: Improve visibility of End-to-end Value Chain, Increase Demand Forecast Accuracy, Drive Significant Increase in Bottom Line. Slide 10 : This slide shows Cost Optimization Techniques such as- Improving Data Management: Enable people to share data in an easy & efficient way & use that data to create business value through better & faster decisions. Supply Chain Optimization: CIOs need to work collaboratively to look beyond cost reduction to enable increased sales. Focus should be on using a mixture of conventional & unconventional techniques to optimize IT & business costs. Process Automation: Business leaders need to go beyond the current use of automation to robotics, and leverage the Internet of Things and smart machines to build intelligent business processes. Customer Self-Service: Establish a strategy to handle self-service technologies, which must be continuously updated and based on the customer’s perspective and experience. Slide 11 : This slide also presents Cost Optimization Techniques such as- Improving Business Efficiency Through Analytics: Advanced analytics helps in reducing customer churn and make equipment safer. Utilizing analytics also helps in the customer retention or improving marketing responses which in turn can have a big impact on the business. Digitalization of Business Processes: Develop an integrated approach that brings together required competencies & expertise, along with buy-in from the executive leadership team. Improving Inventory Management: As inventory is a working capital asset, reducing inventory will contribute directly to the bottom line. Continuous Improvement Culture: CIOs need to work collaboratively with business leaders to focus on lean improvement efforts. Slide 12 : This slide showcases Cost Optimization Planning. Present planning aspects here. Slide 13 : This slide presents Stages in Cost Reduction- Cost Cutting, Cost Management, Cost Design, Cost Positioning. Slide 14 : This slide presents Cost Cutting with the following content- Cost Cutting involves cuts in spending based on arbitrary criteria, Costs are divided into committed & discretionary categories, Cuts target discretionary before committed; large before small; expedient before sensitive, Performance measured against historical standards. Slide 15 : This slide presents Cost Management with the following content- Cost Management involves a systematic approach to cost reduction that involves an understanding of relevant cost drivers. Costs are organized by resources, activities, and cost objects. Reductions achieved by eliminating unused capacity, nonvalue-added activities, & reducing activity cycle times. Performance measured against long-term target standards. Slide 16 : This slide showcases Cost Design with the following content- Cost Design involves an evaluation & redesign of the internal value chain . It seeks to improve the relationship among resources required and work performed to satisfy customer requirements. Costs are organized by process & sub process. Reductions achieved by eliminating redundancy & conforming to operational strategy. Performance measured against best-in-class standards of performance. Slide 17 : This slide showcases Cost Design with the following points- Cost Positioning involves an evaluation & redesign of the external value chain. It seeks to improve the relationship among supply chain members to enhance competitiveness. Costs are organized by links in the value chain. Reductions achieved by consolidation of links, sharing information, better coordination, & exploiting synergies among supply chain members. Performance measured against strategic objectives such as market share & price targets. Slide 18 : This slide presents Comparison of Stages in tabular form. Slide 19 : This is a Coffee break slide. You can change the slide content as per need. Slide 20 : This is a Cost Optimization Strategy Icons Slide. Use the icons as per need. Slide 21 : This slide is titled Additional Slides to move forward. You may change the slide content as per requirement. Slide 22 : This is Meet Our Team slide to display names, designation with image boxes. Slide 23 : This is an About Us slide. You can shows company/team specifications etc. here. Slide 24 : This is an Our Target slide. Show targets, goals etc. here. Slide 25 : This is a Timeline slide to show company growth, evolution, milestones etc. Slide 26 : This is a Puzzle image slide to show information, specifications etc. Slide 27 : This is Our Location slide with a world map imag to show global presence, growth etc. here. Slide 28 : This is a Magnifying glass image slide to show information, specifications etc. Slide 29 : This slide is titled Charts & Graphs to move forward. You may change the slide content as per need. Slide 30 : This is a Pie Chart slide to show product/entity comparison, specifications etc. Slide 31 : This is a Bar Graph slide to show product/entity comparison, specifications etc. Slide 32 : This is a Radar Chart slide to show product/entity comparison, specifications etc. Slide 33 : This is an Area Chart slide to show product/entity comparison, specifications etc. Slide 34 : This is a Thank You slide with Contact Numbers, Address# Street number, city, state, Email Address.

Cost Reduction Plans Powerpoint Presentation Slides with all 34 slides:

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