This document describes a training course on cost and financial management in projects. The objective is to qualify students in project financial management and budgets. The 16-hour course will cover topics like composing a project's financial structure, distinguishing project costs, cost estimation techniques, and qualitative financial tools. It utilizes various interactive exercises and dynamics to demonstrate concepts, including a cooking project and roller coaster construction simulation.

1. COST AND
FINANCIAL
MANAGEMENT IN
PROJECTS
TRAINING

2. [
TRAINING
OBJECTIVE
To qualify the students in the project financial and budgets
management and to assess the interface between the financial
and others project’s areas.
To provide the students the possibilities to understand the cost
estimates, financial quantification, etc. The course will also define
and present the projects investment concepts and the project
selection criteria.
TRAINING CONTENT
At the end of the course the student will be able to:
✓✓Compose the project’s financial structure
✓✓Distinguish different types of project costs
✓✓Determine the cost implications in the project scope and
schedule changes
✓✓Make the direct project cost / benefit calculation
✓✓Buy different projects through the Net Present Value
✓✓Determine the project Breakeven through the project
schedule and budget
✓✓Do a pre-project analysis and determine the investment’s
financial viability
© Macrosolutions SA. All rights reserved. 2/14

3. [
TRAINING
FACT SHEET
DESCRIPTION
Course number of hours. The number of days depends
COURSE DURATION
on the daily number of hours dedicated in each course.
16 Hours.
The minimum number of students suggested to ensure
NUMBER OF PARTICIPANTS
the training economic viability.
Minimum 20 students per class.
TARGET AUDIENCE
Project managers, project team members, sponsors and others stakeholders interested in the
project management process.
REQUIREMENTS
Desirable project management knowledge.
The language in which the training is ministered.
LANGUAGE(S)
Portuguese, English and Spanish.
LOCAL
Provided by the contractor. Worldwide attendance.
Closed classes are hired by a particular organization
CLOSED CLASSES
or group. In this case all the participants are selected/
(IN COMPANY)? chosen by the contracting organization.
Yes.
Open classes offer public access in which the
OPEN CLASSES?
registration is done by each participant, individually.
No.
Professional Development Units are the measuring
CERTIFICATION AND PDU
units issued by the Project Management Institute for
All training participants will receive a the credential holders. With these units the credential
participation certificate with 16 PMI’s PDUs. holders can maintain their certifications.
(PMI R.E.P. activity number: Macro006)
© Macrosolutions SA. All rights reserved. 3/14

4. [
TRAINING
STANDARDS AND
METHODOLOGIES
Project management standards and methodologies discussed
and addressed in the training.
Project Management Institute (PMI) UK Office of Government Commerce (OGC)
PMBOK Guide PRINCE2 (Projects in Controlled Environments)
PMI Practice Standard for Estimating MSP (Managing Successful Programmes) —
PMI Practice Standard for Earned Value Management M_O_R (Management of Risks) —
PMI Practice Standard for Configuration P3M3 (Portfolio, Programme, and Project
— —
Management Management Maturity Model)
PMI Practice Standard for Risk Management — P3O (Portfolio, Programme and Project Offices) —
PMI Practice Standard for Work Breakdown Structure MoP (Management of Portfolios) —
PMI Practice Standard for Scheduling MoV (Management of Value) —
PMI Standard for Portfolio Management —
Scrum Alliance
PMI Standard for Program Management —
Scrum Methodology —
PMI Project Manager Development Competency
—
Framework
International Project Management Association (IPMA)
Organizational Project Management Maturity Model
— ICB® IPMA Competence Baseline
(OPM3®) —
© Macrosolutions SA. All rights reserved. 4/14

5. [
TRAINING
BASIC
PROGRAM
[
COURSE OPENING
[
THE CONTEXT OF PROJECT FINANCIAL MANAGEMENT
›› Presentation
›› The different types of costs
›› Income
›› Price formation
›› Operating profit
© Macrosolutions SA. All rights reserved. 5/14

6. [
TRAINING
BASIC PROGRAM
[
THE RELATIONSHIP BETWEEN QUALITY X COSTS X SCHEDULE
›› Direct relationship
›› Priority differences among projects
›› Cost x Time relationship
›› Cost x Performance relationship
[
THE PROJECT PHASES
›› The 5 project phases
›› The 5 project phases
›› The overlapping of phases in the PMBOK
›› The interference of the phases in the project cost management
›› The 42 processes that constitute the PMBOK – 4th Edition
[
THE PROJECT COST MANAGEMENT PROCESSES
›› Cost estimating
›› Budgeting
›› Cost Control
[
COST ESTIMATING
›› Detailed estimating
›› Analogy
›› Parametric
›› Monetary adjustments
[
QUALITATIVE FINANCIAL MANAGEMENT TOOLS AND PROJECT SELECTION TOOLS
›› Project selection
›› Present value
›› Benefit cost analysis
›› Net present value
›› Break-even point
›› Fast tracking
[
COST CONTROL, IN INVESTMENT PROJECTS
›› Definition
›› Order of magnitude control
›› Pre-project analysis
›› Price formation in investment projects
[
COURSE CLOSE-OUT
© Macrosolutions SA. All rights reserved. 6/14

7. [
TRAINING
MY COOKING
PROJECT ®
EXERCISE
Ricardo Vargas had the opportunity to learn very interesting
dynamics that show the project management importance
while studying in the Strategy and Innovation program at the
Massachusetts Institute of Technology (MIT).
During the classes, he developed a simple dynamic based on
the elaboration of a quick dinner for guests to demonstrate
the importance of establishing the appropriate strategies for
managing the project and the inherent risks to every decision
making and also to the manager risk profile.
© Macrosolutions SA. All rights reserved. 7/14

8. [
TRAINING
MY COOKING PROJECT EXERCISE
The dynamics is are performed in two hours with all participants.
They were divided into groups, competing for the best performance
seeking to understand the risks associated with each decision.
Features 1- Shows the influence of the RISK PROFILE of
the project decision maker.
2- Promotes TEAMWORK in the decision-
making
3- Evaluate the effectiveness of the duration
COMPRESSION mechanisms.
[ MY COOKING PROJECT®
MAPA DE RISCOS
[ MY COOKING PROJECT®
GRÁFICO DE GANTT
CENÁRIO 01
CENÁRIO 01 Tempo Total:
ALTA
0-2 2-4 4-6 6-8 8 - 10 10 - 12 12 - 14 14 - 16 16 - 18 18 - 20 20 - 22 22 - 24 24 - 26 26 - 28 28 - 30 30 - 32 32 - 34 34 - 36 36 - 38 38 - 40 40 - 42 42 - 44 44 - 46 46 - 48 48 - 50 50 - 52 52 - 54 54 - 56 56 - 58 58 - 60 62 - 64 64 - 66 66 - 68 68 - 70 70 - 72 72 - 74 74 - 76 76 - 78 78 - 80 80 - 82
PROBABILIDADE
MÉDIA
BAIXA
BAIXO MÉDIO ALTO
IMPACTO
0-2 2-4 4-6 6-8 8 - 10 10 - 12 12 - 14 14 - 16 16 - 18 18 - 20 20 - 22 22 - 24 24 - 26 26 - 28 28 - 30 30 - 32 32 - 34 34 - 36 36 - 38 38 - 40 40 - 42 42 - 44 44 - 46 46 - 48 48 - 50 50 - 52 52 - 54 54 - 56 56 - 58 58 - 60 62 - 64 64 - 66 66 - 68 68 - 70 70 - 72 72 - 74 74 - 76 76 - 78 78 - 80 80 - 82
0-2 2-4 4-6 6-8 8 - 10 10 - 12 12 - 14 14 - 16 16 - 18
CENÁRIO 02 Tempo Total:
18 - 20 20 - 22 22 - 24 24 - 26 26 - 28 28 - 30 30 - 32 32 - 34 34 - 36 36 - 38 38 - 40 40 - 42 42 - 44 44 - 46 46 - 48 48 - 50 50 - 52 52 - 54 54 - 56 56 - 58 58 - 60 62 - 64 64 - 66 66 - 68 68 - 70 70 - 72 72 - 74 74 - 76 76 - 78 78 - 80 80 - 82
CENÁRIO 02
ALTA
PROBABILIDADE
MÉDIA
BAIXA
0-2 2-4 4-6 6-8 8 - 10 10 - 12 12 - 14 14 - 16 16 - 18 18 - 20 20 - 22 22 - 24 24 - 26 26 - 28 28 - 30 30 - 32 32 - 34 34 - 36 36 - 38 38 - 40 40 - 42 42 - 44 44 - 46 46 - 48 48 - 50 50 - 52 52 - 54 54 - 56 56 - 58 58 - 60 62 - 64 64 - 66 66 - 68 68 - 70 70 - 72 72 - 74 74 - 76 76 - 78 78 - 80 80 - 82
© 2010 Ricardo Viana Vargas. Todos direitos reservados. Reprodução Proibida.
BAIXO MÉDIO ALTO
IMPACTO
© 2010 Ricardo Viana Vargas. Todos direitos reservados. Reprodução Proibida.
© Macrosolutions SA. All rights reserved. 8/14

9. [
TRAINING
PMCOASTER ®
DYNAMIC
It is a dynamics developed to simulate the real
projects environment.
Divided into teams, the participants will plan and
execute the construction of a functional high speed
roller coaster prototype for a theme park.
Students will define the work, evaluate the project
feasible budget and time in order to execute it. They will do so
concerning the time and costs constraints. Then, students will
execute and monitor the project to demonstrate the effectiveness
of the plan in adverse conditions.
The approximate duration of the dynamics is 2 hours and its main
objective is to show the interrelationship between the scope
required, deadlines and available budget. In addition, the aspects
related to the teamwork quality are directly addressed.
© Macrosolutions SA. All rights reserved. 9/14

10. [
TRAINING
PMCOASTER DYNAMIC
Features 1- Shows the direct relationship between
project SCOPE, TIME and COSTS.
2- It highlights the importance of the
DECISION MAKING in resource-limited
settings.
3- Enables participants to understand the
mechanisms directly related to the creation of
the project schedule.
© Macrosolutions SA. All rights reserved. 10/14

11. [
TRAINING
ADDITIONAL
DYNAMICS
As part of our methodology, in this course the following dynamics
will be used:
[
CASE STUDIES
› Ricardo Vargas and the Macrosolutions’ team have selected a relevant set of case studies and
exercises that allow the participants to associate real and fictional cases the to daily work.
› All case studies are appropriate to the nature of the client and the training audience.
[
VIDEOS SELECTION
› In order to facilitate the student learning, videos that cover various parts of movies,
commercials, home videos, etc. are used in the classroom environment to fix concepts and
associate technical issues with the reality of work and also to introduce new concepts.
› They are short videos with direct focus on specific topics, tools and cases.
[
GROUP WORK
› Several studies and exercises will be proposed by the instructor in order to present a particular
topic or discuss a particular approach to project management.
› Throughout the training the teamwork will be encouraged and strengthened as a mean for the
group to learn.
[
SIMULATORS
› To discuss some mathematical and statistical approaches, the instructor will perform specific
mathematical simulations to estimate the expected results for the risks, schedules, costs,
among others. They are computational methods that use mathematical concepts, operational
research and statistics as a conceptual basis.
[
LEARNING EXERCISES
› During the training, students perform concepts retaining quick exercises. Usually the exercises
are quick and direct and involve some kind of mathematical calculation.
© Macrosolutions SA. All rights reserved. 11/14

12. [
TRAINING
EXCLUSIVE STUDENT
ACCESS AREA
In addition to the exclusive printed material,
all participants will have access to the
courseware’s electronic version, to the files
of exercises and to the work done in the
classroom.
The access is given through the restricted
site that is available and prepared by the
Macrosolutions team considering each
course that we provide. This initiative is a
pioneer in the educational market and also
anticipates trends related to the documents’
electronic management
Student Area’s on the website macrosolutions.com.br
© Macrosolutions SA. All rights reserved. 12/14

13. [
TRAINING
REQUIRED
EQUIPMENT
The equipment required for the proper realization of the course is:
[ HIGH RESOLUTION PROJECTOR (1024X768)
[ SOUND SYSTEM FOR VIDEO DISPLAY
[ INTERNET ACCESS
[ VARIABLE ILLUMINATION INSIDE THE CLASSROOM
[ 01 TABLE FOR EACH GROUP OF FIVE STUDENTS
[ 01 FLIP CHART FOR EACH GROUP OF FIVE STUDENTS
© Macrosolutions SA. All rights reserved. 13/14

14. [
TRAINING
FURTHER
INFORMATION
For further information about this course, please contact:
Phone: +55 31 3024-3003
Fax: +55 31 3024-3005
email: info@macrosolutions.com.br
© Macrosolutions SA. All rights reserved. 14/14