Question

1. You are assigned as a project manager with a given budget, but the cost exceeds the given budget. How do you manage the scope versus cost?
2. During that project, sponsorship makes an additional scope request. How do you manage that type of scope creep?
3. in 300 words or more

Answer 1

Answer 1:- As a project manager with a given budget If the cost exceeds the given budget by following strategies means can manage the scope versus cost-

• Understanding the stakeholder's needs & requirements from what they want in a project often isn't simple at it in the upfront. Being sure to put in as much time in a deeper understanding of what they expect must be identified, documented & confirmed with a proper communication action before the cost overruns the project.
• Budgeting for the surprises by when it comes to estimating the cost to be realistic and be ready for the contingencies which are essential. Here it is important to consider all the factors as external such as pricing of supplies, resources, labor, financing & currency exchanges before the cost overruns with the budget.
• To manage a project budget that does not overruns the cost must develop relevant Key Performance Indicators (KPIs) which help in understanding budget differences. KPI's such as in project budget management is Actual cost, Cost variance, Earned value, planned value & Return on Investment must be taken into consideration.
• Another strategy that can be used is Revisiting, reviewing & projecting the re-forecasting. Frequent oversight is essential for preventing budgets from getting too far out of hand as a 10% budget overrun is far easier to correct than 50%.  It is very important to keep the project on track with frequent budget reviews and check it as per the cost estimated the work is progressing.
• Finally keeping everyone informed and accountable is the most important way of staying on budget to make sure all members are aware of the current budget status. This will help in tracking the budget & cost differences and gives a clear picture of it.

Answer 2:- Managing an additional scope request during the project or that type of scope creep that occurs when the client adds new tasks, deliverables or new provisions outside the scope of work. This will lead to missed deadlines, financial losses, increased timelines & budgets with client satisfaction. With the following steps to prevent scope creep can help in starting the project in the right way-

• Not starting the work without a contract in a place is an important part whereby clearly defining the written contract of expectations set at the beginning of the project as well. This will be helpful in managing the scope creep in documenting all the details of the project before it starts.
• Having a backup plan always in a place will help in defining the process for addressing the scope creep by going in with discussions that who will be responsible for reviewing and approving requested changed and any additions with the timelines can be extended and the cost associated will keep compensation everything in check.
• Proper scheduling the time for the meeting will allow getting all the project stakeholders together for one last review before the project begins which defines all the process from checking in and reporting about the project status.
• Prioritizing communication of the project work as if the change in scope comes in taking the lead and meeting the client to discuss by how the change fits overall project and impacts timelines will help in adding the professional inputs and taking decisions for a better course of action.
• Finally, keep an open mind with when to say No is important as any change requests come in if it does not add value to the project then must able to say no to it and also reminding them what is the original scope of work entailed and giving the choice with an open mind help in developing a well-defined project.

Therefore, all these aspects of project management of cost overrun the budgeted and also the scope creep strategies of the project handling will help in identifying & understanding about the project management at a holistic view and helps in taking the decisions accurately with well-defined project standards.