What is cost planning? Definition and meaning
Cost planning is an important component of cost and project management. The goal is to ensure that the costs arising in a project are kept within the project budget through planning, estimation and control. Project controlling then monitors whether the project stays within the previously defined cost planning.
Types of Costs
Each work package within a project has personnel costs (working time that must be spent on the order) and material costs (material required for the order). Overhead costs, such as rent and electricity, can also be added. These should be determined on the basis of a project plan.