COST MANAGEMENT RECOMMENDATIONS In 2002, the Trilogy project was in need of additional funds, the FBI asked Congress

s for an additional $137.9 million. However, a report that described a lack of critical IT investment management processes for Trilogy contributed to missed milestones and led to uncertainties about cost, schedule, and technical goals (Goldstein, 2005). Undeterred, Congress approved another $123.2 million which increased the total cost of the project to $ 581 million.

Key failure points approaching Cost Management  Estimate Costs Did not develop an approximation of the monetary resources needed to complete the project (VCF).  Determine Budget (Project Schedule) FBIs decision to develop VCF within 22 months was unrealistic scheduling of tasks, no formal project schedule to final delivery.  Control Costs Budgetary control was poor where Congress kept approving the additional funds upon repeated request by FBI.

According to PMBOK Guide 4th Edition, this is one of the processes for Cost Management:  Control Costs Technique Congress should have monitored the status of the project budget. Forecasting As the project progresses, FBI could develop a forecast for the estimate at completion (EAC) that may differ from the budget at completion (BAC) based on the project performance. If it becomes obvious that the BAC is no longer viable, FBI should develop a forecasted EAC. Forecasting the EAC involves making estimates or predictions of conditions in the projects future based on information and knowledge available at the time of the forecast. Forecasts are generated, updated, and reissued based on work performance information provided as the VCF is executed.

REFERENCES Goldstein, H. (2005, September). Who killed the virtual case file? IEEE Spectrum PMBOK Guide 4th Edition. A Guide To The Project Management Body of Knowledge, PMI - Project Management Institute.