1. Assessment Information
A. Purpose of assessment
This assessment will develop your skills and knowledge skills and knowledge required to identify, analyse and refine project costs to produce a budget, and to use this budget as the principal mechanism to control project cost.
The assessment is designed to help you gather evidence of your competence against the requirements of the unit of competency, as outlined below. Your evidence may take a variety of forms and must be:
Authentic – your own work
Valid – related to the competency
Sufficient – appropriate quantity and quality
Current – recent proof of your skills and knowledge
B. Competencies being assessed
Elements
To achieve competency in this unit students must demonstrate their ability to:
Determine project cost
Monitor and control project cost
Complete cost-management processes
Performance Evidence
Evidence of the ability to:
Work closely with others to determine resources against budgetary frameworks
Prepare a budget and cost-management plan for a project
Monitor costs across a project’s life cycle including solving cost variations and analysing possible alternatives
Record expenditure, create accurate financial reports and review cost-management processes
Knowledge Evidence
To complete the unit requirements safely and effectively, you must:
Explain appropriate budgeting processes, tools and techniques.
Describe methods and tools for costing and cost analysis
Explain strategies for managing costs and their application in different situations.
Outline processes for reviewing costs against outcomes
Summarise key organisational policies and procedures applicable to this role
For further information on the competencies of this unit, please refer to: https://training.gov.au/Training/Details/BSBPMG514
C. What you are required to do
This assessment requires you to answer all questions within each Assessment Task and be assessed as “Satisfactory” in each to gain competency in BSBPMG514 Manage Project Cost.
Task 1
For Task 1, you are required to analyse different models and tools utilised in managing a project’s cost. You will also demonstrate understanding of the various components needed in developing and implementing a project.
Task 2
For Task 2, you are a Project Manager with OzMarket Consulting. You have been employed to project manage a new garden for a local park. You are required to write a financial report listing the costings of the project and to revise financial projections due to changes that occur during the implementation phase.
Task 3
Task 3 requires you to report on the financial outcomes of the project and to summarise the financial issues that arose in order to take into account for future projects.
For further details, please refer to the “Assessment Requirements” section of this document.
Assessment resources
To enable you to complete this assessment, the following documents have been provided in the unit course page on Moodle unit on Moodle:
BSBPMG514 Manage Project Cost Learner Guide
BSBPMG514 Manage Project Cost PowerPoint slides
PMBOK 5th edition – refer to Chapter 7, “Project Cost Management” on pages 193 – 226
BSBPMG514 Marking Guide
Sample Project management plan
A note on plagiarism and referencing
Plagiarism is a form of theft where the work, ideas, inventions etc. of other people are presented as your own.
When quoting or paraphrasing from a source such as the Internet, the source must be recognised. If you are quoting a source, make sure to acknowledge this by including “quotation marks” around the relevant words/sentences or ideas. Note the source at the point at which it is included within your assessment, such as by using a citation. Then list the full details of the source in a ‘references’ section at the end of your assessment.
All sources used for your assessment should be detailed in the ‘references’ section. It is advisable to never copy another person’s work.
D. Adjustment and Support
i. Reasonable adjustment
ACBI supports individual differences in the learning environment and provides ‘reasonable adjustment’ in training and assessment activities to support every learner. If you have any special needs that make it difficult for you to complete your learning or assessments, you should discuss this with your assessor. ACBI will endeavour to provide you with reasonable alternatives to assist you to complete the required tasks such as completing tests verbally or using an interpreter.
NOTE: If you have any special needs, you should discuss this with your assessor before starting your assessment.
ii. Support
While ACBI may not be able to assist you with language training or specific Language, Literacy and Numeracy (LLN) training, our assessors will work with you to ensure that you are supported throughout your qualification. If you require individual tutoring this may attract an additional fee (please refer to the ACBI Student Handbook available from https://www.acbi.edu.au). Support may be offered by your assessor, or for more specialist support you may need to contact the RTO administration.
E. Assessment submission
Always submit assessments on time by the due date. You can find the due date in the unit course page on Moodle.
i. Assessment Coversheet
Once you have completed all the tasks of the assessment, you must complete the Assessment Cover Sheet, including signing the declaration.
ii. File naming conventions
When submitting assessments electronically follow the following standard for naming document files and subject line. You must insert the following information:
Unit of Competency code (ie. BSBPMG514)
‘A’ for word assessment then followed by the assessment number and a dash
Your first name and initial of last name. Capitalise only the first letter of names. Then insert a hashtag, followed by submission attempt.
Hence as an example of incorporating the four points above your file name or subject line should appear this way: BSBPMG514 A1 – JessieA #1
iii. Submission via Moodle
Please refer to the “Instructions for Submitting Your Assessment” on the unit course page in Moodle.
NOTE: Please take care to follow all instructions listed. Assessments uploaded with a draft status on Moodle may not be graded.
F. Assessment results and feedback
i. Assessment results
Once you have submitted this assessment online via Moodle, your assessor will grade it and provide you with feedback. For each task of the assessment, you will receive a grade of ‘Satisfactory’ or ‘Not Satisfactory’. You will also receive a grade for the entire assessment of ‘Competent’ or ‘Not Competent’. Each task of the assessment must be ‘Satisfactory’ in order to receive a grade of ‘Competent’.
ii. Resubmission
If your assessment is graded ‘Not Competent’, you receive instructions via the feedback form on components to be amended.
Your assessor is committed to providing you with detailed feedback on the outcomes of the assessment and will provide guidance on areas for improvement. In most instances, you should need only complete the sections of the assessment that were deemed ‘Not Satisfactory’. However, it is important to remember that depending on the task, it may be necessary to repeat the whole task (for example presentations or the delivery of a training session).
If resubmission is required, you will need to amend or update your assessment as a different version by the required term cut-off date, as detailed on Moodle.
NOTE: For further information on late assessment, please refer to the ‘Assessment Policy’ available on Moodle.
iii. What happens if you do not agree with the assessment result
If you do not think the assessment process is valid, or disagree with the decision once it is made, or believe that you have been treated unfairly, you can appeal.
The first step is to discuss the matter with your trainer. If you still do not agree with the assessment, you are able to request a re-assessment. It is possible to have your evidence assessed by a different trainer. If you remain dissatisfied after the re-assessment, you should contact the Director of Studies. Full details of the Appeals process are contained in your Student Handbook.
G. Technical tools for completing this assessment
To complete this assessment, you need access to:
A computer with internet
Word processing and other relevant programs to develop appropriate documentation and reports as required
2. Assessment Coversheet
Student Name:
Student ID:
Contact Number:
Email:
Trainer / Assessor Name:
Qualification: BSB51415 Diploma of Project Management
Unit of Competency: BSMPMG514 Manage project cost
Assessment Tasks: ☐ Task 1. Questioning
☐ Task 2. Project
☐ Task 3. Written Questions
Due Date: Date Submitted:
Declaration: I have read and understood the following information at the beginning of this assessment guide (please tick):
☐ Assessment information
☐ Submitting assessments
☐ Plagiarism and referencing
I declare this assessment is my own work and where the work is of others, I have fully referenced that material.
Name (please print):
Student signature:
Date:
3. Assessment Requirements
A. Task 1 – Questioning
i. Instructions for students
Task 1 of this assessment requires you to analyse different models and tools utilised in managing a project’s cost and gain an understanding of the various components needed in developing and implementing a project.
Answer the questions below using the space provided:
Answer all parts of each question
Use your own words and give examples wherever possible
The quality of your answer is more important than how long it is
Enter your answers in this document
You may use various sources of information to inform your answers, including your resources provided by ACBI, books, and online sources. You must acknowledge and cite your sources.
ii. Task 1 Questions
1A. Describe two (2) methods and two (2) tools that can be used for costing a project and conducting a cost analysis.
Answer in 40 to 80 words.
Write your answer here
1B. Answer the following:
Describe two (2) different strategies that can be used to manage project costs.
Outline the most appropriate strategy for responding to budgetary problems before they arise and after they arise.
Answer in 80 to 160 words.
Write your answer here
1C. Answer the following:
Explain why costs should be reviewed against the project outcomes
Outline one process that could be used to review costs against outcomes
Answer in 80 to 160 words.
Write your answer here
1D. Answer the following:
Outline why it is important for each member of the organisation to adhere to organisational policies and procedures
Describe the purpose of policies and procedures as they relate to project management roles
Answer in 80 to 160 words.
Write your answer here
B. Task 2 – Questioning
i. Instructions for students
Read the scenarios of OzMarket Consulting provided below, then answer the following questions.
Answer the questions below using the space provided:
Answer all parts of each question
Use your own words and give examples wherever possible
The quality of your answer is more important than how long it is
Enter your answers in this document
You may use various sources of information to inform your answers, including your resources provided by ACBI, books, and online sources. You must acknowledge and cite your sources.
ii. Task 2 Scenario
Scenario:
OzMarket Consulting has been employed to project manage the design and development of a garden for the local park.
You have been engaged as the Project Accounts Manager to oversee all project costs. Total costs MUST not exceed $10,000.00.
The park is to be constructed on undeveloped land next to a river. Tests were conducted and results report the soil quality is quite poor and is predominantly clay. The area to be developed is ten (10) metres by ten (10) metres.
Undertake the following tasks to complete this assessment activity. Use the following figures when appropriate.
Position Hourly Rate
Project Manager $60.00
Project Account Manager $50.00
Project Department Heads $50.00
Labourer $25.00
Plant operators $30.00 (wet hire)
Landscape designer $100.00
Plants Price per variety
Flowers $1.00
Shrubs $2.00
Trees $10.00
Material Price per tonne
Soil $30.00
Stone $20.00
Sand $20.00
Miscellaneous Price per linear metre
Turf $5.00
Drainage (AG Pipe) $2.00
Fencing $10.00
Watering Equipment $3.00
If you determine other material is required you are to provide a list of the items and their relative costs (if used).
iii. Task 2 Questions
2A.
NOTE: This is a multipart question. Ensure you complete each part of the question.
Determine what resources may be required for the landscaping project and estimate the costs of the resources.
Create a Work Breakdown Structure (WBS) for the landscaping task.
Once you have created the WBS, consult with others involved in the project, as role played by other students in your student. Use the consultation to determine if you have missed any tasks. This consultation can be done verbally or in a written format. After your consultation, record notes of what was discussed.
Identify any tolerances necessary.
Estimate the costs of the project based on the resources identified in the WBS. State all figures used and show all working.
Answer below using the tables provided. Answer in 100-250 words.
i. Determine what resources may be required for the landscaping project and estimate the costs of the resources
Write your answer here
ii. Work Breakdown Structure (WBS) for the landscaping task
Provide your answer here, such as by inserting a flow chart or Excel document.
iii. Notes from consultation with others
Write your answer here
iv. Identified necessary tolerances
Write your answer here
v. Estimated costs of the project based on the resources identified in the WBS.
NOTE: Ensure you state all figures used and show all working.
Write your answer here
2B.
Using the figures, WBS and cost estimates you developed during the previous question (Task 2, Question 2B), create a cost management plan which includes a project budget.
Ensure the cost management plan clarifies any details which may impact the ongoing management of project finances. Your plan must be presented in an industry appropriate format.
Use the template called “BSBPMG514 Cost management plan template” provided on Moodle to create your plan.
Save your plan as “BSBPMG514 Cost management plan – Your Name”, replacing “Your Name” with your first and last names.
Ensure you submit your plan as part of your assessment.
Answer in 150-300 words.
2C.
NOTE: This question has multiple parts. Make sure you complete each part.
Create a financial management plan which will allow you to monitor actual against the budgeted expenditure.
Use the template called “BSBPMG514 Budget Analyser Template” provided on Moodle to create your plan.
Save your plan as “BSBPMG514 Financial management plan – Your Name”, replacing “Your Name” with your first and last names. Ensure you submit your plan as part of your assessment.
Create an implementation plan for monitoring of expenditure. Ensure you include how these plans will be communicated with the stakeholders.
Save your plan as “BSBPMG514 Implementation plan – Your Name”, replacing “Your Name” with your first and last names. Ensure you submit your plan as part of your assessment.
The project has been running for three (3) weeks and during a recent monitoring activity you realised that there is a discrepancy between the estimated costs and the actual costs due to an increase in the number of hours it is taking to complete each task. In the table below, create an outline of three or more options for controlling the costs.
iii. Option for controlling costs
Write your answer here
2D.
THE SCENARIO:
The Project Manager has read your report on controlling the costs and would like further information on budgeting processes. You are to explain budgeting processes, tools and techniques and explain how these could be used to achieve financial objectives of the project and how they could be used to monitor actions taken to control costs on a project that is currently running over budget. Decisions will need to be made on how to control the costs.
Set up a meeting with:
You, role playing being the Project Accounts Manager
Your Trainer & Assessor, role playing being the Project Manager
NOTE: This meeting will be observed by your Trainer & Assessor. During this meeting, your Trainer & Assessor will complete the observation checklist found in the “BSBPMG514 Marking Guide”.
WHAT YOU NEED TO DO BEFORE YOUR MEETING:
Prepare for your meeting by determining the most appropriate tools, techniques and processes for budgeting on a small project such as this landscaping project.
WHAT YOU NEED TO DO DURING YOUR MEETING:
You are to explain budgeting processes, tools and techniques. This includes how these could be used to achieve financial objectives of the project and how they could be used to monitor actions taken to control costs on a project that is currently running over budget. Decisions will need to be made on how to control the costs.
WHAT YOU NEED TO DO AFTER YOUR MEETING:
Record note of what was discussed during your meeting, including any feedback received.
Answer in 40-80 words.
Meeting notes
Write your answer here
2E. Read the scenario below, then answer the following question.
Scenario:
You recently met with the Project Manager. This resulted in the decision to halve the number of shrubs being planted, to cut back by 50% the number of watering points and reduce the hours of the staff by 25%.
Undertake a cost-analysis to identify if these variations will help bring the budget back into alignment.
Then consider the cost analysis you undertook and answer the points below:
Explain why you used the method and tools you selected
Outline if the cost analysis identifies any alternative viable actions
Describe why should costs be monitored across the project lifecycle
Answer in 80 to 160 words.
Write your answer here
2F. Using the data from Task 2, create a monthly financial report for the project. Ensure all variations are incorporated.
Answer in 80 to 160 words.
Write your answer here
C. Task 3 – Written Questions
i. Instructions for students
Read the scenarios of OzMarket Consulting provided below, then answer the following questions.
Answer the questions below using the space provided:
Answer all parts of each question
Use your own words and give examples wherever possible
The quality of your answer is more important than how long it is
Enter your answers in this document
You may use various sources of information to inform your answers, including your resources provided by ACBI, books, and online sources. You must acknowledge and cite your sources.
ii. Task 3 Scenario
Scenario:
The landscaping project has been successfully completed. The client is satisfied. The Project Manager is happy. Everyone is starting to consider the next project.
Before you can start your next project, you need to finalise the landscaping project.
iii. Task 3 Questions
3A. Create a checklist of all the activities done to signify financial completion of the project.
Answer in 40 to 80 words.
Write your answer here
3B. Using the Financial Management Plan you created as part of Task 2, Question 2C, complete a final costing of the project for forwarding to OzMarket Consulting.
Ensure the actual cost for the project has been captured this updated plan.
Save your plan as “BSBPMG514 Final Costing – Your Name”, replacing “Your Name” with your first and last names. Ensure you submit your plan as part of your assessment.
3C. Develop a project outcome review which answers the following questions:
Was the project cost effective?
Did the processes used to manage the costs on the project prove to be efficient?
How could you improve the processes used to ensure a better outcome on the next project?
What are two or more improvements you can recommend?
Document your project outcome review below.
Answer in 80 to 160 words.
Write your answer here
