Purchases and invoices

Purchases and invoices

For any project you can make purchases, with the budget being assigned to the project. You can initially define an estimate and subsequently assign the purchase invoices and so calculate the actual value within the budget.

Go to Projects 1 from MANAGEMENT, select the project and click on the section Purchases 2. Add a new budget account and enter the budgetary item in the corresponding budget.

Budget and Estimated cost

Budget and Estimated cost

Once a project has been created you can define the budget values by estimating the hours and purchases consumed.

Click on Projects 1 from MANAGEMENT and then select the project. In the Budget 2 section, specify the estimated hours in the field Team 3, even if the working team has not yet been assigned. Use the calculator to calculate the cost in hours in accordance with the standard cost.

In the Purchases budget you can also assign an estimated budget and, by calculating the sum total of hours and purchases, obtain a general project budget.

This graph presents the internal budget generation structure in Project & Teamwork:

 

Cost estimate

The estimate of hours and the corresponding cost is a calculation performed by ITM Platform depending on the efforts defined in the tasks by the project leader. Similarly, the estimate of purchase costs will be dictated by the sum total of the budgetary items allocated to the project.

Go to Projects 1 in MANAGEMENT, and then select the project to calculate the cost estimate. In the Budget section, as efforts are assigned to tasks the cost estimate is calculated on the basis of the hours assigned in the Bottom-up Estimated Cost 2.

This allows you to view the Difference To Archive Top-Down 3, revealing the economic deviation compared with the general budget.

The budget data are therefore first entered before detailing the project, with a calculation performed in the cost estimate once the efforts and purchase budgets have been calculated, while the actual values are progressively updated by means of the project team hours reports.

What is the estimated budget?

What is the estimated budget?

In ITM Platform there can be differentiated two types of budget and estimated. Budget indicate us the maximum cost of this project, even before any planning, while estimation indicates the planned costs for this project taking into account effort allocation and cost of each of the resources allocated.

Once you create a project you can define the values of the general budget in terms of hours, purchasing and overhead costs.

Click Projects from MANAGEMENT ❶ and then select the project. In the Budget section ❷ specify the estimated hours for internal team ❸ which is not yet assigned to the team. Use the calculator to calculate the cost of hours depending on the standard cost.

The planned hours and its cost is the calculation method used by ITM Platform based efforts on the tasks defined by the project manager. Similarly, the purchasing cost estimate is given by the sum of budgetary allocations to the project.

❶ Go to Projects, and then select the project where the estimated cost estimate.

In the Budget section as efforts are assigned to tasks, estimated cost is calculated from the hours allocated in cost estimation ❷.

This way you can see the difference between budget ❸ where comparably to the general budget a deviation appears.

Therefore, the first budget data are entered before detailing the project, estimation costs are calculated once estimated efforts and procurement budgets, then actual values ​​are updated based on reported hours on the project team.