P6 Cost control & Resource planning capabilities

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P6 Cost control & Resource planning capabilities

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P6 Cost control & Resource planning capabilities

22 June 2010 10:21
My company which is an engineering company is currently using BST software for cost controlling which is not compatible with p6. I want to know if I can suggest the company to start cost controlling and resource planning and Earned value reporting by P6. I know that many companies dont use primavera as a tool for cost controlling but I dont know why? Could you please advise me???
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Re: P6 Cost control & Resource planning capabilities

22 June 2010 10:27
most engineering companies such as yours are cost-centric and separate cost from schedule in practice, choosing to "integrate" the two via the cost management tool. The dates are usually static and refreshed on some sort of timely basis (usually monthly). This keeps the analyst in control of the cost data with little regard to the schedule. On the other hand, when you choose to use Primavera (or any other scheduling tool), you are operating in a schedule-driven fashion and the actual costs are imported (best) or entered by hand (laborious and error prone). Cost engineers, as a collective group, are not as versed in schedule-driven cost management and controls, and the company is more concerned about reporting from a mainly cost perspective, with schedule dates thrown in for good measure... Im rusty on BST, but Im pretty sure you can export actual cost data from that tool in a flat file and import it into Primavera if you set the schedule up properly (code of accounts, WBS, etc...). Hope that helps...
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Re: P6 Cost control & Resource planning capabilities

6 December 2010 7:55
The Intent as mentioned by Stevan is to keep the two separate by the Personnel working in these Depts. due to mainly comfort factor with other cost based applications. P6 has excellent cost control features and provides excellent features on doing a detailed earned value and analysis, especially concentrating on Cost Variances and further provides you options on calculation of the very important Estimate to Complete (either linearly or Pro-rata) that lets you provide better projections on Estimated End Variance on the project key works,  along with the Schedule Variance Calculation Capabilities. The reason most cost control softwares are preferred in isolation is further the way in which they are developed based on CSEC Coding structures, centering and focusing on the Bill Item as the base parameter for  all calculations and the Earning and Actuals and Forecasts are measured on individual Item - Say Super Structure Con Works - How much has been earned and how much has been spent to get that earning and the ETC and EAC Calculations. The background of dealing with bill items than work activities of personnel in cost control makes the intent towards sufficing such needs by the software developers.   Overall project management requires comparing how much was supposed to be done (planned value), how much was done (earned value) and how much was spent to get that value (actual cost) together and not in isolation and at present only total project management softwares like Primavera provide that solution. -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Last Edit: 13 years, 11 months ago by Bala. Reason: (NULL)
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Re: P6 Cost control & Resource planning capabilities

6 September 2011 3:00
Try Deltek Cobra
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