Answer to Question #159719 in Management for Chris

Question

Why do project managers need accurate and timely reports and what financial information is required to manage the project’s finances? Who is usually responsible for a project’s financial management?

Answer 1

           Project managers need accurate and timely reports in order to monitor the progress of an organization. This is because documenting and providing information of projects and how they unfold and the reason for which decisions were made for those projects and the reasons for the changes and adjustments that are made concerning a particular project helps monitor the progress of the organization. Aside from monitoring the progress, timely and accurate reports will lay a strong foundation for making informed decisions and solving problems concerning projects creatively (Camilleri, 2012). Information required to manage a project’s finances will largely depend on the project’s budget, projects variances and the estimated costs of the project. While a project manager is responsible for planning a schedule for the project and assembling a project team, a financial manager is responsible for all the financial tasks involved while the project is underway. The financial manager will provide reliable information concerning the project’s finances in order ensure avoidance of failure of the project.

 

References

Camilleri, E. (2012). Project success: critical factors and behaviours. Gower Publishing, Ltd..