Project Controlling

Question 1

What are project targets (triangle)?

Answer 1

Quality, Time, Costs

Question 2

What are aims of project controlling?

Answer 2

Transparency across project functions and phases to enable project management to take countermeasures

Question 3

What are results of project controlling?

Answer 3

Improve Cash situation, reduction of risks, prevention of unpleasant events

Question 4

Tasks of a Commercial Project Manager

Answer 4

Transparency within the project, cash management, project setup (WBS), Risk and Opportunity Management, Project Calculations (Bid, OEC, MIKA), Performance Controlling (Target/Actual)

Question 5

Accounting implications of Project Controlling

Answer 5

Ensuring true and fair view of the project

Question 6

Contract Asset Calculation

Answer 6

Performance > Billings

Question 7

Contract Liability Calculation

Answer 7

Performance < Billing

Question 8

Job of CPM during Sales Phase

Answer 8

Entering project Data in LoA tool, defines which level of management needs to decide

Question 9

Key project controlling tasks in the project sales phase

Answer 9

Budget estimate and bid calculation, WBS Structure, Support LoA filling, determination of revenue recognition method

Question 10

Categories that influence Project Categorization

Answer 10

Financial, Contractual, Technical Complexity, Organizational

Question 11

What are examples of special direct costs?

Answer 11

Freight, packing, customs, insurance

Question 12

What does the performance obligation costs include?

Answer 12

Direct costs, special direct costs and risk contingency

Question 13

Project Controlling during Project Handover

Answer 13

Handover of project documentation, determination of next steps, preparation of Order Entry Calculation based on Bid + Negotiation (transfer to ERP until PM100), update risk assessment

Question 14

Project Controlling Tasks during Execution Phase

Answer 14

Controlling of costs, time, quality. Regular update of current cost calculation, consideration of changes, monitoring cash in & out, reporting of project figures

Question 15

Aims of current cost calculation

Answer 15

Overview of project financials, monitoring/controlling/analysis of financial figures, identification of deviations - creating transparency

Question 16

Update cycle for Risks

Answer 16

A projects: Monthly, others: At least quarterly

Question 17

How do risks with a probability of occurrence of 100% have to be treated?

Answer 17

Eliminate from the RC and recognize in the total plan costs

Question 18

Which Calculation Items are impacted by of RC adjustments?

Answer 18

PoC revenue, Gross Profit

Question 19

General project controlling topics during Execution

Answer 19

Update of Current cost calculation, deviation analysis & countermeasures, monitoring cash in & out, Risk Management, recognition of NCCs, Documentation for audit

Question 20

Key project controlling tasks in warranty

Answer 20

Accounts receivable management, invoicing after PAC/FAC, Establishment of warranty accrual/provision, Final project execution calculation, closure of project, lessons learned, reversal of guarantees

Question 21

Final Project Execution Calculation - timeline

Answer 21

Has to be finalized by PM670, deviation analysis compared to OEC

Question 22

Aim of deviation analysis Final Project Execution Calculation

Answer 22

Improvement of Bid calculation, elimination of faults

Question 23

When does the deviation analysis (Execution vs OEC) has to be delivered?

Answer 23

PM700