Financial Management Plan Guide and Format
Financial Management Plan Guide and Format
Financial Management Plan Guide and Format
(Title)
(Name)
(Date)
I. POLICY
- Introduction
management like for example: every employee must have proper training every month.
All equipment is recalibrated. All processes are meet according to existing guidelines of
- Assurance
- Budget
II. PROCEDURE
- Estimate cost
- Investment Appraisal
- Establishing Funds
- Develop Budget
- Financial Control
GUIDE
POLICY
Introduction
The introduction will describe the background to the work and make it clear how this
document relates to other relevant documents, such as a scope management plan or
policies.
Allocation of responsibility for finance management may range from the project
manager in smaller projects to a dedicated team of specialists in a large program or
portfolio. This section of the management plan must clearly describe which roles have
which responsibilities for financial management.
Information management
The composition and format of financial reports such as cash flows, funding
schedules or management accounts will be described.
Assurance
Budget
PROCEDURE
Estimate costs
Estimating can be conducted in a variety of ways according to the context of the work
and the progression of the life cycle. The approach to estimating costs, sources of
information and techniques to be used should all be defined.
Investment appraisal
Investment appraisal techniques vary as do the parameters that can be applied. As a
project or program becomes larger there may be multiple instances of investment
appraisal being applied. It is important that the approach is consistent and well
defined.
Establish funding
It may be that funding is in place before the point where management plans are
developed. It may also be the case, on larger projects or program, that the acquisition
of funding is phased throughout the life cycle. If that is the case this section should
describe the procedures to do this.
Develop budget
This section should describe how budgeting should be performed and how it should
be maintained as progress is recorded. The approach to contingency reserves and
management reserves should also be defined here.
Financial control
It will also contain levels of authority for approving expenditure and tolerances that
should be applied to financial plans.