Project costing (COSTAB)
Project costing (COSTAB) is very key in effective design and management of a project cycle from design to completion. Care must be taken to collect, collate and organize cost data as appropriate, especially during project preparation and appraisal. Approving a project without adequately prepared project costs, might compromise the expectations of the project, as over-valuation may lead to excessive lending/borrowing, while under-valuation may lead to cost overruns. In both cases, these may endanger the satisfactory completion of the project. Moreover, during preparation and appraisal, application of COSTAB will allow the analyst to make changes as necessary within seconds, while these cascades through the various elements of the project structure. There will be no need to worry about the cumbersome excel sheets. Understanding the COSTAB can tell the story of the project.
The course covers both the financial and economic analysis of projects. The financial analysis module covers:
At the end of the training, participants should be able to fully undertake costing of projects, organize all the necessary tables, including financing arrangements by components and by categories, as well as procurement arrangements, and other tables as necessary in the preparation and appraisal reports. They will also be able to arrange them in such a way that each table can easily slot in within the project documents, such as preparation or appraisal report, as well as funding arrangements by different financiers, government, donors, beneficiaries, and in both local and dollar currencies
The course is taught through a combination of lectures and group work. While the key concepts and analytical techniques are delivered through lectures and presentations, the group work is used to reinforce and apply some of these tools to relevant case studies.
The course runs for 10 days.
the training will take participant through the following
- Basic project information, including country, title, currency, duration of the project and exchange rates
- Price contingencies, local and international and physical contingencies for various categories of the project – works, good, services (consultancies, contractual and training), as well as operating and general expenses
- Optimal divisions which include the unit costs, procurement arrangements and methods, financing and disbursement
- Summary division which includes project components, expenditure accounts, including investment and recurrent categories;
- Implementation accounts, which include the managing units, and project locations
- The detail project activities and case studies for both simple and complex multi-locational projects/multi-state