IBS603 - IBS Students Assignment #2 - Project Budget Due Nov 5 (NZZ) & Nov 6 (NXX & NWW) Professor Shelly Morris Instructions for International Business Students: 1. Start with the "In Scope" section of your Project Charter. Ensure you address the feedback I provided when I marked your Project Charter. 2. Develop your WBS using your finalized scope. By finalized, I mean the scope you submitted plus the feedback I provided. 3. Use the "buckets of work" from the WBS as your Budget Categories. You can modify the Excel workbook provided or create your own. Either is acceptable. 4. Include expenses that you are accountable for paying. This Includes fees, living expenses, transportation costs etc. Do not include any of the expenses paid by the College - Professor's salaries, heat, hydro etc. of the facilities. If you don't pay it, don't Include it. 5. The labour costs of the IBS Program is the opportunity cost of everyone in your group. Your time Is an opportunity cost because you could be working on a full-time basis and generating an Income. The income you would have generated represents the cost of your time - the labour costs of this Program. For purposes of this Assignment, IGNORE the labour costs. We'll prepare a budget using "out of pocket" expense only. 6. Your total budget is the aggregate of all your WBS categories. 7. Ensure you document the assumptions you are making. When we get off track with our budget, It's often because our assumptions were incorrect. As we monitor our progress and analyze the budget variances that occur, revisiting our assumptions Is key. 8. Create your time-phased budget on a monthly or quarterly basis. This helps you determine your cash flows needs. Weekly detail is not required. 9. If this bottom-up budget exceeds your Initial estimate In the Project Charter, explain how the team will manage the difference. Create a Word document titled "Charter and Detailed Budget Reconciliation". In this document, explain how the discrepancy will be managed. For example, If your bottom up budget indicates you need more money than Initially anticipated, is your plan to generate more income or reduce expenses? This should have been clearly defined In your Project