Analysis of Cost Terms Aspects

Subject: Management
Pages: 1
Words: 288
Reading time:
< 1 min
Study level: Bachelor

For proper assimilation of the material, an individual needs both a theoretical basis and reinforcement of ideas with the help of relevant examples. To my mind, some of the basic cost terms that are provided in the chapter are difficult to understand due to the shortage of the detailed embodiment of the concepts. For instance, I can observe the explanation of the Cost Variance that includes the formula and appropriate calculations; however, it lacks real-life implementation samples (Chapter 7: Project cost management). In order to ensure a total comprehension of the information, it is obligatory to support the key notions of the topic with particular examples that illustrate the actual company’s experience, business cases, and economic activities.

Cost-related disciplines include the knowledge from the fields of business analysis and economics. In my opinion, many technical people are not interested in cost-related subjects since evaluating a criterion requires additional competencies in management, mathematics, microeconomics, and business statistics. The terms that are written in the chapter are not exclusively connected with calculations; they describe the general processes of the company (Chapter 7: Project cost management). Therefore, it can be stated that the absence of specific information concerning the scope of an organization’s activities results in the impossibility of exceptionally technically trained people to solve the assigned tasks.

At the present time, knowledge is disseminated through the means of Information and Communication Technologies (ICT), and it possesses free access. Accordingly, there is no difficulty in the distribution of business experience and economic methodology. Consequently, mathematically prepared specialists will obtain the details that assist in the problem-solving process. Technical people will show interest in the subject, given that it is understandable, practical, and the examples and cases from real life are depicted.

Reference

Chapter 7: Project cost management.