According to the PMBOK® Guide, specifically within the Project Cost Management knowledge area, there are four primary processes: Plan Cost Management, Estimate Costs, Determine Budget, and Control Costs.
To identify tools and techniques that span the entire lifecycle of cost management, we look at the commonalities across these processes:
Expert Judgment: This is a fundamental tool used in every cost process. It involves input from individuals or groups with specialized knowledge in finance, accounting, industry-specific cost estimation, or previous similar projects. It is required to establish the plan, validate estimates, finalize the budget, and interpret variances during control.
Data Analysis: This is a broad category of techniques that appears in all cost processes. In Plan Cost Management, it includes alternative analysis; in Estimate Costs, it involves reserve analysis and cost of quality; in Determine Budget, it includes reserve analysis; and in Control Costs, it is critical for Earned Value Analysis (EVA), trend analysis, and variance analysis.
Analysis of other options:
Decision making: While used in planning and estimating, it is not a primary tool listed for every single process in the cost management suite (specifically within the standard Determine Budget process).
Meetings: While meetings occur frequently, they are formally listed as a tool for planning and control, but the core technical work of " Estimating " and " Determining Budget " relies more heavily on analytical tools.
Cost aggregation: This is a specific tool used only in the Determine Budget process to roll up activity cost estimates into work packages and eventually the cost baseline. It is not used in Plan Cost Management or Control Costs.
Therefore, per PMI standards, Expert Judgment and Data Analysis are the most pervasive tools that support the integrity of cost management from inception through completion.
