Control Account

  • Projects have work breakdown structures (WBS)
  • WBS is made up of work packages (lowest level in the WBS)
  • Against every work package a control account is opened
  • Control account comprises of the amount allocated for the completion of the work in the work packages.
  • These work packages are assigned to organizational units (Project’s Organizational Breakdown Structure)
  • During execution time of the project, the actual amount spent against the work packages are captured.
  • Since the work packages are linked to the organizational units, organizational unit wise budget consumption also can be monitored effectively.
  • This enables the monitoring and controlling of the Planned Value, Earned Value and the Actual cost at a work package level

Key Questions?

  1. Who defines the control accounts?
  2. What is the purpose of control accounts?
  3. What are the key inputs required to develop the control accounts?