Project budget control in Dynamics 365 FinOps is widely used for cost control (and can be used for revenue control, if the project is a capped T&M kind of a project). However, I am going to write about some of the typical parameters which I feel are important for a consultant to know while discussing this feature with the client.
|Budget control parameters|
Independent budgeting for sub-projects
- If YES, the user can create a fresh budget for a sub-project
- If NO, the user needs to create a budget revision to create a budget for sub-project
Allow budgeting control outside the project hierarchy
- If YES, the user can associate this project to a project budget of some another project outside of the current project hierarchy, where a budget is defined. When this value is YES in the project parameters, then on the project record, if the user turns the 'Use alternate project budget for budget verification', the 'Alternate project' drop down will display those projects in the system on which project budget is defined.
|Associating the project budget to a project budget of some other project|
- If NO, the user even if the ‘Use alternate project budget for budget’ on the project record is set to YES, the ‘Alternate project’ drop down will display nothing.
- This is like telling the system at what point in time do you wish the budget control action to kick in. Do you wish to kick in the control mechanism when the ‘Total budget’ is hit or ‘Project to date’ is hit or ‘Current period’ is hit or any other value etc.
- The value selected on the parameters is copied over to the new project. This value can be overridden on the project. If the value of this parameter on the project is other than 'Total budget', then it works in conjunction with the 'Allocate amount' feature, which is available while creating the budget.
- 'Allocate amount' feature should be used before the budget is submitted for approval. This feature is not available after the budget is approved. (Readers - Please let me know if there is any other way to allocate the amount after the budget is approved.)
|Allocate budget feature not available after budget approval|