Project Cost Management is the continuous process allowing the overall financial management of the project, namely planning, monitoring and controlling the project’s budget from its initial planning phase to its completion. The process of Project Cost Management takes place when the project scope, timelines and deliverables are clear.
Spreadsheets can be used for budgeting, while cost assumptions must be noted and monitored to keep track of diversions from the budget. In order to implement the budget, approvals by the executives and/or stakeholders must be obtained.
Finally, note the difference between the project budget and the cost baseline. The latter is the approved, time-phased project budget. Elaborating, once the budget is set, for instance, 4 million euros, the sponsor isn’t going to hand you 4 million euros on day one of the projects. They’ll provide funds periodically during the project when they are needed. The time-phased budget tells them when you shall need these funds.