Managing project accounting

What do we mean by managing project accounting?

Project accounting is the ability to strategically plan, track and manage the financial aspects of projects.

It involves the systematic recording, monitoring, and reporting of financial information related to specific projects or tasks and determining relevant accounting treatments.

Knowledge

• Knowledge of public finance regulations, the council constitution including the scheme of delegation.
• Understanding of project delivery costs.
• Understanding of inflation, and wider economic factors that impact cost or funding.
• Understanding of project and programme management methodologies.

Skills

Able to:

• Forecast resource costs: Including any spend on tooling or technology and the management of time allocated to the programme by external and internal staff.
• Apply relevant accounting treatments: To ensure appropriate, lawful, and efficient use of public funds to support transformation, within the context of the council’s wider financial planning.
• Analyse budget variances: Understanding the root cause of any deviation from previous project spend forecasts.
• Problem solve: Fixing the root cause of any variances appropriately.
• Collaborate: With project and programme managers to ensure they review their actual and committed spend and report any other anomalies.
• Manage risks: Identify any overspend risks and create mitigating actions to ensure they are appropriately recorded and actioned as part of project and programme governance.
• Produce project/programme financial reports: Enabling regular monitoring and review of the Council’s financial position by senior officers, and councillors at relevant governance groups.

Behaviours

Behaviours associated with transition and change management require team members to be:

• Collaborative
• Analytical
• Solution focused
• Resilient
• Organised
• Adaptable and pragmatic
• Committed to continual learning

Finance for transformation – maturity index

A related finance for transformation maturity index has been created to enable councils to understand their current maturity and to set, and work towards, a target state. This can be downloaded below.