Budget overrun
Occurs when the actual costs exceed the budgeted amount.
Budget overruns occur when actual project costs exceed the planned budget, potentially impacting project viability and financial stability. Causes can include inaccurate initial estimates, scope changes, and unforeseen conditions. Effective cost management, regular monitoring, and contingency planning are crucial to mitigate overruns, ensuring the project remains within financial constraints and achieves its objectives without compromising quality or scope.
Used in a sentence
The project faced a budget overrun due to unforeseen site conditions.
Synonyms/variation
Cost Overrun
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