Project vs. Operating Budget

Financial management of a project is different than managing an operating budget.  Where an operating budget is usually defined by a fixed fiscal period, a project budget is defined by deliverables outlined in a project plan.  It becomes important to monitor project spend relative to project progress.  Where an operating budget is typically impacted by head count and support contracts, a project budget is impacted by level of activity through the life of the project.  There is an increased need to forecast activity level remaining to ensure funds are available through to project completion.