Are the project investment control department and the project management department part of the same system?

Group investment control is under the responsibility of the Strategy Department, while branch management is overseen by the company’s general manager; the actual implementation is carried out by the deputy general manager in charge.

“The term “project investment control department” is not very accurate, which is why there was a misunderstanding on the second floor. Typically, companies have a Development Planning Department (also known as a Strategic Development Department) that is responsible for investment, development, and preliminary project work, among other things ； The Cost Control Department (also known as the Cost Management Department or Contract Budgeting Department) is responsible for cost estimation, bidding, contracts, budgeting, final accounting, and more ； The Project Management Department (also known as the Engineering Department, Construction Department, or Project Command) is responsible for project implementation, schedule management, quality control, organizational coordination, and more ； The Cost Control Department and the Project Management Department both fall under the nine knowledge areas of project management; these knowledge areas are interconnected. It is common for a leader with expertise in project management to be in charge of both departments, allowing them to coordinate the relationship between project progress and cost control, thereby facilitating the successful completion of construction projects. The downside is that bidding, contracts, costs, and project execution are all under the control of the same person, which can easily lead to construction issues** (many leaders have fallen due to such situations). Measures to eliminate problems in project construction are to improve procedural systems, strengthen supervision (disciplinary and audit oversight), and avoid unilateral decision-making.

I agree with President Ming’s view. The gradual reduction in the practice of having cost control and engineering under one manager is likely aimed at preventing risks associated with one person having control over everything – the risk that one individual can make all the decisions. Some organizations place the cost control department under the responsibility of the finance manager, thereby creating a system of checks and balances with the engineering department to mitigate risks.

In different systems, the investment control department exercises strict oversight and control over the funds requested for projects, while the project management department is only responsible for on-site construction and not for fund flows; such a setup does not involve a deputy director.