Planning and Budgeting a Project
The author defines a project as "anything we do just once." It's a new, unique task that has a defined beginning and end, and will never be repeated.
EN: my sense is that this is very wrong. Not all projects are new and unknown tasks, and some may be done repeatedly, but they are not a part of ongoing operations.
EN: I have also elided most of this chapter. The author does a quick and sloppy tutorial on project planning, and obviously has little experience or expertise in that area.
Define the Project
The author suggests that a project should have a detailed project plan, and he provides a quick overview of the plan. From a budgeting perspective, most of this is extraneous - having the project defined is prerequisite to developing a project budget.
Create a Work Plan
Primarily, a project has a timeline that indicates when component tasks will need to be done. From a budgetary perspective, this tells us when funds will need to be expended and resources dedicated to the tasks involved.
Calculate Costs
Calculating costs for a project budget is a lot trickier than doing so for a production budget, as this is generally a new task, so past costs cannot be used to predict future ones. You have to look at each task and estimate what resources are needed to accomplish it, then estimate the cost of those resources.
In some cases, you can use existing costs as a method for estimating the prices (but not necessarily quantities) needed - labor being the primary example (especially when workers are being "borrowed" from the production staff for project work).
Project Tracking
EN: This is another sloppy bit where the author suggests ways to track a project's progress. He seems to have his own system for doing this, doesn't use flowcharts or GANTT. I don't think his advice is very good, nor is it germane to budgeting, except inasmuch as it is possible to track costs as they are expended and adjust the project budget and timeline.