ABSTRACT

The production manager (PM) must oversee all aspects of the budget. He or she should be capable of judging from experience when a particular item or department is going over budget, and should be able to determine whether these overruns can be covered by savings in other departments. After the producer and director outline the scope of the production and agree to the shooting schedule, the PM can go ahead and draw up a preliminary budget. Only after all the details are discussed and agreed on—including the probable locations to be used, length of employment of actors, type and number of vehicles and props required, and shooting ratio—is the PM in a position to estimate the film's production costs. Until all the details of the production are negotiated and contractually secured, the preliminary budget is just an estimate, and the word "allow" is used in the budget. Preliminary figures are usually padded to cover potential cost overruns.