ABSTRACT

The intersection between project finance and business finance processes can overlay, distort and disrupt regular business as usual finance activities. For instance, the finance function will usually have an interface with the project in terms of the cost-tracking environment, but can often be rather adrift or unaligned to the projects financial tracking approach. If financial pressures in the main business lead to restructurings, these support services may get reconfigured, or may even disappear at comparatively short notice. It is important that the project makes clear to the business that although it sometimes behaves as an island, in practice it actually relies upon a number of key business as usual services including HR, purchasing, finance, general IT and similar activities. Sometimes a project will be financed from a range of sources either across the business or from more than one business. The key technique remains communication between the project and the finance community.