BIOGRAPHIES

Management Reserve (MR) budget is an amount of the total allocated budget withheld by contractors for management control purposes. More specifically, its purpose is to provide an adequate budget for in-scope but unanticipated work on the contract. As a contract proceeds to completion, and unanticipated, in-scope work is identified, MR budget is allocated to that work. Once allocated, MR budget becomes part of the performance measurement baseline (PMB) used to measure and control cost and schedule performance o the contract. Accordingly, MR budget is an important part of effective planning and control on defense contracts