Final answer:
Baselining in project management is the process of setting reference points for scope, cost, and schedule at the start of the project to measure progress against. It is not just about measuring actual costs to the budget. When there are deviations from the baseline, change management processes may be implemented to bring the project back on track.
Step-by-step explanation:
The statement provided is False. Baselining is a process associated with project management, and it involves establishing a set of reference points at the beginning of a project. These reference points, or baselines, are the original plans in terms of scope, cost, and schedule against which project performance can be measured.
Baselining allows project managers and teams to assess performance by comparing planned progress with actual progress. By setting a baseline, it is possible to determine if a project is on track in terms of its milestones and deliverables. Therefore, it is not just a process of measuring actual costs against the budget, but rather an approach that encompasses much more. It includes evaluating the scope, schedule, as well as costs.
When deviations from the baseline are identified, change management processes may be initiated to address these deviations. This may include making adjustments to project execution, but that is effectively a response to the analysis provided by baselining.
In summary, while monitoring actual costs against the budget is a critical aspect of project management, baselining is a broader process involving many aspects of the project's plan. Learning to properly set and manage baselines is a key competency for successful project management and forms part of professional certifications such as PMP (Project Management Professional).