How To Estimate Projects: The Complete Guide To Project Budget & Cost Estimation

The Digital Project Manager

Estimating successfully is all about getting the right amount of funding to enable you to successfully deliver a project. The post How To Estimate Projects: The Complete Guide To Project Budget & Cost Estimation appeared first on The Digital Project Manager. But creating a project budget that works – delivering worthwhile value for a client at a cost that’s still going to make a respectable profit for the agency is a tricky balance, so how do you do it right?

Principles of Cost and Schedule Estimating

Herding Cats

One of the 4 summary root causes of project performance failures is Unrealistic Cost and Schedule Estimates based on inadequate risk-adjusted growth models. If you have no uncertainty, then estimates provide no value. Herding Cats: Basis of Estimating Software Development.

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Decisions Without Estimates?

Herding Cats

Can you make a decision without an estimate? There are NO means of making a credible decision in the presence of uncertainty without estimating the outcome of that decision. Don't assume, Estimate. Be an Adult, estimate the impact of the risk on the probability of success.

Estimating Tools and Resources

Herding Cats

Tools and resources for cost and schedule estimating, when you here estimates are hard, we're bad at estimating, estimates are a waste, estimates are misused All those statements are fallacies. iceaaonline.com International Cost Estimating and Analysis Association.

How to Talk About Estimates

Herding Cats

What is an estimate? An estimate as a noun is an approximate calculation or judgment of the value, number, quantity, or extent of something. An estimate as a verb is to roughly calculate or judge the value, number, quantity, or extent of. Estimates.

Why Johnny Still Cannot Estimate

Herding Cats

He doesn't know how - He doesn't understand how estimates fit into the process of business and managerial finance of product or service development. He doesn't understand why estimates are needed - He doesn't understand the impact on the business for not knowing how long, how much, and what will be produced for the time and money. Coding work is much more fun than making estimates, documenting the requirements, writing tests. Herding Cats: Decisions Without Estimates?

Estimating the Risk

Herding Cats

In order to make risk-informed decisions, we must estimate the outcomes and the impacts of those outcomes on future activities (cost, schedule, and technical performance of products and services). Without these estimates, there is no risk management. Without these estimates, there can be no risk management. Be an adult, make estimates of the future outcomes of your risk informed decisions. . [1] Risk is everywhere on projects.

4 Fallacious Reasons to Estimate and Why Those Are Fallacious

Herding Cats

There's a recent post titled Four Fallacious Reasons to Estimate. It lists the usual suspects for why those spending the money think they don't have to estimate how much they plan to spend when they'll be done producing the value they've been assigned to produce for that expenditure.

Five Immutable Principles of Project Success and Estimating

Herding Cats

Let's look at what estimates are needed to answer each of the Five questions: Principle. Estimate Needed To Answer The Question. Each requires us to make an estimate of the confidence in the elements of the Plan. You can't apply risk management without estimating.

3 Team Techniques to Improve Cost Estimates

Project Risk Coach

Improve buy-in and support for your project budgets Do you ever feel like the Lone Ranger when trying to improve cost estimates? Many project managers are left to their own devices when estimating projects. So, how can we improve our cost estimates?

3 Tips for creating Accurate Project Estimates

Hydra

Despite the complexities involved, it’s essential to do the very best with your project estimates. Here are our 3 tips for creating accurate project estimates. Industry

When to Estimate and When Estimates aren't Needed

Herding Cats

Paul Boos has a post about estimating and makes a case for the Principles of when NOT to estimate. This struck a cord around a bigger topic - the inversion of estimating. When should we NOT estimate? What business decision making conditions could be in place where we don't have to estimate the outcomes of our decision in the presence of uncertainty? Then on to the original conjecture for No Estimates from Paul's post. Not principles for NOT estimating.

Independent Cost Estimating (ICE)

Herding Cats

Unless you have skin in the game your estimate for the work can't be credible. Let's look at the potential for such an approach in light of the credibility of an estimate. No one getting paid to estimate likes to present bad news. NoEstimates Estimating

What is an Estimate? What is Estimating?

Herding Cats

I work in a domain where estimates are made every single week. Estimate to Complete (ETC), Estimate at Completion (EAC), Estimated Completion Date (ECD) are the life blood of our software intensive system of systems programs. But Estimating is NOT Guessing.

The Potential of Agile

Tyner Blain

The potential to provide better predictions – but only if you invest in estimation skills, and only if you culturally make a distinction between prediction and commitment. To do this, you have to be able to estimate with confidence.

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Everyone estimates!

Musings on Project Management

We all make estimates; and we all make estimates all the time. When I make the 20 mile trip each Tuesday to a client site, I estimate adjustments to a baseline based on weather and road construction and if I know about an accident. Really, no one sets out to do anything meaningful without some estimate in mind re time, or cost, or risk; usually we can also notionally estimate the scope. So, agile estimate

Behavioural Economics, Estimating, and Decision Making in Presence of Uncertainty

Herding Cats

You're NOT going to increase the probability of success in the presence of uncertainty without making estimates of the aleatory and epistemic uncertainties the create project risk. Why Guessing is not Estimating and Estimating is not Guessing.

Increasing the Probability of Project Success

Herding Cats

How to Avoid the "Yesterday's Weather" Estimating Problem. Capabilities Earned Value Estimating Governance Management Performance-Based Project Management® Principles Requirements Risk Root Cause Analysis Technical Performance Measures

GAO Cost Estimating and Assessment Guide Applied to Agile

Herding Cats

The GAO Cost Estimating and Assessment Guide has 12 steps. Agile Capabilities Decision Making Estimating Governance Management Performance-Based Project Management® Project Management Requirements Risk Root Cause Analysis Scheduling

Basis of Estimating Software Development

Herding Cats

The estimating of software development is both straightforward and complex. When it is suggested that estimating is hard, of no value, and unnecessary, always ask what principle is used to support that claim? Here are some resources that will provide guidance to produce credible software development estimates, in both traditional and agile domains. Software Sizing and Estimating: Mk II FPA , Charles Symons, John Wiley & Sons, 1991.

Estimating

Zen Project Management

I started thinking about how common it is for people to not be able to provide good estimates. It was ironic, but part of the work with my client that week was explaining the technique of relative estimates using t-shirt sizes and story points. The team I was working with was new to agile and used to the old way of doing absolute estimates, which as we all know are not as accurate because of things like student syndrome or Parkinson's Law.

Software Review: Roadmap Planner [2017]

Girl's Guide to PM

Software review: Simplestimate [2016] Find out more about how to make estimating simple with this software review of Simplestimate. General Information. Name: Roadmap Planner. Vendor: KeepSolid Inc. Hosting options: iOS and macOS downloads (no Windows option yet).

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Software Review: Roadmap Planner [2017]

Girl's Guide to PM

Software review: Simplestimate [2016] Find out more about how to make estimating simple with this software review of Simplestimate. General Information. Name: Roadmap Planner. Vendor: KeepSolid Inc. Hosting options: iOS and macOS downloads (no Windows option yet).

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Planning Poker – build accurate estimates for sprints on agile projects

The Digital Project Manager

Planning Poker is a great freemium agile estimation digital card game that enables a collaborative approach for consensus-driven estimating to guide sprint planning. The post Planning Poker – build accurate estimates for sprints on agile projects appeared first on The Digital Project Manager. Play around. General Tools

Five Immutable Principles of Project Success

Herding Cats

Estimating how much is the starting point. Since all risks come from uncertainty, we have to estimate those uncertainties, their impacts, their residual risks after mitigation. Estimating is part of risk management. No Estimating? No matter the size of the project.

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12 Principles of Agile with and without Estimates

Herding Cats

When we hear that the next big thing in agile is Not Estimating, let's look to see how those 12 Principles can be applied without those estimates? . How estimates help implement these principles. Without estimates what is missing. Without estimating the delivered value to the business for the estimated cost and time to delivery that value, the balance sheet will be wholly uninformed about when the breakeven date for this expenditure.

Risk Management in Five Easy Pieces, with Apologies to Jack

Herding Cats

The answers to each of these questions require making estimates in the presence of uncertainty. No Point Estimate of Cost or Duration can be Correct. The use of point estimates for durations and costs is the first impulse in an organization low on the project management maturity scale.

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The Economics of Decision Making on Software Projects

Herding Cats

One model that is many times misunderstood by the agile community is the Cone of Uncertainty surrounding estimates as well as the technical and operational aspects of the project. Why Guessing is not Estimating and Estimating is not Guessing. NoEstimates Architecture Estimating

The brief moment when you think you’ve just produced a perfect estimate

The Digital Project Manager

The post The brief moment when you think you’ve just produced a perfect estimate appeared first on The Digital Project Manager. The PM life

An Effective Project Kick-Off Meeting Needs Preparation

Arras People

The point here is that when you go into the kickoff meeting, you will already have a plan drafted with estimated effort, budget and a clear deadline.

Project Success Means Knowing.

Herding Cats

In order to know the precision and accuracy needed to make decisions, in the presence of uncertainty, we must start with estimating what is possible, estimating the attributes and measures of the needed outcomes of the work activities, that produce the capabilities for the needed cost and schedule. Estimating what Done looks like in units of measure meaningful to the decision makers. Estimating what Plans and Schedules will be needed to reach done.

Risk Management

Herding Cats

Risk Management requires making estimates of many things. Just like risk management, estimating is how adults manage projects. No estimates, no adult management. Risk Management is How Adults Manage Projects - Tim Lister.

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How to Keep Your Projects On-Time and On-Budget

Arras People

companies and government agencies an estimated $145 billion per year! Deltek is the latest member of the Arras People Software Directory , in this article they give a brief overview of how projects can be controlled and how software can help with this.

Concept of Operations

Herding Cats

How we can't possibly estimate the work since all the work is emergent. Measures of Performance ‒ characterize physical or functional attributes relating to the system operation, measured or estimated under specific conditions.

The Seven Deadly Sins of Project Management

Herding Cats

With some posts this week on tweeter about not needed project management or estimates to be the market leader (without says the market leader in what market), I thought it'd be good to revisit Mike's original post. Why Guessing is not Estimating and Estimating is not Guessing. NoEstimates Agile Business Decision Making Estimating Governance Management Performance-Based Project Management® Planning Principles Project Management Requirements Root Cause Analysis Scheduling

5 Common Scheduling Mistakes (And What To Do Instead)

Girl's Guide to PM

What to do instead: You’re going to have to redo the fictional schedule again anyway, so why not start with a version that involves real data and real estimates from your colleagues and team? Collaboration was one of my 2017 Trends to Watch.

Agile Project Management Methods

Herding Cats

How estimates are or are not needed. Agile Books Capabilities Decision Making Deliverables Based Planning(r) Economics ERP Estimating Governance Management Performance-Based Project Management® Planning Principles Project Management Requirements Risk Systems Theory

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7 Ethics Tips For Project Managers

Girl's Guide to PM

It’s probably fairer and less controversial to say that it was “estimated” rather than created totally randomly from scratch. But she was worried that other people were interpreting the estimate as definite fact.

Estimating Accuracy Mathematics

Herding Cats

In the estimating business, like many things in project management, there is confusion about principles, practices, and processes. A good estimation approach should provide estimates that are within 25% of the actual results, 75% of the time. Want To Learn How To Estimate?

Definition of Done

Herding Cats

Do those capabilities meet the Measures of Performance that characterize physical or functional attributes relating to the system operation, measured or estimated under specific conditions? Estimating Processes in Support of Economic Analysis.

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