Cost Estimation for Projects: How to Estimate Accurately

ProjectManager.com

Good cost estimation is essential for keeping a project under budget. Many costs can appear over the life cycle of a project, and an accurate estimation method can be the difference between a successful plan and a failed one. An Overview of Cost Estimation.

Project Cost Management – The Essential Things to Know and Do

Online PM Courses

Project Cost Management often puts people off. But there’s little your project sponsor, your client, or their Finance Director care about more than your budget and how closely you can stick to it. Project cost over-runs are common. Project Cost Management.

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Software Estimating Resources

Herding Cats

This blog page is dedicated to the resources used to estimate software-intensive systems using traditional and agile development methods. Cost Modeling Agile Software Development,” Maarit Laanti and Petri Kettunen, International Transactions on Systems and Applications, Volume 1 Number 2, pp.

Estimates, Forecasts, Projections

Herding Cats

Estimates. An Estimate is a value inferred for a population of values based on data collected from a sample of data from that population. The estimate can also be produced parametrically or through a simulation (Monte Carlo is common, but Method of Moments is another we use). . Estimates can be about the past, present, or future. We can estimate the number of clams in the Pleistocene era that are in the shale formations near our house. Projections/Prediction.

Estimating is a Learned Skill

Herding Cats

Estimating is a learned skill, used for any purpose from every-day life to management of projects. When I left for the airport this morning to catch my flight to a customer site I estimated, given the conditions, how much time I need to get to my favorite parking spot at DIA. The same process for estimating is applied to multi-billion dollar projects we work. And the same process is applied to the Scrum development processes on those projects. .

Beginner’s Guide to Project Management Process

iZenBridge

For Beginners, it is important to understand essential elements of Project Management. One has to understand associated attributes like team leadership aspect, Team formation with primary emphasis on the competencies and skills required for a successful project. What is a Project?

Compendium of Works to Increase Probability of Project Success

Herding Cats

Here's a collection of presentations, briefings, papers, essays, book content used to increase the Probability of Project Success (PoPS) I've written and applied over my career in the software-intensive system of systems and other domains. Project Performance Management (#PPM).

2003 45

Cost Management Basics

ProjectManager.com

Cost management is the process by which one plans and manages the budget of a business or project. In the case of a project, it helps the project manager estimate what the project will cost and set in place controls by which they can reduce the chance of the project going over budget.

2019 311

DDSTOP The Saga Continues

Herding Cats

There's been a rash of conjectures about all kinds of bad business, project, and software development (agile and traditional) management ideas of late. 40 - Estimation is a Problematic Practice of Companies Doing Dangerous Things. What is the Value at Risk for your Project?

DDSTOP The Saga Continues

Herding Cats

There's been a rash of conjectures about all kinds of bad business, project, and software development (agile and traditional) management ideas of late. For cost and schedule, there are databases containing 1,000's of past projects. Using Function Points in Agile Projects.

DDSTOP The Saga Continues

Herding Cats

There's been a rash of conjectures about all kinds of bad business, project, and software development (agile and traditional) management ideas of late. These are classic examples from an author who is either unskilled, untrained, and inexperienced in estimating software development.

2018 42

Two Parallel Processes of Project Success - Both Value and Delivery are Needed

Herding Cats

Software development is a Value Creaton activity, but Value cannot be determined unless we know the cost to produce that value and when that value will be available for use by those who of paid for that Value. This is the foundation for estimates. What will it cost to get the value?

2018 51

Risk Management in Five Easy Pieces, with Apologies to Jack

Herding Cats

Managing Cost, Schedule, & Technical Performance Risk Is The Basis Of Good Project Management. Risk management is essential to the success of any significant project. Risk management is an important skill that can be applied to all projects.

Risk 48

The Problems with Schedules

Herding Cats

The Core Problem with Project Success. Unrealistic Cost and Schedule estimates based on inadequate risk adjusted growth models. Before diving into the details of these, let me address another issue that has come up around project success and estimates.

2016 55

Misunderstanding Making Decisions in the Presence of Uncertainty

Herding Cats

What happens if you shift focus from "accurate estimation" to "reliably shipping by a date"? . All project work has uncertainty. Uncertainty comes from the lack of precision and accuracy about the possible values of a measurement of a project attribute.

A Wrap Up of the #NoEstimating Conjecture Analysis to Date

Herding Cats

The conjecture that we can make decisions in the presence of uncertainty without estimating the impacts of those decisions is without any principles that can be tested beyond personal anecdotes of I know people who spend other peoples money without providing estimates. Estimating

2016 46

Black Swans

Herding Cats

One of the books used by a vocal No Estimates advocate is Black Swans by Nassim Taleb. All is good so far until he mentions these concepts are applicable to the management of projects. What struck me was how disconnected Taleb is from the profession of project management.

2002 42

Microeconomics and Risk Management in Decision Making for Software Development

Herding Cats

The primary economic driver of the life-cycle structure is the significantly increasing cost of making a software change or fixing a software problem, as a function of the phase in which the change or fix is made. risks that affect the cost and schedule measures of the program.

2007 42

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

Arras People

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. But what are the right project controls and is there a single method to the implementation madness?

Budget 310

Scheduling and Cost Control in a Complex Environment

Strategy Execution | PMO Perspectives

The recent UK Government’s enquiry into the management of major projects was cut short by world events, but the interim report and oral evidence make for interesting reading. [1] Unsurprisingly the variables under discussion were cost, schedule and benefits.

Black Swans

Herding Cats

One of the books used by a vocal No Estimates advocate is Black Swans by Nassim Taleb. All is good so far until he mentions these concepts are applicable to the management of projects. What struck me was how disconnected Taleb is from the profession of project management. The concepts of Taleb and its application to project management is shared by some in the project management community (and now in the No Estimates community).

2002 28

How to Create a Project Assumptions List: Examples and Template Included

Project Bliss

Though it’s often true, that saying doesn’t apply to your project. When you plan your project, you’re operating on a set of assumptions. But maybe the idea of dealing with assumptions in project management is a bit confusing. What are Project Assumptions?

2018 232

Project Manager Roles and Responsibilities: What does a PM Really Do?

Project Bliss

The job title of “project manager” is pretty common these days. But project manager roles and responsibilities can be pretty vague if you’re not already familiar with them. When I took my first job as a project manager, my mother asked what I do.

2017 255

How to recruit an outstanding project manager (Part I)

Susanne Madsen

Although it isn’t possible to provide one single definition of what a good project manager looks like, certain traits, skills and attributes seem to be advantageous for a person who is to lead a project. She knows that she cannot manage a project from behind her desk.

2018 104

What Is a Project Baseline And Why Is It Important?

Teamweek

In project management, we call it operating without a baseline. Try doing that in project management and you’ll soon realize that you’re in the wrong profession. All projects are governed by hard rules like scope, deadlines, and budget. What is a project baseline?

2019 52

4 Ways to Measure the ROI of Work Management Tools

Wrike

You’re the head of operations for a top government weapons organization. In the end, your project blows up. That’s quite an expensive project failure. Companies lose $97 million for every $1 billion invested in projects ( PMI, 2017 ). Every team and project is different!

Risk Management Resources

Herding Cats

Information about key project cost, (technical) performance, and schedule attributes is often uncertain or unknown until late in the program. requires making estimates) ? Risk Management is Project Management for Adults - Tim Lister. Defining Uncertainty in Projects ?

Risk 45

A Compendium of Risk Management Resources

Herding Cats

Let's start with a critical understanding of the purpose of managing risk on software development projects. Information about key project cost, (technical) performance and schedule attributes is often uncertain or unknown until late in the program. requires making estimates) ?

Risk 42