APM Course - Session 10 - Estimating
Define the term 'estimate.' - correct answer ✔The use of a range of tools and
techniques to produce forecasts of the probable time or cost of completing
work.
Define the term 'estimating funnel.' - correct answer ✔A representation of the
increasing levels of estimating accuracy that can be achieved through the
phases of the life cycle.
Define the term 'estimating.' - correct answer ✔The use of a range of tools
and techniques to produce forecasts of the probable time or cost of
completing work.
1 out of 3 - Estimating techniques
Analogous Estimating (or comparative estimating.) - correct answer ✔Often
used in the concept phase when not alot of information is avaliable about the
project.
This technique relies on having completed a similar project.
•Compare this project with a similar.
•200 bedroom hotel cost £2m.
•New hotel 300 bedroom hotel may cost around £3m.
•Often done when the work is understood but not fully defined.
2 out of 3 - Estimating techniques
, Parametric Estimating - correct answer ✔Also relies on historical data,
however in this case would've collected actual data from MANY different
projects.
•Relies on capturing actual times/cost on database
•Statistical averages generated from database
•Higher confidence factor
•Often used in conjunction with the WBS when the work is understood
3 out of 3 - Estimating techniques
Analytical Estimating (or bottom up.) - correct answer ✔Relies on the the
work breakdown structure.
Consider the costs of integration between work packages
Most appropriate for costs (work packages often undertaken in parallel)
Estimating Funnel - correct answer ✔•Estimating accuracy increases along
with the estimates
- Result of optimism bias
•Feed revised estimates into decision gates
•Encourage management to allow for increases at the start
- Set a management reserve
Question 1
Estimating by use of a detailed Work Breakdown Structure (WBS) is known
as:
Define the term 'estimate.' - correct answer ✔The use of a range of tools and
techniques to produce forecasts of the probable time or cost of completing
work.
Define the term 'estimating funnel.' - correct answer ✔A representation of the
increasing levels of estimating accuracy that can be achieved through the
phases of the life cycle.
Define the term 'estimating.' - correct answer ✔The use of a range of tools
and techniques to produce forecasts of the probable time or cost of
completing work.
1 out of 3 - Estimating techniques
Analogous Estimating (or comparative estimating.) - correct answer ✔Often
used in the concept phase when not alot of information is avaliable about the
project.
This technique relies on having completed a similar project.
•Compare this project with a similar.
•200 bedroom hotel cost £2m.
•New hotel 300 bedroom hotel may cost around £3m.
•Often done when the work is understood but not fully defined.
2 out of 3 - Estimating techniques
, Parametric Estimating - correct answer ✔Also relies on historical data,
however in this case would've collected actual data from MANY different
projects.
•Relies on capturing actual times/cost on database
•Statistical averages generated from database
•Higher confidence factor
•Often used in conjunction with the WBS when the work is understood
3 out of 3 - Estimating techniques
Analytical Estimating (or bottom up.) - correct answer ✔Relies on the the
work breakdown structure.
Consider the costs of integration between work packages
Most appropriate for costs (work packages often undertaken in parallel)
Estimating Funnel - correct answer ✔•Estimating accuracy increases along
with the estimates
- Result of optimism bias
•Feed revised estimates into decision gates
•Encourage management to allow for increases at the start
- Set a management reserve
Question 1
Estimating by use of a detailed Work Breakdown Structure (WBS) is known
as:
