Cost estimates from subject matter experts

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When managing projects, I make sure to ask subject matter experts (SMEs) how much time each activity will take. Once I know the time, I can determine the cost. For example, writing the code for some features of an app might take 50 hours. The developer may charge $100 per hour. With this information, I calculate the features will cost $5,000. This is how I create the project’s budget.

Why do you think we should time and cost estimates from subject matter experts (SMEs)? How do we handle the situation where the information they provide is too conservative? Please discuss.

Reference no: EM132176917

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