Reference no: EM132232699
Question: The article presents multiple estimation techniques that Peter and the estimating group used. The methods are essential in determining the inputs of money, time and other resources into the project. Some of the methods applied are a three-point estimate and analogous estimation. The team expected the techniques to help in determining whether to bid or not to bid for an offer. The three-point methodology involves application determination of cost and duration of a venture (Billows, 2018). On the other hand, analogous estimation uses existing literature to evaluate the requirements of the current project.
The explanation above proves that each technique is unique. Therefore, the estimating group requires specific data to decide the optimal method for each project. The group expects the project type and size to assist in determining the resource requirement. Moreover, it has to amass constraints on the part of the enterprise like time and assets. For instance, the project manager can discourage the application of analogous estimation in sensitive plans (Emery, 2017). The reason being the method is good at cost optimization but likely to make various errors. Moreover, the estimating team cannot choose the three-point estimation if they lack all the necessary data.
The choice of an estimation technique relies on various factors. However, if I were a project manager, I would use both analogous and three-point estimation. The complementary nature of the methods would assist in improving accuracy. The case study shows that Barbara had a great conviction that the critical package allocated twelve weeks in the estimation was inappropriate. Barbara knew that the task required fourteen weeks. The team had used the three-point evaluation to arrive at the figure. However, they did not apply all the necessary information such as job complexity. Therefore, given they also used the analogous method, they would have noted the discrepancy.
References: Billows, D. (2018, January 4). 3 Point Estimating - PERT. Project Management Learning
Emery, K. (2017, April 7). Analogous estimating. Project Management.com