Tools And Techniques That Teams Can Use For A Project Essay

705 Words Sep 9th, 2014 3 Pages
There are several tools and techniques that teams can use to derive cost estimates in support of a project.

Expert Judgment is the process in which a Subject Matter Expert (SME)who is highly skilled in a specific area reviews the project scope and provides an estimate of how long a task will take (duration) or how many resources (resource allocation) will be required to complete the task based on experience with similar project scope (Project Management Institute, 2013). Once the duration and resource allocation estimates are finalized complete, the inputs can be used to derive labor costs.

Project teams will have trouble producing an estimate using the expert Judgment method if there are no SME resources who have experience with similar requirements, scope required to complete the work. SMEs need to have a clear understanding of the project scope and correlate the requirements to directly experience in order to produce an accurate estimate.

Analogous Estimating is the process in which the scope of a current project is compared to that of a previous project that has similar characteristics and a cost or duration estimate is created based on the similarities (Project Management Institute, 2013).

Project teams will have trouble producing an estimate using the Analogous Estimating method if the project is new and has no historical projects that exhibit similar characteristics (e.g. scope) to base the estimate on. In addition, if the project has a section of scope that…

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