The document discusses project estimation techniques and processes. It defines what is estimated during project estimation such as scope, costs, time, resources, quality and risks. Major estimation techniques are also explained including top-down, bottom-up, expert judgement, comparative, parametric modeling and three-point estimating.
The document discusses project estimation techniques and processes. It defines what is estimated during project estimation such as scope, costs, time, resources, quality and risks. Major estimation techniques are also explained including top-down, bottom-up, expert judgement, comparative, parametric modeling and three-point estimating.
The document discusses project estimation techniques and processes. It defines what is estimated during project estimation such as scope, costs, time, resources, quality and risks. Major estimation techniques are also explained including top-down, bottom-up, expert judgement, comparative, parametric modeling and three-point estimating.
The document discusses project estimation techniques and processes. It defines what is estimated during project estimation such as scope, costs, time, resources, quality and risks. Major estimation techniques are also explained including top-down, bottom-up, expert judgement, comparative, parametric modeling and three-point estimating.
NATIONAL EXAM OF HIGHER NATIONAL DIPLOMA – NEW PROGRAM – 2022
Specialty/Option: Software Engineering (SWE)
Paper: Information System Duration: 3 hrs. Credits: 6 Instruction: Answer all questions
SECTION C: PROJECT MANAGEMENT AND LEGAL REGULATIONS (20 marks)
What is project estimation?
Project estimation is the process of analyzing available data to predict the time, cost, and resources needed to complete a project.
What is usually estimated during the project estimation phase?
During this phase, estimates are made and recorded for different aspects such as scope, cost, time, resources, quality, and risks.
What are project estimation techniques?
An estimate is a rough calculation of something. For example, a project cost estimate is a general idea of the price model for a project. Estimation techniques are ways to create project estimates. When your client or another project stakeholder asks you to estimate an aspect of the project, these techniques help you come up with a realistic number to give them.
Why are project estimates important? Without accurate estimates, it’s impossible to plan your project. If you don’t have an idea of how long the project will take or what resources you will need, there is no way to ensure you’ll have the right people, materials, or tools available when you need them.
What is estimated during the project estimation phase?
1. Cost: Cost is one of the three main constraints in project management. If you don’t have enough money to complete the project, it will fail. If you can accurately estimate project costs early on, you can help set client expectations and ensure you have enough money to get the work done. Cost estimation involves predicting how much money you will need for the project as well as when you will need the funds.
2. Time: Time is another of the three main project constraints. Being able to estimate both the overall project duration and when individual tasks will take place is vital to project planning. Estimating your project schedule enables you to arrange for people and resources to be available when you need them. It also allows you to manage client expectations around when they should receive key deliverables. 3. Scope: Scope is the third key project constraint. Project scope is all the work that must be done to finish the project or deliver a product. By estimating how much work is involved and exactly what tasks need to occur, you can ensure that you have the right materials and expertise for the project.
The three main constraints are often referred to as three sides of a triangle. This is because whatever changes are made to one constraint will inevitably impact the other two. To accurately estimate the budget, you must know the scope and schedule. If one of the three ends up being greater or less than you expected, it will likely result in the other two estimates being off as well.
4. Risk Project risk is an unexpected event that could impact your project, for better or for worse. Estimating risk involves predicting what events may occur during the project’s life cycle and how seriously they could impact the project. By estimating what risks could impact your project and how they will affect it, you are better able to plan for potential issues and create risk management plans.
5. Resources: Project resources are the assets you need to get the project done. Resources can be tools, people, materials, subcontractors, software, and more. Resource management helps you ensure you have all the resources you need and use them as efficiently as possible. Without estimating what resources you will need, and when, it’s challenging to plan how you will manage them. This can lead to people sitting around idle or materials not showing up until weeks after you need them.
6. Quality: Quality focuses on how well the project deliverables are completed. Products that have to meet demanding quality regulations, such as environmental restrictions, may require more money, time, and other resources than a product with lower- level requirements. Estimating the level of quality that the customer requires helps you plan and estimate the other five aspects of your project.
All six project factors are interrelated, so predictions for one can impact the estimates for the other five. For this reason, using the same project estimate techniques in all six areas can improve your accuracy.
Major project estimation techniques
Here are six common estimating methods in project management:
1. Top-down estimate: A top-down estimating technique assigns an overall time for the project and then breaks it down into discrete phases, work, and tasks — usually based on your project’s work breakdown structure (WBS).
If a client tells you the project has to be done within six months, a top-down approach allows you to take that overall timeline and estimate how much time you can take for each activity within the project and still complete it on time.
2. Bottom-up estimate: A bottom-up estimate is the reverse of top-down. Using this estimation technique, you start by estimating each individual task or aspect of the project. Then you combine all those separate estimates to build up the overall project estimate.
Since each activity is being assessed individually, this type of estimate tends to be more accurate than the top-down approach. But it also takes more time.
3. Expert judgment: Expert judgment is one of the most popular estimation techniques, as it tends to be quick and easy. This technique involves relying on the experience and gut feel of experts to estimate projects.
It’s most useful when you’re planning a standard project that is similar to projects your team has completed before. Expert judgment can be used for creating top-down or bottom-up estimates.
4. Comparative or analogous estimation: Comparative estimation uses past project data combined with a top-down approach to estimate project duration. If the average completion time of similar projects was eight months, you’d assume the current one will take eight months. Then you can break those eight months down across tasks and activities to get your lower-level work estimates.
5. Parametric model estimating: Parametric modeling also uses past project data, but it attempts to adjust the data to reflect each project's differences. This technique takes the detail of past projects and pro-rates it to estimate the current project.
Imagine your company builds houses. Parametric modeling could take the cost of all past construction projects divided by each project's square footage to come up with an average project cost per square foot of the home. Then, you’d multiply that number by the planned square footage of the current home to create your overall project budget. 6. Three-point estimating: Three-point estimating is a technique sometimes used for creating bottom-up estimates. Rather than assuming one duration for a task, you may assign three: optimistic, pessimistic, and most likely. These three numbers are averaged to create your actual estimate.
The PERT (Program Evaluation and Review Technique) method uses three-point estimating, but it takes a weighted average of the three points, with the ‘most likely’ guess carrying more weight.
Project scheduling is a project management process that consists of creating and managing a schedule to organize the tasks, deliverables and milestones of a project on a timeline.
A project schedule is a timetable that organizes tasks, resources and due dates in an ideal sequence so that a project can be completed on time.
Project scope management defines and outlines all work included within a project, such as objectives, tasks, outputs, and deadlines. Project scope management identifies and documents all project objectives, goals, deliverables, deadlines, and budgets during the planning process
What are the five 5 components of a project scope plan?
By understanding and implementing these components, project managers can optimize project planning, execution, and control, fostering project success in a dynamic business landscape.
What are the four basic steps in software project estimation?
Generally, there are four basic steps in software project estimation:
✓ Estimating the project size. This will usually end up either in Lines of Code (LOC) or Function Points (FP). ✓ Estimating the effort in person-months or person-hours. ✓ Estimate the schedule in calendar months. ✓ Estimate the project cost.
