MMSPM007: Cost Estimating

In this Hands-On course, attendees will learn how to plan, allocate and manage costs, resources and performance throughout the life of any project. The course covers techniques especially applicable to small and mid-sized projects.

Outline:

• Fundamentals of Project Cost Estimating

• Common categories of cost
• Roles of project cost estimate
• Types of estimates
• Areas of uncertainty affecting cost estimates

• The Estimating Process

• Common categories of cost
• Roles of project cost estimates
• Areas of uncertainty affecting cost estimates
• Types of costs throughout the lifecycle
• Rules and assumptions, data collection, select methodology, estimate, check, review, and report, accuracy and contingency

• Estimation Techniques

• Analogy estimating
• Parametric estimating
• Detailed estimating
• Range estimating

• Time Phasing the Estimate

• Bottom-up: earned value/level of effort
• Top-down: probability distributions

• Incorporating the Estimate into the Project Plan

• Management reviews
• Establishing baselines
• Tracking and controlling the budget

• Life –Cycle Cost

• Process
• Value Engineering
• Time value of money