{"id":7450,"date":"2018-11-12T10:53:00","date_gmt":"2018-11-12T16:53:00","guid":{"rendered":"https:\/\/blog.planview.com\/?p=7450"},"modified":"2019-08-16T13:53:26","modified_gmt":"2019-08-16T18:53:26","slug":"improve-project-estimates-and-escape-crisis-mode","status":"publish","type":"post","link":"https:\/\/blog.planview.com\/improve-project-estimates-and-escape-crisis-mode\/","title":{"rendered":"Improve Project Estimates and Escape Crisis Mode"},"content":{"rendered":"

\"Improve<\/p>\n

The following content is based on the whitepaper, \u201cBigger Than a Breadbox: 10 Tips for Better Project Estimates, Part 1,\u201d written by Jerry Manas.<\/em><\/p>\n

Accurate project estimates are a key success factor for individual projects. That\u2019s a given. Yet, little is written on the trickle-down effects of poor estimates\u2014surprising, as poor estimates are a leading cause of issues such as project delays, continuous crisis mode operation, resources being shifted around haphazardly, and many more. Really, it\u2019s just a simple matter of cause and effect: bad estimates = project delays = shifting resource demands = a domino effect that impacts the entire portfolio. You\u2019ll soon find yourself drowning in chaos, a state that is, unfortunately, not uncommon for many of today\u2019s organizations.<\/p>\n

Move away from crisis mode to operate more proactively.<\/strong><\/h2>\n

This is the only way to be consistently successful\u2014I know, no pressure, right? Well, actually estimation skills are extremely learn-able; they\u2019re something you can quickly improve upon. More often than not, it\u2019s the process<\/em> that organizations rely on that is flawed, not individual task estimates. All you need are the right tools, consideration, and process guidelines, which are listed out for you below.<\/p>\n

\"Elevate<\/a><\/p>\n

Get ready for the positive ripple effect. <\/strong><\/h3>\n

With 10 simple tips, you can be on your way to improving your project estimates. Let\u2019s get started with the first three in this seven-part series:<\/p>\n

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  1. When we get there, we\u2019ll know (Accuracy versus timing)<\/strong><\/li>\n<\/ol>\n

    You\u2019ve just begun a project. You have plans and schedules but, really, little is known. The vast list of unknowns makes it difficult to predict anything with pinpoint precision\u2014yet, you still must present an estimate. For this reason, project estimates are required at various points in a project\u2019s lifecycle, from initial conception to budget approval to baseline acceptance. Of course, as more is known about the projects, the greater the likelihood of a reliable estimate\u2014with a few exceptions where evolving requirements are the norm, such as with Agile projects. I\u2019ll discuss these exceptions in the following tips.<\/p>\n

      \n
    1. There\u2019s more than one way to manage uncertainty (Traditional agile approaches)<\/strong><\/li>\n<\/ol>\n

      \u201cOne common mistake is making firm commitments too early in the project when little is known, hence the need for multiple tiers of estimates with narrowing degrees of accuracy.\u201d \u2013 Jerry Manas [block quote]<\/p>\n

      Agile approach moves testing sooner in the project cycle by developing partial software or products in short 2-4 week increments and getting early customer feedback\u2014this eliminates the more intense requirements and documentation up front, thus rendering traditional estimate methods obsolete. However, to make Agile work, there\u2019s a certain level of trust needed that the development team consists of smart and client-focused individuals who will work closely with the customer to deliver iterations of completed product that speak to the market\u2019s prioritized needs. As a result, successive iterations become more and more accurate, but this method obviously isn\u2019t for everyone, or even every project. It wouldn\u2019t be appropriate for projects where customer involvement isn\u2019t feasible or desired or for projects where exact accuracy is needed up front. There are other options, such as capital planning.<\/p>\n

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      1. Be careful what you ask for (Estimates and capital planning)<\/strong><\/li>\n<\/ol>\n

        Ah, the classic three-tiered estimation approach. This seems to make the most sense for fairly large, traditional projects, as it involves progressively accurate estimates at the Order-of-Magnitude, Budget, and Baseline levels. However, these same types of projects often have a level of capital planning involved, which requires approvals early and often, when little is known about true costs. It\u2019s best to be as accurate as possible when trying to get approval for capital spending. Minimize risk by:<\/p>\n