A project team member is estimating the cost of an activity and is checking documentation from previous similar projects. Which estimation method is the project manager using to complete this task?

The correct answer is C. Analogous estimating. Analogous estimating (also called top-down estimating) uses historical data from previous, similar projects to estimate current project parameters such as duration, cost, or resource requirements. The fact that the team member is reviewing documentation from past similar projects

Predictive, Plan-Based Methodologies

Question

A project team member is estimating the cost of an activity and is checking documentation from previous similar projects. Which estimation method is the project manager using to complete this task?

Options

ABottom-up estimating
BThree-point estimating
CAnalogous estimating
DParametric estimating

How the community answered

(24 responses)

A
4% (1)
C
92% (22)
D
4% (1)

Explanation

Analogous estimating (also called top-down estimating) uses historical data from previous, similar projects to estimate current project parameters such as duration, cost, or resource requirements. The fact that the team member is reviewing documentation from past similar projects is the defining characteristic of this method. Bottom-up estimating (A) aggregates estimates from individual work packages upward. Three-point estimating (B) uses optimistic, pessimistic, and most-likely values to calculate an estimate. Parametric estimating (D) uses a statistical or algorithmic relationship between historical data and project variables.

Topics

#Analogous Estimating#Cost Estimation#Estimation Techniques#Project Cost Management

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