A project team member is estimating the cost of 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 uses historical data from previous similar projects as the basis for estimating current project costs, durations, or other parameters. The defining characteristic - referencing past similar project documentation - is the hallmark of this technique. It is gene

Predictive, Plan-Based Methodologies

Question

A project team member is estimating the cost of 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

(29 responses)

B
3% (1)
C
93% (27)
D
3% (1)

Explanation

Analogous estimating uses historical data from previous similar projects as the basis for estimating current project costs, durations, or other parameters. The defining characteristic - referencing past similar project documentation - is the hallmark of this technique. It is generally less costly and time-consuming than other methods but also less accurate. Bottom-up estimating (A) involves estimating individual work packages and rolling them up. Three-point estimating (B) uses optimistic, pessimistic, and most likely values. Parametric estimating (D) uses statistical relationships between historical data and project variables (e.g., cost per unit) rather than reviewing documentation from a specific past project.

Topics

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

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