Common Project Estimation Techniques

In PMP, the common project estimation techniques include:

Analogous Estimation (Top-down)

• Pros
  Can ensure no work is inadvertently omitted from work estimate
• Cons
  Can sometimes be difficult for lower-level managers to apportion cost estimates.

Bottom-up Estimation

• Pros
  Is very accurate and gives lower-level managers more responsibility.
• Cons
  May be very time consuming and can only be used after the work breakdown structure (WBS) has been well defined.

Parametric Estimation

• Pros
  Using parametric model is not time consuming.
• Cons
  May be inaccurate depending on the integrity of the historical information used.