Accurate EstimatesWrite a 200- to 300-word short-answer response to the following:Why are accurate estimates critical to effective project management? What steps can project managers take to improve the accuracy of estimating projects? * For project managers, accurate estimates are the foundation for effective project planning and execution. There are many processes that have been developed to assist in the estimation process. Without proper estimating of project duration, cost, resources, risks and other parameters, it is impossible to implement proper alternatives and ultimately make timely and sound decisions.Accurate estimates are important because each project has the risk of added costs and time that weren't consider up front throwing the project into a state where you may not have the budget required to continue working on the project. Without accurate time and cost estimates project control is ineffective. Inaccurate estimates can make the difference between profit or loss.
The cost estimation should include the initial assessment plus % available for added costs.To help project managers improve the accuracy of estimating projects they should use a checklist that includes: 1. Educate your project team and organization on estimating and require the appropriate project team members prepare the estimate associated with their scope aspect of the project. 2. Reach out to a subject matter expert (SME) with experience for scenarios. 3. Incorporate peer reviews and estimate validation processes into your PLC. 4. Incorporate Risk Management and contingency assessment /re-assessment throughout the PLC 5. Encourage estimate review and validation after each phase of the PLC. 6. Accurate and timely documentation of change requests. 7. Research historical data on the project effort, schedule, cost, risk and resources for lessons learned and make appropriate adjustments. Statistical baselines should be and revised periodically. 8. Use mock ups, trial...