Estimate Costs is the process of developing an approximation of the cost of resources needed to complete project work. This process is performed periodically throughout the project as needed.

INPUTS

Project management plan
• Cost management plan
• Quality management plan
• Scope baseline
Project documents
• Lessons learned register
• Project schedule
• Resources requirements
• Risk register
Enterprise environmental factors
Organizational process assets

TOOLS & TECHNIQUES

Expert judgment
Analogous estimating
Parametric estimating
Bottom-up estimating
Three-point estimating
Data analysis
• Alternatives analysis
• Reserve analysis
• Cost of quality
Project management information system
Decision making
• Voting

OUTPUTS

Cost estimates
Basis of estimates
Project documents updates
• Assumption log
• Lessons learned register
• Risk register

Create Project Management Tasks

In the Planning list, representing Planning Process Group, create the Estimate costs task and the subtasks corresponding to the output of the Estimate Costs process:

  • Develop cost estimates
  • Develop basis of estimates
  • Update project documents

Create Project Management Documents

In the Docs section, create the output documents:

  • Cost Estimates
  • Basis of Estimates

Cost estimates include quantitative assessments of the probable costs required to complete project work, as well as contingency amounts to account for identified risks, and management reserve to cover unplanned work.

Basis of estimates include supporting detail for cost estimates, such as:

  • Documentation of the basis of the estimate
  • Documentation of all assumptions made
  • Documentation of any known constraints
  • Documentation of identified risks included when estimating costs
  • Indication of the range of possible estimates
  • Indication of the confidence level of the final estimate

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