Module 4 Flashcards
Top-down (Macro) estimates
Rely on historical data and broader trends to inform estimates for current projects
Bottom-up (Micro) estimates
Involves breaking a project down into smaller tasks allowing resources, costs and time assigned to them. Allows for a more precise estimate for a project.
Apportionment
A method that ensures costs and resources are distributed fairly among different parts of a project.
Delphi Method
Panel of experts to gather insights and reach a consensus on a particular topic or question.
Direct Costs
Chargeable to a specific work package (Labor, materials, etc)
Function Points
A standard unit of measure used to assess the function size of software or a system
Learning Curve
A graphical representation that illustrates how the time or effort needed to perform a task decreases with repetition and experience.
Overhead costs
Refer to the ongoing expenses of operating a business that is not directly attributed to producing goods or services.
Phase Estimating
A technique used to estimate the costs, resources, and time required to complete different phases of stages of a project.
Range Estimating
A technique used to define possible values for project costs, durations, or resource requirements instead of providing a single-point estimate.
Ratio Method
A technique used to determine costs, durations, or other metrics based on established ratios derived from historical data or benchmark comparisons.
Reference Class Forecasting
A statistical technique that leverages historical data from similar projects to predict the outcomes of a new project.
White Elephant
A project that is over budget and undervalued, cost to maintain exceeds benefits
Template Method
It lays out the general steps for a project but allows you to customize certain parts of the process.
Time and Cost Estimates
Essential components that predict the duration and financial resources required to complete a project
Gross Margin
Difference between the price of the job and the costs of the job
Net Margin
Profit Alone
Markup
A job costs times a factor that covers direct costs, overhead costs and profit
Gross Margin
Forecasted Dollar Volume - Job Cost
Gross Margin Percentage
Gross Margin/Forecasted Dollar Volume
Markup Factor
Forecasted Dollar Volume/Job Cost
Activity
An element of the project that requires time but may not require resources
Parallel Activities
Activities that can take place at the same time
Burst Activity
An activity that has more than one activity immediately following it (more than one dependency arrow flowing from it)
Merge Activity
An activity that has more than one activity immediately preceding it (more than one dependency arrow flowing to it)
Path
A sequence of connected dependent activities
Critical Path
The path with the most prolonged duration through the network
Activity-on-Node (AON)
Uses a node to depict an activity
Activity-on-Arrow (AOA)
Uses an arrow to depict an activity
Forward Pass-Earliest Times
- How soon can the activity start? (Early start-ES)
- How soon can the activity finish? (Early finish-EF)
- How soon can the project finish? (Expected time-TE)
Backward Pass-Latest Times
- How late can the activity start? (Late start-LS)
- How late can the activity finish? (Late finish-LF)
- Which activities represent the critical path? (Critical path-CP)
- How long can the activity be delayed? (Slack or float-SL)
Total Slack
The time an activity can be delayed and not delay the project
Free Slack
The amount of time an activity can be delayed without delaying any immediately following activity
Sensitivity
The likelihood the original critical path(s) will change once the project is initiated
Lags
They represent the time that must pass before a dependent task can start, even if the predecessor task is completed.
Hammock Activity
Describe a task that spans a period of time and encompasses several related activities or sub-tasks.
GANTT Chart
Used to represent a project schedule visually
Concurrent Engineering
Product development where different teams and tasks happen at the same time instead of one after the other
