Analogous Estimation Technique In PMP?
The analogous estimation technique is a technique for estimating the duration or cost of an activity or a project using historical data from a similar activity or project in the PMP certification course. Analogous estimating uses parameters from a previous, similar project, such as duration, budget, size, weight, and complexity, as the basis for estimating the same parameter or measure for a future project. When estimating durations, this technique relies on the actual duration of previous, similar projects as the basis for estimating the duration of the current project. It is a gross value estimating approach, sometimes adjusted for known differences in project complexity. Analogous duration estimating is frequently used to estimate project duration when there is a limited amount of detailed information about the project.
The purpose of this article is to elaborate Analogous Estimating Technique as defined in PMBOK Guide 7th Edition.
Cost-Benefit Analysis
Analogous estimating is generally less costly and less time-consuming than other techniques, but it is also less accurate. For instance, Analogous duration estimates can be applied to a total project or to a segment of a project. It may be used in conjunction with other estimating methods. Analogous estimating is most reliable when the previous activities are similar in fact. Hence, it is not just in appearance, and the project team members preparing the estimates to have the needed expertise.
Example of Analogous Estimation Technique
You have been assigned as a project manager of a new project. For instance, You refer to the Lessons Learned Repository and Historical Data in your organization. It is to find out if a similar type of project to execute before. So, You come across a project wherein you find that 50% of the features of your new project match. It is exactly with 50 % of one of the old projects. Assuming that there are 10 features in the new project and there were 10 features in the old project.
You as a project manager would estimate the efforts of these 5 features of the new project analogous. It is to the 5 matching features of the old project. Let’s assume the effort required to deliver features 1, 2, 3, 4, and 5 of the old project. It was 10 person-days, 15 person-days, 12 person-days, 20 person-days, and 40 person-days, respectively. The features 2, 3, 6, 7, and 8 of the new project match. It is exactly with features 1, 2, 3, 4, and 5 of the old project respectively. Using the analogous estimation technique, the effort required to deliver features. 2, 3, 6, 7, and 8 are 10 person-days, 15 person-days, 12 person-days, 20 person-days, and 40 person-days, respectively.
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