How to do Estimation...

Initially estimation is the primary point of concern between client and service provider. It is the key to make project IN or OUT for service provider. It is always tedious task to do perfect estimation and satisfy the client. However, as a service provider we believe to make it as much as close to client’s need and expectation. Here, we are going to discuss few points to prepare estimation.

Firstly, if requirement is pretty much clear and everything is defined in detail then proper and final estimation can be prepared. It is easier to allocate hours for activity rather then big task. So, make work down breakdown structure basis on requirement and split the task in to small amount of activity as much as possible. One big task can be group of bunch of activities and once it is divided and elucidated then it’s quite easier to instill hours for it. Bottom-up estimation is the best technique to be followed in this scenario.

Secondly, sometimes some points might be not clear from the requirement or it can be new for us which we haven’t done before then in this case we can find similar type of work if we have done in any previous project and try to compare with it. Perhaps we get some idea to estimate proposed task with the use of parametric estimation. Here, we can use parameters of previous projects to find out placeholder for current requirement.

Thirdly, after did all hard work still you can’t do estimation for any task owing to it’s new for you or you haven’t experience like it before then you can go with three point estimation. Based on assumption, you can take hours for optimistic and pessimistic and find out estimation from PERT technique. You can add some contingency in this type of task because it is totally risk for you as it is completely new task for you.

Finally, in some unknown or new type of work, it is preferable to provide range of hours then fixed number of hours. If you provide any fixed number then client always expect delivery on that particular timeline rather provide range hence you can discuss with client in dates not in fixed number. It will also helpful to build trust between client and you as you can provide delivery on time and that can maintain effective relationship as well.

To conclude, estimation is very crucial to define first relationship between client and service provider, so make it as much impressive and proper as you can. Sometimes, due to improper estimation client reject the service provider and hand over project to other one. Thus, try to catch attention of client and grab the project with best estimation as per your experience and techniques.