Project estimating is something we have to do a lot. And being good at estimating generally means being accurate in the estimate. That doesn’t mean you have to get your budget figures defined to the nearest penny. But you do have to work out your numbers robustly and present them in a way that is clear to stakeholders. They need to understand how you are using the numbers and what they are looking at.
There are three ways to talk about the accuracy of estimates:
- Rough order of magnitude
- Budget estimate
- Definitive estimate
Find out more about how these different types of estimates are defined and calculated using ranges in this short video.
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