Q I understand that youve created a new estimating group Why was that done

A. "In the past we have had several different types of estimates such as first guess, detailed, 10 percent complete, etc. Our project managers are usually the first people at the job site and give a shoot-from-the-hip estimate. Our line managers do estimating as do some of our executives and functional employees. Because we're in a relatively slowly changing environment, we should have well-established standards, and the estimating department can maintain uniformity in our estimating policies. Since most of our work is approved based on first-guess estimates, the question is, 'Who should give the first-guess estimate?' Should it be the estimator, who does not understand the processes but knows the estimating criteria, or the project engineer, who understands the processes but does not know the estimates, or the project manager, who is an expert in project management? Right now, we are not sure where to place the estimating group. The vice president of engineering has three operating groups beneath him—project management, design, and procurement. We're contemplating putting estimating under procurement, but I'm not sure how this will work."

Project Management Made Easy

Project Management Made Easy

What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.

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