"The Best Step for Project Managers to Estimate Budgets"
Question
A senior manager asks a project manager for an estimated budget on a new project.
Which of the following is the BEST step for the project manager to take?
Answers
Explanations
Click on the arrows to vote for the correct answer
A. B. C. D.B.
164
When a senior manager asks a project manager for an estimated budget on a new project, the best step for the project manager to take is to gather the necessary information and develop a realistic and accurate estimate. This involves considering various factors that could impact the budget, such as the scope of the project, available resources, timeline, potential risks, and other relevant factors.
Option A, telling the senior manager that the estimation is not available yet, is not the best step because it does not address the request made by the senior manager. It may also leave the senior manager with a negative impression of the project manager's ability to plan and manage projects.
Option B, using the budget from a similar project to generate estimates, could be helpful in some cases, but it is not always reliable as different projects may have different requirements, resources, and risks that could significantly impact the budget. Therefore, it is not the best step.
Option C, asking a Subject Matter Expert (SME) for an opinion and proposing an estimate, could be a good step if the SME is knowledgeable about the project and has experience in estimating project budgets. However, it is important to ensure that the SME's opinion is based on relevant and accurate information to avoid providing a faulty budget estimate.
Option D, gathering the team to immediately generate estimates, is a good step because it involves leveraging the knowledge and expertise of the team members who are involved in the project. The team members can provide input and insight into the various factors that could impact the budget, which could result in a more accurate and realistic estimate. However, it is important to ensure that the estimates are based on reliable and relevant information, and that the team members are given sufficient time to provide accurate estimates.
In conclusion, option D, gathering the team to immediately generate estimates, is the best step for the project manager to take when asked for an estimated budget on a new project.
