1. Tami FlowersMay 3, 2013

2. Estimating before a project is approved.Information for executives, managers orclients about how much a project will costand how long it might take.High level estimate with a buffer range.Should not spend a lot of time on this; afew one hour meetings is sufficient.Good way to show costs for differentoptions such as build vs. buy andintegrate.

3. Feasibility InitiationReleasePlanningIterate Close OutEstablishbusiness casewith high levelestimates

4. 1. Identify epics2. Determine size3. Determine certainty4. Associate cost

5. EpicFeatureUser StoryTaskAn epic is a group of related stories, mainly used in product roadmaps andthe backlog for features that have not yet been analyzed enough to breakdown into component stories.

6. 1. Identify inputs These may be integrations from internal orexternal systems2. Identify outputs These may be integrations from internal orexternal systems3. Identify high level functionality4. Identify reports (at minimum get a generalfeel for how many)

7. On-line banking application View balances for accounts View transactions per account Transfer funds between accounts Setup bill payer accounts Pay bills Display monthly statement Create reports to show usage of on-line products

8. On-lineBankingAppValid UserBalances &TransactionsBill PayerAccounts View balances foraccounts View transactionsper account Setup bill payeraccounts

9. UserTransfersBill PayTransactionsOn-lineBankingApp Transfer fundsbetweenaccounts Pay bills

10. Login page(s) View balances page View transactions page Setup bill payer accounts pages Transfer funds pages

11. MonthlyStatementUsageReportsOther reportsApp View and printmonthlystatement Create reports toshow usage ofon-line products

12. On-line banking application Pages to handle login, password change, token entry Page to view balances for accounts Page to view transactions per account Pages to transfer funds between accounts Pages to setup bill payer accounts Pages to pay bills Integrate with 3rd party application that handles bill payer Integrate with core banking application for balances andtransactions Display monthly statement Create monthly statement report Create reports to show usage of on-line products

13. 1. Identify epics2. Determine size3. Determine certainty4. Associate cost

14. How big or complex? t-shirt sizingUse relative sizingSizeXSmallSmallMediumLargeXLarge

15. 1. Identify epics2. Determine size3. Determine certainty4. Associate cost

16. Certainty how certain are you about thecomplexity/size?Certainty Certainty Buffer95% 15%90% 30%80% 50%70% 100%50% 200%

17. Get a group together with a representative from each area of concern.These may not be the people who end up on the project team. Estimate inputs, outputs, functionality and reports Estimate each epic per area of concern: Development, Business Analysis, Quality Assurance

18. Epic Size Certainty Size Certainty Size CertaintyView balances XS 80% M 90% S 95%Integrate withcore bankingapplicationM 90% L 80% M 90%Transfer funds M 50% S 70% S 90%Setup billpayerL 70% L 50% XL 80%Development BA QA

19. Team agrees on how many days to use foreach sizeThis may vary by project or estimatingteamSize # of DaysXSmall 1Small 5Medium 10Large 30XLarge 40

20. Team agrees on what # days to use foreach size

21. 1. Identify epics2. Determine size3. Determine certainty4. Associate cost

22. Determine rate per area of concern (dev, BA, QA, PM) Or use blended rate Include hourly rate plus benefits ($50 for our example)Epic TotalEstimatedDaysTotalEstimatedDays withBufferCostwithoutBufferCost withBufferView balances 16 21 $32,000 $42,000Integrate withcore bankingapplication50 71 $100,000 $142,000Transfer Funds 20 46.5 $40,000 $94,000Setup Bill Payer 100 210 $200,000 $420,000TOTAL 186 348.5 $376,000 $697,000

23. Have a representative from each area involved inestimating; dev, BA, QA, PM Too much time spent estimating = diminishingreturn. Look at XLs or 50% certaintys closer. Validate against gut feel. Document assumptions made during estimating. Re-estimate if project is approved; update time and$ estimates. Over time, use historical real data to helpstandardize estimates, such as reports orintegrations.

24. Twitter: TamiLFlowersLinkedInThanks!