Estimates

Typically, in each of our projects, there will be an estimate created in an early stage to help the client determine whether or not to pursue an idea.

Our estimates are available in our estimation tool for any employee to see.

In order to get a good picture of our delivery process, it's important to clarify just what an estimate is and is not.

An estimate is not:

• a promise
• a commitment to budget, scope, schedule
• requirements

An estimate helps us get a basic understanding of the relative size of a thing to help clients decide if they want to continue along the path with us delivering a project for them. Internally, clients need to plan, secure budget, and consider approximate cost vs. value to convince others that an idea is worth pursuing. Keep in mind that this happens at an early stage in the project, when there is much uncertainty and ignorance. We'll never know less than we did at that moment.

We need to consider and balance a few concerns while estimating:

• we know that we cannot predict the future
• clients typically do not like to commit to work without an idea of size and budget
• pessimistic estimates are hard to sell, while optimistic ones are hard to deliver

With that said, when a project starts, an estimate should not be translated verbatim into a backlog of "requirements". It is simply a good head start, while your team has the continual responsibility of working with the client to decide what should actually be built, adding, removing, and re-prioritizing within the client's constraints (like budget).

As your team knows more and understands better the effort and pace of the team, ensure that you are being open and communicating well to the client to give them a better picture of reality and avoid surprises.