12 votes

Lately discovered requirements in Scrum

If a requirement is discovered in the middle of a project or even later, then the cost of implementation of this requirement can be very high. In this statement you are saying that the cost of change ...
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10 votes

How to finance non-programming activities when clients don't want to pay for these activities?

Stop work immediately and get the work under a contract. Get a detailed Statement of Work that clearly identifies what is getting delivered, what activities will take place, what finished looks like, ...
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  • 36.6k
9 votes

How to finance non-programming activities when clients don't want to pay for these activities?

Stop billing them for the activities they complain about and roll the costs into what they are willing to pay for (deliverables). You're not cheating them--you're not burdening your clients with the ...
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7 votes
Accepted

S-Curve in Cost Management

The S curve is cumulative. At the end of the project, when resources begin to drop, you expect to see the slope of the curve at the top to decrease as compared to the middle of the project when ...
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  • 36.6k
6 votes

ETC calculation including SPI

The issue with using formula is that it will provide an extremely precise, deterministic value that lives in a range of probabilistic values. Although extremely precise, no single formula will give ...
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  • 36.6k
6 votes

What can I do when I can't adjust scope, resources, or schedule and a team member wants a raise?

TL;DR Your job as a Product Owner (PO) or Project Manager (PM) is not to have all the answers. Your job is to have a vision, and to communicate options to stakeholders and business decision-makers. ...
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  • 47.4k
6 votes

Lately discovered requirements in Scrum

Prioritisation, continuous delivery and review is the way to control delivery risk for any software development, not just when using Scrum. I can't agree with the first sentence of your question ...
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  • 5,662
6 votes

Lately discovered requirements in Scrum

You say: If a requirement is discovered in the middle of a project or even later, then the cost of implementation of this requirement can be very high. This can be true or can be false. It depends ...
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  • 13.6k
5 votes

How can I prove on paper that we need more resources for our team?

TL;DR you aren't selling the right thing Is there a way I can prove, on paper at least, that we need to have more resources? It doesn't look like your goal is to prove anything. Even if it was, it ...
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4 votes
Accepted

How does the public sector estimate the cost of large-scale infrastructure projects?

The U.S. GAO has developed a 440 page guide for cost estimation of Capital Programs Here is the GAO (Government Accountability Office) Cost Estimating and Assessment Guide - Best Practices for ...
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4 votes

Project costing & preparation

With this kind of situation, the only quote I would provide is an hourly cost, my weekly availability, and maybe my total duration I'd be willing to commit. In other words, time and materials. If ...
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  • 36.6k
4 votes

Who pays for the development/maintenance of the components/framework?

In my view, any necessary labor that was exhausted in order to build the finished product or provide a service deliverable would be chargeable to that project as a direct expense. The test would be, ...
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  • 36.6k
4 votes
Accepted

What if a client doesn't accept/agree with a change request?

It becomes a contract dispute. As the PM, you would escalate the dispute based on however your company defined its escalation process. Most likely, you would raise it internally through your ...
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  • 36.6k
4 votes

Lately discovered requirements in Scrum

From a sequential perspective, the idea that a requirement that is discovered later in the project is likely to be more expensive to address. Similarly, a defect found late after origination is also ...
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  • 17.2k
3 votes

How to finance non-programming activities when clients don't want to pay for these activities?

Is the "upper management" your management or theirs? If yours, you need to have a discussion with them that makes absolutely clear that treating all "non-programming activities" as non-essential ...
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  • 280
3 votes

In Scrum, should we be billed for defects and unplanned activities?

TL;DR Yes. Under your current contract and within your current process, you should pay the vendor for all work completed. Unless you have a fixed-price, fixed-scope contract, all the problems you've ...
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  • 47.4k
3 votes

A project manager should know how much his/her project members earn monthly?

This situation is unfortunately more common than logic would suggest. It all arises from the projects culture, in general when transparency is part of the business culture, and of course there is a ...
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  • 131
3 votes

Vocabulary used in drawing activity diagrams

Due to your post in PMSE, I assume you are taking about network diagrams (vs. SW-engineering activity diagrams)? For network diagrams, it's like in normal language usage: A follows B, so A is the ...
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  • 1,767
3 votes

Cost management without time tracking in Scrum

If you need to track costs, track it at the Scrum Team level rather than at the individual level. A simple way to do this is to take a blended cost per person and multiply it by the number of people ...
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3 votes

Under what circumstances should a software vendor be allowed to increase charges due to unforeseen complexity?

TL;DR Contract disputes are a way to manage financial risk to the company, not schedule risk. As a purely practical matter, you can't really transfer schedule risk away through contractual means, no ...
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  • 47.4k
3 votes

What can I do when I can't adjust scope, resources, or schedule and a team member wants a raise?

Let's simplify your question down. Feature A is expected to cost $X to deliver and in reality costs $1.2X to deliver. This can be because of a raise, inflation, change in needs, or a ton of other ...
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  • 16.7k
3 votes

Pricing risks when developing a project's budget

You need to calculate risk exposure for each of the identified risks then compute a work buffer to cover them. This is part of the Risk Analysis and Management practice. Since this is a fixed price ...
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  • 13.6k
3 votes

How to ask a developer for the cost of building my website?

David Espina expressed it very pragmatically in his comment "Can you provide me a quote for this work?" The fancy name for that is a Request For Proposal. That's a document that outlines the ...
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  • 13.6k
3 votes

Launching average mobile app on-time vs delayed launch with high-quality app

Launch the MVP, if it does the job Welcome to pm.stackexchange! You would have made many assumptions about what the users need and how they will use your product. These assumptions need to be ...
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3 votes

What if a client doesn't accept/agree with a change request?

If your operating model involves detailed scope and change management then ultimately that comes down to negotiation. As in any negotiation, you can win some things and lose others. If you think you ...
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  • 5,662
2 votes

How can I prove on paper that we need more resources for our team?

If you truly need resources, whether it is human, financial, space, tools, etc, you will experience capability degradation. That degradation will cause some unfavorable result such as quality, time, ...
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  • 36.6k
2 votes

How to manage cost of change / impact analysis with no funding?

Part of every project, no matter its size or complexity or industry, there is some level of effort--hours, dollars, people, tools, etc.--allocated for the pure purpose of managing the project. This ...
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  • 36.6k
2 votes
Accepted

Agile and increased costs

Agile approaches this from two perspectives: building trust between the team and management, and collaboration between the team and the vendor. I would bring the management to the team area for a ...
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  • 11.8k
2 votes

What are differences between Cost Plus Award Fee and Cost Plus Incentive Fee Contract?

FAR Definition of Incentive and Award Fees Scroll down to Section 16.4. These two types of fee structures are essentially the same thing except for the criteria of the fee. The FAR differentiates ...
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  • 36.6k
2 votes

How do I calculate a project management fee on my design projects?

The cost of managing a project is typically a range of the total cost of the project and is very industry dependent. For example, your industry may suggest that PM and PM control costs will be 15% ...
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