1 OOM Cost Estimating

2 Budgetary Cost Estimating

3 Profit Model
4 RAM Example
5 Stochastic Duration Estimating
6 Stochastic Cost Estimating
7 KTA Decision Making Model
8 Benefit-Cost Table
9 Critical Path Crashing Tool
10 Risk Analysis - WRF Method
11 Zone Tracking Method
12 Earned Value Tracking Method
13 Project Control Staff Size Calculations
14 Time-Value of Money Example
15 BOE Form
 OOM Cost Calculator
Note: Shaded areas are calculated automatically after unshaded areas are filled in.

Estimated Direct Labor Hours = 0 hours

Composite Burdened Labor Rate = $0 per hour

Target Profit = 0%

With Profit Without Profit

Estimated Direct Cost $0 $0

Target Profit $0

Estimated Total Price $0 $0

OOM Minimum Price $0 $0

OOM Maximum Price $0 $0

 the model should be updated to reflect your company's actual labor rates for each forecasted year. These are usually obtained from your financial department.

The model can be easily expanded to fit actual user needs and ultimately provides a "budgetary cost estimate range" based on the standards recommended by the American Association
of Cost Engineers.

Note: Shaded areas are calculated automatically after unshaded areas are filled in.
1Q06 2Q06 3Q06 4Q06 1Q06 2Q06 3Q06 4Q06 TOTAL
WBS Level 2 Labor Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct DIRECT
Activity Labor Category ID Code People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost COST
Activity Project Manager 100 0.33 $9,438 0.33 $9,438 0.33 $9,438 0.33 $9,438 0.33 $9,816 0.33 $9,816 0.00 $0 0.00 $0 $57,383
"A" Sr. Systems Engineer 110 0.33 $7,722 0.33 $7,722 0.33 $7,722 0.33 $7,722 0.33 $8,031 0.33 $8,031 0.00 $0 0.00 $0 $46,950
Systems Engineer 112 0.50 $11,180 0.70 $15,652 0.80 $17,888 0.80 $17,888 0.50 $11,627 0.30 $6,976 0.00 $0 0.00 $0 $81,212
Sr. Design Engineer 120 0.50 $11,700 2.00 $46,800 2.00 $46,800 2.00 $46,800 0.50 $12,168 0.40 $9,734 0.00 $0 0.00 $0 $174,002
Software Engineer 122 0.25 $5,720 0.75 $17,160 1.00 $22,880 1.00 $22,880 0.25 $5,949 0.50 $11,898 0.00 $0 0.00 $0 $86,486
Quality Control 124 0.33 $5,834 0.33 $5,834 0.50 $8,840 0.50 $8,840 0.33 $6,068 1.00 $18,387 0.00 $0 0.00 $0 $53,804
Design Engineer 125 2.00 $44,200 2.00 $44,200 3.00 $66,300 2.00 $44,200 1.00 $22,984 1.00 $22,984 0.00 $0 0.00 $0 $244,868
Associate Design Engineer 127 2.00 $36,400 3.00 $54,600 3.00 $54,600 3.00 $54,600 2.00 $37,856 1.00 $18,928 0.00 $0 0.00 $0 $256,984
Sr. Test Engineer 130 0.00 $0 0.00 $0 1.00 $23,920 1.00 $23,920 1.00 $24,877 3.00 $74,630 0.00 $0 0.00 $0 $147,347
Test Engineer 135 0.00 $0 0.00 $0 2.00 $45,760 2.00 $45,760 4.00 $95,181 5.00 $118,976 0.00 $0 0.00 $0 $305,677
Project Coordinator 140 0.33 $6,349 1.20 $23,088 1.50 $28,860 1.50 $28,860 1.00 $20,010 0.70 $14,007 0.00 $0 0.00 $0 $121,174
Configuration Management 142 0.33 $6,349 0.70 $13,468 1.00 $19,240 1.00 $19,240 0.50 $10,005 0.70 $14,007 0.00 $0 0.00 $0 $82,309
Business Manager 150 0.33 $6,521 0.50 $9,880 1.00 $19,760 1.00 $19,760 0.50 $10,275 0.50 $10,275 0.00 $0 0.00 $0 $76,471
Activity "A" Subtotal 7.23 $151,414 11.84 $247,842 17.46 $372,008 16.46 $349,908 12.24 $274,845 14.76 $338,649 0.00 $0 0.00 $0 $1,734,666

1Q06 2Q06 3Q06 4Q06 1Q06 2Q06 3Q06 4Q06 TOTAL

WBS Level 2 Labor Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct DIRECT
Activity Labor Category ID Code People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost COST
Activity Project Manager 100 0.33 $9,438 0.33 $9,438 0.33 $9,438 0.33 $9,438 0.33 $9,816 0.33 $9,816 0.00 $0 0.00 $0 $57,383
"B" Sr. Systems Engineer 110 0.33 $7,722 0.33 $7,722 0.33 $7,722 0.33 $7,722 0.33 $8,031 0.33 $8,031 0.00 $0 0.00 $0 $46,950
Systems Engineer 112 0.50 $11,180 0.70 $15,652 0.80 $17,888 0.80 $17,888 0.50 $11,627 0.30 $6,976 0.00 $0 0.00 $0 $81,212
Sr. Design Engineer 120 0.50 $11,700 2.00 $46,800 2.00 $46,800 2.00 $46,800 0.50 $12,168 0.40 $9,734 0.00 $0 0.00 $0 $174,002
Software Engineer 122 0.25 $5,720 0.75 $17,160 1.00 $22,880 1.00 $22,880 0.25 $5,949 0.50 $11,898 0.00 $0 0.00 $0 $86,486
Quality Control 124 0.33 $5,834 0.33 $5,834 0.50 $8,840 0.50 $8,840 0.33 $6,068 1.00 $18,387 0.00 $0 0.00 $0 $53,804
Design Engineer 125 2.00 $44,200 1.00 $22,100 3.00 $66,300 3.00 $66,300 2.00 $45,968 1.00 $22,984 0.00 $0 0.00 $0 $267,852
Associate Design Engineer 127 2.00 $36,400 2.00 $36,400 3.00 $54,600 3.00 $54,600 2.00 $37,856 1.00 $18,928 0.00 $0 0.00 $0 $238,784
Sr. Test Engineer 130 0.00 $0 0.00 $0 1.00 $23,920 1.00 $23,920 1.00 $24,877 3.00 $74,630 0.00 $0 0.00 $0 $147,347
Test Engineer 135 0.00 $0 0.00 $0 2.00 $45,760 2.00 $45,760 4.00 $95,181 5.00 $118,976 0.00 $0 0.00 $0 $305,677
Project Coordinator 140 0.33 $6,349 0.33 $6,349 0.33 $6,349 0.33 $6,349 0.33 $6,603 0.33 $6,603 0.00 $0 0.00 $0 $38,603
Configuration Management 142 0.33 $6,349 0.33 $6,349 0.33 $6,349 0.33 $6,349 0.33 $6,603 0.33 $6,603 0.00 $0 0.00 $0 $38,603
Business Manager 150 0.33 $6,521 0.33 $6,521 0.33 $6,521 0.33 $6,521 0.33 $6,782 0.33 $6,782 0.00 $0 0.00 $0 $39,646
Activity "B" Subtotal 7.23 $151,414 8.43 $180,326 14.95 $323,367 14.95 $323,367 12.23 $277,528 13.85 $320,348 0.00 $0 0.00 $0 $1,576,350

1Q06 2Q06 3Q06 4Q06 1Q06 2Q06 3Q06 4Q06 TOTAL

WBS Level 2 Labor Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct Equivalent Direct DIRECT
Activity Labor Category ID Code People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost People Rq'd Cost COST
Activity Project Manager 100 1.00 $28,600 1.00 $28,600 1.00 $28,600 1.00 $28,600 1.00 $29,744 1.00 $29,744 0.00 $0 0.00 $0 $173,888
"C" Sr. Systems Engineer 110 1.00 $23,400 1.00 $23,400 1.00 $23,400 1.00 $23,400 1.00 $24,336 1.00 $24,336 0.00 $0 0.00 $0 $142,272
Systems Engineer 112 0.50 $11,180 0.70 $15,652 0.80 $17,888 0.80 $17,888 0.50 $11,627 0.30 $6,976 0.00 $0 0.00 $0 $81,212
Sr. Design Engineer 120 0.50 $11,700 2.00 $46,800 2.00 $46,800 2.00 $46,800 0.50 $12,168 0.40 $9,734 0.00 $0 0.00 $0 $174,002
Software Engineer 122 0.25 $5,720 0.75 $17,160 1.00 $22,880 1.00 $22,880 0.25 $5,949 0.50 $11,898 0.00 $0 0.00 $0 $86,486
Quality Control 124 0.20 $3,536 0.33 $5,834 0.50 $8,840 0.50 $8,840 0.33 $6,068 1.00 $18,387 0.00 $0 0.00 $0 $51,505
Design Engineer 125 1.00 $22,100 2.00 $44,200 3.00 $66,300 3.00 $66,300 1.00 $22,984 0.50 $11,492 0.00 $0 0.00 $0 $233,376
Associate Design Engineer 127 2.00 $36,400 2.00 $36,400 3.00 $54,600 3.00 $54,600 2.00 $37,856 1.00 $18,928 0.00 $0 0.00 $0 $238,784
Sr. Test Engineer 130 1.00 $23,920 0.00 $0 1.00 $23,920 1.00 $23,920 1.00 $24,877 3.00 $74,630 0.00 $0 0.00 $0 $171,267
Test Engineer 135 0.00 $0 0.00 $0 2.00 $45,760 2.00 $45,760 2.00 $47,590 5.00 $118,976 0.00 $0 0.00 $0 $258,086
Project Coordinator 140 0.33 $6,349 0.33 $6,349 0.33 $6,349 0.33 $6,349 0.33 $6,603 0.33 $6,603 0.00 $0 0.00 $0 $38,603
Configuration Management 142 0.33 $6,349 0.33 $6,349 0.33 $6,349 0.33 $6,349 0.33 $6,603 0.33 $6,603 0.00 $0 0.00 $0 $38,603
Business Manager 150 0.33 $6,521 0.33 $6,521 0.33 $6,521 0.33 $6,521 0.33 $6,782 0.33 $6,782 0.00 $0 0.00 $0 $39,646
Activity "C" Subtotal 8.44 $185,775 10.77 $237,266 16.29 $358,207 16.29 $358,207 10.57 $243,187 14.69 $345,090 0.00 $0 0.00 $0 $1,727,732

PROJECT TOTAL 22.90 $488,602 31.04 $665,434 48.70 $1,053,582 47.70 $1,031,482 35.04 $795,560 43.30 $1,004,087 0.00 $0 0.00 $0 ### $5,038,748

Budgetary Minimum $4,282,936

Budgetary Maximum (NTE) $6,550,372

LABOR FORWARD PRICING DIRECT LABOR RATES

ID CODE TITLE 2005 2006 2007

100 Project Manager $55.00 $57.20 $59.49

110 Sr. Systems Engineer $45.00 $46.80 $48.67
112 Systems Engineer $43.00 $44.72 $46.51
120 Sr. Design Engineer $45.00 $46.80 $48.67
122 Software Engineer $44.00 $45.76 $47.59
124 Quality Control $34.00 $35.36 $36.77
125 Design Engineer $42.50 $44.20 $45.97
127 Associate Design Engineer $35.00 $36.40 $37.86
130 Sr. Test Engineer $46.00 $47.84 $49.75
135 Test Engineer $44.00 $45.76 $47.59
140 Project Coordinator $37.00 $38.48 $40.02
142 Configuration Management $37.00 $38.48 $40.02
150 Business Manager $38.00 $39.52 $41.10

Projected Annual Rate Increase= 4.00%

 Profit Model
Fill in white cells only. All others will
be calculated automatically. YEAR
Assumptions 1 2 3 4 5 6 7 8 TOTAL

MARKETING FORECAST

Average sales price per unit 10% per year $4,400 $3,960 $3,564 $3,208 $2,887 $2,598

Market size (units) 10,000 20,000 40,000 70,000 40,000 30,000

Market share 65% 50% 40% 25% 15% 10%

Unit sales 6,500 10,000 16,000 17,500 6,000 3,000

TOTAL PROJECTED SALES $28,600,000 $39,600,000 $57,024,000 $56,133,000 $17,321,040 $7,794,468 $206,472,508

PRODUCT COSTS 1 2 3 4 5 6 7 8 TOTAL

Project Costs
Product Conception $300,000 $300,000

Project Planning & Staffing $757,000 $757,000

Product Design $720,000 $720,000

Product Modeling $135,000 $135,000

Manufacture First Unit $350,000 $350,000

Test & Verification $250,000 $250,000

Total Product Development Costs $1,912,000 $600,000 $0 $0 $0 $0 $0 $0 $2,512,000

Product Support Costs 1 2 3 4 5 6 7 8 TOTAL

Cost per unit (production) 5.0% per year $2,000 $1,900 $1,805 $1,715 $1,629 $1,548 $10,596

Total production cost $13,000,000 $19,000,000 $28,880,000 $30,008,125 $9,774,075 $4,642,686 $105,304,886

Maintenance Costs $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 $600,000

General & Administrative Expense 1.0% of sales $286,000 $396,000 $570,240 $561,330 $173,210 $77,945 $2,064,725

Overhead Expense 5.0% of sales $1,430,000 $1,980,000 $2,851,200 $2,806,650 $866,052 $389,723 $10,323,625

Marketing expenses 2.0% of total sales $572,000 $792,000 $1,140,480 $1,122,660 $346,421 $155,889 $4,129,450
Total Product Support Costs $15,388,000 $22,268,000 $33,541,920 $34,598,765 $11,259,758 $5,366,243 $122,422,686

TOTAL PRODUCT COSTS $1,912,000 $600,000 $15,388,000 $22,268,000 $33,541,920 $34,598,765 $11,259,758 $5,366,243 $124,934,686

PROFITABILITY FORECAST 1 2 3 4 5 6 7 8 TOTAL

Profit before tax (PBT) -$1,912,000 -$600,000 $13,212,000 $17,332,000 $23,482,080 $21,534,235 $6,061,282 $2,428,225 $81,537,822

Return on investment (%) 85.9% 77.8% 70.0% 62.2% 53.8% 45.2%

Cumulative PBT (Cash Flow) -$1,912,000 -$2,512,000 $10,700,000 $28,032,000 $51,514,080 $73,048,315 $79,109,597 $81,537,822

Total Product Costs $124,934,686

Total Product Sales $206,472,508
Benefit/Cost Ratio 1.65
Total PBT $81,537,822
Return on Investment 65.3%
Return on Sales 39.5%
 KEPNER-TREGOE ANALYSIS
Fill in unshaded cells only. Replace
numbers & text with your own.

MUSTS Product A Go/No Go Product B Go/No Go Product C Go/No Go

Achieve an ROI of at least 30% 30% Go 40% Go 35% Go

Weighted Weighted Weighted

WANTS Weight Info Score Info Score Info Score
Score Score Score

Meets customer needs 25 5 125 4 100 4 100

Favorable time-to-market (schedule) 10 5 50 4 40 3 30

Minimal project cost 5 5 25 3 15 4 20

Product can be easily modeled 5 4 20 5 25 3 15

Minimal technology risks 15 0 0 3 45 5 75

Predicted return-on-investment (ROI) 25 1 25 5 125 3 75

Forecasted product reliability 10 3 30 5 50 3 30

Producibility (can me made easily) 5 5 25 3 15 4 20

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

TOTAL 100 Weighted Score 300 Weighted Score 415 Weighted Score 365

Risk Factor -35 -45 -8

Adjusted Score 265 Adjusted Score 370 Adjusted Score 357

 Responsibility Allocation Matrix
1 = Primary responsibility 2 = Must be consulted 3 = May be consulted 4 = Has approval authority

Project Systems Proj. Controls Project Team Manuf. Marketing Subcontract Design Configuration

PROJECT RESPONSIBILITIES Manager Engineer Leader Coordinator Leaders Manager Specialists Manager Engineers Manager

Define overall project goals 1,4 2 2 3 3 2 2 3 3

Oversee the development of a project plan 1,4 2 2 3 3 2 2 3 3

Develop a Work Breakdown Structure (WBS) 2,4 2 1 3 3 2 2 3 3

Establish top-level project requirements 1,4 2 2 3 3 2 2 3 3

Establish hardware specifications 2,4 2,4 2,4 2,4 3 1,4

Establish software specifications 2,4 2,4 2,4 2,4 3 1,4

Develop the project organization breakdown structure (OBS) 1,4 2 2 3 3 3 3

Define overall project workscope 1,4 2 2 3 3 3 3 3 3

Develop the project responsibility allocation matrix (RAM) 1,4 2 2 3 3 3 3 3 3

Identify major project technical risks & develop mitigation plans 2,4 1,4 3 3 2 2 2 2 3

Identify major project business risks & develop mitigation plans 2,4 3 1,4 3 3 2 2 2 3

Conduct make-or-buy decision process 1,4 2 2 3 3 3 2 3

Develop a project tracking system 1,4 2 2 3 3 3 3 3

Identify major project milestones 1,4 2 2 3 3 3 3 3

Develop a project reporting requirements 1,4 2 2 3 3 3 3 3

Conduct regular project status reviews 2,4 2 2 1 2 2 2 2 2

Prepare project budgets 2,4 2 1,4 2 2 2 2 2 2

Develop the detailed project schedule 2,4 2 2 1 2 2 2 2 2

Conduct designated product design reviews 2,4 1,4 3 3 2 2 2 2 2

Customer point-of-contact 1 2 2

Develop a project change-control system 2,4 2 1,4 2 2 2 2 2 2

Chair the change-control board 1,4 2 2

Identify and track all project baseline changes 2 2 3 2 1

Coordinate change-control board activities 2 1

Manage subcontractors 2,4 2 2 1 3

Develop a subcontract management plan 4 3 4 3 1 3

Prepare a manufacturing plan 2,4 2,4 3 3 1,4 3

Develop a team plan 4 3 3 3 1 2

Develop a team RAM 1

Provide regular team status 2 2 1 2

Identify and monitor customer needs 2,4 2,4 2,4 3 3 3 1,4 3 3

 Stochastic Duration Estimating Model
Fill in the white cells--all other cells are automatically calculated. Insert a start date below.
Activity Optimistic Most Likely Pessimistic Expected Time Variance Start Date = 1-Jan-2006
End Date End Date
No. (o) (m) (p) Te  2
Probability Duration (7 (5
d/wk) d/wk)
1 0 0 0 0.00 0.00 10% 0 01-Jan-06 01-Jan-06

2 0 0 0 0.00 0.00 15% 0 01-Jan-06 01-Jan-06

3 0 0 0 0.00 0.00 20% 0 01-Jan-06 01-Jan-06

4 0 0 0 0.00 0.00 25% 0 01-Jan-06 01-Jan-06

5 0 0 0 0.00 0.00 30% 0 01-Jan-06 01-Jan-06

6 0 0 0 0.00 0.00 35% 0 01-Jan-06 01-Jan-06

7 0 0 0 0.00 0.00 40% 0 01-Jan-06 01-Jan-06

8 0 0 0 0.00 0.00 45% 0 01-Jan-06 01-Jan-06

9 0 0 0 0.00 0.00 50% 0 01-Jan-06 01-Jan-06

10 0 0 0 0.00 0.00 55% 0 01-Jan-06 01-Jan-06

11 0 0 0 0.00 0.00 60% 0 01-Jan-06 01-Jan-06

12 0 0 0 0.00 0.00 65% 0 01-Jan-06 01-Jan-06

13 0 0 0 0.00 0.00 70% 0 01-Jan-06 01-Jan-06

14 0 0 0 0.00 0.00 75% 0 01-Jan-06 01-Jan-06

15 0 0 0 0.00 0.00 80% 0 01-Jan-06 01-Jan-06

16 0 0 0 0.00 0.00 85% 0 01-Jan-06 01-Jan-06

17 0 0 0 0.00 0.00 90% 0 01-Jan-06 01-Jan-06

TOTAL 0.00 0.00 95% 0 01-Jan-06 01-Jan-06

 Future Value Calculator Present Value Calculator
Present Future Value Future Value Present Value
Value (PV) i n (FV) (FV) i n (PV)
$6,210 0.1 4 $9,092 $0 0 0 $0

$11,300 0.1 3 $15,040 $0 0 0 $0

$15,380 0.1 2 $18,610 $0 0 0 $0

$18,680 0.1 1 $20,548 $0 0 0 $0

$21,186 0.1 0 $21,186 $0 0 0 $0

$0 0 0 $0 $0 0 0 $0

$0 0 0 $0 $0 0 0 $0

$0 0 0 $0 $0 0 0 $0

$0 0 0 $0 $0 0 0 $0

$0 0 0 $0 $0 0 0 $0

$0 0 0 $0 $0 0 0 $0

$0 0 0 $0 $0 0 0 $0

$72,756 $84,476 $0
 Stochastic Cost Estimating Model
Fill in the white cells

Fill in the white cells--all other cells are automatically calculated.

Activity Optimistic Most Likely Pessimistic Expected Cost Variance

No. (o) (m) (p) Ce  2
Probability Project Cost
1 $0 $0 $0 $0 $0 10% $0

2 $0 $0 $0 $0 $0 15% $0

3 $0 $0 $0 $0 $0 20% $0

4 $0 $0 $0 $0 $0 25% $0

5 $0 $0 $0 $0 $0 30% $0

6 $0 $0 $0 $0 $0 35% $0

7 $0 $0 $0 $0 $0 40% $0

8 $0 $0 $0 $0 $0 45% $0

9 $0 $0 $0 $0 $0 50% $0

10 $0 $0 $0 $0 $0 55% $0

11 $0 $0 $0 $0 $0 60% $0

12 $0 $0 $0 $0 $0 65% $0

13 $0 $0 $0 $0 $0 70% $0

14 $0 $0 $0 $0 $0 75% $0

15 $0 $0 $0 $0 $0 80% $0

16 $0 $0 $0 $0 $0 85% $0

17 $0 $0 $0 $0 $0 90% $0

TOTAL $0 $0 95% $0
 Basis of Estimate
No. Direct Labor Hours Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

1 0

2 0

3 0

4 0

5 0

6 0

Total Direct Labor Hours 0 0 0 0 0 0 0 0 0 0 0 0 0

Total Direct Labor Costs $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

No. Direct Material/Other Costs Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

1 $0

2 $0

3 $0

4 $0

5 $0

6 $0

Total Direct Material/Other Costs 0 0 0 0 0 0 0 0 0 0 0 0 0

No. Total Costs Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

1 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

2 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

3 $0

Total Cost 0 0 0 0 0 0 0 0 0 0 0 0 0

Basis Of Estimate Calculations (Direct Labor)

1
2
3
4
5
6
 Benefit/Cost Table
Commercial Product Project Example

Market Size 150,000

"Weights" can be established from any of the following methods:
Estimated Market Share 10.00% a) Market surveys
Unit Sales Price $300 b) AHP pair-wise comparisons
Projected Sales ($K) $4,500 c) Conjoint analysis
Total Project Cost ($K) $970 d) Customer inputs
Production Cost $1,875 e) Delphi sessions with customer-knowledgable experts.
Overhead/G&A $45
The method used should relate "weights" to identified customer needs, or
requirements.
The Benefit/Cost (B/C) ratio is equal to the "weight" times the total
Total Profit Before Taxes ($K) $1,610 benefit (total profit before taxes) divided by the cost of the project
element.
Project B/C Ratio 1.66

WBS Level WBS Element Cost ($K) % of TPC Weight B/C Ratio Commments

1 SYSTEM $970 100.0% 1.00 1.66

2 Segment 1.0 $270 27.8% 0.45 2.68
3 Subsystem 1.1 $125 12.9% 0.20 2.58
4 Module 1.1.1 $75 7.7% 0.10 2.15
4 Module 1.1.2 $50 5.2% 0.10 3.22
3 Subsystem 1.2 $95 9.8% 0.15 2.54
4 Module 1.2.1 $40 4.1% 0.05 2.01
4 Module 1.2.2 $55 5.7% 0.10 2.93
3 Subsystem 1.3 $50 5.2% 0.10 3.22
4 Module 1.3.1 $30 3.1% 0.06 3.22
4 Module 1.3.2 $20 2.1% 0.04 3.22

2 Segment 2.0 $220 22.7% 0.30 2.20

3 Subsystem 2.1 $75 7.7% 0.05 1.07
4 Module 2.1.1 $40 4.1% 0.03 1.21
4 Module 2.1.2 $35 3.6% 0.02 0.92 The cost for this element outweighs the benefit
3 Subsystem 2.2 $95 9.8% 0.08 1.36
4 Module 2.2.1 $65 6.7% 0.05 1.24
4 Module 2.2.2 $30 3.1% 0.03 1.61
3 Subsystem 2.3 $50 5.2% 0.04 1.29
4 Module 2.3.1 $15 1.5% 0.03 3.22
4 Module 2.3.2 $35 3.6% 0.01 0.46 The cost for this element outweighs the benefit

2 Segment 3.0 $340 35.1% 0.10 0.47 The cost for this element outweighs the benefit
3 Subsystem 3.1 $120 12.4% 0.01 0.13 The cost for this element outweighs the benefit
Module 3.1.1 $70 7.2% 0.01 0.12 The cost for this element outweighs the benefit
Module 3.1.2 $50 5.2% 0.01 0.16 The cost for this element outweighs the benefit
3 Subsystem 3.2 $100 10.3% 0.07 1.13
Module 3.2.1 $60 6.2% 0.03 0.81 The cost for this element outweighs the benefit
Module 3.2.2. $40 4.1% 0.04 1.61
3 Subsystem 3.3 $120 12.4% 0.02 0.27 The cost for this element outweighs the benefit
Module 3.3.1 $80 8.2% 0.01 0.20 The cost for this element outweighs the benefit
Module 3.3.2 $40 4.1% 0.01 0.40 The cost for this element outweighs the benefit

2 Project Management $140 14.4% 0.15 1.73

3 Project Coordination $30 3.1% 0.02 1.07
3 Configuration Mgt. $40 4.1% 0.04 1.61
3 Systems Engineering $70 7.2% 0.09 2.07
 Project Critical-Path Crashing Table
Sort table on "crash ratio" after the "Crash Project" values are inserted.
Fill In whire cells only NORMAL PROJECT CRASHED PROJECT CRASH CALCULATIONS

Activity Allowable Project Cumulative

No. Description Time Cost Time Cost Crash Crash Ratio Duration Project Cost

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 #DIV/0! 0 #DIV/0!

0 $0 0 $0
 Weighted Risk Factor Analysis
Triple Constraint Aspect Technical Schedule Cost Total

Priority Weight 0.00 0.00 0.00 0.00

Fill in white cells only Technical Schedule Cost TOTAL

No. Risk Description P C WRF P C WRF P C WRF WRF

1 0 0 0.00 0 0 0.00 0 0 0.00 0.00

2 0 0 0.00 0 0 0.00 0 0 0.00 0.00

3 0 0 0.00 0 0 0.00 0 0 0.00 0.00

4 0 0 0.00 0 0 0.00 0 0 0.00 0.00

5 0 0 0.00 0 0 0.00 0 0 0.00 0.00

6 0 0 0.00 0 0 0.00 0 0 0.00 0.00

7 0 0 0.00 0 0 0.00 0 0 0.00 0.00

8 0 0 0.00 0 0 0.00 0 0 0.00 0.00

9 0 0 0.00 0 0 0.00 0 0 0.00 0.00

10 0 0 0.00 0 0 0.00 0 0 0.00 0.00

 45%
Project Tracking -- Zone Method
Fill in white cells only.
Week No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Schedule Events-
Planned

Schedule Events-Actual

Variance 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Schedule Variance (%) #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!

Labor Hours-Planned

Labor Hours-Actual

Variance 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Cost Variance (%) #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!

Project Tracking
Schedule Variance (%) Cost Variance (%)
30%
Variance

20%

10%

0%
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16

-10%

-20%
 Project Tracking -- Earned Value Method
Fill in white cells only.
Week No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16

Planned Value (PV)-Cumulative $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Actual Cost (AC)-Cumulative $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Earned Value (EV)-Cumulative $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

SPI #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!

CPI #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!

If font size is too small on the graph below increase its size for better viewing.

1.30 $1

$1
Planned Value (PV)-Cumulative
1.20
SPI CPI
$1 Actual Cost (AC)-Cumulative

Earned Value (EV)-Cumulative

$1
1.10

Value
$1

$1
1.00

$0

0.90 $0

$0

0.80
$0

$0
0.70 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Week No.

Fill in white cells only.

Estimate at Completion Analysis

Week No. EAC= #VALUE!

Total EV= $0 TCPIEAC= #VALUE!

Total AC= $0 TCPIBAC= #VALUE!

Estimate to Complete (ETC)= VAC= #VALUE!

Budget at Completion (BAC)= VAC (%)= #VALUE!

 DETERMINING THE SIZE OF THE PROJECT CONTROL STAFF

For projects over $2 Million: INSTRUCTIONS

1. Fill in the "Estimated Total Project
Estimated Total Project Cost = $5,000,000
Cost" (Cell H7).
Estimated annual labor rate ($/year) for "controls" personnel = $45,000 2. Fill in the "Estimated annual labor
rate" (Cell H8).
Estimated project duration (years) = 2.5 3. Fill in the "Estimated project
duration" (Cell H9).
Note: For projects with an "estimated
For projects under $2 Million: total project cost" less than $2 Million,
use the input cells located below Table
Estimated Total Project Cost (<$2M) = $1,400,000 1.

Estimated annual labor rate ($/year) for "controls" personnel = $45,000 Table 1 will calculate the size of the
project control staff needed for the
TABLE 1 - Estimated project duration (years) = 2.5 project.
PROJECT
CONTROL
STAFF

Budget for Controls Staff Number of Equivalent People Hours per Week

Minimum Maximum Minimum Maximum Minimum Maximum

Projects Over $2 Million $50,000 $80,000 1.11 1.78 44 71

Rule of Thumb Method $40,000 $80,000 0.89 1.78 36 71

Projects Under $2 Million $22,400 $44,800 0.50 1.00 20 40

Source: George E. Heywood and Thomas J. Allen, "Project Controls: How Much is Enough," PM Network, November 1996.