CIPS L6M5 Question Answer
KCJ Ltd is a public sector organisation planning five projects for the next financial year. Each project has a distinct cost estimation method and source of power for the project leader.
Your task is to match the correct cost estimation method and source of power to each project.
Project Descriptions
Project 1
Description: Budget estimation is calculated using an algorithm.
Project Lead’s Power: Founder of the organisation.
Project 2
Description: The Head of R&D (PhD in Data Science) is using costing from similar past projects to determine the budget.
Project Lead’s Power: Expertise in Data Science.
Project 3
Description: The project is led by a key stakeholder and involves creating a Bill of Materials. Costs are worked out item by item.
Project Lead’s Power: Authority due to stakeholder influence.
Project 4
Description: The Project Leader has calculated the base cost, most likely cost, and worst-case scenario.
Project Lead’s Power: Has the authority to cancel the project at any time.
Project 5
Description: The project leader is a well-liked Board Member who has selected a team he is comfortable with. He determined the budget based on his own research.
Project Lead’s Power: Personal relationships with team members.