Cost estimating of the project
It is estimated price of resources used to perform the tasks which are planned for the project. Valuation is determined by the course of the process. First, to launch it, we conduct a preliminary assessment of the cost and within the implementation we get more specific assessments which are relevant to each particular moment.
The outsourcing groups will provide assistance at any stage of achieving the goals. Skilled assistance will save you from the processes that are beyond the competence of your business. If the case will be undertaken by the outsourcing, the appraisement of the project will take place without your direct involvement, that provides certain benefits:
- budget savings;
- saving time for solving strategic tasks;
- professionally performed work;
- a preservation of compact staff;
- start of the process without any special preparation.
To carry out the necessary calculations, you need to determine the cost of all resources used.
Methods of valuation the projects
There is more than one available method of value estimating. Each of them gives the required accuracy that is appropriate for you and is consistent with the financial capacity for implementing the evaluation itself.
- A top-down approach is used in the initial stages of the project with the minimum amount of information that gives a generalized picture and does not require large expenditures of time and effort.
- The method of “bottom – up” is an assessment of costs at the split levels of the project, it arrives at an agreed basic price with the exact results under the condition of fine details of calculations.
- The Method “by analogy” – the data of failures of similar projects which are used.
- The parametric cost assessment of the project means defining the main parameter (or several), changes of which will entail a change in the total project cost.
The proposed methods are applied both for calculating the value of indicators as a whole and for phased components.
Value appraisement of project operations
To calculate the cost of the project, it is important to know the price of all investments, the time spent on work and its value. Among the costly items there are such things:
- equipment and accessories;
- employees’ work (staff);
- consumables (stationery, electricity, etc.);
- transport costs, transportation;
- training programs and seminars.
Complexity, duration, internship and travel payments, direct and overhead costs are also taken into consideration.
Attracting the outsourcing companies to this issue of, you can rely on the professional and efficient execution of the job. MoveUp specialists will provide services for the assessment of the project capital cost (of the expected future income), will make outsourcing evaluation of the net present cost of the project (the required amount of invested funds for profit) and many other operations that will play an important role in business development.