Term Project InstructionsObjectiveTo apply probabilistic methods to estimate cost contingency and…

Written by

in

➤ How do I calculate the total project mean and variance from ten work packages?
Sum the expected costs of all ten WPs to get the project mean. If WPs are independent, add variances to obtain project variance. If dependencies exist, include covariance terms or correlation coefficients. You can also use Monte Carlo to combine distributions and compute total variance directly from simulated totals.

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *