Homework Handout: Cost Estimation
1. Estimate the cost of a new punch press that our project requires. We bought a
similar press in 1980 at a cost of $862,000. The cost index in 1980 was 659.6.
Assume the 2002 index is 946.2.
Cn = Ck(In/
P.1) By definition, critical tasks are those tasks that if delayed will delay the
completion of the entire project. Therefore, these tasks should be managed more
closely than non-critical tasks.
In cases where the activity times
P.2) The reason for inviting the functional managers to the project launch meeting is
that it is important to get their buy-in and support for the project and understanding
the load on their subordinates. The functional managers
ISE 4490 HW2
P.3) Projectitis occurs when project team members form strong attachments to the
project and the project begins to take on a life of its own. In such situations, the
team members may:
Some key implications of projectitis includ
ISE 4490 HW1
P.3) Win-lose negotiation is like a zero-sum game. Anything one side wins is a loss
for the other side. In win-win negotiation, the outcome is such that both parties gain
something from the interchange. Win-lose negotiating is d
A project is a temporary endeavor undertaken to create a unique product, service, or result.
Major characteristics of a project:
An established objective.
A defined life span with a beginning and an end.
Usually, the involvement