A work breakdown structure specifically defines and illustrates the elements a project requires to accomplish. In this video, learn how to determine the appropriate number of required levels and differentiate among work, the deliverable, and the work package within a graphical approach.
- If you took a trip anywhere, … you probably did some type of work breakdown structure. … Now, let's say you want to go to Europe. … You'd have to decide where in Europe you'd want to go. … Like which country or even countries. … This would be the first breakdown. … Then, you need to decide how long … and what's your spending budget. … This would be the next level of detail, the next breakdown. … Finally, you break down all the fun stuff, … where you'll stay, sites to see, experiences to have. … You see where I'm going with this? … It's not a traditional work breakdown structure, … it's actually a vacation breakdown structure. … But still, we're breaking down a larger effort … into smaller components. … We do all of this work to make it easier to plan and budget, … and make it more predictable. … In costing, this is called … a work breakdown structure, or WBS. … It defines everything a project, … rather than the vacation, must accomplish, … organized into multiple levels and displayed graphically. …
- Describe the limitations in reaching 100 percent accuracy in cost estimates.
- Differentiate between nominal, ratio, and ordinal data.
- Relate the reason for credible cost estimates to a company’s business needs.
- Determine situations in which a business would use the top-down estimating approach.
- Examine the validity of data and data collection given a scenario.
- Explore the differences between cost, value, and performance.