Pricing out any new project for a project manager requires experience. The thirteen steps below help PMs with project estimating and control their recourses. Review the steps and honestly discuss those steps you would have left out if you did not read this section.

Step 1: Provide a complete definition of the work requirements. Step 2: Establish a logic network with checkpoints. Step 3: Develop the work breakdown structure. Step 4: Price out the work breakdown structure. Step 5: Review WBS costs with each functional manager. Step 6: Decide on the basic course of action. Step 7: Establish reasonable costs for each WBS element. Step 8: Review the base case costs with upper-level management. Step 9: Negotiate with functional managers for qualified personnel. Step 10: Develop the linear responsibility chart. Step 11: Develop the final detailed schedules. Step 12: Establish pricing cost summary reports. Step 13: Document the result in a project plan.