How do we estimate work we have never done before?

High-uncertainty estimation

Use discovery, analogies, and ranges rather than a precise-looking guess. Reduce the most important uncertainty before committing to detailed dates.

What to do now

  1. Find the nearest comparable work
  2. List major unknowns and assumptions
  3. Run a small technical or business experiment
  4. Update the range with what was learned
Recommended action flow for high-uncertainty estimation: Find the nearest comparable work then List major unknowns and assumptions then Run a small technical or business experiment then Update the range with what was learned. Escalate when a fixed commitment is requested while decisive unknowns remain unresolved.

When to escalate

Escalate when

A fixed commitment is requested while decisive unknowns remain unresolved.

Who decides

The project manager and relevant commitment owner

Example

A team tests one difficult data conversion before estimating migration of the remaining datasets.

Mistake to avoid

Presenting an unfamiliar task estimate as a guaranteed finish date.

Prevent a repeat

Compare forecast versus actual results for comparable tasks, separating effort, elapsed time, waiting and scope change.

Suggested ApprovedFlow setup

  • Tasks
  • Timesheets
  • Resources

Keep planned dates and assumptions with the affected task, compare recorded actuals, and attach the revised forecast for review. See the platform

Related cases

Practice references