tags: #publish
links: [[Estimation Techniques]]
created: 2021-07-28 Wed
---
# Three-point estimation
https://en.wikipedia.org/wiki/Three-point_estimation
https://www.projectmanagement.com/contentPages/wiki.cfm?ID=368763&thisPageURL=/wikis/368763/3-Points-Estimating#_=_
Useful when you have limited information, to obtain an idea of the likely probability distribution of the actual cost.
Make three best-effort guesses based on prior experience:
- **a**: *best-case* optimistic estimate
- **m**: *most likely* estimate
- **b**: *worst-case* pessimistic estimate
Then combine them to produce an actual "expected" estimate, **E**:
## Variants
### Crude
Estimate the three things then intuitively pick a final estimate. The process of thinking about best and worst cases helps broaden thinking.
### Beta / PERT / Probabilistic
See [[PERT]]
More weight is given to the **most likely** estimate, giving a normal distribution shape:
`E = (a + 4m + b) / 6`
`SD = (b − a) / 6`
One can combine these task estimates to estimate overall project and likelihood of variance - see the Wikipedia page.
### Triangular / symmetric
`E = (a + m + b) / 3`