Beta Distribution
(Note: This subject is often included in the PMP exam questions.)
You are the project manager for the Sweep Time software project. You have decided to use the beta distribution, or 3-point estimation, technique for this project. For the “phase 1 test” activity in days, the following estimates are available: O=5, P=10, M=6.
Address the following:
- Explain beta distribution, when it is used, and the benefits and shortcomings of the technique.
- What is the result of this estimate in the example?
- How does a skew from the mean/median figure relate to planning a project? That is, if your beta is 7.5 and your M=6, how do these relate?
Submission:
- Write a full 4-page paper addressing beta distribution. The length does not include the required title and references pages, and the appendix in which you show your calculations.
- Support your paper with a minimum of 3-4 current scholarly sources Library, in addition to any course textbooks or lecture material. Note that for this assignment, current sources are those published in the past five years. Format APA.
Chapters 3 & 5 in Mastering Risk and Procurement
Part I, Sections 11.3 & 11.4 in PMBOK Guide
Part I, Chapter 8 in PMBOK Guide
Allen, M., Carpenter, C., Hutchins, M., & Jones, G. (2015). Impact of risk management on project cost: An industry comparison. Journal of Information Technology and Economic Development, 6(2), 1-19.
Botezatu, M. A. (2016, Summer). Insight into project risk management. Journal of Information Systems & Operations Management, 1-14.
Allen, M., Carpenter, C., Hutchins, M., & Jones, G. (2015). Impact of risk management on project cost: An industry comparison. Journal of Information Technology and Economic Development, 6(2), 1-19.
Botezatu, M. A. (2016, Summer). Insight into project risk management. Journal of Information Systems & Operations Management, 1-14.
Project Management Institute. (2017). A guide to the project management body of knowledge (PMBOK Guide) (6th ed.). Newtown Square, PA: Project Management.
Wijnia, Y. (2016, January). Processing risk in asset management [Thesis]. Retrieved from https://www.researchgate.net/publication/309007678_Processing_Risk_In_Asset_Management
Wilson, R. (2015). Mastering risk and procurement in project management: A guide to planning, controlling, and resolving unexpected problems (1st ed.). Upper Saddle River, NJ: Pearson.
