Project managers are generally concerned with both time and money, but all too often these things are treated separately. Integrating the two is generally mandated for government contracts and is especially important when modeling uncertainty. This is because the time takes and the cost incurred do not vary independently. Hence the need for integrated Cost and Schedule Risk Analysis.
Full Monte integrates cost and schedule using the resource-loaded schedule you already have in Microsoft Project. Full Monte’s Cost and Schedule Risk Analysis uses the very same project network, but substitutes a probability distribution for the single-point estimate of duration for each task.
The resource assignment levels are assumed to be constant, so that the variable part of the resource cost varies with the duration while any fixed or “per use” cost remains constant. Costs can also vary due to escalation. Being late may cause the resource cost to be higher due to escalation.
It is also possible that choices made during the project may affect the cost. For example, subcontracting an item may be faster but also more expensive, and the decision on whether to subcontract or not may depend upon the time available. This can be modeled in Full Monte using a feature known as branching.
Full Monte simulates the execution of the project thousands of times, each time taking different samples from the duration distributions and applying the logic necessary to determine the path taken through the network and the resulting cost. Unlike some other systems Full Monte accumulates the cost as well as dates for every task in the schedule, presenting results in the form of histograms and s-curves.
Full Monte delivers truly integrated Cost and Schedule Risk Analysis, so your project plans are more realistic and therefore more likely to be achieved. Please Call Today at 281-971-9825.
