Understanding How to Estimate Future Revenue and Costs

They are a 10 year old company having difficulties understanding how to estimate future revenue and costs. You are assigned as the PM, you have a business analyst and technical resource assigned to your team. The BA is brand new to the company and the technical resource is currently part of 4 project teams. The project has high visibility and importance to the CEO. He wants to do periodic check-ins and treat this like an Agile project.

Timeline: 6 months

Key Stakeholders: CEO, controller, consulting lead

What I want: A forecasting and budget tool that outlines both income and costs for 6 months by month.

Income Inputs

· Existing business by month

· New business/sales by Month

Cost Inputs

· Number of resources, two types: senior and junior

· Resource hiring and attrition

· Training expense

· Meals and entertainment

General Requirements

· Dashboard

· Dynamic – can change an input and everything changes

· Tied to company metrics

· Allows us to understand who we hire, type, comp level, what can we afford, and impact to budget

· What if one month is off

· What if/scenario planning

· Integrated with time tracking and financial systems

· Accounts for historical trends and seasonality

Assignment: Using the work in a WBS,