Contingency or re-baselining, what’s the difference?

  • Post comments:4 Comments

I’ve seen a few projects where customers said they didn’t need contingency, because they decided to adjust the budget as changes happen.

How does this sound to you?

To me, this sounds pretty bad, because there is an important distinction between adjusting the budget based on change requests and consuming the contingency reserve.

(more…)

Continue Reading Contingency or re-baselining, what’s the difference?

Do you need contingency reserve?

  • Post comments:1 Comment

If projects were completely predictable, there would be no need for risk management. Everything could be planned and executed according to plan. However, we know better. Unexpected things happen, disrupt the original plans and cause time and cost overruns. In IT projects, these overruns are far too common to be ignored.

(more…)

Continue Reading Do you need contingency reserve?