Question

DONT ANSWER THESE SAME QUESTIONS. I WANT NEW ANSWERS WITH AT LEAST 1000 WORDS EACH QUESTION. I WILL REPORT IF THEY ARE NOT UPTO THE MARK AND COPIED.

1. Contrast the disadvantages of top-down budgeting and bottom-up budgeting.

The main disadvantages of top-down budgeting are that:

• Significant errors may be made for low-level tasks,
• A lower level of budget acceptance is likely due to limited participation, and
• It provides little training opportunities in budgeting for junior managers.

The main disadvantage of bottom-up budgeting is the risk of overlooking some important, and possibly expensive, tasks.

2. What is the logic in charging administrative costs based on total time to project completion?

Charging administrative costs based on total project completion time is based on the assumption that administrative costs increase in proportion to the length of the project. In other words, longer projects are expected to require more administrative resources than shorter projects, which may or may not be true for individual projects.

3. Would you expect a task in a manufacturing plant that uses lots of complex equipment to have a learning curve closer to 70 percent or 95 percent?

The learning rate corresponds to the new amount of time or cost when the output doubles, relative to the previous amount of time or cost. Therefore, a lower learning rate actually translates into a faster rate of learning. Generally speaking, people have the ability to learn while machines do not.  

Thus, if we assume by complex we mean automated, then the plant would have a slower learning rate of perhaps 95 percent. On the other hand, if by complex it is assumed that workers need a great deal of skill to operate the equipment, then a faster learning rate of 70 percent would be expected.

1. Are there other kinds of changes in a project in addition to the three basic types described in Section 4.4? Might a change be the result of two types at the same time?

The three basic causes of changes listed in Section 4.4 are:

• Errors made by the cost estimator with regard to how to achieve the tasks identified in the project plan.
• Increased knowledge by either the team or the client as to the nature of the performance goals.
• The passage of a new law, standard, or policy.

            These three causes would appear to capture the vast majority of change in projects.

            As the question hints, however, two or more of these causes may occur at the same time. For example, new knowledge of a competitor’s new product may change the performance goal of a project and also require a change in how the tasks are achieved.

Answer 1

1. Contrast the disadvantages of top-down budgeting and bottom-up budgeting.

The main disadvantages of top-down budgeting are that:

• Significant errors may be made for low-level tasks,
• A lower level of budget acceptance is likely due to limited participation, and
• It provides little training opportunities in budgeting for junior managers.

The main disadvantage of bottom-up budgeting is the risk of overlooking some important, and possibly expensive, tasks.

1. What is the logic in charging administrative costs based on total time to project completion?

Charging administrative costs based on total project completion time is based on the assumption that administrative costs increase in proportion to the length of the project. In other words, longer projects are expected to require more administrative resources than shorter projects, which may or may not be true for individual projects.

1. Would you expect a task in a manufacturing plant that uses lots of complex equipment to have a learning curve closer to 70 percent or 95 percent?

The learning rate corresponds to the new amount of time or cost when the output doubles, relative to the previous amount of time or cost. Therefore, a lower learning rate actually translates into a faster rate of learning. Generally speaking, people have the ability to learn while machines do not.  

Thus, if we assume by complex we mean automated, then the plant would have a slower learning rate of perhaps 95 percent. On the other hand, if by complex it is assumed that workers need a great deal of skill to operate the equipment, then a faster learning rate of 70 percent would be expected.

1. Are there other kinds of changes in a project in addition to the three basic types described in Section 4.4? Might a change be the result of two types at the same time?

The three basic causes of changes listed in Section 4.4 are:

• Errors made by the cost estimator with regard to how to achieve the tasks identified in the project plan.
• Increased knowledge by either the team or the client as to the nature of the performance goals.
• The passage of a new law, standard, or policy.

            These three causes would appear to capture the vast majority of change in projects.

            As the question hints, however, two or more of these causes may occur at the same time. For example, new knowledge of a competitor’s new product may change the performance goal of a project and also require a change in how the tasks are achieved.