Concept Phase - 2

• Purpose of estimates 1 & 2

  • Estimate #1 determines whether the project is viable

    • And possibly its ranking in a program portfolio
  • This estimate is often referred to as

    • "An Order of Magnitude"
  • Its range is typically -25% to +75%
  • Estimate #2 supports budget approval for the next phase

• PCM in this phase

  • Costs are collected as "expenses" and

    • Either saved for application against the project
    • Or, covered by operational funding

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