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Estimating the Cost of eLearning Projects

VIEWS: 7 PAGES: 35

									TAAC 7 - 2002


             Estimating
             the Cost of
          eLearning Projects

 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   1
Session Agenda

        Introductions                        RFP‟s
        Quotefest®                           Assumptions
        Session Approach                     Estimation Types
        Process                              Estimation
        Roles                                 Techniques
        Milestones &                         Pitfalls
         Deliverables                         Q&A

 Estimating the Cost of eLearning Projects          http://www.marksteinerinc.com   2
Who Am I?

    BS Industrial Tech.                      Authorware 2.0, 1993
     „88                                      LearningSpace,
    MS Instructional                          Dreamweaver,
     Design „92                                Director
    10+ years eLearning
     & interactive media                      Presenter - eLearning
     dev. experience                           Confs. US & Europe
    Dozens of projects                       Started own eLearning
     from 2 min. to 33                         company in March
     hours in runtime                          2001

 Estimating the Cost of eLearning Projects           http://www.marksteinerinc.com   3
Who Are You?

    Corporate/Academic/Government
     mix
    Project Manager/ID/Developer mix
    Average size of projects
    What do you expect to learn?



 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   4
A Quote . . .


  All people who have turned out worth
   anything have had the chief hand in
   their education.
          –Sir Walter Scott




 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   5
Session Approach

  I usually dislike when people say: “Oh, it‟s
   an art.”
  Art vs. Science: I‟m going to attempt to
   identify as much of the science as I can.
  Science = Process: Remember the
   Scientific Method?
  I‟m a science / process person, therefore
   this session will have that sort of approach
  Ummm . . . There‟s still some art to it. ; )
 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   6
Process Possibilities

        The ADDIE model
        Rapid Prototyping
        A Hybrid Approach
        A variety of other approaches




 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   7
Roles

  Strategy                                   Technology
          eLearning Project                     Technical Architect
           Manager
                                                 Integration Specialist
          eLearning Strategist
  Content                                    Client
            Instructional Designer                Buyer
            eLearning Programmer                  Acceptor
            Instructional Developer               Project Manager
            Graphics                              Reviewer
            Media Specialist                      SME
            Training Administrator



 Estimating the Cost of eLearning Projects              http://www.marksteinerinc.com   8
Another Quote . . .


  The secret of getting ahead is getting
   started. The secret of getting started is
   breaking your complex overwhelming
   tasks into small manageable tasks, and
   then starting on the first one.
          –Mark Twain


 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   9
Milestones and Deliverables

        Needs Analysis
        Design Document
        Prototype
        Storyboards
        Scripts
        Alpha/Beta/Final
        Other Services
 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   10
M&D: Needs Analysis

  Duty/Task Analysis
  Audience Analysis
  Define Scope-Content, Technology,
   Media
  Instructional Strategy
  Infrastructure Strategy
  Training Administration

 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   11
M&D: Design Document

  Detailed Task Analysis                     Screen Types
  Standards Definition                       Interaction Types
  Curriculum Mapping                         Assessment Types
  Course Mapping                             End-User
  Audience Profile                            Hardware/Software
  Prerequisites                               Requirements
  Learning Objectives                        Activity Matrix (Lessons /
  Assessment Strategies                       Sections / Objectives down
  Content Outline (with                       the side, Screen /
   estimated run times)                        Interaction/ Assessment
  Instructional Approach                      Types across the top)
  Instructional Setting

 Estimating the Cost of eLearning Projects              http://www.marksteinerinc.com   12
M&D: Prototype

  A quick look at rapid prototyping
  Do you have the skills to prototype?
  Is your client prepared for a prototype
   process?                                                                  Dev.
                                          Imp.
  How many iterations?                   Eval
  What content to prototype?
  Be sure to identify review &                                 Des.
   validation points . . . and their outcomes.

 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com     13
M&D: Storyboards and
Scripts

  Storyboards:
          Potentially controversial, but:
           Everything that any team member needs
           to do perform their role relating to the
           project.
  Scripts
          Any voice over or video


 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   14
M&D: Application and
Services

  Alpha/Beta/Final
  Other Services
               Duplication
               Implementation
               Evaluation
               Knowledge Transfer


 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   15
Responding To RFP's

  Read the RFP very closely
  Quickly determine Go/No Go status
  Follow the RFP‟s prescribed process
  Do any colleagues have experience with
   the company and/or RFP‟s?
  Bidders meeting basics
  My opinion: Unless you‟re a large
   company and/or have an “In”, it's a hard
   way to go.
 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   16
A Quote . . .


  A fence makes good neighbors.
          –Anonymous - though the first time I
           heard it was from Joe Ganci.




 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   17
Another Quote . . .


  Problems that go away by themselves
   come back by themselves.
          –Marcy E. Davis




 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   18
Documenting Assumptions

  Define *everything* that                     Travel
   you can                                      Project file formats
  Client Participation                         Technical Specifications
  Central Point of Contact                     Duplication
  Review and validation                        Revisions
   parameters                                   Knowledge Transfer
  Delay penalties                              List and Define any other
  Runtime                                       Risks and Constraints




 Estimating the Cost of eLearning Projects              http://www.marksteinerinc.com   19
Estimation Types:
Time and Materials

  Usually an initial estimation of cost is
   given in a range (between $X and $Y)
  Risk is minimized for developer
  Client only pays for hours worked
  Profit built into rate structure
  My advice: If possible, always pitch
   analysis as initial step.

 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   20
Another Quote . . .


  Sometimes the road less traveled is
   less traveled for a reason.
          –Jerry Seinfeld




 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   21
Estimate Types:
Fixed Cost
  This method is not my personal preference.
  Key Point: Fixed cost does not mean the cost can never
   change. It means that the cost is fixed to a scope. If the
   scope changes, so should the cost.
  It also assumes the scope is definable, so then the cost can
   be fixed (linked) to the defined scope.
  Risk is built into price. Add 15 – 40%
  Why are there so many neon lights & fine hotels in Vegas?
  When, then?
          Client requirement
          Repeated, consistent, well-defined project(s)
          Sometimes Vegas pays out big buck$.

 Estimating the Cost of eLearning Projects            http://www.marksteinerinc.com   22
Another Quote . . .


  Whenever things sound easy, it turns
   out there‟s one part you didn‟t hear.
          –Donald E. Westlake


  Dig the well before you are thirsty.
          –Chinese proverb

 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   23
Estimation Techniques

  Estimating Via Key Categories
  Estimating Via Run Time and
   Screens
  Estimating Via Detailed Screen
   Information
  Filling in the Details


 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   24
Estimating Via Key
Categories

  Content/Research
  Technical Complexities
  Media Richness

                             Launch Calculator



 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   25
Estimating Via Run Time
and Screens

  What‟s an hour?
  30-50 Screens per hour
  Based on mix of interactivity/screen
   type
  10-30 seconds for text-only screen
  1-3 minutes for MC questions

 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   26
Estimating Via Detailed
Screen Information
  Occasionally, the detailed Design
   Document is already complete.
  Similar to Run Time, except for amount of
   info available. Analysis is finished-maybe.
  Less art, more science
  Build a matrix that contains all screen /
   interaction types. Assign a cost factor to
   each.
  Apply metrics to content to determine cost
 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   27
Filling in the Details

  A Spreadsheet via Roles
  A Spreadsheet via Process and Roles
  Using Microsoft Project




 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   28
Client Communication
Establishing Value
  Not to be a marketing weasel, but define
   and communicate your Value Proposition.
  But . . . find and use your own words.
  Leverage the situation so that it would be
   foolish and risky for the client *not* to
   heed your advice.
  If the former is not possible, perhaps it's
   not a project you should undertake.


 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   29
Another Quote . . .


  Smooth seas do not make skillful
   sailors.
          –African proverb




 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   30
Pitfalls List

      Unclear scope
      Scope creep
      Unclear client roles
      No single point of contact with client
      Ill-defined system specifications
      Hours allocated to a task not sufficiently
       dissected/broken down
   Lack of sufficient skill base to complete a project


 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   31
Unabashed Self Promotion


           I have examples of eLearning
           Calculators, Reusable Learning
           Objects, related links, and other
              information up on my site:
           http://www.marksteinerinc.com


 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   32
Our Final Quote . . .


  He who is afraid to ask is afraid of
   learning.
           – Danish proverb




 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   33
Hopefully, you found this
engaging and informative . . .



                   Questions &
                    Answers
 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   34
Thank you for your time!




                       THE END

 Estimating the Cost of eLearning Projects   http://www.marksteinerinc.com   35

								
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