How do you estimate using three-point estimating methods?

It is the best technique to develop estimates for your project. There are three steps:

  • Identify the positive and negative risks involved in the project
  • Then make three estimates — Best Guess (BG), Pessimistic (P), and Optimistic (O) estimates
  • The final step is to calculate the mean and standard deviation using the formulas: (O+4BG+p)/6 and P – O/6 respectively.