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Project Management/MS Project 2010 question.

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David,

Thank you for your assistance.  I think I'm still a bit stuck on where to go.  I have set price for a project that will only impact resources.  Where does this figure go when starting a project?  I have it set as "fixed cost", is this correct? Or, should this be set somewhere else?  Where would I see the burn rate of the project?

For example.  
My project budget is 200k.  
I have 2 analyst and their hr rate is 200hr.
project runs from 9/30/13 to 1/17/2014

Again, thank you for all your help!

Regards,

Andy

Answer
I don't have latest MSP on my machine. On the detail window for each task you can set Fixed-Units, Fixed-Work, or Fixed-Duration. Should also be able to check Effort-driven y/n.

Fixed-Cost is correct, based on what you've described. Meaning that each task has a set number of dollars (and hours, because you have fixed all resource costs as equal).

This means if you modified the number of resources assigned to a task, the task's duration would change.

The burn rate is the total dollars spent per week (or per month). If you have fixed number of two analysts and their hourly rate is $200/hour then you burn rate is Number of Hours Charged per week x $200. That's all.

If the analysts are always working 40 hr/wk then your burn rate is fixed.

I think you have a newer version of MSP than I. But you should be able to see the burn rate on the Resource Usage View.

--dave

Project Management

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J. David Blaine, PMP

Expertise

Please, no homework questions: it is unfair to your classmates. Can answer questions about: Initiating, Planning, Controlling, Measuring projects. Managing scope, time, cost, quality of projects. Risk management, managing project teams. Developing and using metrics.

Particular expertise in:
Software Engineering (real-time, embedded, general),
Systems Engineering,
Requirements Engineering
Cannot answer questions about:
Specific industries or technologies.

Experience

32 total years of experience in aerospace and telecommunications. Seven years experience teaching project management.

Organizations
Project Management Institute; IEEE; ACM; American Society for Quality

Publications
PMI's PMBOK(r) Guide Third Edition.
Proceedings SEPG 2000 Conference.
Journal of Systems and Software.

Education/Credentials
BS Mathematics, magna cum laude
MA Mathematics
MS Electrical and Computer Engineering
ASQ Certified Software Quality Engineer (CSQE)
PMI Project Management Professional (PMP)

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