Reserve Analysis For Projects: Facts To Note



Please note that inaccurate time estimates will affect the schedule and may frustrate to e team involved in meeting the schedule. By minimising potential adjustments to the schedule, you and other stakeholders will not have to work overtime and you can preserve your reputation as a project manager.


Reserve analysis is the process of identifying and adding extra time that will serve as contingency or management reserves to the duration estimates.

Contingency reserved serves as buffets in recognition of scheduled risks or setbacks.


Management reserves are buffers added to the project tasks for unplanned changes to project scope and cost.


As the project progresses, reserves analysis is used to determine if the remaining or planned buffer is adequate for project completion.



Reserve analysis can run the risk of inflating cost revenue.


Typical example…

A cellphone manufacturing company contracted a vendor to integrate a new telecommunication technology within their current system. The project manager , Bob , has been assigned to manage this new project.



He creates a schedule to complete the project within one month. Bob anticipates that if the technical integration aspects are unavailable, the project will need to be extended for one more month.


Therefore, he specifies this is the project management plan and retains a contingency reserved of one month.



Some managers, upon reviewing the project management plan, advised Bob to add two more weeks as management reserve to the project in order to accommodate the risks that may occur due to unknowns-unknowns.



Action Point
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I know you might agree with some of the points that I have raised in this article. You might not agree with some of the issues raised. Let me know your views about the topic discussed. We will appreciate it if you can drop your comment. Thanks in anticipation.


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