Point Estimation Method Type

The point estimation technique is a simple estimation technique where a single value is used to sample data for the calculation of the estimation parameter. In contrast to an interval estimation, the confidence in the estimate is not reflected in a point estimate.

The point estimate requires a single value to be estimated. The Estimate should anticipate the most probable outcome. We recommended that estimators do not include any additional safety reserves or buffers in the estimate. Any buffers should be defined separately since they will decrease estimation accuracy by introducing an unknown bias since buffers will usually not be handled consistently between different estimators.