Definition
In the top-down method, the total effort of a project is estimated on the basis of empirical values. The individual budgets for sub-projects and work packages are derived from this accordingly, so that the set goals are distributed from the top down, i.e. top-down, to the lower organisational hierarchies.
Advantages of the Top-Down Method
- Planning is carried out globally, eliminating time-consuming and cost-intensive tasks
- Detailed planning takes place in the sub-projects and can be refined
Disadvantages of the Top-Down Method
- Management sometimes has little insight into individual departments
- Unrealistic target specifications