Managing risk - ranges vs. single values

The trap of precision

In the previous lesson, we chose our unit (Hours vs. Man-days). Now, we must decide how to present the numbers.

Most agencies default to a Single value (e.g., “100 hours”). This feels precise, but in software development, it is often a trap. If the task takes 110 hours, you lose profit. If it takes 90, the client might feel overcharged.

In this lesson, we will explore why Ranges (Min/Max) are the professional standard for handling uncertainty and how to configure the final details of your project setup.

What you’ll learn

• The risk: Why “happy path” estimates kill margins.
• The solution: How to use Min/Max to build a safety buffer.
• The strategy: When to use ranges vs. when to use single values.
• Project details: Naming conventions, color coding, and team assignment.

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Why single values are dangerous

When you estimate a feature at exactly 10 hours, you are essentially making a promise that nothing will go wrong. You are assuming the “Happy Path”—that APIs will work, documentation is correct, and no bugs will appear.

Reality is rarely that simple. Software engineering is unpredictable. By giving a single number for complex tasks, you absorb 100% of the risk. If anything goes wrong, that extra time eats directly into your agency’s margin.

The solution: min/max ranges

devtimate allows you to estimate in Ranges. Instead of one number, you provide two. This isn’t guessing; it is professional risk management.

1. Minimum (The Happy Path): This is the optimistic scenario. If the library works perfectly, the code is clean, and there are no blockers, it will take this long.
2. Maximum (The Safety Net): This accounts for reality. It covers edge cases, debugging, and unexpected complexity.

Example: Instead of guessing “12 hours”, you estimate “8 – 16 hours”.

• 8h: Standard implementation.
• 16h: Buffer for handling potential edge cases or legacy code issues.

This creates a transparent safety buffer. You are not “padding” the estimate secretly; you are honestly communicating the complexity to the client.

When to use single values?

Ranges are powerful, but not always necessary. You should stick to Single values when:

• Micro-tasks: Estimating “Changing button color” as “0.5h - 1.5h” looks indecisive. Just say “1h”.
• Retainers & maintenance: When you work on a flat monthly fee or pre-paid buckets of hours.
• Highly predictable work: If you have done the exact same integration 50 times and you know exactly how long it takes.

Rule of thumb: Use Ranges for development and unknowns. Use Single Values for maintenance and routine tasks.

Setting it up in devtimate

You configure this globally for the project setup.

1. Time mode: Select Range or Single based on the logic above.
2. Workbench view: If you choose Range, you will see two input columns (Min/Max). The system automatically calculates totals for you.

Other essential settings

Before you create the project, there are a few more details to configure to keep your workspace organized:

• Project name: Be specific. Instead of “Mobile App,” use “Client Name - Mobile App - MVP”. Clear naming helps you search and scan the dashboard later.
• Project color: You can assign a color dot to the project. Use this to visually categorize work (e.g., Red for internal projects, Blue for retail clients, Green for enterprise).
• Team access: You can decide who from your team sees this specific project.
  • Default: Only you see it with admins in the workspace.
  • Specific: Only selected members (e.g., if you are working on a confidential draft).
• Templates: You will see an option to “Template”. We will cover this in depth in the Workbench module, but know that this is where you can load a pre-made structure (e.g., E-commerce SaaS) to save hours of setup time.

Pro tips

“Don’t give broad ranges blindly” If your range looks like “10h – 100h”, stop immediately. A gap this huge scares clients because it implies you don’t understand the project scope. Instead of guessing, treat this as a red flag that signals you need to sell a Discovery Workshop first. Use the workshop to clarify the details, and then provide a narrower, safer estimate.

Key takeaways:

• Complex tasks = ranges: Build a visible buffer for unforeseen issues.
• Simple tasks = single values: Don’t complicate routine work.
• Naming matters: Use clear naming conventions to keep your dashboard scannable.

FAQ: Why not just add a 20% buffer?

You might ask: “Can’t I just estimate a single number and add a hidden 20% safety margin?”

You can, but it is risky for two reasons:

1. It makes you expensive: If you pad everything, your total price might be too high to win the deal.
2. It hides the truth: A flat buffer assumes risk is evenly distributed. In reality, “Login” might have 0% risk, while “Payment integration” has 50% risk. Ranges allow you to put the buffer exactly where the complexity is, keeping the rest of the quote competitive.

Next steps

Congratulations! You have completed the Project Essentials module. You have a clean dashboard, a clear strategy for time units, and a risk management plan.

Now it is time to do the real work. In the next module, The Workbench, we will enter the heart of devtimate. We will start by learning how to manually build a perfect estimate structure using groups and tasks.