reestimate

Reestimate refers to the act of calculating a new estimate for a quantity, value, or outcome that was previously estimated, typically after additional information, changed conditions, or revised assumptions become available. The term appears in various disciplines, including statistics, finance, project management, insurance, and software development, where it denotes a systematic update rather than a casual guess.

In statistical analysis, reestimation may involve recomputing parameters of a model using an expanded data set or after correcting errors in earlier measurements. The new estimate is expected to be more accurate or reflect the current state of knowledge. In finance and actuarial science, reestimates are common when revising risk assessments, premium calculations, or the valuation of assets after market fluctuations or regulatory changes.

Project management practices often require a reestimate of time, cost, or resources when scope changes, unforeseen obstacles arise, or progress deviates from the original plan. Methodologies such as Agile encourage frequent reestimation through techniques like planning poker or velocity tracking, allowing teams to maintain realistic schedules and budgets.

In software testing, a reestimate may be performed after a preliminary test phase reveals the actual effort needed to fix defects or implement features. Similarly, insurance underwriting may involve a reestimate of liability or loss exposure following new claims data.

The reestimation process generally follows these steps: review the original assumptions, gather updated data, select an appropriate estimation method, compute the new value, and compare it with the prior estimate to assess the impact of the change. This disciplined approach helps organizations adapt decisions and resource allocations to evolving circumstances.