A guide to understanding the order of magnitude

Understanding the order of magnitude

• Estimating the order of magnitude is important in product management to prioritize problem-solving efforts.
• It involves guessing the potential impact of a project, rather than determining exact values.
• Estimating with the order of magnitude is faster, more accurate, and doesn't rely heavily on data availability.

Examples of the order of magnitude

• T-shirt sizing is a common method used to estimate the order of magnitude.
• Projects are grouped into impact and cost columns in a spreadsheet.
• It is more important to roughly categorize projects by impact level than assigning specific ranges.

Tips for using the order of magnitude with stakeholders

• Remind stakeholders of initial estimates during the planning phase, as their expectations may differ from yours.
• Familiarize yourself with your product's metrics and key drivers to improve estimation accuracy.
• Be conservative in your estimates and use common sense when predicting impact.

LogRocket helps identify friction points in the user experience, providing insights for meaningful actions to improve products.