1592. The Avant-Garde of Cost Modeling


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T Carlson: 1592. The Avant-Garde of Cost Modeling. 1984.



Cost modeling and analysis
*background – the 70’s estimating system
*primary system-bottom-up – grass roots
*slow-time consuming-nonflexible in a highly competitive environment
*cost evaluation difficult-how high is high? How low is low?
*no cost model as yardstick for comparison
*bottom-up estimate difficult to support without extensive costing data bases
Cost’ modeling and analysis organization
Primary effort
*develop extensive technical/cost/schedule coordinated database
* established analogy methods for ‘should cost’ activity to support our ‘grass roots’ methods for detailed costing
*recognized parametric analysis for cost estimation as a sizing tool for advanced studies and acquisition proposal activity
*methods to be reconciled-bottom-up – top-down throughout management review process


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