Cost estimating methods and parametric applications
Dale Shermon
Delivering world-class Project Management to match our world-class science, engineering and technology.
I have delivered many presentations over my career and recently Project Controls Expo UK has recorded my presentations with them.
In 2020 this video was the third and gave me the opportunity to briefly discuss the three methods of estimating; analytical, analogous and parametric before studying parametric cost and schedule estimating in more depth.
It will consider the benefits of generating parametric estimates early in the project life cycle and other applications of parametric estimating when little information is available.
Parametric cost estimating models are flexible tools which bring engineering, scientific and mathematical rigour to cost and schedule estimating, but great tools alone will not keep programs affordable. Tools must be applied as part of a credible process; if the estimates and analyses are to be accepted.
Parametric estimating has been used around the world during the early stages of a project life cycle. It has been used to explore concept options, set early budgets and conduct independent cost estimates (ICE) with minimal information.
Have lunch, take a tea break and try to watch this video.
Try the links below to access my presentation for 30 minutes:
PCTV Link - https://projectcontrolstv.com/titles/354/cost-estimating-methods-and-parametric-applications
How good is your parametric cost estimating?
Project Manager at QinetiQ Security IDT| Prince2 Practitioner| Scrum Certified| MSc Project Management
1 年Dale Shermon great presentation! When might you think about using all three cost estimating techniques? Doing so would clearly intensify the bidding process. Is there a baseline budget for a project to warrant employing all three methods? Alternatively, is there affordable software that facilitates all three techniques?