|
This is a simple on-line model for estimating the cost
required to do a cost estimate for Deep Space Network
(DSN) projects that range from $0.1 to $100 million. The
cost of the cost estimate in thousands of dollars, CE, is
found to be approximately given by CE = K*CP^ 0.35 where
CP is the cost of the project being estimated in millions
of dollars and K is a constant depending on the accuracy
of the estimate. For an order-of-magnitude estimate, K =
24; for a budget estimate, K = 60; and for a definitive
estimate, K = 115. That is, for a specific project, the
cost of doing a budget estimate is about 2.5 times as
much as that for an order-of-magnitude estimate, and a
definitive estimate costs about twice as much as a budget
estimate. Use of this model should help provide the level
of resources required for doing cost estimates and, as a
result, provide insights towards more accurate estimates
with less potential for cost overruns.
Source: "A model for the cost of doing a cost
estimate", Remer, D. S. and Buchanan, H. R., Aug.
1992, JPL, RTOP 314-40-31-30-03
Note. These models are provided as educational examples of
technology developed and used by cost engineers. Use at your own risk. These tools are
written in JavaScript and require a browser with JavaScript capability. If you have
trouble viewing or using these tools, please consult the frequently
asked questions.
More Cost Models:
|
|
