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Original Post Date: Wednesday, September 25, 2013 During a recent Analysis of Alternatives (“AoA”) consulting project, our customer asked that we provide more insight into TruePlanning’s System and Assembly objects, which in our AoA context we termed Systems Engineering/ Program Management (SE/PM) and Alternative Integration/ Test, respectively. The customer’s challenge was understanding our parametric model’s treatment of principally hardware-COTS objects, combined with other cost, purchased service and training objects.Our Chief Scientist, Arlene Minkiewicz, provided us with insights that I’d like to share with you, as well as my views on how we at PRICE systems have consistently used these parent ...
Original Post Date: Wednesday, September 25, 2013 Every day we use tools like TruePlanning to build up detailed parametric cost estimates.  We could spend weeks collecting data and design information, and weeks honing details on risks and uncertainties.  When we finally get to reasonable point estimate, or even a distribution of probable estimates, there are always more questions.  Of course the range of queries depends on the purpose of the estimate, and who your consumer is.  If you are preparing an estimate for a competitive proposal, a company executive may be your consumer.  They may want to know, “What is the ...
Original Post Date: Wednesday, September 25, 2013 After we spend time building up a point estimate, a cost estimator always has to do some additional work to break the estimate down into terms their estimate consumer will understand, or to perform different comparisons for various analyses.  Sometimes, you need to map the estimate into a Standard Work Breakdown Structure or Cost Element Structure.  Sometimes you want to compare to a bottom-up or grass-roots estimate.  Or, if you are planning budgets or manpower out into the future, you need details.  We have to speak a lot of languages in order to ...
Original Post Date: Wednesday, September 25, 2013 I’ve recently had a number of users ask, “How do I model life cycle costs for a missile that just sits on a shelf?”  I had never actually tried to model this, but of course I know it’s possible.  So I turned to some of my fellow PRICE experts, and found that of course this is not the first time anyone has ever tried to model this kind of thing… Many ordnance weapons such as mortar shells, torpedoes, bombs, missiles and various projectiles are stockpiled until they are actually needed. These weapons ...
Original Post Date: Tuesday, December 18, 2012 One of the biggest challenges estimators face is defending their estimates.  You may trust in your estimate, but how do you get others on board who might be unfamiliar with parametric estimating?  Showing comparisons of your project to similar completed projects is one of the best methods of defending your choice of inputs and your final results.  It’s also a method that nearly everyone understands.  Unfortunately, relevant, high quality data to compare with isn’t always available. There are 2 important trends related to this problem.  First, high quality data is being protected more so than ...
Original Post Date: Thursday, September 27, 201 I am frequently questioned by clients and prospects about the applicability of PRICE’s parametric software estimation model to agile software development projects.  There are several ways one could respond to this.  My first thought is that if a shop is truly agile, they don’t need an estimation tool.  They know their development team velocity because agile teams are committed to measurement.  They also either know when they need to make a delivery – in which case whatever amount of software they’ve build by that point will be released.  Alternatively they may know ...
Original Post Date: Thursday, September 27, 2012 I am frequently questioned by clients and prospects about the applicability of PRICE’s parametric software estimation model to agile software development projects.  There are several ways one could respond to this.  My first thought is that if a shop is truly agile, they don’t need an estimation tool.  They know their development team velocity because agile teams are committed to measurement.  They also either know when they need to make a delivery – in which case whatever amount of software they’ve build by that point will be released.  Alternatively they may know a ...
Original Post Date: Wednesday, May 18, 2011  Parametrics is more than estimating. It represents the complete process of capturing and utilizing (often with calibration) non-cost drivers, as well as associated programattics and configuration levels. The Wiki definition of systems engineering immediately speaks to project complexity, life cycle management, and logistics. Any question that parametrics and systems engineering are interrelated?  In many of our customer organizations, affordability and cost-benefit analyses have migrated to system engineering functions. How and where does your organization perform these analyses?  As we enhance our capabilities and applications, it’s beneficial for all concerned to understand your adaptation of parametrics within the core ...
Original Post Date: Tuesday, March 29, 2011 “I think we have an obligation to work with industry to ensure that our suppliers do not just remain world class in defence, but aspire to be world-class manufactures that can withstand comparison to other industries.” Chief of Defence Procurement, Sir Robert Walmsley Is this a practical proposition or is it a pipe dream?  The following excerpt from Dale Shermon’s Systems Cost Engineering attempts to make the case that this type of comparison is possible. Many of the statements in proposals and marketing literature stating the superiority of a company are anecdotal or at best qualitative ...
Original Post Date: Wednesday, March 16, 2011 In Parametrics is Free, I acknowledged receiving (too late) “you should’ve known to ask that” over the years. Quality control after-the-fact is fine; but it’s better and cheaper to take a systematic approach to quality assurance as part of your estimating process. The sheer volume of what we model can often keep us so close to the details that we are unable to step back and put on our QA hat on for a sanity check. Enter Quality! On a very large project, our team has introduced a few regular cross-checks, notwithstanding typical math check-sums.   A round table peer ...