Elementary statistical techniques used in cost estimating relationships (CER’s) development Cover Image

Tehnici statistice elementare folosite în estimarea costurilor
Elementary statistical techniques used in cost estimating relationships (CER’s) development

Author(s): Dragoş STUPARU, Vasile Constantin Tomiţă
Subject(s): Economy
Published by: Editura Eurostampa
Keywords: parametric cost estimating; regression analysis; curve fitting; curvilinear regression

Summary/Abstract: The Cost Estimating Relationship (CER) is a mathematical expression which describes, for predicative purposes, the cost of an item or activity as a function of one or more independent variables. The methodology can provide accurate and supportable contractor estimates, lower cost proposal processes, and more cost-effective estimating systems. The contractor community uses parametric cost models, especially during product concept definition. These estimates are used for decision making regarding bid strategies and are used as submittals to the government. It is only at the production and full scale development phase that parametrics are not commonly utilized for official proposal submissions (although contractors still frequently use parametrics to generate target costs estimates).

  • Issue Year: XV/2009
  • Issue No: 15
  • Page Range: 392-399
  • Page Count: 8
  • Language: English
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