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(EST-2148) Type of Estimate and Project Characteristics

Primary Author: Kul B. Uppal, PE CEP DRMP FAACE Hon. Life
Audience Focus: Basic
Application Type: Practice
Venue: 2016 AACE International Annual Meeting, Toronto, ON, Canada

Abstract: Estimating is the key to successfully completing any project from conceptual stage through detailed design and start-up. This paper will help explore various characteristics that can be used to categorize project cost estimate types. This paper provides insight into certain procedures being followed at the owner and contracting companies to establish a class of rating based on deliverables and the level of project definition. In general, “cost estimating is the predictive process used to quantify, cost and price the resources required by the scope of an investment option, activity or project. Cost estimating is a process used to predict uncertain future costs”. Overall the “goal of cost estimating is to minimize the uncertainty of the estimate given the level and quality of scope definition”.