We offer rapid cost estimating services for our customers utilizing cost estimating relationships derived from over 40 years of varied aircraft/aerospace manufacturing and engineering experience in both large and small business.
What is cost estimating?
Cost estimating is the projection of future product cost based on requirements, process and resources
Cost estimates are prepared for both internal and external purposes
External uses:
- Rough order of magnitude pricing (ROM)
- Budgetary planning
- Firm proposal to customer
- Not-to-exceed (NTE)
Internal uses:
- Supplier “should cost” and target generation
- Supplier proposal technical evaluation
- Negotiation support
- Make/Buy decisions
- Competitive assessments
- Design-to-cost (DTC)
- Trade study analysis
Purpose of the estimate dictates the estimating approach used
Typical estimating methodologies:
- Historical data
- Cost estimating relationship models (CER)
- Parametrics
- Cost modeling software
- Labor standards
- Level of effort (LOE)
- Expert opinion
Estimates can/should include assessment of economic order quantity and the effects of learning over time
Most complex estimates require a combination of estimating approaches
Contact us today for more information, or to find out what Affordable MANTECH Solutions can do for you.