scholarly journals Improving competitiveness through the application of cost estimation models

2021 ◽  
Author(s):  
◽  
Prianca Naicker
Keyword(s):  
Life Cycle ◽  
Cost Estimation ◽  
Estimation Model ◽  
Project Life Cycle ◽  
Parametric Cost Estimation ◽  
Cost Estimation Model ◽  
Project Life ◽  
Estimation Models ◽  
Cost Estimation Models

Optimal costing decisions are required in order to ensure that organisations are globally competitive. The case study company is a global affiliate based in Durban, KwaZulu-Natal, South Africa and is involved in the manufacture and assembly of automobiles and automotive components. It was noticed that cost estimation models were only introduced at an advanced stage in the project life cycle. The concept of cost estimation and its application to improve various factors of a business has been investigated previously and existing evidence could be utilised to support further study in the field. Therefore, the aim of the study was to improve the quality of sourcing decisions by means of the introduction of a parametric cost estimation model and business process re-engineering. A case study approach was adopted. The first objective was to develop an overview of the current sourcing processes and understand the factors which influenced sourcing decisions. The methods used included the generation of a Standard Operating Procedure (SOP) for the current sourcing process, an online survey and interviews. It was concluded that there was a need to develop a detailed SOP which identified and included all impacted departments. The second objective was to redesign the sourcing process. It was concluded that the current sourcing processes did not take cost estimates into account at the early stages of the project life cycle and the inability to accurately predict costs consequently negatively impacted the cost competitiveness of the organisation. The third objective was to develop and implement a parametric cost estimation model. The model was created using Microsoft Excel. The results revealed that the Parametric Cost Estimation Model (PCEM) needed to focus on small injection moulded components as they were the highest contributor to the high Cost Index Manufacturing (CIM), which made the organisation globally uncompetitive. The results revealed that with the introduction of the PCEM and the revised sourcing process, the selected component was competitively priced.Recommendations were made for continuous process improvement and a roadmap for the further introduction of cost estimation models. Further research could also be conducted to develop an optimal cost estimation model based on analogous costing techniques or to develop a comprehensive database for other complex commodities.

Application of Parametric Cost Estimation Model to Telecommunication Networks

2011 ◽  
pp. 150-167
Author(s):  
Swadesh Kumar Samanta ◽  
John Woods ◽  
Mohammed Ghanbari
Keyword(s):  
Cost Estimation ◽  
Research Effort ◽  
Real Data ◽  
Telecommunication Networks ◽  
Estimation Model ◽  
Parametric Cost Estimation ◽  
Cost Estimation Model ◽  
Two Parameters ◽  
The Cost ◽  
Telecom Network

The parametric cost estimation approach has proved to be an efficient method for analyzing complex systems such as spacecraft, missiles, ships, buildings, etc where cost varies according to a number of parameters. The cost to provision a telecom network also depends on a number of parameters; but little research effort has been applied to estimate cost using this approach. In estimating the cost of a telecom network, most published research has considered two parameters; distance and bandwidth of a link and ignored the effects of other parameters. We have modelled the cost based on distance, bandwidth, geographical terrain and technology simultaneously using a parametric cost estimation methodology applied to real data obtained from the Indian Telecom Company, BSNL. Using the model, we show how a cost optimized network can be designed given the real world constraints. The applicability of our model to determine revenue sharing mechanism for an international call is also demonstrated. [Article copies are available for purchase from InfoSci-on-Demand.com]

A quality-based cost estimation model for the product line life cycle

2006 ◽  
Vol 49 (12) ◽  
pp. 85-88 ◽  
Author(s):  
Hoh Peter In ◽  
Jongmoon Baik ◽  
Sangsoo Kim ◽  
Ye Yang ◽  
Barry Boehm
Keyword(s):  
Life Cycle ◽  
Cost Estimation ◽  
Product Line ◽  
Estimation Model ◽  
Line Life ◽  
Cost Estimation Model

Review on Methodology for Life Cycle Costing of Membrane System for Wastewater Filtration

2013 ◽  
Vol 845 ◽  
pp. 713-719
Author(s):  
Nur Syamimi Jiran ◽  
Salwa Mahmood ◽  
Muhamad Zameri Mat Saman ◽  
Mohd Yusof Noordin
Keyword(s):  
Life Cycle ◽  
Cost Estimation ◽  
Membrane System ◽  
Research Direction ◽  
Life Cycle Costing ◽  
Estimation Model ◽  
Wastewater Filtration ◽  
Innovative Solution ◽  
Manufacturing Assembly ◽  
Cost Estimation Model

In competitive environment, manufacturers have to come out with innovative solution to market their product including by implementing life cycle engineering concept. Life cycle costing (LCC) is one of the aspects that need to be considered when adapting this concept. In addition, costing is one of the important aspects that need to consider carefully. In order to perform LCC analysis, one of the important steps is estimating costs. Cost estimation model should not only consider pre production and production cost design, manufacturing, assembly but also post production customer use and end of life. Development of cost estimation model or methodology is needed to simplify the LCC analysis so that it able to produce result in short time and more accurate. This paper has review on LCC, cost estimation techniques and several developed cost estimation model in order to determine research gap and research direction on developing a methodology to assessing LCC of membrane system for wastewater filtration.

scholarly journals Environmental Impact Assessment of Transportation Infrastructure in the Life Cycle: Case Study of a Fast Track Transportation Project in China

Energies ◽  
2019 ◽  
Vol 12 (6) ◽  
pp. 1015 ◽  
Author(s):  
Hui Li ◽  
Quanxue Deng ◽  
Jingxiao Zhang ◽  
Ayokunle Olubunmi Olanipekun ◽  
Sainan Lyu
Keyword(s):  
Life Cycle ◽  
Environmental Impact ◽  
Fast Track ◽  
Transportation Infrastructure ◽  
Project Life Cycle ◽  
Infrastructure Project ◽  
Environmental Emissions ◽  
Materials Used ◽  
Project Life

The transportation sector generates enormous amount of environmental emission. This study aims to assess the environmental impact of the environmental emissions in a transportation infrastructure project life cycle. Using the fast track transportation project in China as a case study, the materials used and the energy consumed over the life cycle were converted into environmental emissions. The life cycle of fast track transportation project was divided into three phases including construction, maintenance and repair, and demolition phases. Both qualitative and quantitative method were applied to explore the environmental impact of transportation project. The life cycle assessment (LCA) method was used for the development environmental impact assessment (EIA) model to analyze the contribution of each process in the transportation project life cycle. The empirical results show that the construction phase has the highest environmental impact (62.7%) in the fast track transportation project life cycle, followed by the demolition (35.8%) and maintenance phases (1.7%). Among the materials used in the fast track transportation project, steel has the highest proportion of environmental impact in the construction phase (55.5%). This indicates the enormous environmental impact of the construction phase in fast track transportation project life cycle results from the use of steel material. This study contributes to reducing environmental emissions by revealing the greatest phase of environmental impact and material-source of environmental impact over the life cycle in a transportation infrastructure project.

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