COURSE # MGM-221
ENGINEERING MANAGEMENT: COST ESTIMATION, PLANNING, AND CONTROL OF PROJECTS
This course develops the skills needed to perform realistic cost estimates and use them effectively in economic analysis, budgeting, and managerial control.
There is an old saying that the man who relies on the seat of his pants to predict the future may soon lose his shirt. This saying illustrates the importance of cost-estimation to organizations, especially in a rapidly changing global, technology intensive and competitive environment. A timely and accurate estimate is important for timely and accurate decision making, and invariable profit. This course develops the skills needed to perform realistic cost estimates, use them effectively in economic analysis, budgeting, and managerial control.
Applications and benefits:
You will benefit by enhancing your understanding of:
- The importance of cost-estimation in proposal development and the life-cycle of a project.
- Common techniques and tools for project cost estimation and their usage.
- The concept of time value of money as it relates to economic analysis.
- Development of the skills for comparing and evaluating projects and alternatives using economic figures of merit.
- The basic principles of project cost control and variance analysis.
Who should attend:
This course is designed for first-line supervisors, project, program, and technical managers in technology focused organizations, both private and public. The case studies presented come from service and manufacturing industries as well as from the public sector. Senior level managers should also find the course an informative refresher for the latest advances in project management techniques.
Course Outline:
- Introduction
- Relationship between cost estimating, project planning and control
- Case study examples
- The Basics of Estimating
- The cost estimating process
- Types of costs
- Collecting data for estimates
- Cost Estimating Techniques
- Qualitative methods
- Quantitative methods
- Special Cases
- Software development
- Service Industry vs. Manufacturing Industry
- Learning curve
- Activity-based costing
- Using Cost Estimates for Comparing and Evaluating Projects and Alternatives
- Decision making process
- Types of alternatives
- That the time value of money and discounted cash flow concepts
- Techniques for Evaluating and Comparing Projects and Alternatives
- Payback period method
- Present worth method
- Annual worth method
- Internal rate of return method
- Benefit-cost method
- Life-cycle cost analysis
- Replacement analysis
- Principles of Budgeting
- Payback period method
- Types of budgets
- Budgeting process
- Project Cost Control and Variance Analysis
- Cost schedule control system
- Variance analysis
- Break-even analysis
- Sensitivity analysis
- Emerging Issues and Case Studies
About the Instructor
Dr. John O. Aje is the Associate Dean for Academic Affairs and a Professor at University of Maryland University College (UMUC) Graduate School. Prior to his present position, he was the Chair of the Technology and Engineering Management department. He is an invited member of the National Science Foundation committee on management of technology, and a member of the editorial board of the International Institute of Electronics and Electrical Engineers (IEEE) journal, "Transactions On Engineering Management" and the Technology Practice Area Editor for "Technovation: The International Journal of Technological Innovation, Entrepreneurship and Technology Management." He is also a member of the Board of Directors of the "International Association for Management of Technology (IAMOT)" and a member of the Board of Examiners of the Malcolm Baldrige National Quality Award.
Dr. Aje received his B.S. degree from Clemson University, M.S. degree from North Carolina State University, Master of Engineering Management, (M.E.M.) and D.Sc. from the George Washington University School of Engineering and Applied Science.
Details:
Course: MGM-221 Duration: 3 Days FEE: $1,499 CEUs: 2.16
Please direct any additional inquiries regarding this course to Anita Hellstrom, Program Coordinator, by e-mail, FAX: (240) 371-4488 or TELEPHONE: (202) 241-6326.
Call toll free 1-800-683-7267 from anywhere in the Continental U.S. or CANADA.
Last modified November 11, 2011.
