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Triple Limited Demand
And he writhed inside at what seemed the cruelty and unfairness of the demand – C.L. Lewis.
Many products sink due to scarce sales. Uninspected, market boundaries seem murky.
The Value of Precision Cost Estimating in Product Development
Everyone in the manufacturing industry has heard the statement: Around 80 percent of the final product costs are determined during product development. One question we are asked by globally operating development teams: How can calculative risks be minimized in the early stages and production costs be managed optimally?
Retrospective on a layoff
This past February, I was officially laid off for the first time in my career. While I recognize that I’m fortunate to have only been laid off once (at least so far) in 13 years, it was a new experience that I don’t know if I was prepared for. While I know that everyone processes things differently, this is how I got through it, peppered in with the benefit of hindsight.
A Cost Engineer by Another Name
If you are like me, you’ve probably often had to explain what exactly a Cost Engineer or Cost Estimator does. You probably have to explain this to friends and family that have never set foot into a plant or job site and have no idea what you are talking about. I often try to explain it in terms of a person or job they may be more familiar with.
Why Function Points?
The ‘should cost’ of a software solution is heavily influenced by the a very few factors e.g. size, productivity, application. This makes estimation a relatively easy process although there are always concerns when is comes to establishing ‘size’. This short thought piece makes the case for the use of Function Points as the standard sizing mechanicals for Software Should Cost Analysis
The Organizational Risks of not performing Robust Should Cost Analysis
Managing business transactions can be a challenging effort for Organizations. Making the right decision to provide the best value to your Customers, your own Stakeholders and protecting your Suppliers is part of the due diligence that sets excellent organizations apart.
Lowering the risk associated with these decisions can be significantly aided by applying the principals of robust “Should Cost Analysis”. Understanding what you are offering your Customers and what you expect from your Suppliers helps insure that the needs of your internal Stakeholders are met. Ideally, Should cost analysis becomes a tool to communicate to all involved and identify risks (and opportunities). Perhaps the worst case scenario for a contract is “Termination for Cause” that opens your organization to pay whatever it costs to fulfill. There are cases that have destroyed fairly large companies for this failure.