Contracts Delivery Systems and Estimating Approaches

Contracts Delivery Systems and Estimating Approaches

In this week’s reading, your textbook identified four types of estimates: conceptual, preliminary,
engineer’s, and bid. In addition, your textbook introduces the Association for the Advancement of
Cost Engineering (AACE) International’s Cost Estimate Classification System (Figure 16.2, p.
283).
This system classifies engineering and construction projects into five segments and
demonstrates the variability of the estimates based on the level of detail available.
For this Discussion, you will analyze estimating approaches used by construction firms. Begin by
comparing the textbook’s descriptions of estimate types to those defined by AACE International.
What are the advantages of one set of descriptions versus the other?
In addition, select one contract type and one project delivery system. How does each impact the
approach taken to estimate project costs and resource requirements? What other factors impact
the approach to estimating?