Course

Course Summary
Credit Type:
Course
ACE ID:
DAU-0337
Organization's ID:
BCE 1000
Organization:
Defense Acquisition University
Location:
Online
Length:
18 hours
Dates Offered:
Credit Recommendation & Competencies
Level Credits (SH) Subject
Lower-Division Baccalaureate 3 cost estimating
Description

Objective:

The objective of the BCE 1000, Fundamentals of Cost Estimating course is to be the foundational online training (OLT) course for the Acquisition Cost Estimating Community. Students are introduced to policies and techniques used in DoD cost analysis. Topics include definition and planning of cost estimates, data collection and their sources, data normalization, risk and uncertainty, documentation requirements and budgeting considerations. The course also explores the four popular cost estimation techniques of analogy, parametric, engineering, and actual cost. The course is designed for acquisition professionals with four years of less of acquisition experience in cost estimating and servicing a Program Office at the Service/Defense agency level, or supporting a program that reports to a Service Acquisition Executive.

Learning Outcomes:

  • Recognize the organizations, processes, and products associated with life cycle cost estimating within the Department of Defense
  • Recognize how the definition and planning process defines the scope and requirements of the cost estimate
  • Discuss data collection concepts used in creating Department of Defense cost estimates
  • Identify how to normalize data
  • Identify how to use basic statistics to support cost analysis
  • Explain how the estimate formation framework can be used to guide the creation of cost estimates
  • Experiment with the use of nonlinear regression models
  • Describe how to develop a point estimate using various estimation techniques
  • Explain the method of identifying and quantifying the risk and uncertainty associated with a life cycle cost estimate
  • Explain how the life cycle cost estimate is used in the budgeting process

General Topics:

  • Department of Defense cost analysis
  • Data collection
  • Data normalization
  • Data analysis
  • Estimate formation
  • Analogy Estimation Technique
  • Parametric Estimation Technique: Factors and Linear Regression and Non-linear Regression
  • Engineering Estimation Technique
  • Actual Costs Estimation Technique
  • Risk and uncertainty analysis
  • Budgeting considerations
Instruction & Assessment

Instructional Strategies:

  • Audio Visual Materials
  • Case Studies
  • Computer Based Training
  • Practical Exercises
  • Project-based Instruction
  • Performance Rubrics (Checklists)

Methods of Assessment:

  • Examinations

Minimum Passing Score:

80%
Supplemental Materials