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Factors influencing cost estimation method used by a manufacturing company

Factors influencing cost estimation method used by a manufacturing company

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Martin
(i). Accuracy of the results and reliability. Based on past experiences, it is possible to assess how
the estimated costs using the function compared with the actual costs, and thus the accuracy
of the function.

(ii). Assumption of the method. Some assumptions may not be realistic in practice for a
particular organization.

(iii). How expensive a method is to implement. Some methods may require an organization to
purchase particular software or employ certain persons with specialiazed skills. This may be
expensive.
marto answered the question on February 26, 2019 at 09:37

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