Bridging the Gap Between Project Cost Estimating and Cost Management

When we incorporated ProjStream over 10 years ago, our mission was to bring to life a vision of bridging the gap between project cost estimating, pricing, and cost management with a shared database for the entire project life cycle. We wanted to create a software solution to help companies establish a closed loop process for creating realistic cost estimates and executable budget plans after contract award.

Continue Reading

BOEMax Tech Tips: Project Bills of Material (BOMs)

One of the tenets of creating data driven cost estimates is to use reliable historical or actual cost source data that is traceable back to a corporate business system. For contractors that build products for a government customer, proposal teams typically create bills of material (BOMs) to estimate the likely material or purchased part requirements. That means they need to pull relevant source data from one or more business systems such as accounting, purchasing, material management, or manufacturing/enterprise resource planning (M/ERP).

Continue Reading

What’s the Difference Between Proposal Cost Estimating and Pricing?

Working with numerous prospects and clients over the years, we often find it helpful to clarify the difference between estimating the cost of performing the work scope in an RFP and pricing that cost estimate.

Continue Reading

Analyzing Your Proposal Cost Estimates and Contract Win Rate

Have you thought about doing a forensic analysis of your company’s proposal cost estimates? What are the benefits of doing this analysis? How could the analysis help improve your approach for producing proposal cost estimates as well as the company’s bottom line? Anything you can do to increase the likelihood of winning a contract and successfully executing the scope of work within the schedule and cost objectives of the contract is a win for your company as well as your customer.

Continue Reading

5 Reasons Government Contractors Seek PROPRICER Alternatives

Are you evaluating options for proposal software? Taking the time to articulate your business objectives and what problems you are trying solve can help you define how an estimate software tool can simplify life for proposal teams and improve the quality of cost estimate data. Do you need a single point solution for proposal pricing, or do you need something that supports the entire proposal development process? A credible cost estimate requires verifiable source data and supporting narrative information that discusses the assumptions, logic, methodology, and calculations used to develop the basis of estimate. Working with numerous clients over the last 10 years, we are often replacing PROPRICER with our proposal software, BOEMax. Here are the top five reasons these clients have switched to BOEMax or chose BOEMax over PROPRICER.

Continue Reading

Balancing Proposal and Active Project Resource Capacity and Demand

An often-cited industry best practice recommendation is to resource load network schedule activities for a project. One of the benefits is the resource loaded activities and resulting staffing plan can be the basis for creating a schedule driven time phased basis of estimate, budget baseline, or estimate to complete remaining work. The current schedule status also provides the basis for measuring progress and calculating earned value. This helps to ensure the schedule and time phased cost data are in agreement.

Continue Reading

Cost Estimating Business System Withholds

You may be familiar with DCMA’s Contract Business Analysis Repository (CBAR). DCMA uses CBAR to collect contract related information about companies doing business with the DoD. It provides DoD contracting officers with information about contractors such as their indirect and direct rates, status of business systems and withholds, CAS Disclosure statements, and forward pricing rates.

Continue Reading

BOEMax Tech Tips: Documenting Supplier BOEs

BOEMax was designed to help our clients organize their cost estimate data and narrative information in a single database for their proposal submissions. This includes proposal specific hierarchical bills of material (BOMs) that are often built using source data from a master parts or assemblies list maintained in BOEMax. A standard feature in BOEMax proposal software is the ability to also document the supplier basis of estimate (BOE) for these parts or components.

Continue Reading

Enabling a Closed Loop Cost Estimating Searchable Database

A previous blog, Leveraging Closed Loop Cost Estimating, discussed creating a searchable database of reliable source data to help proposal teams produce data driven cost estimates easier and faster. Creating a useful database of historical performance and actual cost data also requires putting some thought into how you organize the data. It helps to have a general framework in mind as you are collecting the data for the database. The intent is to make it easier for proposal teams to search for similar tasks and evaluate whether the similar tasks are relevant for their proposal.

Continue Reading

Leveraging Closed Loop Cost Estimating

What do we mean by “closed loop cost estimating?” It is a defined process to routinely collect and organize relevant source data for proposal teams that they can use to substantiate the basis for their cost estimates. The goal is to create a searchable database of reliable source data so they can produce data driven cost estimates easier and faster.

Continue Reading