JOINT AGENCY COST ESTIMATING RELATIONSHIP (CER) DEVELOPMENT HANDBOOK (09-FEB-2018)

JOINT AGENCY COST ESTIMATING RELATIONSHIP (CER) DEVELOPMENT HANDBOOK (09-FEB-2018)., There are many valid analytic methods for correlating potential technical or other program characteristics with cost. Analysts may find certain methods more suited to specific or niche applications than others – or have understandable preferences for particular methods. However, we recognized an overarching need within the Government cost analysis community to provide a handbook to serve as a fundamental reference for parametric Cost Estimating Relationship (CER) development. This handbook provides a variety of statistical techniques to help equip the analysts' toolboxes for attacking a range of estimating problems and data issues. Additionally, it presents tried-and-true processes to help analysts choose the appropriate method, understand the mathematics behind several of the available regression and curve-fitting techniques, validate and select the most representative CER, and properly document their efforts.