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    Cost Contingency Management

    Source: Journal of Management in Engineering:;2007:;Volume ( 023 ):;issue: 003
    Author:
    Gabriel A. Barraza
    ,
    Rafael A. Bueno
    DOI: 10.1061/(ASCE)0742-597X(2007)23:3(140)
    Publisher: American Society of Civil Engineers
    Abstract: In the practice of project management, cost contingencies have the objective of covering probable cost increases (risks) above target estimates. Due to the variable performance nature for a wide range of activities, contingencies not only should be properly calculated but also assigned in the budget estimation process and wisely controlled during project execution. In this article, the Monte Carlo simulation approach is recommended as part of a proposed methodology for cost contingency management, which also includes a heuristics for contingency assignment (allocation) among project activities, as long as the activities have some degree of uncertainty regarding their future costs.
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      Cost Contingency Management

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    http://yetl.yabesh.ir/yetl1/handle/yetl/42485
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    contributor authorGabriel A. Barraza
    contributor authorRafael A. Bueno
    date accessioned2017-05-08T21:11:59Z
    date available2017-05-08T21:11:59Z
    date copyrightJuly 2007
    date issued2007
    identifier other%28asce%290742-597x%282007%2923%3A3%28140%29.pdf
    identifier urihttp://yetl.yabesh.ir/yetl/handle/yetl/42485
    description abstractIn the practice of project management, cost contingencies have the objective of covering probable cost increases (risks) above target estimates. Due to the variable performance nature for a wide range of activities, contingencies not only should be properly calculated but also assigned in the budget estimation process and wisely controlled during project execution. In this article, the Monte Carlo simulation approach is recommended as part of a proposed methodology for cost contingency management, which also includes a heuristics for contingency assignment (allocation) among project activities, as long as the activities have some degree of uncertainty regarding their future costs.
    publisherAmerican Society of Civil Engineers
    titleCost Contingency Management
    typeJournal Paper
    journal volume23
    journal issue3
    journal titleJournal of Management in Engineering
    identifier doi10.1061/(ASCE)0742-597X(2007)23:3(140)
    treeJournal of Management in Engineering:;2007:;Volume ( 023 ):;issue: 003
    contenttypeFulltext
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