Abstract:
Complex Engineering Product (CEP) modification businesses cover a wide range of
project types. The diversity of the projects and the interaction of different stakeholders
introduce difficulties in cost estimating. Also, the uncertainties and unknowns typical of
these projects induce significant changes of scope as the project develops.
A new approach for historical cost data re-use has been applied in this study that
addresses the disjoints in business processes and data typical of complex engineering
organisations. A model has been developed to make explicit and integrate the scope
and cost in CEP modification projects.
To integrate the different project stakeholders views while maintaining a common
project vision the concept of the integrated Work Breakdown Structure (iWBS) has
been developed. The concept is based on the combination of a project template, a
rigid and a f1exiDle part for a project WBS. The iWBS allows for the flexibility required
by the different people when carrying out their job and enhances the communication
by allowing rapid response to changes. The data structure supports cost data re-use at
two levels,' from project to project and between different phases of a project.
A bid process has been defined to structure the business decision activities and
participants, identifying explicit decision points where changes can affect the data
structure. Thus, dealing with the changes typical of CEP modification projects.
The study has used a case study approach based on the aircraft modification industry
where detailed learning has been presented. The study contributes to a better
understanding of CEP modifications and cost estimating for this type of businesses.