AACE International

Cost Engineers Notebook

TABLE OF CONTENTS
Introduction
I: Supporting Skills & Knowledge
1. Organizational Concept for a Coordinated Estimating, Cost Control, and Scheduling Division
2. Cash Flow Analysis Computer Program
3. Converting to the International System of Units (SI)
II: Cost Estimating
1. Recommended Practice No. 17R-97 "Cost Estimate Classification System"
2. Recommended Practice No. 18R-97 "Cost Estimate Classification System - As Applied in Engineering, Procurement, and
Construction for the Process Industries"
3. A Comparison of Building Cost Indexes
4. Job Order Costing for Construction Equipment
5. Estimation of Industrial Chemical Plant Startup Costs
6. Percent Your Indirect Field Costs
7. Estimating Operating Cost for Construction Equipment
8. Updating Fixed Capital Estimating Factors
9. Preparation of Lump Sum Estimates for Building Construction Projects
10. Indirect Cost Estimating for General Contractors
11. Fastening Costs
12. US/Canadian Cost/Price Indexes
13. International Cost/Price Indexes
14. Worldwide Location Cost Factors for Capital Cost Estimating
15. The Dangers of Early Estimates
16. Cost Estimating for Chemical Plants
17. Conceptual Estimating Systems and Their Benefits
18. Process Plant Capital Cost Estimating - A Science Rather Than An Art
19. Guidelines and Terms of Reference for Preparation of Project Cost Estimates
20. Engineering Costs
21. Estimating Capital Costs From Process Flow Sheets
22. General Conditions Analysis - A Contracting Approach
23. Ten Commandments of International Cost Engineering
24. Fee Analysis - A Contractor's Approach
25. A Parametric Building Cost Estimating System
26. Contingency and Capital Cost Estimates
27. Noncapital Estimates for Chemical Plant Operations
28. Selection of a Cost Index
29. Developing a Project Scope/Conceptual Estimate Questionnaire
30. How to Establish an Estimating Department
31. Estimating Engineered Equipment Costs
32. Factored Estimating Guidelines - Refinery/Petrochemical Projects
33. Determining Shop Burden
34. The International Cost Engineering Council: A Worldwide Source of Cost and Project Information
35. The Organization of an Estimating Department

AACE International
Cost Engineers Notebook
TABLE OF CONTENTS
III: Cost Control
1. Essentials of Cost Control for Capital Plant Expenditures
2. Principles of Effective Capital Cost Control
3. Your First Cost Control Program
4. Mathematical Manipulation of S-Curves
5. The Cost Engineer's Niche in the Overall Project
6. The Cost Control Banana
7. Cost Control in a Nutshell
8. Cost Control and Project Accounting are Getting Married
9. Defining Project Scope for Cost Control
10. Applied Cost Control
11. Defining Project Scope for Effective Cost Control
12. A Cost Control Program to Meet Your Needs
13. Design Phase Cost Control
14. A Project Cost Control Model
IV: Planning & Scheduling
1. The Planning Engineer - A Human Element of Planning and Scheduling
2. Effective Control of Multiple Small Projects
3. Procedures for Resource Leveling
4. Introduction to Planning and Scheduling
5. Planning and Scheduling Cost-Limited Projects
6. Preplanning Project Control
7. Minimizing Delay and CPM Schedules
8. Total Float Management in CPM Project Scheduling
9. Program Scheduling: Not Exactly = Project Scheduling
10. The JASA (Japanese/American System Approach) of Planning and Scheduling
11. The Case for Critical Path
12. Schedule Hierarchy - An Overview
13. Planning for Closure at Rocky Flats
14. Top-Down Back-To-Front Project Planning
15. Computerized Project Planning System
16. Advocating a Deliverable-Oriented Work Breakdown Structure
V: Progress & Performance Measurement
1. Progress Measurement in Engineering and Construction
2. Methods for Construction Productivity Measurement
3. Progress and Cost Control Basics
4. Productivity Management
5. Accuracy in Progress Measurement
6. An Estimate-Independent Productivity Measurement System
7. Quality Performance Management in Engineering/Construction
8. Use of Productivity Factors in Construction Claims
9. Redefining Project Performance Management

AACE International
Cost Engineers Notebook
TABLE OF CONTENTS
VI: Project Management
1. Building Construction Change Order Guidelines
2. Cost Guidelines for Change Orders
3. Project Management Software Selection
4. Effective Project Management in Bureaucracies
5. The Modern Project Manager
6. Winning a Project Approval
7. Life Cycle Project Management
8. Construction Documentation Used as Indicators of Delays
9. Project Control at Allegheny Ludlum
10. Intranets for Project and Cost Management in Manufacturing
11. Key Issues in Implementing Cycle Time Analysis as a Schedule Reduction Tool
12. Team Building and Project Success
13. Preproject Planning for Microelectronics Facilities
14. Guidelines for Successful Risk Facilitating and Analysis
15. Integration of Schedule and Cost Risk Models
VII: Economic Analysis & Business Planning
1. The Total Cost Management (TCM) Framework: About the TCM Framework
2. The Total Cost Management (TCM) Framework: Outline of the TCM Framework
3. The Total Cost Management (TCM) Framework: Section 1 - Introduction
4. The Total Cost Management (TCM) Framework: Section 2 - The Total Cost Management Process
5. Classification System for Economic Appraisals
6. Profitability - An Introduction
7. Guidelines for Estimating Profitability
8. Essential Planning In Investment-Analysis
9. Why A Capital-Investment Estimate
10. Concepts And Principles In Corporate-Planning
11. Methods for Calculating Profitability
12. Profitability and Sensitivity Analysis
13. Towards an Official AACE Standard Measure of Profitability
14. Long Range Planning Concepts and Applications
15. Owner Approach to Planning and Scheduling
16. Life-Cycle Costing
17. Research Project Ranking
18. Impact of Business Environment on Project
19. Organization Structure to Produce Projects
20. Organization Planning - Concepts & Implications
21. Selection of Discount Rates for Project Evaluation: Principles and Pitfalls
22. Continuous Discounting Applied to Ranking of Investments
23. Practical Capital Budgeting
24. Fragmentation Hurts Economic Analysis -- And Business May Suffer Too
25. Capital Budgeting -- An Owner Company's Method
26. Currency Monitoring and Forecasting for a Project Which Uses Worldwide Procurement
27. Capital Budgeting - The Profitability Approach
28. Reinvestment Fallacy Revisited

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Cost Engineers Notebook
TABLE OF CONTENTS
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Is Your Rate of Return Too Low?

A Simple Form For Evaluating New Product Investment
Capital Improvement Planning In The Public Arena
Successful Capital Planning in the Paper Industry
Analyzing New Versus Rebuilt for Increased Production
Planning a Capital Project
The Capital Budget Decision
Use of Teams for Organizational Change
Correlations Useful in Profitability Analysis
A Winning Business Planning Process
Decision Analysis Using Decision Trees
PSG: A Strategic Tool for Project Appraisal
Total Cost Management - Beyond Technical Expertise
Control of Consultants and Complex Organizational Interfaces
Breakthrough Planning Methodology
Project Development - An Owner's System
Program Management as a Team Effort
A "New" Program Management Information System
Negotiation of Settlements - A Team Sport
Capital Project Implementation System (CPIS)
A Comprehensive Capital Investment Evaluation System
Integrating People with Technology: A Paradigm for Building Project Teams
DOE Benchmarking for Cost Management
Team-Based Organizations and the Changing Role of the Project Manager
Do Project Teams "Walk Their Talk?" Survey Reseach on Project Team Effectiveness
Project Controls and ISO 9000
Front-End Cost Engineering
Improving Project Team Interaction
Team-Based Cost Management
Management Responsibilities in Creating Team-Based Empowered Organizations
Project History - Closing the Loop
The Modern Project Manager
Total Cost Management of Capital Projects
Planning the Work - An Evolution in Progress
Rapid Method for Capital Investment Decisions
A Decision Support System for Project Planning
Concurrent Management of Total Cost and Total Quality
Cost Engineering and Continuous Performance Improvement
Risk and Capital Budgeting
The Cost Engineer as a Partner in Process Design
Cost/Schedule Information System: A Human-Centered Approach
Simplifying Project Success Metrics
Simplified Project Economic Evaluation
Roadblocks to the Successful Integration of Computer Tools in the Construction Industry
Strategic Design Cost Analysis
Project Teams: The Role of the Project Office

AACE International
Cost Engineers Notebook
TABLE OF CONTENTS
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An Evolutionary Approach to the Capital Budgeting of Construction Projects

Why Is Traditional Accounting Failing Managers?
Process Alignment Within Manufacturing Plant Operations
Total Cost Management in the Internet Age
Financial Feasibility in Implementing Process Change
Principles of Business Process Reengineering, TQM, and the Learning Organization
Establishing a Project Controls Organization
Project History Retrieval and History
Project Options: What Is Their Value?
The Management Information Tool System
How to Speed Designs and Evaluations With Knowledge-Based Tools
Creating Teamwork in Virtual Teams
Leadership, Teamwork, and Empowerment: Management Toward 2000
From Business Opportunity to Cost Target