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Studies in Software Cost Model Behavior: Do We Really Understand Cost Model Performance?

While there exists extensive literature on software cost estimation techniques, industry practice continues to rely upon standard regression-based algorithms. These software effort models are typically calibrated or tuned to local conditions using local data. This paper cautions that current approaches to model calibration often produce sub-optimal models because of the large variance problem inherent in cost data and by including far more effort multipliers than the data supports. Building optimal models requires that a wider range of models be considered while correctly calibrating these models requires rejection rules that prune variables and records and use multiple criteria for evaluating model performance. The main contribution of this paper is to document a standard method that integrates formal model identification, estimation, and validation. It also documents what we call the large variance problem that is a leading cause of cost model brittleness or instability.

data mining

Cost Modeling for low-cost planetary missions

This presentation will provide an overview of the JPL parametric cost models used to estimate flight science spacecrafts and instruments. This material will emphasize the cost model approaches to estimate low-cost flight hardware, sensors, and instrumentation, and to perform cost-risk assessments. This presentation will also discuss JPL approaches to perform cost modeling and the methodologies and analyses used to capture low-cost vs. key cost drivers.

cost model

Video distribution system cost model

A cost model that can be used to systematically identify the costs of procuring and operating satellite linked communications systems is described. The user defines a network configuration by specifying the location of each participating site, the interconnection requirements, and the transmission paths available for the uplink (studio to satellite), downlink (satellite to audience), and voice talkback (between audience and studio) segments of the network. The model uses this information to calculate the least expensive signal distribution path for each participating site. Cost estimates are broken downy by capital, installation, lease, operations and maintenance. The design of the model permits flexibility in specifying network and cost structure.

Gershkoff, I.

On Convergence of Development Costs and Cost Models for Complex Spaceflight Instrument Electronics

Development costs of a few recent spaceflight instrument electrical and electronics subsystems have diverged from respective heritage cost model predictions. The cost models used are Grass Roots, Price-H and Parametric Model. These cost models originated in the military and industry around 1970 and were successfully adopted and patched by NASA on a mission-by-mission basis for years. However, the complexity of new instruments recently changed rapidly by orders of magnitude. This is most obvious in the complexity of representative spaceflight instrument electronics' data system. It is now required to perform intermediate processing of digitized data apart from conventional processing of science phenomenon signals from multiple detectors. This involves on-board instrument formatting of computational operands from row data for example, images), multi-million operations per second on large volumes of data in reconfigurable hardware (in addition to processing on a general purpose imbedded or standalone instrument flight computer), as well as making decisions for on-board system adaptation and resource reconfiguration. The instrument data system is now tasked to perform more functions, such as forming packets and instrument-level data compression of more than one data stream, which are traditionally performed by the spacecraft command and data handling system. It is furthermore required that the electronics box for new complex instruments is developed for one-digit watt power consumption, small size and that it is light-weight, and delivers super-computing capabilities. The conflict between the actual development cost of newer complex instruments and its electronics components' heritage cost model predictions seems to be irreconcilable. This conflict and an approach to its resolution are addressed in this paper by determining the complexity parameters, complexity index, and their use in enhanced cost model.

Kizhner, Semion

Selected Tether Applications Cost Model

Diverse cost-estimating techniques and data combined into single program. Selected Tether Applications Cost Model (STACOM 1.0) is interactive accounting software tool providing means for combining several independent cost-estimating programs into fully-integrated mathematical model capable of assessing costs, analyzing benefits, providing file-handling utilities, and putting out information in text and graphical forms to screen, printer, or plotter. Program based on Lotus 1-2-3, version 2.0. Developed to provide clear, concise traceability and visibility into methodology and rationale for estimating costs and benefits of operations of Space Station tether deployer system.

Keeley, Michael G.

Ground-Based Telescope Parametric Cost Model

A parametric cost model for ground-based telescopes is developed using multi-variable statistical analysis, The model includes both engineering and performance parameters. While diameter continues to be the dominant cost driver, other significant factors include primary mirror radius of curvature and diffraction limited wavelength. The model includes an explicit factor for primary mirror segmentation and/or duplication (i.e.. multi-telescope phased-array systems). Additionally, single variable models based on aperture diameter are derived. This analysis indicates that recent mirror technology advances have indeed reduced the historical telescope cost curve.

Stahl, H. Philip

Preliminary Multivariable Cost Model for Space Telescopes

Parametric cost models are routinely used to plan missions, compare concepts and justify technology investments. Previously, the authors published two single variable cost models based on 19 flight missions. The current paper presents the development of a multi-variable space telescopes cost model. The validity of previously published models are tested. Cost estimating relationships which are and are not significant cost drivers are identified. And, interrelationships between variables are explored

Stahl, H. Philip

Preliminary Multi-Variable Cost Model for Space Telescopes

Parametric cost models are routinely used to plan missions, compare concepts and justify technology investments. This paper reviews the methodology used to develop space telescope cost models; summarizes recently published single variable models; and presents preliminary results for two and three variable cost models. Some of the findings are that increasing mass reduces cost; it costs less per square meter of collecting aperture to build a large telescope than a small telescope; and technology development as a function of time reduces cost at the rate of 50% per 17 years.

Stahl, H. Philip

Preliminary Cost Model for Space Telescopes

Parametric cost models are routinely used to plan missions, compare concepts and justify technology investments. However, great care is required. Some space telescope cost models, such as those based only on mass, lack sufficient detail to support such analysis and may lead to inaccurate conclusions. Similarly, using ground based telescope models which include the dome cost will also lead to inaccurate conclusions. This paper reviews current and historical models. Then, based on data from 22 different NASA space telescopes, this paper tests those models and presents preliminary analysis of single and multi-variable space telescope cost models.

Stahl, H. Philip

Parametric Cost Models for Space Telescopes

Multivariable parametric cost models for space telescopes provide several benefits to designers and space system project managers. They identify major architectural cost drivers and allow high-level design trades. They enable cost-benefit analysis for technology development investment. And, they provide a basis for estimating total project cost. A survey of historical models found that there is no definitive space telescope cost model. In fact, published models vary greatly [1]. Thus, there is a need for parametric space telescopes cost models. An effort is underway to develop single variable [2] and multi-variable [3] parametric space telescope cost models based on the latest available data and applying rigorous analytical techniques. Specific cost estimating relationships (CERs) have been developed which show that aperture diameter is the primary cost driver for large space telescopes; technology development as a function of time reduces cost at the rate of 50% per 17 years; it costs less per square meter of collecting aperture to build a large telescope than a small telescope; and increasing mass reduces cost.

Stahl, H. Philip

Process Cost Modeling for Multi-Disciplinary Design Optimization

For early design concepts, the conventional approach to cost is normally some kind of parametric weight-based cost model. There is now ample evidence that this approach can be misleading and inaccurate. By the nature of its development, a parametric cost model requires historical data and is valid only if the new design is analogous to those for which the model was derived. Advanced aerospace vehicles have no historical production data and are nowhere near the vehicles of the past. Using an existing weight-based cost model would only lead to errors and distortions of the true production cost. This report outlines the development of a process-based cost model in which the physical elements of the vehicle are costed according to a first-order dynamics model. This theoretical cost model, first advocated by early work at MIT, has been expanded to cover the basic structures of an advanced aerospace vehicle. Elemental costs based on the geometry of the design can be summed up to provide an overall estimation of the total production cost for a design configuration. This capability to directly link any design configuration to realistic cost estimation is a key requirement for high payoff MDO problems. Another important consideration in this report is the handling of part or product complexity. Here the concept of cost modulus is introduced to take into account variability due to different materials, sizes, shapes, precision of fabrication, and equipment requirements. The most important implication of the development of the proposed process-based cost model is that different design configurations can now be quickly related to their cost estimates in a seamless calculation process easily implemented on any spreadsheet tool. In successive sections, the report addresses the issues of cost modeling as follows. First, an introduction is presented to provide the background for the research work. Next, a quick review of cost estimation techniques is made with the intention to highlight their inappropriateness for what is really needed at the conceptual phase of the design process. The First-Order Process Velocity Cost Model (FOPV) is discussed at length in the next section. This is followed by an application of the FOPV cost model to a generic wing. For designs that have no precedence as far as acquisition costs are concerned, cost data derived from the FOPV cost model may not be accurate enough because of new requirements for shape complexity, material, equipment and precision/tolerance. The concept of Cost Modulus is introduced at this point to compensate for these new burdens on the basic processes. This is treated in section 5. The cost of a design must be conveniently linked to its CAD representation. The interfacing of CAD models and spreadsheets containing the cost equations is the subject of the next section, section 6. The last section of the report is a summary of the progress made so far, and the anticipated research work to be achieved in the future.

Bao, Han P.

Life cycle cost modeling of conceptual space vehicles

This paper documents progress to date by the University of Dayton on the development of a life cycle cost model for use during the conceptual design of new launch vehicles and spacecraft. This research is being conducted under NASA Research Grant NAG-1-1327. This research effort changes the focus from that of the first two years in which a reliability and maintainability model was developed to the initial development of a life cycle cost model. Cost categories are initially patterned after NASA's three axis work breakdown structure consisting of a configuration axis (vehicle), a function axis, and a cost axis. The focus will be on operations and maintenance costs and other recurring costs. Secondary tasks performed concurrent with the development of the life cycle costing model include continual support and upgrade of the R&M model. The primary result of the completed research will be a methodology and a computer implementation of the methodology to provide for timely cost analysis in support of the conceptual design activities. The major objectives of this research are: to obtain and to develop improved methods for estimating manpower, spares, software and hardware costs, facilities costs, and other cost categories as identified by NASA personnel; to construct a life cycle cost model of a space transportation system for budget exercises and performance-cost trade-off analysis during the conceptual and development stages; to continue to support modifications and enhancements to the R&M model; and to continue to assist in the development of a simulation model to provide an integrated view of the operations and support of the proposed system.

Ebeling, Charles

Cost Modeling Techniques for Design Maturity

Cost modeling techniques and factors which either add to or subtract from these estimates are examined. The most important factors for increasing costs are interfacing subsystems, subsystem design and software maturity. Cost decrease depends on hardware, software, and support equipment availability. A cost modeling analysis for reentry shield and aerodynamic decelerator subsystems of a reentry vehicle is presented. Integration problems for the subsystems are also discussed.

Ruhland, E. W.

Validation of the NLR Pumped Storage Hydropower Cost Model

The National Laboratory of the Rockies (NLR) first released its pumped storage hydropower (PSH) cost model in 2023 as the most detailed bottom-up PSH cost model available to the public. It is available both as a spreadsheet and an interactive web tool, enabling users with a variety of PSH interests to transparently characterize costs of alternative PSH sites and designs. The PSH cost model cannot replace detailed site-level studies and design, but it is important to validate it against other industry PSH cost estimates. The initial model methodology report validated the cost model for a single proposed site, the Eagle Mountain Project in California. This slide deck documents an expanded validation exercise using cost data from six other sites: Goldendale (Washington), Seminoe (Wyoming), Gordon Butte (Montana), Swan Lake (Oregon), White Pine (Oregon), and Lewis Ridge (Kentucky). It compares itemized costs from Federal Energy Regulatory Commission (FERC) applications and other reported costs with NLR PSH cost model outputs after customizing inputs for each site. The validation exercise finds that the NLR model's conservative indirect cost assumptions often drive overall cost overestimation, with direct cost comparisons typically agreeing more closely. All cost model estimates are well within an Association for the Advancement of Cost Engineering (AACE) Class 5 estimation range (-50% to +100%), with five within the AACE Class 4 range (-30% to +50%) and four being within 15%. This result is considered reasonable performance for a parametric model applied at a preliminary design stage.

13 HYDRO ENERGY

A maintenance and operations cost model for DSN

A cost model for the DSN is developed which is useful in analyzing the 10-year Life Cycle Cost of the Bent Pipe Project. The philosophy behind the development and the use made of a computer data base are detailed; the applicability of this model to other projects is discussed.

Burt, R. W.