Cost Estimating for Defense Contracting; Using the Internet Companies that do business with the U.S. Department of Defense (e.g., The Boeing Company, Lockheed Martin Corporation, General Electric,...

Cost Estimating for Defense Contracting; Using the Internet Companies that do business with the U.S. Department of Defense (e.g., The Boeing Company, Lockheed Martin Corporation, General Electric, Northrop Grumman, and General Dynamics) typically develop large multiyear proposals for large-scale, defense-related projects. A key aspect of developing a successful proposal for the Department of Defense is to use proper cost estimation methodsRequired 1. Review the information at the site of the International Society of Parametric Analysis (ISPA) (www .galorath.com/images/uploads/ISPA_PEH_4th_ed_Final.pdf), which sets out proper estimation methods for proposals to the Department of Defense. Look especially at Chapter 3 of the ISPA’s handbook. In 100 words or less, describe the cost estimation methods suggested in this document for use in developing proposals for the Defense Department. What are some examples of how cost estimation is used by defense contractors such as Boeing? 2. Review Figure 3.6 in the ISPA handbook and compare it to the related information found in this chapter. You might also consider looking at the information in the Regression Analysis Supplement on the course website (especially Exhibit S.7).