Cost estimating - Make or Buy?

Abstract

Troy Montgomery, a consultant at Humana in April of 2015, was tasked with providing leaders of Humana’s corporate real estate group, Workplace Solutions (WPS), with an answer as to how to provide early cost estimates on large construction projects. Should they create a solution internally, outsource development of a solution, or look to an existing solution to provide a “cost calculator”? There was so much variation in the types of projects WPS worked on, not to mention an assortment of internal clients they served. Such complexity made it virtually impossible to come to a straight forward recommendation.