Using our Right Brains to Improve Space Project Cost Estimating

Abstract If one asks knowledgeable observers of the space industry why similar space projects have different costs, the response is often: “Oh, it's the way the projects were managed.” The budgets are originally set for most of these projects using parametric cost models. These models use regression equations (called cost estimating relationships or CERs) to relate cost to space project independent variables. But these models seem to be usually built in a very left-brained construct—they work off of primarily technical variables such as mass, power, data rate, and the like. If management differences really drive cost, shouldn't these cost models contain management variables? Our paper describes the introduction of some unique engineering management variables—some right-brained factors—into the regressions to improve their predictive capabilities.