Analogous and parametric estimating

- The most common form of estimating is analogous estimating because we naturally look at something new and compare it with what we know. Analogous estimating compares past similar projects to the current project. It identifies variables that drive things like cost, duration, effort, and then adjusts the estimate to reflect the situation. Let's say you're trying to get a high level cost estimate for the building's foundation for the career upskilling reskilling center. The contractor says he did a similar job that costs $240,000, but that job used a pier and beam foundation, while you're using a concrete slab. Also, square footage for that other project was a single story with 20,000 square feet and your building is 15,000 square feet with two stories. How can you use the previous job to develop an estimate for the current job? Well, start by comparing the job size. Take 20,000 square feet from the previous job and…