Estimating Target Costs: A Case Study at Bombardier Aerospace

摘要

A comparative case study on estimating target cost carried out in collaboration with Bombardier Aerospace, a globalleader in the manufacturing and assembling of regional and business jets. The study uses a regression basedparametric model and neural networks for estimation purposes of a major aircraft commodity. The cost estimationperformance of the parametric model is compared to the neural network in order to determine which estimationtechnique is preferable. The neural network achieves a lower average error in its cost estimations, both on thetraining and validating data.