Contingency is an amount added to an estimate to shelter the project cost against changes that are likely to occur. Contingency can be treated as an allowance for costs that may result from incomplete design, changes due to unforeseen conditions, and market variations. Contingency can be derived by deterministic or probabilistic modeling, expert judgment, predetermined guidelines, simulation analysis, and parametric modeling.
Contingency is an amount added to an estimate to shelter the project cost against changes that are likely to occur. Contingency can be treated as an allowance for costs that may result from incomplete design, changes due to unforeseen conditions, and market variations. Contingency can be derived by deterministic or probabilistic modeling, expert judgment, predetermined guidelines, simulation analysis, and parametric modeling.
@Risk and Crystal Ball are widespread risk management software being used in the industry; our risk models are established utilizing @Risk platform. We develop exclusive risk models or can assist in establishing contingency. The depth of each model can be based on client’s need.
Estimate Contingency
Φ Probabilistic Analysis and Modeling
Φ Deterministic Analysis and Modeling
Φ Parametric Modeling
Φ Expert Judgment
Φ Predetermined Guidelines
Φ Simulation Analysis
Risk Register
Φ Discreet Events Driven Risks
Φ Probability of Occurrence
Φ Potential Relative Impact Analysis
Management Reserves
Φ (SCSA) Special Cost and Schedule Allowance Development
