Ingeniero Quimico

AACE International Recommended Practice No. 18R-97

COST ESTIMATE CLASSIFICATION SYSTEM – AS APPLIED IN ENGINEERING, PROCUREMENT, AND CONSTRUCTION FOR THE PROCESS INDUSTRIES
TCM Framework: 7.3 – Cost Estimating and Budgeting

Acknowledgments: Peter Christensen, CCE (Author) Larry R. Dysert, CCC (Author) Jennifer Bates, CCE Dorothy J. Burton Robert C. Creese, PE CCE John K. Hollmann, PE CCECopyright 2005 AACE, Inc.

Kenneth K. Humphreys, PE CCE Donald F. McDonald, Jr. PE CCE C. Arthur Miller Bernard A. Pietlock, CCC Wesley R. Querns, CCE Don L. Short, II
AACE International Recommended Practices

AACE International Recommended Practice No. 18R-97

COST ESTIMATE CLASSIFICATION SYSTEM – AS APPLIED IN ENGINEERING, PROCUREMENT, AND CONSTRUCTION FOR THE PROCESS INDUSTRIES
TCMFramework: 7.3 – Cost Estimating and Budgeting February 2, 2005 PURPOSE As a recommended practice of AACE International, the Cost Estimate Classification System provides guidelines for applying the general principles of estimate classification to project cost estimates (i.e., cost estimates that are used to evaluate, approve, and/or fund projects). The Cost Estimate Classification System maps thephases and stages of project cost estimating together with a generic maturity and quality matrix, which can be applied across a wide variety of industries. This addendum to the generic recommended practice provides guidelines for applying the principles of estimate classification specifically to project estimates for engineering, procurement, and construction (EPC) work for the process industries.This addendum supplements the generic recommended practice (17R-97) by providing: • • • a section that further defines classification concepts as they apply to the process industries; charts that compare existing estimate classification practices in the process industry; and a chart that maps the extent and maturity of estimate input information (project definition deliverables) against the class ofestimate.

As with the generic standard, an intent of this addendum is to improve communications among all of the stakeholders involved with preparing, evaluating, and using project cost estimates specifically for the process industries. It is understood that each enterprise may have its own project and estimating processes and terminology, and may classify estimates in particular ways. Thisguideline provides a generic and generally acceptable classification system for process industries that can be used as a basis to compare against. It is hoped that this addendum will allow each user to better assess, define, and communicate their own processes and standards in the light of generally-accepted cost engineering practice. INTRODUCTION For the purposes of this addendum, the term processindustries is assumed to include firms involved with the manufacturing and production of chemicals, petrochemicals, and hydrocarbon processing. The common thread among these industries (for the purpose of estimate classification) is their reliance on process flow diagrams (PFDs) and piping and instrument diagrams (P&IDs) as primary scope defining documents. These documents are key deliverables indetermining the level of project definition, and thus the extent and maturity of estimate input information. Estimates for process facilities center on mechanical and chemical process equipment, and they have significant amounts of piping, instrumentation, and process controls involved. As such, this addendum may apply to portions of other industries, such as pharmaceutical, utility,metallurgical, converting, and similar industries. Specific addendums addressing these industries may be developed over time. This addendum specifically does not address cost estimate classification in nonprocess industries such as commercial building construction, environmental remediation, transportation infrastructure, “dry” processes such as assembly and manufacturing, “soft asset” production such as...