AACE Releases New Recommended Practice
117R-21: Integrated Cost and Schedule Risk Analysis and Contingency Determination Using Combined Parametric Modelling and Monte Carlo Simulation of a CPM Model
This recommended practice (RP) of AACE International defines the general practices and considerations for combining parametric and CPM-based methods for risk analysis and contingency assessment in construction-based projects. These integrated cost and schedule risk analysis (ICSRA) methods can be combined provided steps are taken to avoid double-counting sources of risk.
The RP defines the combination of the two methodologies to avoid double-counting of risk, not the source methodologies themselves. For those, refer to AACE RP 42R-08 and to AACE RP 57R-09.
Contributors:
Colin H. Cropley (Primary Contributor)
James E. Arrow, DRMP
Francisco Cruz Moreno, PE
|John K. Hollmann, PE CCP CEP DRMP FAACE Hon. Life
Dr. David T. Hulett, FAACE
About Colin:
Colin Cropley has over 40 years’ experience with project management, project controls and risk management. He has experience in project and risk management consulting, software development, training and lecturing, in sectors including infrastructure, oil & gas, minerals processing, IT, power and defense. He has conducted risk management processes, schedule and cost risk analyses and training for organizations including Australian Department of Infrastructure, Regional Development and Cities (DIRDC), BHP Billiton, BP Australia, Downer EDI, FortisBC, Leighton Contractors, Oman LNG, Origin Energy, OZ Minerals, Santos, South32, Thiess, Victorian Transport Department and Woodside Petroleum.
Colin is a chemical engineering graduate of the University of Melbourne and was chairman of the Victorian Primavera Users Group from 1997 to 2009. He guest-lectured in project management at universities between 1991 and 2018 and has delivered presentations at many project management and controls-related conferences, including AACE International’s Conference & Expo. He is a member of AACE International, the Australian Cost Engineering Society and the Australian Risk Engineering Society (both Technical Societies of Engineers Australia).
Colin is currently the Managing Director of Risk Integration Management Pty Ltd www.riskinteg.com
AACE Members may download the RP free of charge here:
https://web.aacei.org/docs/default-source/rps/117R-21.pdf
Non-members may purchase the RP for USD 100 here:
https://www.pathlms.com/aace/courses/2928/documents/67092