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How To Appropriately Develop and Use an Independent Government Cost Estimate (IGCE)

A Two Day Workshop for Government Personnel

This course shows you, step-by-step, how to conduct an IGCE that fully complies with the Federal Acquisition Regulation (FAR).

How does one determine that a price is “fair and reasonable”?  What factors should be considered?  How shall they be documented?  What level of independent examination of reasonableness is required?  In addition to showing you how to perform thorough IGCEs – we also show you how to determine when to stop collecting data to insure you don’t collect more information than necessary.

Our IGCE course details all of the requirements of Price Analysis and the steps used in estimating.  In addition to the basics, this course covers specific costing issues related to Research and Development (R&D); Commercial acquisitions; Systems acquisitions; Competitive Sourcing; Infrastructure acquisitions; and cost estimating for long-term, high-priority or high-value acquisitions.

Who Should Attend—

Acquisition personnel, project officers, program managers, purchasing office personnel, Strategic Sourcing personnel, Commercial Services Management personnel, and financial personnel will all benefit from this course.

This course is vital for personnel involved in negotiated acquisitions, especially those dealing withR&D, Product, Services or Systems acquisitions, as well as IT solicitations. In addition, project officers, program managers, Functional Experts, and those involved in source selections will gain valuable insight into the legal and regulatory costing mandated by the FAR through the IGCE process.  Any and all personnel involved in the acquisition process will find this class greatly improves their understanding of the cost estimating process.

Some of the topics covered in this workshop include –

  • Independent Government Cost Estimate/Independent Government Estimate (IGCE/IGE)
    • What it is
    • How you do it
    • How to conduct Market Research
    • When economic limits come into play
    • Applying the rules for exclusions
    • When a waiver is the best answer
  • Risk
    • How to identify the risk areas of an IGCE
    • How to minimize those risks
  • Labor Rates
    • Learn how to ensure you determine which labor categories are needed to meet the requirements of the project
    • Make your project managers proficient in how to determine labor rates
    • How to determine the number of hours required for each labor category
  • Price Analysis
    • What it is
    • How you do it
  • Cost Analysis
    • Steps to estimate overall costs
    • How to research and document industry standards
    • When and how to use Activity-Based Costing
  • Cost Realism Analysis
    • How to use Market Cost Analysis Techniques
    • When modeling an activity makes sense
    • How to conduct Price/Cost Research
    • Developing the Cost Library
  • Technical Analysis
    • How to do a Technical Review for Completeness
    • How to conduct a Technical Estimation of Value
    • How to perform a Technical Approach Validation
    • Implementation of Technical Experts in Negotiations
  • Legal Implications
    • Step-by-Step Case Study Reviews
    • When to conduct Risk Analysis
    • How to find and when to share Lessons Learned
  • An In-Depth Hands-On exercise to Apply the Skills Learned during the Workshop
  • Post-Course Evaluation