Management of Project Owners Estimate (OE/HPS) Course

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1 06 - 08 Nov 2023 Please call us Register


Project is defined as a temporary activity that takes place within a certain period, the allocation of limited resources and is intended to carry out the tasks that have been determined. The success of a project depends on the extent to which the project can meet the criteria for project success. The criteria include: project benefits, project quality, the timing of and costs incurred. Owner Estimate (OE) or Self-Estimated Price (HPS) is a price estimation of goods / services that are professionally analyzed and validated by the executive authority. Owner Estimate (OE) serves a variety of reference in the evaluation of the price offered of goods and services with the aim to get the reasonable price offered, justifiable and can be implemented by the counterparty in accordance with the provisions of the contract. Thus, the preparation of the Project Owners Estimate Project Management is the key to the success of a company. This workshop will be guided by some of the speakers who have experience in project management and purchasing and extensive knowledge of statistics and accounting deeply. To each seminar participant, will be provided the software for the calculation Owner Estimate. The material covered will be very useful for the calculation of OE and OE Project procurement of goods or services.


  • Specify clearly the types of jobs will be created OE / HPS
  • Define assumptions: Method of execution, Method of work, Location of base camp / quarry, Type & capacity appliance that will be used
  • Collect data and updated information related to:
    • Entry List Project (DIP)
    • Analysis of unit price (RAB) in question during the budget submission (DUP / DUK)
    • Local wage base unit price
    • Basic unit price of materials and the local tool rental
    • Unit cost information published officially by the BPS, related associations, manufacturers, and from the   competent authority and source of data that can be accountable
    • List of charges / tariffs of goods / services set by the Government
    • Survey field conditions
    • Price unit of previous similar contract packages that are running by considering the factor of change in the cost (if any)
    • Approximate cost calculation by the consultant / Engineers Estimate (EE)
    • Unit Price nearest contract
    • List of standard costs issued by the competent authority


This training is in accordance followed by: Cost Estimator, Purchasing Manager / Staff, Procurement Manager / Staff, Supplier Operations Manager / Staff, Production Manager / Staff, Senior Buyers, Price Analyst, Logistics, Distribution Manager, Materials Manager, and Warehousing Manager


Crash Engineering Program

  • Criteria crash program
  • Engineering and optimization crash program
  • Analysis of the cost of the program crashes

Structure of the project cost as the basis for calculating OE

  • Direct Materials
  • Direct Labour
  • Overhead

Calculation of OE material

  • The contract price of the past
  • Market price
  • Prices are derived from the proposal suppliers
  • Prices are based on calculations of the cost of production
  • Target pricing
  • Several alternatives for OE material

Mechanical budgeting project with the concept of activity-based budgeting (ABB)

  • Understand the concept of activity-based budgeting (ABB)
  • The project is a collection of activities
  • Mechanical calculation of each activity
  • Application of the concept of activity-based budgeting in preparing the project budget
  • Technical preparation of project cash budget

Calculation of OE and material planning

  • Know the concept of ABB (Activity-Based Budgeting).
  • The project is a set of activities.
  • Cost Calculation Techniques Every activity.
  • Concept Applications Activity-Based Budgeting in Developing Budget Project.
  • Cash Budget Project Preparation Techniques.

Application concept of total cost of ownership (TCO) for the selection of equipment

  • The difference between the value, cost, and price
  • Choose appliances with the concept of Net Present Value

Technical evaluation of project costs

  • Compare the cost of a budget for each project activity with actual costs
  • Analysis of variance fees
  • Cause and effect analysis project costs

Project Control

  • Basic and project control objectives
  • S curve
  • Control of time and costs
  • Control of Contractors
  • Quality control