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Introduction to Cost Modeling, Template Overview for ...

Introduction to Cost Modeling, Template Overview for Performers ARPA-E Tech-to-Market February 12, 2014. Outline Context for Cost Modeling Motivation, Definitions, and Examples Template Description Scope, Overview , Worksheet Details Final Remarks February 18, 2016 Cost Modeling 1. Part I. Context for Cost Modeling Motivation, Definitions, and Examples Template Description Scope, Overview , Worksheet Details Final Remarks February 18, 2016 Cost Modeling 2. Cost & Value Production cost (necessary but not sufficient by itself). + Willingness to pay (customer value). Value creation potential of product WTP Consumer Value Surplus + Created Price Producer $. Surplus (Profit). Cost February 18, 2016 Cost Modeling 3.

Value creation . potential of product. Economic Modeling for Technology. February 18, 2016 Cost Modeling ... production steps. Most performers aim for basic ... – be guided by its scope (deliberate) – don’t dodge necessary considerations because of difficulty to validate

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