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An analysis of the labor hours spent on technical analysis of cost proposal
Technical Analysis of Cost Proposal (TACP) is the review and evaluation of contractor’s cost data to assure that the contractor’s proposal is fair and reasonable for the timely delivery of supplies and/or services to the government. The purpose of this study is to analyze the variables involved in the labor hours spent by the analysts during the TACP process so as to derive an estimating equation for the planning and the controlling of the manpower of analysts. The REGRESSION subprogram of Statistical Package for the Social Sciences (SPSS) was used in this study as a means of analysis. As a result of the analysis, six variables were selected for the regression equation. These 6 variables explained 78.3% of the variation of the dependent variable. The comparison of the forecast values to the actual values showed that the forecast error was acceptable. Therefore, the resulting regression equation may be used as a tool to estimate the hours required before a TACP case is assigned, or to justify the hours spent on a TACP after it has been completed.