Cost Analysis
KHALIL Engineering Consulting (KEC) conducting a cost analysis program for each project to ensure that the items included in the Bill of Quantity within the budget of the client. The THREE TYPES OF COST ANALYSIS IN EVALUATION:
- Cost allocation
- cost-effectiveness analysis
- cost-benefit analysis
WHAT COST ANALYSES CAN TELL YOU:
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Cost analyses can provide estimates of what a program’s costs and benefits are likely to be, before it is implemented
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Cost analyses may improve understanding of program operation, and tell what levels of intervention are most cost-effective
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Cost analyses may reveal unexpected costs
USING COST ANALYSES:
Using cost analyses with the state strengthening evaluation has main five main points of approach for evaluation :
- Program Definition
- Accountability
- Understanding and Refining
- Progress Toward Objectives
- Program Impact
ADVANTAGES OF USING COST ANALYSES:
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Promotes fiscal accountability in programs.
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Helps set priorities when resources are limited.
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Can be extremely powerful and persuasive to legislators, policy makers, and other funders
HOW (KEC) BUDGET & ALLOCATE COSTS FOR COST EFFECTIVENESS STUDIES:
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Develop a line-item budget that shows all expenditures
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Determine the agency’s program structure
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Identify all direct costs and indirect costs.
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Assign direct costs to the appropriate program or project.
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Allocate indirect costs to programs
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Determine total program costs..
