Organizational Competitiveness Management System (OCMS)
OCMS's Estimate Accuracy
Organizational Competitiveness Management System (OCMS) allows to make the quantitative assessment of the organization and the product competitiveness.
The Estimate accuracy classification matrix of the organization and the product competitiveness assessment, that was developed taking into account the international Cost estimate classification system, is presented in table 1.
Table 1. Estimate accuracy classification matrix of the organization and the product (O&P) competitiveness assessment, legend: L – low range, H – high range.
|
Estimate class |
Level of project definition (Expressed as % of complete definition) |
Class description |
Principle of estimation |
Expected accuracy range (Typical variation in low and high Ranges) |
|
Class 5 |
0% to 2% |
The so-called "rough" assessment of O&P competitiveness. It is carried out on the basis of a small amount of available information about O&P. It shows low accuracy. |
Expert assessments. Analysis of O&P competitiveness by their analogues. |
L: -20% to -50% H: +30% to +100% |
|
Class 4 |
1% to 15% |
Preliminary assessment of the competitiveness based on generalized indicators of various types. |
More detailed assessment, than Class 5. Availability of various types of generalized information (technical, organizational, economic, etc.) about O&P. It provides the most general idea of the interrelationships of generalized indicators of competitiveness. |
L: -15% to -30% H: +20% to +50% |
|
Class 3 |
10% to 40% |
Additional, accessorial more detailed, than on previous Classes, information on O&P is used. |
Partially detailed assessment. A part of the generalized indicators of competitiveness is described thoroughly in details, the interrelationships between the indicators of competitiveness are given both in general and in detail. |
L:-10% to -20% H: +10% to +30% |
|
Class 2 |
30% to 70% |
Sufficiently complete, detailed assessment of O&P competitiveness. |
No generalized information. Detalization of all indicators (and their correlation) of competitiveness in the assessment is explicit. It differs from the Class 1 only by insignificant assumptions of the possible parameter estimation. |
L: -5% to -15% H: +5% to +20% |
|
Class 1 |
65% to 100% |
Total, most accurate assessment of O&P competitiveness. |
The most comprehensive information is available for the assessment of O&P competitiveness for consistently realized products and stable organization functioning. |
L: -3% to -10% H: +3% to +15% |
The organization and the product competitiveness assessment is can be carried out under condition of availability of superficial or insufficiently accurate information about products and organizations. For example, when there is a need to assess approximately potential competitiveness of the organization and the product in the market. In particular, at the stage of a preliminary decision on the entry of the organization and the product into a new market.
Such assessment gives a general idea of the level of the organization and the product competitiveness to the organization’s management.
The detailization of the assessment, which is being carried out, as information is refined, even if this refinement may not be carried out simultaneously in all directions for assessing the competitiveness of a product or organization.