Terminology - S
S-Curve
Important graphical control tool commonly used for monitoring cost, progress or resource performance against time. (ACE)
Sale Price Variance
The portion of the marketing value which is due to the difference between the standard value specified and the specific value charged. (ACE)
Sales Allowance Variance
The difference between the standard rebates, discounts, etc., specified and the actual rebates, discounts, etc., allowed. (ACE)
Sales Budget
The estimated volume of the market anticipated and a forecast of the revenue. (ACE)
Sales Estimate
Any estimate prepared as a basis for bidding. (ACE)
Sales Expense
This is a merchandising cost; covering the expense of getting the product purchased by and delivered to a customer, including distribution of orders. Freight and other delivery costs are sometimes considered a selling expense, as also may be technical service or product development costs. (Cost of sales is a confusing phrase, usually a synonym for total manufacturing costs plus selling expenses as used here.) (ACE)
Sales Mixture Variance
The portion of the marketing value which is due to the difference between the standard and the actual inter-relationship of the quantities of each product or product group of which the market is composed. (ACE)
Sales Price
The revenues received for a unit of product. Gross sales price is the total amount paid by customers. NET sales are gross market value less returns, discounts, freight and allowances. Plant netbacks are NET revenue less selling, administrative and research expenses. (ACE)
or
The revenue for a unit of product. Gross sales price is the total amount paid. NET Sales are gross sales less returns, discounts, freight and allowances. Plant Netbacks are NET sales less selling, administrative and research expenses. (FLUOR)
Sales Profile
The growth or decline of historical or forecast market volume with time. (ACE)
or
The growth or decline of historical or forecast sales volume, by years. (FLUOR)
Sales Value Variance
The difference between the standard price and the actual price of goods sold during a period. (ACE)
Salvage Credits
Recovery value of unused or recovered equipment, material or property. (ACE)
Salvage Value
The value which can be recovered from equipment or other facilities when taken out of processing use and sold to an outside party. Usually assumed as NET of removal costs. (ACE)
Sampling
Forecasting technique based on analysis and for,vard projection of selected actual performance samples. (ACE)
Sanction Estimate
See CLASS II ESTIMATE. (ACE)
Sanctioned Cost
Defined level of cost authorisation. (ACE)
Sanctioned Man-hours
Defined level of man-hour authorisation. (ACE)
Scaling Factors
Factors used in estimating new process equipment derived from the relationship between equipment cost and size. (ACE)
or
The relationship between cost and size used in estimating new process equipment. where these are expressed by the equation:
Cost1 = (Size1)n
Cost2 (Size2)
Example : where n = 0.6 this is known as the six-tenths rule. (ACE)
Schedule
Target programme for completion. (ACE)
or
A formalised work plan set to a timetable. (FLUOR)
Schedule Contract
An agreement in which the prices to be paid to the contractor are determined by the application of the rates contained in a list of agreed prices according to the amount of work actually executed against each item. The schedule may be a document prepared for the contractor on a price fixed by the customer and in this case the contractor may quote a percentage above or below the list of prices to which he is prepared to execute the work. (ACE)
Schedule Impact
Effect or influence of some occurrence, commonly a change, on an existing schedule or completion date. (ACE)
Schedule of Rates
CONTRACT open-ended contract reimbursed against a SCHEDULE OF RATES. (ACE)
or
List of unit prices for work to be undertaken and/or materials to be supplied. (ACE) Schedule Planning encompasses all of Fluor's schedule planning, reporting, and control techniques used to develop control and detailed schedules. (FLUOR)
Scheduled Date (TS)
A date or time, attached to an activity or event, which must be real ised to satisfy the internal constraints of the network. (FLUOR)
Scheduled Finish (SF)
A date or time ort which an activity must be completed to satisfy the constraints of the network. (FLUOR)
Scheduled Occurrence (SO)
The date or time on which an event must occur to satisfy the constraints of the network. (FLUOR)
Scheduled Start (SS)
The date or time on which an activity must start to satisfy the constraints of the network. (FLUOR)
Scheduled Time (ST)
The time scheduled to be consumed by an activity. (FLUOR)
Scheduling
The process by which the duration of a project's tasks are applied to a plan. Resources and costs usually are considered. The determination of the timing of the operations comprising the project and their assembling to give the overall completion time. (FLUOR)
Scheduling Area
Any geographical area of a project which is scheduled as an entity; usually comprised of one or more processing units. (FLUOR)
Scheduling Engineer
A highly-trained, highly-skilled individual who utilises his knowledge of scheduling, cost, data processing, engineering, and construction procedures and techniques to plan and implement project schedules. (FLUOR)
Scheduling Procedures & Standards
A detailed set of instructions which outlines the duties and responsibilities of the scheduling staff. (FLUOR)
Schedule Variance
.
Scope
See SCOPE OF SUPPLY or SCOPE OF WORK. (ACE)
Scope Changes
See CHANGE OF SCOPE. (ACE)
Scope Deviation
See CHANGE OF SCOPE. (ACE)
Scope Deviation
A variance from the original design on which the estimate was based. (ACE)
Scope Estimate
See CLASS II ESTIMATE. (ACE)
Scope of Supply
Defined extent of services, commodities or facilities to be provided under contract. (ACE)
Scope of Work
Defined extent of work to be executed under contract. (ACE.)
Seat-of-the-Pants Estimate
See ORDER OF MAGNITUDE ESTIMATE. (ACE)
Sectional Costs
The analysis of project expenditure into separate classified component or service expenses. (ACE)
Selling Cost
The expense incurred in promoting sales and retaining custom. (ACE.)
Selling Expense
The total expense involved in marketing finished products. This normally includes direct distribution costs, advertising and customer service. (ACE)
or
The Total expense involved in marketing the products in question. This normally includes direct selling costs, advertising, and customer service. (FLUOR)
Semi-Definitive Estimate
Differs from the definitive estimate in that not all equipment is priced and the plot plan and flow sheets may be preliminary. (FLUOR)
or
See CLASS II ESTIMATE. (ACE)
Semi-Fixed Cost
A cost which is partly a permanent expense and partly variable. (ACE)
Semi-Variable Cost
Semi-fixed expense. (ACE)
Sequence
The arrangement of items in a pre-defined order. (FLUOR)
Service Facilities
The non-productive elements of equipment in a process plant. (ACE)
Services Area
All the non-productive facilities concerned with administration, communication, transport, maintenance, personnel and the like, for a factory as a whole. (ACE)
Set
In simulation theory, sets consist of entities with at least one common attribute. Additionally, entities may own any number of sets. Sets may be arranged (topological ordered) on a FIRST-IN, FIRST-OUT, LAST-IN, FIRST-OUT, or ranked basis. (FLUOR)
Setting-Up Cost
The expense of the process which begins after the production of one product is completed and ends when the production of another product which requires a change of materials, jigs, dies, etc. is begun. (ACE)
Shared Facilities
PRODUCTIVE SERVICES which are jointly used by various products and the cost of which therefore requires allocation; or non-productive facilities which are used by personnel or equipment or supplies applicable to various products and the cost of which must be allocated. (ICWA)
Shop Priority
Is a number composed of the area priority and the spool priority. The priority of spools through the shop may or may not be the same as the area priorities. Shop priorities would be based on field construction requirements. (FLUOR)
Short Path Flag
An indicator used to signify that the completion of any one direct predecessor activity, rather than all, is sufficient for an event to occur in an ACTIVITY-ON-ARROW NETWORK. (FLUOR)
Shutdown Point
The production level at which it becomes less expensive to close the plant and pay remaining fixed expenses out-of-pocket, rather than continue operations. The level of production below which the plant cannot meet its variable expenses. See BREAK-EVEN POINT. (ACE)
or
The production level at which it becomes less expensive to close the plant and pay remaining fixed expenses out-of-pocket, rather than continue operations; that is, the plant cannot meet its variable expense. See BREAK-EVEN POINT. (FLUOR)
Simple Average Price
A value which is calculated by dividing the total value of the materials in stock from which the material to be valued could have been drawn, by the number of different materials recorded. (ACE)
Simulate
To represent certain features of the behaviour of a physical or abstract system by the behaviour of another system. (FLUOR)
Simulation
1. The representation of certain features of the behaviour of a physical or abstract system by the behaviour of another system.
2. The imitation of one system by another.
3. The succession of states through which a model passes.
4. The processing of alternate actions to determine the effect such actions would have on the system under study. (FLUOR)
Sinking Fund
Fund established for the purpose of extinguishing or paying off a known liability, wasting asset or depreciation at or by a known future date. (ACE)
or
Periodic instalments, set aside or invested, from profits or reserves, for the purpose of extinguishing or paying off a known liability, wasting asset or depreciation at a known future date. (ACE)
Site
The ground or area on which a building or structure is to be situated. (ACE)
Site Establishment
Term used to describe all support facilities required or provided on a construction site, including site administration and supervision, temporary facilities, construction tools, supplies, offices, warehouses, labour camp, etc. (ACE)
Site Instruction
Formal written instruction issued at site to construction contractor. (ACE)
Site Overheads
See CONSTRUCTION INDIRECT. (ACE)
Site Preparation
An act involving grading, landscaping, installation of roads and siding, of an area of ground upon which anything previously located had been cleared so as to make the area free of obstruction, entanglements or possible collisions with the positioning or placing of anything new or planned. (FLUOR)
Site Preparation Costs
The expense of preparing the plant foundation area for installation of processing facilities. It includes grading, landscaping, road and siding installation. (ACE)
Site Transport
Vehicles for conveying plant from stores to project area and commercial winches, cranes and other equipment used on construction. (ACE)
Site-Preparation Costs
The cost of preparing the plant site; includes grading, landscaping, roads and rail siding installation. (FLUOR)
Six Tenths Factor
Refers to a relationship often applicable to processing equipment and, with considerably less accuracy, to entire plants, and which relates cost to the size of facilities. As facility Size increases, this relationship says costs increase according to the following formula: Cost1/Cost2 = Size1/Size2)0'6. The seven-tenths factor is often equally applicable and exponents of wide varieties occur in specific cases. (ACE)
or
Scaling factor of 0.6 - see SCALING FACTORS. (ACE)
Size Mix
Constituent sizes within a common commodity or activity, such as pipe works, steelworks, etc. (ACE)
Sizing Factor
An alternative term meaning SCALING FACTOR. (ACE)
Sizing Factors
See SCALING FACTORS. (ACE)
Slack (SE)
The algebraic difference between the LATEST OCCURRENCE (LO) and the EARLIEST OCCURRENCE (EO) of an event. The relationship is SE = LO - EO and may be negative. In preferred terminology the term SLACK pertains only to events, although historically it has been applied also to activities. (FLUOR)
Slush Fund
Provisional fund established to cover contingent irregularities. (ACE)
Software
The support data, including programs such as compilers or assemblers, usually supplied by the computer manufacturer as aids to the use of the equipment. (FLUOR)
Sort
The sequence in which computer output is to appear on the printout. (FLUOR)
Special Events
BEGINNING EVENTS, ENDING EVENTS and INTERFACES. (FLUOR)
Specific Cost Rate
A calculated value of expense apportionment, which is the specific, price of a service. (ACE)
Specific Reserves
Special provisions made within a cost estimate or forecast for defined possible occurrences. (ACE)
Specification
A detailed description of material, equipment and services, issued by a purchaser or seller to form the basis of a supply contract. (ACE)
Spool Priority
Is a number assigned to each individual spool, which would indicate preference of issue and erection. (FLUOR)
Standard Cost
A predetermined value of measured performance, which is believed to remain stable for a long period, to permit comparison with actual results to measure variance. (ACE)
Standard Cost Rate
A predetermined value of expense apportionment or overhead absorption calculated by dividing the total predetermined expenditure to be apportioned or absorbed, by the predetermined quantity. (ACE)
Standard Costing
The ascertainment and use of standard expenditure rates and the measurement and analysis of variances. (ICWA)
Standard Deviation Of Earliest Occurrence (SEO)
A measure of distribution about the EARLIEST OCCURRENCE (EO): SEO = SORT (VEO) where (VEO) is the VARIANCE OF EARLIEST OCCURRENCE. (FLUOR)
Standard Deviation Of Expected Time (SET)
A measure of distribution about the activity expected time period computed from the formula:
S=PT - OY
6
Where (S) is the STANDARD DEVIATION, (PT) is the PESSIMISTIC TIME ESTIMATE, and (OT) is the OPTIMISTIC TIME ESTIMATE. (FLUOR)
Standard Deviation Of Latest Occurrence (SLO)
A measure of distribution about the LATEST OCCURRENCE (LO): SLO = SORT (VLO) where ~LO) is the VARIANCE OF LATEST OCCURRENCE. (FLUOR)
Standard Deviation(s)
In PERT, a probabilistic measurement, based on the magnitude of difference between the pessimistic and optimistic time estimates, used to indicate the degree of uncertainty associated with the anticipated occurrence of an event and/or an activity's duration. (FLUOR)
Standard Hour
A hypothetical period of time which measures the amount of work which should be performed in that period. (ACE)
Standard Man-hours
Are defined as the time taken to do a unit of work using a standard crew working in a standard environment at a standard rate of application. (EMS)
Standard Module
Management approved PROJECT LEVEL SCHEDULES, which indicate the normal manner in which a discipline proceeds with its work on a "typical" project. Standard modules are modules that are on the computer files. (FLUOR)
Star Rate
Agreed additional unit rate for work not covered by contractual schedule of rates. (ACE)
Start Event
Same as BEGINNING EVENT. (FLUOR)
Start-Up
Bringing on stream the unit as in sequence of and as prescribed by manual Set forth by the designer and/or licenser. (FLUOR)
Start-Up Costs
Operating costs to bring the plant on stream before marketing. Includes employee training, equipment tests, process adjustments, as well as the usual manufacturing costs. It is generally assumed that no revenue is obtained from products received during this period. Frequently, part of this expenditure is capitalised. (ACE)
or
Presale operating costs to bring the plant on stream. Includes employee training, equipment tests, process adjustments, as well as the usual manufacturing costs. It is generally assumed that no revenue is obtained from products made during this period. Frequently, part of this start-up cost is capitalised. (FLUOR)
Start-Up Expense
Those non-recurring costs between the completion of plant construction and the time when the plant is capable of operating at its optimum capacity and costs. This includes advanced hiring of labour, repiping and other investment alterations and extra costs of operations at other than optimum conditions while those optimum conditions are being sought. (ACE)
Static Models
Models that do not explicitly take the variable time into account. Contrast with DYNAMIC MODE. (FLUOR)
Statistics
Are defined as cost engineering information fed back from projects to enable management to perform its function and to update historical information in the Cost Engineering Data Bank. (EMS)
Status
Term commonly used in respect of cost and schedule to indicate current situation on a project. (ACE)
or
The status of a simulated system can be defined in terms of the entities that exist; what the current value of their attributes are. (FLUOR)
Status Reporting
SCHEDULE STATUS is the comparison of your planned accomplishments to your actual accomplishments as of a specific date. (FLUOR)
Stochastic Model
A model in which the functional relationships depend upon chance parameters. The outcomes for a given set of inputs can be predicted only in a probabilistic context. Contrast with DETERMINISTIC MODEL. (FLUOR)
Stock
The value of goods in store, which remain, unsold at a given date.
The value of share capital represented by assets in a balance sheet.
Storage
A type of equipment that holds (stores) transactions. Conventionally, individual trans-actions are not catalogued in a storage. (FLUOR)
Straight Time
Time paid at base rate. (ACE)
Stream Days
TIME EFFICIENCY expressed as operating days per year, after deducting down time for maintenance and other foreseeable stoppages. (ACE)
or
TIME EFFICIENCY (q.v.) expressed as operating days per year, allowing down time for maintenance and other foreseeable work stoppages. (FLUOR)
Study Estimate
See CLASS III ESTIMATE. (ACE)
or
An estimate of fixed investment costs prepared from a minimum of flow-sheet and equipment data; expected to be within 30 per cent of the actual fixed investment. (FLUOR)
Sub Accounts
The divisions of specialised categories, which fall in a prime account. Used to further classify and more specifically identify an item. (FLUOR)
Sub Area (Scheduling)
A portion of a scheduling area which, due to its sequence of critical nature, is scheduled separately. (FLUOR)
Sub Area Priority
Would be a number assigned to a large section of complex area, i.e., compressor house heater-reactor train, cooker structure, etc. which would indicate priority of completion within an area. (FLUOR)
Sub-Master Schedule
Similar to contract master except that the scope of schedule is for sub-divisions of responsibilities, i.e. geographical areas, or control areas within the total contract. (FLUOR)
Sub-Optimum
A term given to a group which has optimised its function to the detriment of others. (FLUOR)
Subcontract
Is defined as a contract between Engineering Management Services, Ltd., and another contractor for the said contractor to perform specific Services on a project under the control of Engineering Management Services, Ltd. (EMS)
or
A portion of a project (labour and material) which is contracted Out to another firm, usually in a specialised field (e.g., electrical, insulation, painting). (FLUOR)
Subnet, Subnetwork
A logically complete network. It usually, but not always, represents some form of sub-project. It can be processed by itself (as a permanent stand-along subnet) or it can be a constituent of a network. If a subnet is a constituent of a network it may or may not (at the user's discretion) be interfaced to other subnets in the network. (FLUOR)
Successor Event
The event which signifies the completion of one or more activities. All activities preceding the event must be completed before the successor event can be considered to have occurred. See ENDING EVENT. (FLUOR)
Summary Budget
A comprehensive planned forecast which is prepared from, and summarises all of the separate functional elements of the plan. (ACE)
Summary Network
A network in which the amount of detail presented in condensed to a predetermined level. See MILESTONE NETWORK. (FLUOR)
Sunk Cost
Money which was spent before today and cannot be recovered. (FLUOR)
Sunk Costs
Non-recoverable past or continuing expenditures. (ACE)
or
Past or continuing expenditures related to past decisions which are unaffected by current or future decisions, and which are not recoverable. (ACE)
Supervision Control Level Schedule
The highest level of detail. (FLUOR)
Supervision Expense
Plant operating costs for shift supervisors and foremen who are assigned to an area of the plant with more than one product or processing facility and whose cost must therefore be allocated as an overhead charge. (ACE)
Surety Bond
Legal document executed to guarantee a contractor's contracted liability. (ACE)
or
A legal document executed, to guarantee a contractor's contracted obligations. (ACE)
Surplus Material
Uninstalled permanent material purchased for a project. (ACE)
or
Uninstalled materials, purchased for a fixed investment project such as pipe fittings, valves, and conduit but left unused after construction is complete. (ACE)
Surveyor's Fee
The charge paid by a purchaser to person qualified to inspect, report and certify value of a contracted service. (ACE)
Suspense Account
Cost account held for specific purposes, such as unidentified expenses, audit facilities, etc. (ACE)
Suspense Clause
Clause in purchase order or contract describing the circumstances under which suspension or cancellation may be initiated, and defining the terms under which such suspension or cancellation shall be effected. (ACE)
Sustaining Capital
The fixed capital requirements to;
1. Maintain the competitive position of a project throughout its commercial life by improving product quality, related services, safety or economy, or
2. Required to replace facilities, which wear out before the end of the project life. (ACE)
