Using fuzzy neural network approach to estimate contractors' markup

This paper presents a decision aid to assist contractors to estimate markup percentage to be included in their tenders, based on the Fuzzy neural network (FNN) approach. With the fuzzy logic inference system integrated inside, the FNN model provides users with a clear explanation to justify the rationality of the estimated markup output. Meanwhile, as every output of the FNN model is produced through the fuzzy inference rules, the results from the FNN model are in a reasonable and acceptable scale. By using this model, the difficulties in markup estimation due to its heuristic nature can be overcome.