The AACE International Constitution and Bylaws defines Cost Engineering and Total Cost Management as follows:
It is a systematic approach in Managing Cost Throughout the Life Cycle of any Enterprise, Program, Facility, Project, or Service. This is accomplished through the application of Cost Engineering and Cost Management Principles, Proven Methodologies and the Latest Technology in Support of the Management Process.
Total Cost Management is that area of Engineering Practice where Engineering Judgment and Experience are used in the Application of Scientific principles and Techniques to problems of Business and Program Planning; Cost Estimating; Economic and Financial Analysis; Cost Engineering; Program and Project Management; Planning and Scheduling; Cost and Schedule Performance Measurement, and Change Control.