Cost analysis for competitive major weapon systems procurement

further refinement and extension
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Naval Postgraduate School, Available from National Technical Information Service , Monterey, Calif, Springfield, Va
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About the Edition

This report tracks historical trends in regional migration and economic conditions and the link with Army recruiting patterns. Future projections of regional population, migration, and economic activity are also presented. A third area of analysis is the impact of foreign immigration on regional markets is analyzed. Finally, the likely impact of projected changes in regional recruiting markets on Army recruiting prospects are assessed.

Other titlesNPS-54-84-023.
Statementby Willis R. Greer, Jr. and Shu S. Liao
ContributionsLiao, Shu S., Naval Postgraduate School (U.S.). Dept. of Administrative Sciences
The Physical Object
Paginationviii, 114 p. :
ID Numbers
Open LibraryOL25496071M

Weapon System Cost Growth Analysis of 35 Major Defense No part of this book may be reproduced in any form by any electronic or mechanical means (including photocopying, ment Procurement of Weapon Systems, by Mark Lorell, John C.

Graser, and Cynthia R. Cook, MGAF, documents for theCited by: NPS NAVALPOSTGRADUATESCHOOL Monterey,California COMPETITIONINWEAPONSYSTEMSACQUISITION: COSTANALYSESOFSOMEISSUES and um. CBO’s Estimate for Major Systems CBO’s estimate of a sustaining budget for procurement was constructed in two parts: (1) an estimate for major weapon systems such as aircraft, ships, and tanks and (2) an estimate for all other equipment, for which DoD provides less detail.

The latter covers. Major Weapon Systems: Legislative Perspectives Michael D. Rich " When systems procurement costs of billions rather than tens or hundreds of millions of dollars became common in the s, Congress began to participate actively in the system selec- Systems Analysis represented a mechanism by which the.

Weapon-system cost growth has been a subject of interest in the Department of Defense (DoD) for many years—early RAND studies of weapon-system cost growth date back to the s (Marshall and Meckling, ).

McNicol (), Wandland and Wickman (). This book shows the major weapon systems funded in the FY President’s Budget, organized by the Mission Support Activities. Each Mission Area Category chapter heading further breaks out the funding allocation in FY by subgroups, and provides a summary programmatic and financial description of the major weapon systems within each.

FY Program Acquisition Cost by Weapon System. The FY President’s base budget request for modernization in Cost analysis for competitive major weapon systems procurement book RDT&E and Procurement titles is comprised of 2, Program, Project, and Activity (PPA) line items, a portion of which finances the development and procurement of Major.

subcontractors. The cost analysis for each subcontractor must be completed and documented on a separate Cost Analysis Checklist. Some of the data items shown below may be provided to the TEC for cost realism analysis of for the work that is to be performed.

COST ANALYSIS CHECK LIST Data Item Yes/NA Comments DIRECT LABOR 1. Price Analysis Techniques. With any purchase of goods or services, including sole source items, some type of cost analysis is required.

A part of this analysis is verification of pricing. There are many ways to analyze the pricing of a product or service.

Techniques for comparing price can be found in the Federal Acquisition Regulation (the FAR). The Office of Cost Assessment and Program Evaluation (CAPE) was established in as part of the Weapon Systems Acquisition Reform Act (WSARA).

The origins of the office date to with the establishment of the Office of Systems Analysis, which became the Office of Program Evaluation and Analysis in the mids.

Research Brief. The U.S. Department of Defense (DoD) has recently experimented with changing the way it purchases major weapon systems. Typically, the government uses a cost-based acquisition (CBA) approach, which bases the price for developing and producing a weapon system on certified cost data that the contractor must supply.

“Technical Procedure for the Procurement of Aircraft, Weapons and Electronic Systems,” Ministry of Defence Standard Part O Issue 2, Glasgow, Novem 6. Technical matrix can be drawn by the user service only. Cost Structure and Life Cycle Cost (LCC) for Military Systems (RTO MP / SAS) Executive Summary Costs have long since become a major issue in military systems analysis.

Attention is not limited to the acquisition costs alone, but encompasses all costs involved in the use and disposal of systems.

Pursuant to a congressional request, GAO reviewed the Department of Defense's (DOD) study on weapon systems procurement, focusing on the accuracy of the data and methodologies used in the study.

GAO found that: (1) because DOD is generally optimistic in its weapon system procurement planning, DOD procurement programs are vulnerable to instability and unit costs could be higher.

This report summarizes the purpose of each program, its capabilities, its planned development and procurement schedule, its annual procurement rate, and past and future program funding.

When available, it also includes Average Procurement Unit Costs (APUC) and estimated total Operations and Support (O&S) costs for each program. Comparison of Major Contract Types Chart.

Competitive Prototyping Waiver Template v Cost Analysis Strategy Assessment (CASA) Total Ownership Model. Cost Analyst Spreadsheet Toolbox. DoD Weapon System Acquisition Reform Product Support Assessment. DoDD The Defense Acquisition System.

Evaluation of current practices on future costs d. Make-Buy analysis e. Compliance with FAR Cost Principles and CAS f. Verification that Cost or Pricing Data are current, accurate and complete 2.

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Profit a. FAR Subpart b. DoD Weighted Guidelines approach – DD Form 3. Cost Of Money a. FAR b. CAS 4.

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Cost Realism. Funding for weapons systems—which constitutes about one-third of the Department of Defense’s budget—is used to procure new systems, upgrade existing systems, and perform research, development, testing, and evaluation of new systems.

CBO reviews selected weapon programs and provides a regular analysis of the long-term cost of planned weapons acquisition. The place to begin your analysis is in the raw material category as it contains 60% of the cost, the greatest single category.

The main cost driver is copper as it comprises the single biggest item of raw mat. Copper and PVC are commodities whose price is established daily on major. IE states that Procurement by noncompetitive proposals may be used only when the award of a contract is infeasible under small purchase procedures, sealed bids, or competitive proposals and at least one of the following circumstances applies: A cost analysis, i.e., verifying the proposed cost data, the projections of the data, and the.

Weapon System Cost 7) What is the procurement cost of this system. [Given a cost breakdown, determine Development Cost, Flyaway Cost, Weapons System Cost, Procurement Cost, and Life Cycle Cost.] Cost Types Cost(in millions of dollars) Research, Development, Test & Evaluation $ Procurement of Prime Mission Equipment $ Procurement of Support Equipment $ Procurement.

In Aprilwe reported that the DOD expects to invest $ trillion in total to develop and procure its portfolio of 86 major defense acquisition programs. Congress and DOD have long sought to improve how major weapon systems are acquired, yet many DOD programs continue to fall short of cost, schedule, and performance goals.

Investing in systems that can gather data on specific suppliers of specific goods and services in specific countries can improve dramatically the efficiency and effectiveness of procurement efforts. Fluor’s Enterprise Spend Management processes track major procurement commitments, capturing price and bid information for benchmarking.

Situations for Cost Realism Analysis (FAR (d)).

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When evaluating competitive offers for a: • Cost-reimbursement contract, you must use cost realism analysis to determine the probable cost of performance for each offeror.

• Fixed-price incentive contract or (in exceptional cases) other fixed-price contract, you may use cost. This PetroKnowledge Strategic Cost and Value Management in Procurement training seminar will have a deep dive into Total Cost of Ownership and value creation by strategic procurement, which is critical for organizations to be able to compete at the global level with sustainable profitability.

Depending on the method of procurement and the items in question, cost and price analysis can have very similar or very different results in supply chain decision making.

Cost and price analysis both start with cost per unit. Neither ends with that simple measure. Price analysis has four basic components: Analysis of any existing price history.

ACQ Module Given a cost breakdown, determine Development Cost, Flyaway Cost, Weapons System Cost, Procurement Coast, and Life Cycle Cost. What is the procurement cost of this system. $1, million The largest distribution of software cost will be ____ in the program’s life cycle. Late Two basic sources of hybrid Foreign Military Sales (FMS) and Direct Commercial Sales (DCS) are.

Leverage Our Procurement Services – One of the Leading Procurement Companies Worldwide. We at EmpoweringCPO with vast pool of experience, we have plenty of case studies to elaborate on how we were able to develop Should Be Cost Analysis models for our clients.

(b) Requires a determination by the Secretary of Defense and a notification to Congress before acquiring a major weapon system as a commercial item. Definition. As used in this subpart— “Major weapon system,” means a weapon system acquired pursuant to a major defense acquisition program.

Policy. A full procurement analysis will identify the total cost of purchasing from a particular supplier. Inventory Analysis The next most important area to analyze is the costs of storing the items as well as the costs of not having the items available for sale or manufacture.

Get this from a library! Dual production sources in the procurement of weapon systems: a policy analysis. [Michael N Beltramo; Rand Corporation.] -- Provides a framework to guide decisionmakers involved with the weapon systems acquisition process in determining whether to establish dual production sources.

In a dual source competition, annual.87 pages in PDF format This document is undoubtedly one of the more interesting annexes to the Pentagon’s annual budget submission, as it provides a straightforward, unembellished look at the real costs of each of the Pentagon’s major weapon programs.

It consists of an overview section, an analysis of weapon systems by major mission area category, and finally a one-page status report .procurement costs. Data collection included 5 semistructured interviews, company documents, and annual reports.

Through thematic analysis, the major themes that emerged from the data analysis were accuracy, competitive advantage, improved corporate performance, and improved total cost analysis.

The findings may contribute to.