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An Analysis Of Missile Systems Cost Growth And Implementation Of Acquisition Reform Initiatives Using A Hybrid Adjusted Cost Growth Model
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Book Synopsis An Analysis of Missile Systems Cost Growth and Implementation of Acquisition Reform Initiatives Using a Hybrid Adjusted Cost Growth Model by : Christopher C. Abate
Download or read book An Analysis of Missile Systems Cost Growth and Implementation of Acquisition Reform Initiatives Using a Hybrid Adjusted Cost Growth Model written by Christopher C. Abate and published by . This book was released on 2004-03-01 with total page 136 pages. Available in PDF, EPUB and Kindle. Book excerpt: This thesis examined cost growth in Department of Defense (DoD) missile systems from 1991 to 2001 using Selected Acquisition Report (SAR) data with a hybrid adjusted cost growth (ACG) model. In addition, an analysis of acquisition reform initiatives during the treatment period was conducted to determine if reform efforts impacted missile system cost growth. A pre-reform (1 January 1991 to 31 December 1996) period and post reform (1 January 1997 to 31 December 2001) period was subjectively developed to compare the mean annual ACG during each period for statistical differences. The hybrid ACG model outlined in this thesis may aid program managers and other interested parties in determining weapon systems cost growth, and the conclusion drawn from analyzing current acquisition initiatives may assist DoD leadership in assessing reform effectiveness on reducing cost growth. This research effort analyzed 135 SARs for 21 missile systems that reported a Milestone II baseline during the treatment period. Adjusted Cost Growth (ACG) calculations revealed that missile systems from 1 January 1991 to 31 December 2001 averaged 28 percent cost growth annually. The acquisition reform analysis included 76 SARs from 20 programs during the pre-reform period and 59 SARs from 13 programs in the post-reform period. A small sample t-test was used to compare the annual means of the two periods and revealed that at a 0.05 significance level, the annual average ACG for the post-reform period was higher than the annual average ACG of the pre- reform period.
Book Synopsis An Analysis of Aircraft Weapon Systems Cost Growth and Implementation of Acquisition Reform Initiatives Using a Hybrid Adjusted Cost Growth Model by : Richard A. Phillips
Download or read book An Analysis of Aircraft Weapon Systems Cost Growth and Implementation of Acquisition Reform Initiatives Using a Hybrid Adjusted Cost Growth Model written by Richard A. Phillips and published by . This book was released on 2004-03-01 with total page 114 pages. Available in PDF, EPUB and Kindle. Book excerpt: This thesis examined cost growth in Department of Defense (DoD) aircraft weapon systems from 1991 to 2001 using Selected Acquisition Report (SAR) data with a hybrid adjusted cost growth (ACG) model. In addition, an analysis of acquisition reform initiatives during the treatment period was conducted to determine if reform efforts affected aircraft weapon system cost growth. A "pre-reform" (1 January 1991-31 December 1996) period and a "post reform" (1 January 1997-31 December 2001) period were subjectively developed to compare the mean annual ACG during each period for statistical differences. The hybrid ACG model outlined in this thesis may aid program managers and other interested parties in determining weapon systems cost growth, and the conclusion drawn from analyzing current acquisition initiatives may assist DoD leadership in assessing reform effectiveness on reducing cost growth. This research effort analyzed 78 SARs for 13 aircraft weapon systems that reported a Milestone II baseline during the treatment period. ACG calculations revealed that aircraft systems from 1 January 1991 to 31 December 2001 averaged a 40 percent cost growth annually. The acquisition reform analysis included 43 SARs from 11 programs during the pre-reform period and 35 SARs from 7 programs in the post- reform period. A small sample t-test was used to compare the annual means of the two periods. The t-test revealed that there was no significant difference between the annual average ACG for the pre-reform and post-reform periods. The 13 aircraft systems reviewed in this study are as follows: B-1B (Lancer), C130-J (Hercules), C-17 (Globemaster III), KC-135R (Stratotanker), AV-8B (Harrier) AV- 8B (Harrier remanufacture), F-14D (Tomcat), F-16 (Fighting Falcon), F-22 (Raptor), FA-18 E/F (Super Hornet), FA-18 (Hornet), T-6A (JPATS), and the T-45- TS (Goshawk). The thesis methodology, results, and suggestions for future research are provided. (15 tables, 8 figures, 40 refs.)
Book Synopsis How Funding Instability Affects Army Programs by : David Kassing
Download or read book How Funding Instability Affects Army Programs written by David Kassing and published by Rand Corporation. This book was released on 2007 with total page 111 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study looked at how funding instability affects Army acquisition programs. Most funding instability was found to stem from events external to the Army or ambitious Army-set technical goals. Funding instability's effects took the form of schedule slips, cost increases, and to a lesser degree, technical compromises. No significant association was found between funding instability and the adverse effects of program cost growth and schedule slippage.
Book Synopsis Is Weapon System Cost Growth Increasing? by : Obaid Younossi
Download or read book Is Weapon System Cost Growth Increasing? written by Obaid Younossi and published by Rand Corporation. This book was released on 2007 with total page 142 pages. Available in PDF, EPUB and Kindle. Book excerpt: In recent decades, there have been numerous attempts to rein in the cost growth of U.S. Department of Defense (DoD) acquisition programs. Cost growth is the ratio of the cost estimate reported in a program's final Selected Acquisition Report (SAR) and the cost-estimate baseline reported in a prior SAR issued at a particular milestone. Drawing on prior RAND research, new analyses of completed and ongoing weapon system programs, and data drawn from SARs, this study addresses the following questions: What is the cost growth of DoD weapon systems? What has been the trend of cost growth over the past three decades? To address the magnitude of cost growth, it examines cost growth in completed programs; to evaluate the cost growth trend over time, it provides additional analysis of a selection of ongoing programs. This sample of ongoing programs permits a look at growth trends in the more recent past. Changes in the mix of system types over time and dollar-weighted analysis were also considered because earlier studies have suggested that cost growth varies by program type and the cost of the program. The findings suggest that development cost growth over the past three decades has remained high and without any significant improvement.
Book Synopsis Defense Acquisitions by : Michael J. Sullivan
Download or read book Defense Acquisitions written by Michael J. Sullivan and published by DIANE Publishing. This book was released on 2010-09 with total page 49 pages. Available in PDF, EPUB and Kindle. Book excerpt: For several decades, Congress and the DoD have explored ways to improve the acquisition of major weapon systems, yet program outcomes and their underlying causes have proven resistant to change. Last year, the cumulative cost growth in DoD's portfolio of major programs was $296 billion. The opportunity to achieve meaningful improvements may now be at hand with the recent intro. of major reforms to the acquisition process. This report focuses on: (1) identifying weapon programs that are achieving good outcomes; (2) the factors that enable some programs to succeed; and (3) lessons to be learned from these programs to guide implementation of recent reforms. This report conducted case study reviews of five programs. Charts and tables.
Book Synopsis An Analysis of the Implementation of Acquisition Reform Initiatives and Contract Cost Variance by : Mark A. Holbrook
Download or read book An Analysis of the Implementation of Acquisition Reform Initiatives and Contract Cost Variance written by Mark A. Holbrook and published by . This book was released on 2003-03-01 with total page 127 pages. Available in PDF, EPUB and Kindle. Book excerpt: This thesis examines the impact of acquisition reform initiatives implemented since 1993 on contract cost performance. Many initiatives implemented during the 1990s focused on saving the government money in procuring weapon systems. For decades, cost overruns have plagued Department of Defense weapons systems development and procurement costing the government money. The passage of the Federal Acquisition Streamlining Act (FASA) of 1994 and the Clinger-Cohen Act of 1996, marked significant congressional action on aiding the Department of Defense develop and procure systems cheaper. Conclusions drawn in this thesis may aid leadership in supporting current initiatives and drafting new changes.
Book Synopsis Sources of Weapon System Cost Growth by : Joseph G. Bolten
Download or read book Sources of Weapon System Cost Growth written by Joseph G. Bolten and published by Rand Corporation. This book was released on 2008-06-19 with total page 117 pages. Available in PDF, EPUB and Kindle. Book excerpt: This analysis uses data from Selected Acquisition Reports to determine the causes of cost growth in 35 mature major defense acquisition programs. Four major sources of growth are identified: (1) errors in estimation and scheduling, (2) decisions by the government, (3) financial matters, and (4) miscellaneous. The analysis shows that more than two-thirds of cost growth (measured as simple averages) is caused by decisions, most of which involve quantity changes, requirements growth, and schedule changes.
Book Synopsis Historical Cost Growth of Completed Weapon System Programs by : Mark V. Arena
Download or read book Historical Cost Growth of Completed Weapon System Programs written by Mark V. Arena and published by Rand Corporation. This book was released on 2006 with total page 74 pages. Available in PDF, EPUB and Kindle. Book excerpt: This report is one of a series from a RAND Project AIR FORCE project, "The Cost of Future Military Aircraft: Historical Cost Estimating Relationships and Cost Reduction Initiatives." The purpose of the project is to improve the tools used to estimate the costs of future weapon systems. It focuses on how recent technical, management, and government policy changes affect cost. This report focuses on the accuracy of cost estimates. For our analysis, we used a very specific sample of Selected Acquisition Report (SAR) data, namely only programs that are complete or are nearly so. The analysis indicates a systematic bias toward underestimating the costs and substantial uncertainty in estimating the final cost of a weapon system. In contrast to the previous literature, the cost growth was higher than previously observed. We also found few correlations with cost growth, but observed that programs with longer duration had greater cost growth and electronics programs tended to have lower cost growth. Although there were some differences in the mean cost growth factors among the military departments, the differences were not statistically significant. While newer programs appear to have lower cost growth, this trend appears to be due to factors other than acquisition policies.
Author :United States Government Accountability Office Publisher :Createspace Independent Publishing Platform ISBN 13 :9781977579959 Total Pages :210 pages Book Rating :4.5/5 (799 download)
Book Synopsis Defense Acquisitions by : United States Government Accountability Office
Download or read book Defense Acquisitions written by United States Government Accountability Office and published by Createspace Independent Publishing Platform. This book was released on 2017-09-23 with total page 210 pages. Available in PDF, EPUB and Kindle. Book excerpt: This is GAO's annual assessment of DOD major weapon system acquisitions, an area on GAO's high-risk list. DOD and Congress have taken meaningful steps to improve the acquisition of major weapon systems, yet programs continue to experience cost and schedule overruns. Further, GAO has emphasized the need to sustain the implementation of acquisition reforms and for programs to complete developmental testing before beginning production, thereby avoiding concurrency and its associated cost and schedule growth. With the continuing budgetary pressures, DOD cannot afford to miss opportunities to address inefficiencies in these programs to free up resources for higher priority needs. The joint explanatory statement to the DOD Appropriations Act, 2009 includes a provision for GAO to annually review DOD's portfolio of weapon systems. This report includes observations on (1) the cost and schedule performance of DOD's 2015 portfolio of 79 major defense acquisition programs; (2) the knowledge attained at key junctures in the acquisition process for 43 programs that were in development or early production; and (3) key acquisition reform initiatives and program concurrency. To develop the observations in this report, GAO analyzed cost, schedule, and quantity data from DOD's December 2014 Selected Acquisition Reports. GAO also collected data through two questionnaires to program offices on technology, design, and manufacturing knowledge; the use of knowledge-based acquisition practices; and the implementation of acquisition reforms
Book Synopsis Correlation Analysis by : Howard R. Jaynes
Download or read book Correlation Analysis written by Howard R. Jaynes and published by . This book was released on 1999 with total page 173 pages. Available in PDF, EPUB and Kindle. Book excerpt: A changing threat environment, decreasing defense budget, and need for modernization are forcing the Acquisition Process to reform policies and procedures. The Acquisition Process must develop initiatives to reduce both program cycle time and program cost to meet the challenges presented by this new acquisition environment The objectives of this thesis are to explore the overall cycle time and cost growth trends in Army Acquisition Programs, and determine how program schedule growth affects program cost This analysis is relevant in facilitating development of acquisition reform initiatives targeted at reducing program schedule and cost. This study concludes that Army programs experience average cycle time growth of 19.6 months and average cost growth of 49.9%. A significant research finding is that Army programs demonstrate a relationship between schedule growth and cost growth. This research also reveals that program cost growth, identified in the SARs as being induced by schedule growth, is only 14.3% of cost growth adjusted for quantity change. This thesis suggests that schedule growth has a larger effect on cost growth than indicated in the SARs. This research intends to function as an overview of Army Acquisition Program schedule and cost growth, and the relationship between these two important program elements.
Book Synopsis Is Weapon System Cost Growth Increasing? A Quantitative Assessment of Completed and Ongoing Programs by :
Download or read book Is Weapon System Cost Growth Increasing? A Quantitative Assessment of Completed and Ongoing Programs written by and published by . This book was released on 2007 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Cost growth in DoD acquisition programs has been a long-standing concern of senior policymakers and members of Congress. In recent decades, there have been numerous attempts to rein in this growth. Some changes involve reforms to the acquisition process, while others entail legislation. The RAND Corporation has a long history of studying cost growth in defense acquisition, with research reaching back to the 1950s.
Book Synopsis Correlation Analysis by : Howard R. Jaynes
Download or read book Correlation Analysis written by Howard R. Jaynes and published by . This book was released on 1999-09-01 with total page 189 pages. Available in PDF, EPUB and Kindle. Book excerpt: A changing threat environment, decreasing defense budget, and need for modernization are forcing the Acquisition Process to reform policies and procedures. The Acquisition Process must develop initiatives to reduce both program cycle time and program cost to meet the challenges presented by this new acquisition environment The objectives of this thesis are to explore the overall cycle time and cost growth trends in Army Acquisition Programs, and determine how program schedule growth affects program cost This analysis is relevant in facilitating development of acquisition reform initiatives targeted at reducing program schedule and cost. This study concludes that Army programs experience average cycle time growth of 19.6 months and average cost growth of 49.9%. A significant research finding is that Army programs demonstrate a relationship between schedule growth and cost growth. This research also reveals that program cost growth, identified in the SARs as being induced by schedule growth, is only 14.3% of cost growth adjusted for quantity change. This thesis suggests that schedule growth has a larger effect on cost growth than indicated in the SARs. This research intends to function as an overview of Army Acquisition Program schedule and cost growth, and the relationship between these two important program elements.
Book Synopsis Historical Cost Growth of Completed Weapon System Programs by :
Download or read book Historical Cost Growth of Completed Weapon System Programs written by and published by . This book was released on 2006 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This report is one of a series from a RAND Project AIR FORCE project, "The Cost of Future Military Aircraft: Historical Cost Estimating Relationships and Cost Reduction Initiatives." The report complements another document from this project, "Impossible Certainty: Cost Risk Analysis for Air Force Systems," and includes a literature review of cost growth studies and a more extensive analysis of the historical cost growth in acquisition programs than appears in the companion report. Overall, most of the studies reviewed reported that actual costs were greater than estimates of baseline costs. The most common metric used to measure cost growth is the cost growth factor (CGF), which is defined as the ratio of the actual cost to the estimated costs. A CGF of less than 1.0 indicates that the estimate was higher than the actual cost -- an underrun. When the CGF exceeds 1.0, the actual costs were higher than the estimate -- an overrun. Studies of weapon system cost growth have mainly relied on data from Selected Acquisition Reports (SARs). These reports are prepared annually by all major defense acquisition program (MDAP) offices within the military services to provide the U.S. Congress with cost, schedule, and performance status. The comparison baseline (estimate) typically corresponds to a major acquisition decision milestone. Prior studies have reported Milestone (MS) II CGFs for development costs ranging from 1.16 to 2.26; estimates of procurement CGFs ranging from 1.16 to 1.65; and total program CGFs ranging from 1.20 to 1.54. Regarding the differences among cost growth due to service, weapon, and time period, prior studies tended to find the following: Army weapon systems had higher cost growth than did weapon systems for the Air Force or Navy; cost growth differs by equipment type; and cost growth has declined from the 1960s and 1970s, after it was recognized as an important problem.
Book Synopsis An Overview of Acquisition Reform Cost Savings Estimates by :
Download or read book An Overview of Acquisition Reform Cost Savings Estimates written by and published by . This book was released on 2001 with total page 176 pages. Available in PDF, EPUB and Kindle. Book excerpt: In support of the project "The Cost of Future Military Aircraft: Historical Cost Estimating Relationships and Cost Reduction Initiatives," this study gives an overview of a wide range of published estimates and projections of potential cost savings that are attributed to a variety of weapon system acquisition reform (AR) measures. These estimates are compared in accordance with a taxonomy developed by the authors. Although the origins and quality of the estimates are discussed, no independent estimates have been generated, nor are the existing published estimates analyzed in depth. Rather, the authors present a taxonomy of current AR initiatives; review published estimates of the cost savings attributed to these initiatives; report the views of industry and government officials on the potential cost savings from AR; and discuss the structuring and implementation of programmatic AR measures based on lessons learned from existing AR pilot programs. The project is in the RAND Project AIR FORCE Resource Management Program. The research is sponsored by the Principal Deputy, Office of the Assistant Secretary of the Air Force (Acquisition), and by the Office of the Technical Director, Air Force Cost Analysis Agency. This study should be of interest to government and industry officials concerned with assessing the potential cost savings that current AR measures may generate when applied to major weapon system R & D and procurement programs. The information collection cutoff date was December 1999.
Book Synopsis An Overview of Acquisition Reform Cost Savings Estimates by : Mark A. Lorell
Download or read book An Overview of Acquisition Reform Cost Savings Estimates written by Mark A. Lorell and published by RAND Corporation. This book was released on 2001 with total page 184 pages. Available in PDF, EPUB and Kindle. Book excerpt: A number of analyses have recently been conducted in efforts to update technical cost models and cost estimating relationships for fixed-wing combat aircraft, particulary in light of the numerous cost-saving measures that have been initiated over the past decade. This report focuses on aqguisition reform or the institution of changes in government acquisition procrsses or in the relationship between the government and Department of Defense primes.
Book Synopsis Report of the Defense Science Board Task Force on Defense Acquisition Reform (phase III) by : United States. Defense Science Board
Download or read book Report of the Defense Science Board Task Force on Defense Acquisition Reform (phase III) written by United States. Defense Science Board and published by . This book was released on 1996 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The current defense environment is such that acquisition budgets are low and likely to remain so, weapons system costs are high and rising, the traditional defense industrial base is steadily shrinking in both size and number of participants and military threats around the world are unpredictable and varied. Nevertheless, there are still compelling reasons to invest in force modernization and in affordable defense systems featuring technological superiority. In order to make this possible, more efficient use must be made of acquisition resources. A new weapons research and development process is required, able to supply effective hardware in small quantities, producible and supportable at affordable cost, with reduced cycle times. As an integral feature of the new process use must be made of world-class commercial suppliers. The advanced technology and efficiencies typical of commercial operations must be incorporated into the development process. In changing to and implementing the new system, the public trust must be retained throughout. Figures 1 and 2 illustrate this background to the DoD acquisition reform effort.
Book Synopsis Defense Acquisitions by : Michael J. Sullivan
Download or read book Defense Acquisitions written by Michael J. Sullivan and published by . This book was released on 2016-05-04 with total page 209 pages. Available in PDF, EPUB and Kindle. Book excerpt: Annual assessment of Department of Defense (DOD) major weapon system acquisitions, an area on GAO's high-risk list. DOD and Congress have taken meaningful steps to improve the acquisition of major weapon systems, yet programs continue to experience cost and schedule overruns. Further, GAO has emphasized the need to sustain the implementation of acquisition reforms and for programs to complete developmental testing before beginning production, thereby avoiding concurrency and cost and schedule growth. This report includes observations on (1) the cost and schedule performance of DOD's 2015 portfolio of 79 major defense acquisition programs; (2) the knowledge attained at key junctures in the acquisition process for 43 programs that were in development or early production; and (3) key acquisition reform initiatives and program concurrency. Tables and figures. This is a print on demand report.
