As the budget for the development and production of new military aircraft tightens, modification of existing aircraft (MOD) has become increasingly important. This shift in emphasis has created a need for a high level parametric cost estimating method to estimate the cost of a MOD program early in the planning cycle. This report is the first volume of a series of reports documenting a multi-year project to support NAVAIR's initiative to develop parametric cost estimation models for MOD programs. This volume provides an overoview of the project, including a review of prior studies, the structure of data to be collected, and the forms used in data collection. Due to the proprietary nature of MOD program cost data, distribution of all future volumes of the report series except for the summary volume will be limited to selected Department of Defense agencies only. ; Naval Air Systems Command Cost Analysis Division ; Approved for public release; distribution is unlimited.
This study examines the nature of nonrecurring cost items and develops systematic procedures for the government and contractors to follow in order to generate a database of nonrecurring costs which is both consistent and comparable. The objective was to develop a method for generating an analyzable set of data for parametric estimation of nonrecurring costs. Cost elements were analyzed and their cost drives were identified ; Naval Air Systems Command Cost Analysis Division Washington, D. C. ; http://archive.org/details/onfeasibilityofc00boge ; N0001986WR6347W.
Although a relatively small percentage of the total number of contracts awarded by the Federal Government, contracts terminated for financial reasons can be very costly to the government. This study investigated the feasibility of developing a reliable contractor bankruptcy prediction model. This report begins with a brief discussion of the source selection process, followed by a discussion of the need for a contractor bankruptcy prediction model. A reliable model was developed and validated with real world cases. We conclude that significant cost savings can be realized if our model is utilized during the source selection stage of contracting. Keywords: Source selection; Bankruptcy prediction, Terminations for default, and Pre-award survey ; Naval Postgraduate School, Monterey, CA ; http://archive.org/details/predictingcontra00mose
After all the publicity about defense procurement scandals, the Administration, Congress, and the public have been pushing to open defense acquisition to more competition. Congress enacted The Competition in Contracting Act of 1984. This report attempts to separate the myths from the facts of weapon system competition. It is unfortunate that many policy analyses, and many major acquisition decisions, were based on the myth that competing weapon systems should produce significant savings to the government. The fact is that dual source competition in major systems has resulted in additional costs to the government almost as often as it has produced savings. Theoretical explanations and empirical evidence are presented to shed some light on this major policy issue. This report summarizes the salient findings from a series of competition- related studies which we conducted for the Naval Air Systems Command Cost Analysis Division. We found a common thread in these studies which has implications for major systems acquisition policy making and the direction of future competition-related policy studies. (KR) ; Conducted for the Naval Air Systems Command with funds provided by the Naval Postgraduate School. ; http://archive.org/details/competitiveweapo00boge ; O&MN, Direct Funding ; Approved for public release; distribution is unlimited.