Useful Life Cycle Cost Estimates for Defense Systems - An Evaluation.
Study project rept.,
DEFENSE SYSTEMS MANAGEMENT SCHOOL FORT BELVOIR VA
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This study analyzes and evaluates the concept and framework of Life Cycle Cost LCC estimate policy, guidance, and methodology efforts within the context of DoD major weapon system acquisition strategy. The analysis considered the general types of LCC estimates, the value of estimates in the decision making process, and the interaction of the OSD Assistant Secretaries and policy councils in LCC policy formulation and implementation. Current DOD publications, staff memoranda, and informal interviews with OSD officials were used as the basis for the analysis and evaluation. The study concludes that the ambiguity of current DoD directives regarding LCC estimate policy, guidance, and methodology responsibility makes it extremely difficult to understnad where the DoD stands today with LCC. Although within OSD an overall LCC plan may exist in conjunction with well understood in-house responsibilities, in the opinion of the author it has not been clearly nor consistently promulgated within the whole of DoD. The emergence of a single, comprehensive LCC estimating concept which embodies all phases of weapon system acquisition and ownership does not appear to be forthcoming.
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