RIW - An Overview of Proper Applications and Associated Risks when Applied to Electronic Hardware.
Study project rept.,
DEFENSE SYSTEMS MANAGEMENT COLL FORT BELVOIR VA
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This report is written as an overview of todays RIW concept. Included in the report is a brief history, guidelines for application, contractor risks, Government risks and recommendations which can minimize the risks for both parties. The RIW concept is still relatively new at this point in time. Very little data exists which substantiates the RIW as being a viable warranty concept. The risks, as viewed by the writer, must be shared by both parties. The correct structuring of the RIW contract requires careful consideration and evaluation by both the Government and the contractors. The Government must encourage participation by contractors during the contract RFP phase to ensure maximum competitive pricing. If a competitive environment does not exist, it is likely that the Government will pay an excessive amount of money for RIW coverage desired. As the recommendations in this report show, the risks can be assessed and managed. However, in the end, it will most likely be the ability of the Service Program Manager and the contractors ability to cooperate in a spirit of helpfulness and goodwill that makes the program succeed. No matter how well the contract language is written, it will be people that determine the final outcome. Author
- Manufacturing and Industrial Engineering and Control of Production Systems
- Logistics, Military Facilities and Supplies