Funding of the Army Product Improvement Program: An Evaluation.
Study project rept.,
DEFENSE SYSTEMS MANAGEMENT COLL FORT BELVOIR VA
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This report analyzes the need for Product Improvements PI. After a review of the current Army funding policies for PIs, the current DOD Budget Cycle was examined. A comparison was made of the Budget Cycle and the problems related with introducing PI funding requirements into the Cycle in a timely manner. The Program Manager PM is required to develop different funding strategies, depending upon the production status of his weapon system. Two case histories are presented, with some of the problems associated with equipment that is either in or out of production. The M-551 Sheridan is an example of an out-of-production vehicle. A master PI, encompassing 56 separate improvements was discussed. The M-60A1 tank was cited as a weapon system still in production. Management decisions associated with the M-60A1E3 PI application were commented upon. The report addresses two funding alternatives to current Army procedures. The first would place all PI money in a central appropriation. Elimination of the by-line justification to Congress would permit more latitude in the management of PI funds. The eventual success of this proposal is rather doubtful. The second alternative would permit PI modification kits to be procured and installed with Procurement funds. This alternative, currently under consideration by HQ DA, would provide for more effective PI funds management at the PM level.
- Administration and Management