Analysis and Computation of a Base Labor Rate for Cost Models of Major Weapon System Acquisition
AIR FORCE INST OF TECH WRIGHT-PATTERSONAFB OH SCHOOL OF SYSTEMS AND LOGISTICS
Pagination or Media Count:
The purpose of this thesis was to analyze and compare the Base Labor Rates determined by the full cost approach versus the Maintenance Cost System. If the labor rates were determined to closely approximate each other, then the MCS would be an efficient way to obtain a base level maintenance labor rate. Two bases in the Southeastern United States which support transport aircraft were studied. The elements of cost which make up the Depot Labor Rate were used to facilitate the full cost of the Base Labor Rate. The elements of cost were subdivided into three categories--direct labor, indirect labor, and overhead. The summation of these elements were divided by the manhours available to determine a labor rate. This rate was compared to the rate derived from the MCS. The rates were comparable at one base, but not at the other. The results were inconclusive and further study was recommended.
- Administration and Management
- Economics and Cost Analysis