Accession Number:

ADA440498

Title:

Price-Based Acquisition. Issues and Challenges for Defense Department Procurement of Weapon Systems

Descriptive Note:

Corporate Author:

RAND CORP SANTA MONICA CA

Report Date:

2005-01-01

Pagination or Media Count:

200.0

Abstract:

This report presents findings from a research study conducted by RAND Project AIR FORCE, a division of the RAND Corporation, to examine the effects of using price-based acquisition PBA approaches for the development and production of major Air Force weapon systems, subsystems, and other military-unique articles. Typically in these cases, the cost-based acquisition CBA approach is used-i.e., the price to develop and produce such an article is based on cost data that the government requires the contractor to provide. Critics of this traditional, CBA method see it as imposing heavy regulatory burdens on the government and the contractor and tending to discourage potential non-defense contractors from competing for government contracts, thus reducing competition and quality and increasing cost.

Subject Categories:

  • Administration and Management
  • Economics and Cost Analysis

Distribution Statement:

APPROVED FOR PUBLIC RELEASE