Guidelines in Accumulating Financial Data on Future Weapons
Abstract
Weapon system evaluation involves systematic and critical examination of alternative means of performing specified military tasks or missions. In this analytical process it is necessary not only to measure technical and operational capability, but also to obtain a reasonable estimate of total financial requirements and the variations from case to case. This paper attempts to provide guidance in collecting the financial data necessary to the evaluation. The brief background discussion in Section I deals with cost concepts, the handling of uncertainty, and the necessity of insuring that financial information will prove appropriate to the end use for which it is intended. Section II shows the overwhelming importance of descriptive data in examining each of the alternative hardware designs, operational concepts, or test and development schedules. Section III furnishes two basic forms which lay out the major cost elements that need to be estimated in order to predict the economic impact of the future weapon system. Form 1 lists functions which a commercial contractor or government arsenal might perform when developing and producing the weapon. Form 2 presents a generalized list of cost elements covering the total resource requirements for development and test, for procurement in quantity, and for the operation of the system over a period of years.
Document Details
- Document Type
- Technical Report
- Publication Date
- May 27, 1960
- Accession Number
- AD0418652
Entities
People
- F. S. Pardee
Organizations
- RAND Corporation