Managing U.S. Air Force Aircraft Operating and Support Costs: Insights from Recent RAND Analysis and Opportunities for the Future

Abstract

Air Force aircraft operating and support (O and S) costs grew at an average rate of 6.5 percent per year1between fiscal years (FYs) 1996 and 2011 despite a reduction of over 1,000 aircraft in the Air Force fleet and minimal increases in total flying activity. Aircraft O and S costs climbed from 23 percent of the Air Forces total obligational authority in FY 1996 to 28 percent by FY 2011. While O and S costs have declined somewhat since FY 2011, they continue to threaten to crowd out future force modernization efforts, including research and development and procurement. Detailed data to illuminate the full set of drivers of these trends are not widely available or consistently analyzed by Air Force analysts. As a result, there is a lack of understanding among Air Force leadership about the primary drivers of recent O and S cost growth and the linkages between mission readiness and O and S costs. This presents challenges as the Air Force works to mitigate and even reverse these cost trends while balancing mission readiness going into the future.

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Document Details

Document Type
Technical Report
Publication Date
Jan 01, 2016
Accession Number
AD1013606

Entities

People

  • Laura H. Baldwin
  • Michael Boito
  • Patrick Mills
  • Thomas Light

Organizations

  • RAND Corporation

Tags

Communities of Interest

  • Ground and Sea Platforms
  • Human Systems
  • Weapons Technologies

DTIC Thesaurus Topics

  • Air Force
  • Aircrafts
  • Business Administration
  • Case Studies
  • Contracts
  • Cost Reductions
  • Department Of Defense
  • Fuel Consumption
  • Life Cycle Management
  • Life Cycles
  • Logistics
  • Maintenance
  • Maintenance Costs
  • Management Personnel
  • Organizational Structure
  • Personnel Management
  • Supply Chain

Readers

  • Life Cycle Cost Analysis
  • Public Financial Management and Budgeting
  • Strategic Security Studies