Program Characteristics That Contribute to Cost Growth

Abstract

The RAND Corporation recently analyzed key characteristics of six U.S. Air Force Major Defense Acquisition Programs (MDAPs) that experienced extreme cost growth. The findings of this research were derived from detailed case studies and analysis of Selected Acquisition Report (SAR) data. As a companion to that analysis, this report identifies and characterizes conditions present in four other recent Air Force MDAPs that experienced the lowest cost growth among all recent ACAT I MDAPs. This research was commissioned by the Deputy Assistant Secretary for Acquisition Integration, Office of the Assistant Secretary of the Air Force for Acquisition. The purpose of this report is to compare and contrast the key attributes of programs with extreme cost growth to those of programs with low cost growth to gain insights into the key cost drivers and root causes of cost growth in MDAPs. This document provides the analysis of the best-performing programs as a control set to help determine whether the attributes common to the worst-performing programs are likely the main drivers behind extreme cost growth. More confident identification of program characteristics that contribute to cost growth can enable such factors to either be avoided or mitigated in early program planning. This is ultimately intended to provide the foundation for analysis that will assist the Air Force in developing improved acquisition policies and procedures. Those will contribute to better program outcomes in the areas of cost, schedule, and performance and help reduce the likelihood of future programs experiencing extreme cost growth.

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Document Details

Document Type
Technical Report
Publication Date
Jan 01, 2017
Accession Number
AD1085354

Entities

People

  • Karishma R. Mehta
  • Leslie A. Payne
  • Mark A. Lorell

Organizations

  • RAND Corporation

Tags

Communities of Interest

  • Air Platforms
  • Autonomy
  • Cyber
  • Engineered Resilient Systems
  • Space
  • Weapons Technologies

DTIC Thesaurus Topics

  • Air Force
  • Air Force Facilities
  • Aircrafts
  • Airframes
  • Artificial Satellites
  • Business Administration
  • Congress
  • Fighter Aircraft
  • Global Positioning Systems
  • Inertial Navigation
  • Military Acquisition
  • National Security
  • Reconnaissance Satellites
  • Remotely Piloted Vehicles
  • Space Systems
  • Test And Evaluation
  • Unmanned Aerial Vehicles

Readers

  • Life Cycle Cost Analysis