Risk Aversion vs. Technology Implementation.
Abstract
This report examines the key factors that inhibit the introduction of new technology into ongoing weapon systems. The effect of program manager (PM) risk aversion on this inhibition is evaluated. Factors causing PM risk aversion, including Department of Defense and Navy policies and procedures are considered. Results indicate major contributors to PM risk aversion include: risks taken that backfired, schedule pressure, program maturity, PM's relative loyalty to Self, Program, and Service, inadequate methods of measuring risk and inability to hedge or insure risk. Forces that keep new technology out of ongoing programs include cost constraints, risk averse PMs, and on rare occasion, higher level authority. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Nov 01, 1977
- Accession Number
- ADA052386
Entities
People
- Michael H. Hersh
Organizations
- Defense Systems Management College