An Evaluation of the Award Fee Determination Process in Cost-Plus-Award- Fee Contracts in Major Weapon Systems Acquisition

Abstract

This thesis evaluates the award fee determination process in Cost- Plus-Award-Fee (CPAF) contracts in an attempt to improve the process. Improvements are needed and are possible. An analysis of pre-award activities and the development and structuring of contract elements which influence the award fee determination process is first conducted. These elements and activities include the formulation of the base fee, determining how the award fee pool is used, formulating the evaluation criteria, determining the length of the evaluation period and, development of an appropriate formula to compute the fee. The second step involves contract administration functions in terms of evaluation and fee determination procedures. Included is an examination of the Performance Evaluation Board composition and proceedings as well as the role and authority of the Fee Determination Official. Finally, an examination of data for trend analysis is conducted and concludes that award fees are generally too high.

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Document Details

Document Type
Technical Report
Publication Date
Dec 01, 1984
Accession Number
ADA154730

Entities

People

  • T. E. Wight

Organizations

  • Naval Postgraduate School

Tags

Communities of Interest

  • Ground and Sea Platforms
  • Human Systems
  • Weapons Technologies

DTIC Thesaurus Topics

  • Business Administration
  • Commerce
  • Contract Administration
  • Contractors
  • Contracts
  • Defense Industry
  • Economic Forecasting
  • Government Procurement
  • Governments
  • Incentive Contracts
  • Logistics
  • Maintenance
  • Management Personnel
  • Organizational Structure
  • Personnel Management
  • Procurement
  • Test And Evaluation

Readers

  • Government Contracting/Procurement.
  • Systems Analysis and Design