Cost Analysis of FTS (Federal Telecommunications System) versus WATS (Wide Area Telephone Service) at Selected Army CONUS Locations,

Abstract

The objective of this study is to compare the economic advantages and disadvantages of the Federal Telecommunications System (FTS) to Wide Area Telephone Service (WATS). During a previous Program Evaluation of the Defense Metropolitan Area Telephone Systems (DMATS) at Boston and St. Louis, the DMATS management personnel pointed out that FTS was a more expensive form of long distance telephone service than WATS. This was informally confirmed by the Air Force DMATS staff in Dayton, Ohio. The House Appropriations Committee (HAC) of the US Congress, in 1979 and 1980, directed the Department of Defense to increase participation in the FTS program where operationally and economically feasible. As a on the FTS program and 7th Signal command and other subordinate units perceived command policy to be that FTS is the preferred method of providing long distance telephone service. From the time of the congressional mandate to expand the use of FTS in 1979 to the end of 1983, significant changes occurred within the telephone industry. The Telecommunications Package (TELPAK) was eliminated and the telephone industry started through deregulation and divestiture. In response to this changing environment and the possibility that FTS was not the most economical telephone service, the Comptroller US Army Information Systems Command (USAISC) made a decision to do an indepth analysis FTA and WATS. In addition, the acquisition procedure to obtain and automated model that can analyze telephone traffic data for any location and determine the most cost effective mix of all telephone services was initiated.

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Document Details

Document Type
Technical Report
Publication Date
Jul 31, 1984
Accession Number
ADA159560

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  • D. A. Lyall
  • J. G. Mccoy
  • R. H. Priest

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