A Review of Selected USAF Life Cycle Costing Models
Abstract
This study examined the history of the development of life cycle costing (LCC) in the DOD and USAF, and reviewed 11 'mainstream' LCC models currently being used by the Air Force including the LSC, LCCH, ZCORE, CASA, PRICE H, PRICE HL, PRICE M, PRICE S, MLCC, Dyna-METRIC, and LCOM models. A literature search revealed that the last comprehensive reviews of LCC modeling in the USAF were conducted in the 1970s by the Joint AFSC/AFLC Commanders' Working Group on LCC and Rand. LCC's initial development, in the 1960s, was prompted by rapid increases in operating and support (O and S) costs as a percentage of the DOD budget. However, despite regulatory effort, LCC did not gain equal status with performance and schedule in acquisition programs until the 1980s. The review of LCC models revealed that a number of problems identified by JCWG and Rand during the 1970s still existed. Principally, the problem of gathering data for LCC analyses is still a major concern, both in relation to the validity of the data gathered and the time taken to collect necessary information.
Document Details
- Document Type
- Technical Report
- Publication Date
- Sep 01, 1991
- Accession Number
- ADA246721
Entities
People
- Mark G. Twomey
Organizations
- Air Force Institute of Technology