Cost and Effectiveness Integration

Abstract

DoDD 5000.2-M says There is no magic formula for combining cost and effectiveness measures to identify a preferred alternative. The manual goes on the recommend rank ordering cost, rank ordering effectiveness, and letting the decision maker decide which is most important to him. Pressure in the Department of Defense is strong for a technique or methodology that will provide a point value for alternatives that can be compared to other point values to decide which is most cost effective. This paper describes some of the history of attempts to integrate cost and effectiveness, from the long discredited relative work approach, through cost-per-kill, to a sufficiency approach. The strengths and weaknesses of the various approaches that have been tried are discussed along with criteria for the proper use of those that offer promise for the future.

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Document Details

Document Type
Technical Report
Publication Date
Sep 01, 1993
Accession Number
ADA275710

Entities

People

  • Mary H. Henry
  • Wilbur C. Hogan

Organizations

  • United States Army Training and Doctrine Command

Tags

Communities of Interest

  • Ground and Sea Platforms
  • Weapons Technologies

DTIC Thesaurus Topics

  • Air Land Battles
  • Anti-Tank Missiles
  • Artillery Ammunition
  • Battles
  • Cold War
  • Cost Analysis
  • Costs
  • Department Of Defense
  • Force Structure
  • Materials Handling
  • Materials Handling Equipment
  • Munitions
  • Test Stands
  • Training
  • Vehicles
  • Warfare
  • Weapons

Readers

  • Educational Psychology
  • Government Contracting/Procurement.
  • Team-Based Human-Centered Cognitive Task Decision Making and Information Performance.