Potential Impact of Open Architecture on AEGIS Using KVA and Real Options Analysis

Abstract

The Naval Postgraduate School (NPS) conducted research in a proof-of-concept case study to quantify the potential benefits of Open Architecture on AEGIS. Knowledge-value Added/Real-options (KVA+RO) framework was applied to sustaining engineering in AEGIS software maintenance and upgrade process. KVA+RO measures value and cost of human and IT assets, using a "market comparables" valuation technique, to establish revenue surrogates for discounted cash flow estimates. Results from our research indicate that implementing OA could result in substantial cost savings, optimal return on investment and increased benefits.

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Document Details

Document Type
Technical Report
Publication Date
May 14, 2008
Accession Number
ADA493931

Entities

People

  • Jonathan Mun
  • Thomas Housel

Organizations

  • Naval Postgraduate School

Tags

Communities of Interest

  • Ground and Sea Platforms

DTIC Thesaurus Topics

  • Acquisition
  • Case Studies
  • Cost Reductions
  • Costs
  • Debugging
  • Engineering
  • Learning
  • Maintenance
  • Monte Carlo Method
  • Naval Vessels
  • Optimization
  • Risk
  • Risk Analysis
  • Risk Management
  • Ships
  • Simulations
  • Software Testing

Readers

  • Life Cycle Cost Analysis
  • Maritime and Naval Warfare Studies
  • Software Engineering.