Cost Implications of Design/Build Concurrency

Abstract

Typically, defense programs experience some level of concurrency; that is, production of the weapon system happens while some portions of the design are still being completed. Many people within the defense acquisition community argue that high levels of design/ build concurrency ultimately lead to cost growth, as it implicitly creates a greater level of risk. For example, a memorandum from the Assistant Secretary of the Navy for Research, Development and Acquisition (ASN-RDA) identified the high degree of concurrency in the Littoral Combat Ship as being a large contributor to the program's overall cost growth (DoD, 2006). In a zero-risk world, the requirements, concept of operations, and substantial prior development would be completed before the release of the Request for Proposal (RFP) for the design phase. In addition, 100 percent of the design would be complete before the release of the production RFP; and all the initial material/components would always be procured and available before production started. Moreover, requirements would not change once design started, design would not change once production started, and production would flow smoothly without delays caused by late software or hardware. Thus, in a zero-risk world we would say programs have zero overlap, or concurrency, and virtually no production risk.

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Document Details

Document Type
Technical Report
Publication Date
Jul 01, 2011
Accession Number
ADA546310

Entities

People

  • Donald Birchler
  • Eric Groo
  • Gary Christle

Organizations

  • Center for Naval Analyses

Tags

Communities of Interest

  • Ground and Sea Platforms
  • Weapons Technologies

DTIC Thesaurus Topics

  • Acquisition
  • Airframes
  • Anti-Tank Missiles
  • Armored Vehicles
  • Attack Submarines
  • Budgets
  • Control Systems
  • Cost Estimates
  • Intercontinental Ballistic Missiles
  • Military Acquisition
  • Multithreading
  • Navy
  • Procurement
  • Radar
  • Test And Evaluation
  • Test Methods
  • Tilt Rotor Aircraft

Readers

  • Applied Combinatorial Optimization and Logic Circuit Design.
  • Economics
  • Industrial Economics