Business case analysis: increasing Air Force dining hall use as an alternative to closure

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Authors
Simmons, James
Subjects
Dining facility
food services
facility closure
Basic Allowance for Subsistence;
Advisors
Franck, Raymond
Hudgens, Bryan
Date of Issue
2011-12
Date
December 2011
Publisher
Monterey, California. Naval Postgraduate School
Language
Abstract
The current Defense fiscal environment demands careful analysis of every dollar spent, and elimination of wasteful and inefficient practices. Over the last decade, the Air Force has closed 49 dining facilities, in many cases due to underuse. Recent graduate research has shown the potential for millions of dollars in savings as a result of closure and the resultant payment of Basic Allowance for Subsistence (BAS) to all airmen in its place. However, no analysis has been performed on the potential impact of increasing dining hall patronage by allowing all base personnel (adding officers, civilians, and retirees) to make use of them when and where feasible. This project will examine this alternative course of action and quantify the savings associated with this possibility by considering additional food expenses and reasonable expectations for increased patronage by performing a business case analysis on the recent pilot program at the Sierra Inn at Travis AFB, CA. This business case analysis template allows for an objective assessment of that decision based on its net present value, and should be of value elsewhere in the Air Force in both the decision to implement the Food Transformation, and as a metric of effectiveness after implementation.
Type
Description
MBA Professional Report
Department
Graduate School of Business & Public Policy (GSBPP)
Identifiers
NPS Report Number
Sponsors
Funder
Format
xiv, 37 p. : ill. ; 28 cm.
Citation
Distribution Statement
Rights
This publication is a work of the U.S. Government as defined in Title 17, United States Code, Section 101. Copyright protection is not available for this work in the United States.
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