Application of Transaction Cost Economics to Capabilities-based Acquisition: Exploring Single Service vs. Joint Service Programs and Single Systems vs. System-of-Systems

Abstract

The US Department of Defense (DoD) is in the process of radical transformation'' to a national security strategy predicated on joint Service purchases and complex System-of-Systems (SoS) capabilities. This paper contributes to a broader study that eventually needs to be conducted to evaluate the benefits and costs of increased reliance on joint Service SoS programs.