Sourcing in the Air Force: An Optimization Approach
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Authors
Apte, Aruna
Rendon, Rene G.
Salmeron, Javier
Subjects
Strategic Sourcing
contract management, strategic sourcing, optimization, set covering problem
contract management, strategic sourcing, optimization, set covering problem
Advisors
Date of Issue
2010-02-01
Date
01-Feb-10
Publisher
Monterey, California. Naval Postgraduate School
Language
Abstract
The U.S. Department of Defense (DoD) annually procures billions of dollars worth of systems, supplies, and services in support of the national military strategy. Faced with budget cuts and other resource constraints, the DoD must monitor its procurement process to ensure a continuous flow of critical supplies and services. One aspect of current transformation in DoD is the use of a strategic sourcing approach for the procurement of installation-level services. Using the Air Force''s strategic sourcing process as our context, we develop an optimization model for selecting a set of bids among multiple offerors'' proposals for installation services. The selection achieves the most favorable objective based on balancing the confidence performance level in past performance of the offerors and the cost to the Air Force. The research findings based on a realistic scenario demonstrate improvements in both overall performance and cost than the current process
Type
Technical Report
Description
Sponsored Report (for Acquisition Research Program)
Series/Report No
Department
Contract Management
Identifiers
NPS Report Number
NPS-LM-09-131
Sponsors
Naval Postgraduate School Acquisition Research Program
Funder
Format
Citation
Distribution Statement
Approved for public release; distribution is unlimited.
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.