Case study of the U.S. Army's should-cost management implementation
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Authors
Choi, Yeong Sam M.
Morneault, Jason A.
Poole, Daniel J.
Subjects
Project management
weapon systems
military procurement
cost overruns
military acquisition
efficiency
weapon systems
military procurement
cost overruns
military acquisition
efficiency
Advisors
Nussbaun, Daniel
Yoder, Elliot Cory
Date of Issue
2013-12
Date
Publisher
Monterey, CA; Naval Postgraduate School
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Abstract
On May 22, 2009, President Barack Obama signed into law the Weapons Systems Acquisition Reform Act (WSARA). The intent of this law is to reform acquisition processes, control unsustainable cost growth, and make programs more affordable. In 2010, despite WSARA, program cost, schedule overruns, and less-than-desirable performance were still prevalent in DoD acquisition. In response, Ashton Carter, Under Secretary of Defense for Acquisition, Technology, and Logistics (USD[AT&L]), issued his Better Buying Power (BBP) memorandum directing the implementation of Should-Cost Management (SCM). In April 2011, Carter issued an additional directive that should-cost estimates would be required for all acquisition category (ACAT) programs and that SCM initiative progress would be briefed at every milestone review. In November 2012, Frank Kendall, Carters successor, issued an update to the original BBP initiative (BBPi), reinforcing the success of the BBPi. Kendalls update incorporated lessons learned from two years of implementation and feedback from the acquisition workforce. Our case study examines how the Army has implemented SCM as part of the BBPi. We analyze actions taken from the program manager to the Army acquisition executive using Program Executive Office (PEO) Aviation as our case study focus.
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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.