An analysis of the factors affecting the net operating result at Naval Aviation Depot Cherry Point, North Carolina
Authors
Griffith, Scott M.
Subjects
Navy Working Capital Fund
Advisors
Mutty, John E.
Liao, Shu S.
Date of Issue
2002-12
Date
December 2002
Publisher
Monterey, California. Naval Postgraduate School
Language
Abstract
This thesis explains the current process involved in establishing stabilized rates for the Naval Aviation Depot (NADEP) Cherry Point, North Carolina. Existing data were examined to aid in understanding the process for determining stabilized rates, workload standards, and workload allocation. Additionally, this research provides an analysis of the inputs to the rate setting process to determine which has the most influence on the financial operating result. A general history of working capital funds is provided and an explanation of the financial and management goals of the Navy Working Capital Fund are spelled out. An assessment of existing methods was based on variance analysis between projected results and actual results. The variance analysis suggests that the current methods used for determining workload standards consistently underestimate the number of hours required to complete the work. Finally a sensitivity analysis was conducted to determine which input variable has the most influence on the net operating result. The sensitivity analysis suggests that changes to workload norms have the most influence on the bottom line at the NADEP.
Type
Thesis
Description
Series/Report No
Department
Organization
Identifiers
NPS Report Number
Sponsors
Funder
Format
xiv, 77 p.
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.