Case study : FFG-7 class ship.

Abstract

Estimating the cost of a major weapons system is an extremely complex process involving interrelationships between a number of organizations. This thesis is an examination of the events surrounding the cost estimating effort involved for the FFG class ship using a case study approach. The case discusses concepts involved in the FFG procurement which include the high-low mix, design to cost, life cycle costing, lead ship/follow-on ship procurement, fly before buy, independent cost estimating, and learning curve theory. A teaching note is provided to stimulate classroom discussion and analysis of the major areas covered in the case. Questions which may be used in classroom discussion or for assignment and the essentials of learning curve theory are also provided.