Accession Number : AD0816751

Title :   A PRIMER OF COST EFFECTIVENESS.

Descriptive Note : Technical paper,

Corporate Author : RESEARCH ANALYSIS CORP MCLEAN VA

Personal Author(s) : Sutherland, William H.

Report Date : APR 1967

Pagination or Media Count : 101

Abstract : An elementary description of the methodology employed in cost-effectiveness studies is presented in a programmed learning format. The five essential parts of a study-the objectives, the alternative means to accomplish the objectives, the resources required, the models used to study the alternatives more completely, and the criteria for choosing among the alternatives-are presented. Life-cycle costs of systems-RDTE, initial procurement, and annual operating costs-are considered, as well as the advantages of a fixed-cost as opposed to a fixed-effectiveness approach. The importance of sensitivity analysis is stressed.

Descriptors :   (*COST EFFECTIVENESS, DECISION MAKING), SYSTEMS ENGINEERING, OPERATIONS RESEARCH, PROCUREMENT, COSTS, ARTILLERY, AIRCRAFT ENGINES, NUCLEAR WARFARE.

Subject Categories : Economics and Cost Analysis
      Operations Research

Distribution Statement : APPROVED FOR PUBLIC RELEASE