Accession Number : ADA133023

Title :   Life Cycle Costing in a Dynamic Environment.

Descriptive Note : Doctoral thesis,

Corporate Author : AIR FORCE INST OF TECH WRIGHT-PATTERSON AFB OH

Personal Author(s) : Long,John Amos

PDF Url : ADA133023

Report Date : Jan 1983

Pagination or Media Count : 202

Abstract : The consideration of life cycle cost is a major part of the Department of Defense management strategy to control the increasing cost of defense systems. It includes the cost of research and development, production, operating and support, and disposal. Unfortunately, due to a lack of credibility, life cycle costing has not reached its full potential. In an attempt to rectify the situation, this research centers on life cycle costing in a dynamic environment. This examination is from the three perspectives: methodology, modeling, and application. The chapter on methodology is a critical examination of Air Force life cycle costing in the acquisition of new aeronautical systems. It contains recommendations for reorganization and revision of current business practices. The chapter on modeling reviews various models and methods for risk analysis including Monte Carlo simulations, additive and multiplicative moments, sums and products of random variables, and transform techniques. The chapter on application demonstrates the feasibility of using the various models and methods under a realistic scenario for systems acquisition.

Descriptors :   *Life cycle costs, *Cost analysis, *Management planning and control, *Planning programming budgeting, *Military planning, Military procurement, Department of defense, Management, Strategy, Control, Methodology, Air Force procurement, Aircraft, Mathematical models, Risk, Control, Numerical methods and procedures, Cost estimates, Scenarios, Resource management, VAMOSC

Subject Categories : Administration and Management
      Economics and Cost Analysis

Distribution Statement : APPROVED FOR PUBLIC RELEASE