Accession Number : ADA314652

Title :   Economic Analysis of the Depot Maintenance Accounting Systems. Volume 1. Results and Analysis.

Descriptive Note : Final rept.,

Corporate Author : LOGISTICS MANAGEMENT INST MCLEAN VA

Personal Author(s) : Glass, David V. ; Bridgman, Michael S. ; Haver, William M. ; Hooker, William J. ; Kaplan, Bruce J.

PDF Url : ADA314652

Report Date : JUL 1996

Pagination or Media Count : 103

Abstract : An economic analysis examines accounting systems used in the Depot Maintenance Business Area (DMBA) of the Defense Business Operations Fund (DBOF). Two options were considered: to increase the capability of accounting systems in the DMBA and decrease their number. Option One is a separate system for each of the three Military Departments; Option Two is a single system for all DoD DMBA activities. The Under Secretary of Defense, Comptroller directed that an economic analysis be performed so that the DBOF Corporate Board would have the cost information needed to make an informed decision on the preferable option. Option One is found to be preferable to Option Two at this time because the second option was predicated on a single set of production systems that has not come about. Consequently, multiple interfaces would have to be developed for any accounting system chosen as the single system. That interface problem, combined with unique business practices and additional deployments, increase the investment costs of Option Two relative to Option One. Potential operating and support cost savings are very limited. Costs for Option One are provided. Issues are raised about deploying the Navy standard system to the shipyards and the Air Force standard system to the Air Logistics Centers.

Descriptors :   *ECONOMIC ANALYSIS, *DECISION MAKING, *ACCOUNTING, *SUPPLY DEPOTS, *STANDARDIZATION, *OPERATING SYSTEMS(COMPUTERS), MILITARY FORCES(UNITED STATES), INVESTMENTS, PRODUCTION, LOGISTICS MANAGEMENT, INTERFACES, COST ESTIMATES, REDUCTION, MAINTENANCE MANAGEMENT, SAVINGS, SHIPYARDS.

Subject Categories : Economics and Cost Analysis
      Computer Programming and Software
      Military Forces and Organizations
      Logistics, Military Facilities and Supplies

Distribution Statement : APPROVED FOR PUBLIC RELEASE