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DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

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Page 1: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

DoD Pricing Conference 5-6 May 2009

Sharing Knowledge in Support of the Pricing Community

’05 ’06 ’07

Page 2: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

Integrated Baseline Review

Integrated Baseline Review

System Integration System Demonstration Low-Rate Initial Production

DefenseAcquisition

System(event driven)

Planning,Programming,

Budgeting, & Execution

Process(biennial calendar driven)

MilitaryDepartments &

Defense Agencies

Cost

Integrated Defense Acquisition, Technology, & Logistics Life Cycle Management Framework

FOCIOC

Full-Rate Production/Deployment

MSB

System Development & Demonstration Phase Operations & Support Phase

PostDeploymentPerformance

Review

Three DODDecision Support Systems

Effective Interaction is Essential

Sustainment

National Military Strategy FYDPupdated

ISSUES

BudgetCommittees

Congress Congress

DoDBudget

On Year

Off Year

POM/Budget FormulationPCP/BCP Prep

FinalPBDs

Actual CostsEngineeringCost Estimation

Methods

ParametricAnalogy

Technology Development PhaseConcept Refinement Phase

National Security Strategy

DoD Testimony

Strategic Planning Guidance

Off Year Optional

Fiscal GuidancePresident’sBudget toCongress

Joint Programming GuidanceOff Year Optional

WhiteHouse

OSD &Joint Staff

OMB

SLRG Reviews

Joint Planning Document

PBD Cycle

PMO Budget Estimate

PMO POM Input

FullFunding in

FYDP

CDD

MSC

POM/Budget SubmitPCP/BCP Submit

FYDPupdated

MSA

The Milestone Decision Authority may authorize entry into the acquisition process at any point, consistent with phase specific entrance criteria and statutory requirements

Economic Analysis(MAIS Only)

AoA Plan

System Threat Assessment

InformationSupport

Plan

CPDService/JROCValidation &

Approval

J-6 Interoperability& Supportability Cert. Validated and approved CDD and CPD for each increment of an evolutionary

acquisition

Oversight &Review

Clinger-Cohen Act- Compliance (all IT)- Certification (MAIS)

Net-ReadyKPP

KPPs

CPD

System Threat Assessment

InformationSupport

Plan

Service/JROCValidation &

Approval

J-6 Interoperability& Supportability Cert.

Net-ReadyKPP

Clinger-Cohen Act- Compliance (all IT)- Certification (MAIS)

Clinger-Cohen Act- Compliance (all IT)- Certification (MAIS)

Clinger-Cohen Act- Compliance (all IT)- Certification (MAIS)

ADMExit

CriteriaMet

DAB/ITAB MDAADMDAB/

ITAB MDA ADMExit

CriteriaMet

DAB/ITAB MDAAPB ADM

ExitCriteria

MetDAB/ITAB MDA ADM

ExitCriteria

MetDAB/ITAB MDAAPB ADM

ExitCriteria

MetDAB/ITAB MDAAPB

MBI

Allocation

Apportionment

AffordabilityAssessment

CARD(Designated Programs) POE CCA ICE Affordability

AssessmentPOE CCA ICE

Economic Analysis(MAIS Only)

Contracting Acq Plan

Source Selection

Plan

DraftRFP

RFPAcq Plan

DraftRFP

RFPSource

SelectionPlan

Production & Deployment Phase

Increment IIIB C

DRR FRP

Increment IIB C

DRR FRP

KPPs

Joint CapabilitiesIntegration &

Development SystemVCJCS OversightCJCSI 3170.01D

DefenseAcquisition

SystemUSD(AT&L) Oversight

DoDD 5000.1

Planning,Programming,

Budgeting & ExecutionDEPSECDEF Oversight

MID 913

Purpose of LRIP:• Establish Production Base• Ramp to Production Rate• Produce systems for IOT&E

Low-Rate Initial Production

Systems

FCA

Prototypes/EngineeringDev Models

TechnologyDevelopment Strategy

• Program Strategy• Cost, schedule &

performance goals & exit criteria for first tech

demo• Test Plan

Acquisition Strategy• Program Structure

• Acquisition Approach• Capability Needs

• T&E Considerations• Risk Management

• Resource Management• Life-Cycle Considerations• Business Considerations

System Development& Demonstration

Contract

Integrated Baseline Review

LRIPContract

AoA

BestMateriel

Approach(es)

Draft ver. 4.7. May 21, 2004

StudyContracts

Initiate Evolutionary Acquisition Strategy Evolutionary Acquisition Strategy

Refine initial concept. Develop Technology Development Strategy

Reduce technology risk and determine appropriate set of technologies to integrate into a full system.

Develop a system or increment of capability; reduce integration and manufacturing risk; ensure operational supportability; reduce logistics footprint; implement human systems integration; design for producibility; ensure affordability and protection of critical

program information; and demonstrate system integration, interoperability, safety, and utility.

Achieve operational capability that satisfies mission needs.

Execute a support program that meets operational support performance requirements and sustains the system in the most cost-effective manner over its total life cycle. Dispose of the

system in the most cost-effective manner at the end of its useful life.

TechDemos

PreliminaryIntegrated

Architecture

Acq Plan

DraftRFP

RFP

Source Selection

Plan

TechnologyDevelopment

Contract

Supports O&M Budget Review

Acq Plan

DraftRFP

RFP

Source Selection

Plan

In-ServiceReview

October April / May

August

September - November

October - November November December

JanuaryFebruary (1st Monday)

February - September

DoD Appeals

Disposal

This chart is a classroom aid for Defense Acquisition University students. It provides a notional illustration of the interfaces among the three major decision support systems used to develop, produce, and field a system for national defense. Defense acquisition is a complex process, with many more activities than shown here, and many concurrent processes that cannot be properly displayed on a two-dimensional chart. Supporting information is on the back of this chart. For more detailed information see the Acquisition, Technology &

Logistics Knowledge Sharing System (http://akss.dau.mil).

SystemPerformance

Spec

Prototypes/EngineeringDev Models

InitialProduction

Baseline

CARD – Cost Analysis Requirements DescriptionCCA – Component Cost Assessment

ICE – Independent Cost EstimateMAIS – Major Automated Information System

POE – Program Office EstimateRDT&E – Research, Development, Test & Evaluation

Cost Acronyms

BCP – Budget Change ProposalsFYDP – Future Years Defense Program

MBI – Major Budget IssueOMB – Office of Management & Budget

PBD – Program Budget Decision

PCP – Program Change ProposalsPDM – Program Decision Memorandum

POM – Program Objectives MemorandumSLRG – Senior Leadership Review Group

Planning, Programming, Budgeting & Execution Acronyms

Joint Capabilities

Integration & Development

System (need driven)

ADM – Acquisition Decision MemorandumAoA – Analysis of Alternatives

APB – Acquisition Program BaselineCD – Concept Decision

DAB – Defense Acquisition BoardDRR – Design Readiness ReviewFOC – Full Operational Capability

FRPDR – Full-Rate Production Decision ReviewIOC – Initial Operational Capability

ITAB – Information Technology Acquisition BoardLRIP – Low Rate Initial Production

MAIS – Major Automated Information SystemMDA – Milestone Decision Authority

Oversight & Review Acronyms

RFP – Request for Proposal

Joint Capabilities Integration & Development System - AcronymsCDD – Capability Development DocumentCJCSI – Chairman, Joint Chiefs of Staff

InstructionCPD – Capability Production Document

DOTMLPF – Doctrine, Organization, Training, Materiel, Leadership, Personnel, and

Facilities

DAB – Defense Acquisition BoardICD – Initial Capabilities DocumentIOC – Initial Operational Capability

JROC – Joint Requirements Oversight CouncilKPP – Key Performance Parameter

Draft CDD

AoA

updated

Full-RateProduction

Systems

MajorProducts

AppropriationCommittees

AuthorizationCommittees

Authorization/AppropriationActs Passed

PDM(s)

Appropriated Funds To Support Contracts

FOC

AffordabilityAssessmentPOE CCA ICE

Economic Analysis(MAIS Only)

CARD(Designated Programs)

Post Production Software Support Contracts

Sustainment Contracts

Operations &Maintenance

Types ofFunds RDT&E – Management & Support RDT&E – Management & SupportRDT&E – Management & Support

RDT&E – Adv Component Dev & Prototypes RDT&E – Systems Development & Demonstration

Decision Points/Milestones CD DRR FRPDR

Acquisition Strategy• Program Structure

• Acquisition Approach• Capability Needs

• T&E Considerations• Risk Management

• Resource Management• Life-Cycle Considerations• Business Considerations

Acquisition Strategy• Program Structure

• Acquisition Approach• Capability Needs

• T&E Considerations• Risk Management

• Resource Management• Life-Cycle Considerations• Business Considerations

Procurement

AoA

updatedn/a MAIS

AoA

MAIS only

PreferredSystemConcept

FinalProduction

Baseline

ICD

Post Independent Analysis

FunctionalArea Analysis

FunctionalNeeds Analysis

Joint Operations Concepts

DOTMLPF

Joint Operating ConceptsJoint Functional ConceptsJoint Integrating Concepts

Integrated Architectures

DoD StrategicGuidance

Functional Solution Analysis

DOTMLPF Changes(CJCSI 3180)

Service/JROCValidation & Approval

MaterielChanges

(CJCSI 3170)

Ideas forMateriel

Approaches

Analysis ofMateriel

Approaches

Alternative 1Alternative 2Alternative N

RDT&E – Advanced Technology Development

Integrated Baseline Review

ProductionContract

Joint Functional ConceptJoint Integrating Concept

Integrated Architecture

Joint Functional ConceptJoint Integrating Concept

Integrated Architecture

Threshold/objective tradeoffs – Revised Performance Attributes

Threshold/objective tradeoffs – Revised Performance Attributes

Joint Functional ConceptJoint Integrating Concept

Integrated Architecture

FOT&E

LFT&EWaiver

(if appropriate)

TechnicalSystems Engineering

Test & EvaluationSupportability

Analyze/Assess Concepts Versus

Defined User Needs

Develop Concept Performance (& Constraints)

Definition & VerificationObjectives

Interpret User Needs,Analyze Operational

Capabilities & Environmental Constraints

Decompose ConceptPerf into Functional

Definition &Verification Objectives

Assess/AnalyzeConcept System

Versus FunctionalCapabilities

Decompose Concept Functional Definition into

Component Concepts/Assessment Objectives

Develop Component Concepts, i.e., Enabling/Critical

Technologies, Constraints & Cost/Risk Drivers

Assess/AnalyzeEnabling/Critical

Components VersusCapabilities

Interpret User Needs.Analyze Operational

Capabilities & Environmental Constraints

Demo & Validate SysConcepts & Technology

Maturity VersusDefined User Needs

Develop System Perf(& Constraints) Spec &Enabling/Critical Tech

&Verification Plan

Develop FunctionalDefinitions for Enabling/Critical Technologies &

Associated Verification Plan

Demo SystemFunctionalityVersus Plan

Decompose FunctionalDefinitions into CriticalComponent Definition

& Tech Verification Plan

Demo Enabling/Critical Technology

Components Versus Plan

Develop System Concepts,i.e., Enabling/Critical Technologies,

Update Constraints & Cost/Risk Drivers

TRR

PDR

SRR

Interpret User Needs, Refine System

Performance Specs &Environmental Constraints

Develop SystemFunctional Specs &

System Verification Plan

Evolve FunctionalPerformance Specs into

CI Functional (Design to) Specs and CI Verification Plan

Evolve CI FunctionalSpecs into Product

(Build to) Documentationand Inspection Plan

Fabricate, Assemble,Code to “Build-to”

Documentation

Integrated DT&E, LFT&E & EOAs Verify Performance

Compliance to Specs

Individual CIVerification

DT&E

SFR

CDR

INPUTSINPUTS•ICD

•AoA Plan•Exit Criteria

•Alternative Maintenance & Logistics Concepts

INPUTS OUTPUTS OUTPUTS OUTPUTS

Trades Analyze

Assess/AnalyzeConcept & Verify System Concept’s

Performance

Trades Analyze

Demo/ModelIntegrated System Versus

Performance Spec

Trades Analyze

System DT&E, LFT&E & OAs,Verify System Functionality& Constraints Compliance

to Specs

Monitor and CollectAll ServiceUse Data

DevelopCorrective

Action

Analyze Data toDetermine

Root Cause

DetermineSystem Risk/

Hazard Severity

Integrate & TestCorrective Action

Implement andField

• Process Change – Hardware/Support• Materiel Change

INPUTS•Service Use Data•User Feedback•Failure Reports

•Discrepancy Reports•SEP

OUTPUTS

AnalyzeTrades

Assess Risk of Improved System

Combined DT&E/OT&E/LFT&EDemonstrate System toSpecified User Needs &

Environmental Constraints

•ICD & Draft CDD•Preferred Sys Concept

•Exit Criteria •T&E Strategy

•Support & Maintenance Concepts & Technologies

•AoA•SEP•TDS

•Sys Performance Spec•Exit Criteria

•Validated Sys Support & Maintenance Objectives &

Requirements•APB •CDD

•SEP •ISP

•TEMP

Analyze DeficienciesTo Determine Corrective

Actions

OUTPUTS

Modify Configuration(Hardware/Software/Specs)

To Correct Deficiencies

Logistics & Technical AcronymsASR – Alternative Systems Review

BLRIP – Beyond Low Rate Initial ProductionCDR – Critical Design Review

CI – Configuration ItemDT&E – Developmental Test & EvaluationEDM – Engineering Development Model

EOA – Early Operational AssessmentESOH – Environmental, Safety & Occupational Health

FCA – Functional Configuration AuditFMECA – Failure Mode Effects & Criticality Analysis

FOT&E – Follow-on Test & EvaluationFTA – Failure Tree Analysis

IOT&E – Initial Operational Test & EvaluationISR – In-Service Review

JITC – Joint Interoperability Test CommandLFT&E – Live Fire Test & Evaluation

LCC – Life Cycle CostsLORA – Level of Repair Analysis

LRIP – Low Rate Initial ProductionMTA – Maintenance Task Analysis

OA – Operational Assessment

OT&E – Operational Test & EvaluationOTRR – Operational Test Readiness Review

PESHE – Programmatic Environment, Safety & Occupational Health Evaluation

PDR – Preliminary Design ReviewPCA – Physical Configuration AuditPRR – Production Readiness Review

PPP – Program Protection PlanRMS – Reliability, Maintainability &

SupportabilitySEP – Systems Engineering Plan

S&T – Science & TechnologySFR – System Functional Review

SRR – System Requirements ReviewSTA – System Threat AssessmentSVR – System Verification Review

T&E – Test & EvaluationTEMP – Test & Evaluation Master Plan

TDS – Technology Development StrategyTRA – Technology Readiness Assessment

TRR – Test Readiness Review

LeastAcceptable

MostAcceptable

Recycle/Reuse

Reprocessing

Disposal Landfill

Disposal

Logistics/Sustainment

•Test Results •Exit Criteria

•APB • CPD • SEP •TEMP•Product Support Package

INPUTS

Operations & Sustainment•Peacetime•Training

•Joint Operations •Crises

Evaluate ProductSupport Capabilities

Performance Based Agreements

Business CaseAnalysis

Product Support Integrator/Product Support Provider

LFTEReport to Congress

BLRIPReport to Congress

AA CCCDCD DRRDRR FRPFRPDRDRBB

Demonstrate Product Support Capability•Footprint Reduction

•Supply Chain Management•Product Support Elements

Total Life Cycle Systems Management

Verify & ValidateProduction

Configuration

Define Supportability

Objectives

MTA

FMECA

FTA

RCM

LORA

•Prelim Sys Spec•T&E Strategy

•SEP•Support & Maintenance

Concepts & Technologies•Inputs to: -draft CDD

-AoA -TDS

-Cost/Manpower Est.

ASR

•Sys Performance Spec•LFT&E Waiver Request

•TEMP•Validated Sys Support &

Maintenance Objectives & Requirements

•SEP •PESHE •PPP •TRA•Inputs to:

-IBR -ISP -STA -CDD -Acq Strategy

-Affordability Assessment -Cost/Manpower Est.

SVR PRR SRR

•Initial Prod Baseline•Test Reports

•TEMP•Elements of Product

Support•Risk Assessment

•SEP •TRA •PESHE

•Inputs to: -CPD -STA -ISP

-Cost/Manpower Est.

•Data for In-Service Review•Input to CDD for next increment

•Modifications/upgrades to fielded systems

•SEP

Independent IOT&E

•Production Baseline•Test Reports

•TEMP • PESHE • SEP •Input to:

- Cost/Manpower Est.

Full-Up System Level LFT&E

J-6 Interoperability& Supportability Validation

Product Support Package/PBL Implementation•Product Support Elements •Support and Cost Baseline

•Supply Chain Management

•Contract for Sustainment (organic & commercial)

OTRR

JITC Interoperability Certification Testing

PCA

Develop Initial Product Support Strategy•Interoperability

•Supply Chain Mgmt•LCC Optimization

•Footprint reduction•Product Support

Elements

Performance Based Logistics (PBL) Strategy (Preferred Product Support Approach)

Refine Supportability

Objectives/Constraints

Set Product Support

Strategy

Pre-IOC & Post IOC Supportability Assessments

•Continuous Tech Refreshment•Obsolescence Management

•Configuration Control•Data Management

Product Support/PBL Management•Public-Private Partnering

•PBA Modifications•Assessment of PSI/PSPs

•Supply Chain Management

Product Support Plan•Statutory/Regulatory

•Source of Support•Legacy Considerations

-Supply Support -Training-Maintenance -Support Data

-Manpower & personnel

•Product Support Elements

The ChallengeDoD’s Big “A”cquisition Systems and Processes

Page 3: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

The Acquisition Warrior

Page 4: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

© LearningGuide Solutions US, 2007

• When Learning for the First Time• When Wanting to Learn More• When Trying to Remember

and/or Apply• When Things Change• When Something Goes Wrong

4

Dr. Conrad Gottfredson, BYU

The Five Moments of The Five Moments of NeedNeedThe Five Moments of The Five Moments of NeedNeed

Application & Maintenance

of KnowledgePerformance Support

Acquisition of Knowledge

Formal Instruction

Page 5: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

AKSSAKSS ACCACC BPChBPCh

(Informal) Acquisition Knowledge (Informal) Acquisition Knowledge Management System (AKMS)Management System (AKMS)

AT&L knowledge repository –

will merge JUN 09 into the

Defense Acquisition Portal (DAP)(MOSS2007)

Repository of

validated practices

and lessons learned.

(MOSS2007)

Collaborative arm of the

AKMS. Hosts acquisition

related Communities of Practice. (Ecco 2.0)

MultimediaMultimediaVideo and

audio library.(Qumu)

AtlasAtlas BlackboardBlackboardRepository , player of online coursewa

re and continuous learning modules.

Repository of

classroom coursewa

re. Classroo

m support and

course facilitatio

n tool.

(Formal) (Formal) Learning Learning

Management Management SystemsSystems

GuidanceAAP AAP Q&AQ&APolicies

Webcasts

Communities of PracticeCommunities of Practice

VideosVideosBest PracticesBest PracticesLessons learnedLessons learned

TemplatesTemplates

ToolsTools

GuidebooksGuidebooks

EExxaammppleless

RegulatioRegulationsns

LLaawwssHandbooksHandbooks

AudiosAudios

DL CoursesDL Courses

CL ModulesCL ModulesDL Course LessonsDL Course Lessons

Classroom MaterialsClassroom Materials

Users find formal and informal assets and cohorts/experts through Formal Learning Management and AKMS systems, Search, and

ACQuipedia articles – at their point and time of need.

Page 6: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

• 24/7 access to new knowledge• Repository component of the overall AT&L KM System• Provides a central point to access and organize AT&L resources and information• Provides a means to link together, group, and present information and reference assets from various disciplines into a selectable and filtered integrated information source• Trusted source of information -acquisition news, web sites, training opportunities, and other relevant information• Includes the Ask A Professor function and Defense Acquisition Guidebook/IFC

Page 7: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07
Page 8: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

Selecting just “policy documents” provides the Contract Pricing Reference Guides and FAR

documents

Page 9: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

ACQuire searches all repositories of the AKMS systems, plus DAU’s

browsable courseware, and the FAI website.

Page 10: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

ACQuire search results of DAU’s browsable formal course materials

came up with 142 instances.

Page 11: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

You can check Q & A’s in the AAP system, or ask a question if you

can’t find your answer in AAP and AKMS assets in general

Page 12: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

Searching “contract pricing” in the AAP system resulted in 108 Q&A’s.

You can search within results to narrow your search to a specific

question.

Page 13: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

What’s in the future?

Phase I – Launching 30 June, 2009- Converting to new MS Portal for local control of content- Expanding knowledge on all elements of “Big A” to a Defense Acquisition Portal (DAP)- Ownership by DoD/Industry Knowledge Providers Network- RSS “push” of new knowledge- Build exportable “services” for user portals- New Search Results Design

Phase II- Focus on customization “My DAP”- Expand “Services”- CAC sign-on and SSO to other portals

Page 14: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07
Page 15: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

This “Service” will be exportable into your work portal, family portal, or future “My

DAP” to personalize your needs

Page 16: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07
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Page 24: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

This area of the Contracting Community of Practice/Portal is available to the pricing

community, 24/7, worldwide, no log-in required.

Page 25: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

You can help build the DoD pricing and negotiations area into a full functioning

Community of Practice. Become a member, ask questions, blog, add your knowledge,

subscribe to see changes, tag contributions that are special to you, and with permission you can edit the page and create new pages.

When you Log-In you have all these tools

Page 26: DoD Pricing Conference 5-6 May 2009 Sharing Knowledge in Support of the Pricing Community ’05 ’06 ’07

Just launched 31 March

DAU faculty developed articles with the “best of the best” found and indexed for

you. Contract Pricing article being developed.