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Sources of Weapon System Cost Growth - Analysis of 35 Major Defense Acquisition Programs (Paperback)
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Sources of Weapon System Cost Growth - Analysis of 35 Major Defense Acquisition Programs (Paperback)
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This analysis uses data from Selected Acquisition Reports to
determine the causes of cost growth in 35 mature major defense
acquisition programs. Four major sources of growth are identified:
errors in estimation and scheduling, decisions by the government,
financial matters, and miscellaneous. The analysis shows that more
than two-thirds of cost growth (measured as simple averages) is
caused by decisions, most of which involve quantity changes,
requirements growth, and schedule changes.Cost growth in major
weapon-systems programs results from errors in estimation and
scheduling, government decisions, financial matters, and
miscellaneous sources, with decisions involving changes in
requirements, quantities, and production schedules the dominant
cause.
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