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Original Post Date: Wednesday, September 25, 2013 Introduction/Problem Statement A current client has expressed interest in the default values on the simple vs. the detailed input sheet. More specifically the question arose because this particular customer as well as others had a misconception about the simple vs. the detailed input sheet default values. Most users did not realize that if they were only inputting values on the simple input sheet that the detailed input sheet default values were still be used in the calculation for their cost estimate. So the question became how much are each of these default value inputs ...
Original Post Date: Wednesday, September 25, 2013 These days bidding can be a game, and contractor leadership is constantly making decisions on whether to take on risk in order to stay competitive or to bid conservatively for the safety of not overrunning.  You may complete a cost model for a program, and spend time analyzing the uncertainties behind each input and in the end find that your estimate lands at the 30% confidence level.  After some strategic analysis, the bid leadership team decides, we would like to bid at the 80% Confidence level, “please present your estimate to support that total”.  ...
Original Post Date: Wednesday, September 25, 2013 Background: FPGA design typically uses a library of Tiles (Sets of gates and transistors) and a CAD system to physically lay out the actual active devices on an empty portion of substrate. These devices are interconnected by physical (usually copper) traces to route the signals and perform the desired tasks. The design may be totally customized for a single set of functions and may not need any form of programming. Other designs may allow some parts of the device to be electronically re-programmed to allow the device to be calibrated or adjusted for ...
Original Post Date: Wednesday, September 25, 2013 A current consulting client has expressed interest in modeling scheduled overhauls, above and beyond scheduled maintenance. The latter is well-addressed by TruePlanning. Our challenge is to utilize the model and its calculated lifecycle metrics to estimate the former as well. We have recently developed an approach to address this specific need that I’d like to share with you here. Terminology is important to level-set.  Notwithstanding replacement procurement, restoring equipment readiness via operations & maintenance activities usually falls into one of three funded categories[1]:  Inspection/ Repair at the organizational and/or direct support ...
Original Post Date: Wednesday, September 25, 2013 As promised in my last blog (“System and Assembly Objects in the context of Hardware AoAs”), the integration of Software COTS is a subtly different challenge.  Customers are typically presented with two scenarios:  integration within a single system and integration within a system of systems (“SoS”).  Both cases are handled well by TruePlanning™ with specific parameter choices that control multiple activities relevant to software integration.  As I’ve come to appreciate PRICE’s competitive advantage with our Framework’s approach to the latter SoS case, I thought describing these two scenarios would help allow you to ...
Original Post Date: Wednesday, September 25, 2013 During a recent Analysis of Alternatives (“AoA”) consulting project, our customer asked that we provide more insight into TruePlanning’s System and Assembly objects, which in our AoA context we termed Systems Engineering/ Program Management (SE/PM) and Alternative Integration/ Test, respectively. The customer’s challenge was understanding our parametric model’s treatment of principally hardware-COTS objects, combined with other cost, purchased service and training objects.Our Chief Scientist, Arlene Minkiewicz, provided us with insights that I’d like to share with you, as well as my views on how we at PRICE systems have consistently used these parent ...
Original Post Date: Wednesday, September 25, 2013 It is impossible to find a news website or magazine that is not full of articles on the effects of Sequestration.  As a cost estimator, I find the topic very interesting (and troublesome).  The immediate effects of Sequestration are widely discussed.  However, I do not see quite as much news coverage on the second and third order effects of this extremely complex policy decision. The Department of Defense (DoD) has a specific target that must be removed from the budget over the next 10 years.  Some analysts claim a doomsday scenario.  Others claim it ...
Original Post Date: Wednesday, September 25, 2013 In a recent National Public Radio (NPR) interview, Winslow Wheeler (Director of the Straus Military Reform Project of the Project on Government Oversight in Washington, D.C.), spoke on the recent problems with the Joint Strike Fighter acquisition process.  “Wheeler explained that Lockheed Martin, the manufacturer of the jet, uses a pricing vocabulary that masks costs. ‘Flyaway costs, non-recurring and recurring costs, and lots of gobbledygook, and they’ll say that comes to a number like $60-$70 million dollars. And, it’s complete baloney,’ said Wheeler.” (pogo.org)    The F-35 has the distinction of being the most ...
Original Post Date: Wednesday, September 25, 2013 “On 29 July 2003, the Acting Under Secretary of Defense (Acquisition, Technology and Logistics) signed a policy memorandum entitled “Policy for Unique Identification (UID) of Tangible Items – New Equipment, Major Modifications, and Reprocurements of Equipment and Spares”. This Policy made UID a mandatory DoD requirement on all new equipment and materiel delivered pursuant to solicitations issued on or after January 1, 2004. USD(AT&L) issued verbal guidance that tangible assets manufactured by DoD’s organic depots were to be considered “new” items which fall under UID marking policy, beginning 1 January, 2005. An item is considered “significant”, and will be uniquely ...
Original Post Date: Wednesday, September 25, 2013 What follows is PRICE's interpretation of how to model FPGA’s and ASICs inside our current version of TruePlanning® 2012 SR2 and older versions. ASICs are an application-specific integrated circuit, customized for a particular use. FPGAs are Field-programmable gate arrays and are considered the modern-day technology that can be used in many different applications because of the programmable logical blocks. In industry ASICs has grown from 5,000 gates to over 100 million. Designers of digital ASICs use a VHDL language for the functionality.   Estimating Best Practice for TruePlanning: Model your electronics at the board level ...