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Long Term Affordability through Knowledge Based Bid & Proposal – ICEAA 2014

Author: Zachary L. Jasnoff

Category: Presentations

Over the last 40 years, creating realistic cost estimates based on sound data and methodologies has proved an elusive goal.

  • As far back as 1972, the US GAO stated that cost estimates for specific systems were “frequently revisions of previously developed estimates and that accurate revisions of both the original and updated cost estimates required documentation showing data sources, assumptions, methods, and decisions basic to the estimates. “
  • This has led to estimates that were too optimistic, leading to costly over runs.
  • Early initiatives such as CAIV in the mid-1990’s have failed to contain over optimistic estimates.
    • Of the six original CAIV programs, half experienced a Nunn-McCurdy Cost Breach and none of the programs reviewed achieved a 50% savings as was originality envisioned.
  • Recent initiatives such as the Weapons System Reform Act of 2009 has placed more emphasis earlier attention on both requirements, cost and schedule.
  • US GAO Cost Estimating and Assessment Guide provides best practices to develop sound estimates and is ongoing.


Learn more by viewing the presentation below.