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USAF ILA Handbook - ACC Practice Center - Defense Acquisition ...

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F-1. PBL Product Support Strategy (continued)<br />

• Does it clearly delineate performance outcomes, their corresponding support<br />

requirements, and the resources required to achieve them<br />

• Does it specify the highest level metric critical to the desired performance outcome<br />

• Does the agreement define and specify the system operational requirements (e.g.,<br />

readiness, availability, response times, etc.)<br />

o Has a range of outcome performance been identified with a threshold and<br />

objective value for each level of PBL capability<br />

o Has a target price (cost to the user) been specified<br />

o Are cost vs. price considerations clearly articulated<br />

o Does it include provisions to maintain the flexibility of execution funding<br />

o Does it include provisions to accept priority revisions<br />

o Does it include terms and conditions related to surge and warfighting<br />

requirements<br />

o Does it outline what will be considered “over and above”<br />

• Have factors that could affect performance but are outside the control of the PBL<br />

provider been identified<br />

• Does the agreement:<br />

o Include provisions to permit use of DLA as a support provider<br />

o Identify any potential shared risk factors<br />

o Include risk-sharing strategies to mitigate or compensate the parties for taking on<br />

risk<br />

o Include risk-sharing strategies to incentivize providers to make good decisions to<br />

improve reliability or support<br />

o Include appropriate incentives to properly motivate behavior of the support<br />

provider<br />

o Include appropriate remedies for non-performance under the PBL arrangement<br />

• Has the PM considered opportunities available under FAR Part 12 – “<strong>Acquisition</strong> of<br />

Commercial Items” – to develop an agreement that provides best value<br />

9. Conduct the PBL BCA<br />

• Is the BCA based on warfighter-stated performance requirements<br />

• Have the process, scope and objectives for the PBL BCA developers been clearly<br />

communicated<br />

• Does the BCA address:<br />

o Assumptions, analytical methods and case boundaries<br />

• Methods and rationale used to quantify benefits and costs<br />

o Financial and non-financial business impacts for each scenario<br />

• Impact and value of performance, cost, schedule and sustainment<br />

tradeoffs<br />

o Risk assessment that shows how results depend on important assumptions<br />

Data required to support and justify the PBL strategy to include information from all<br />

appropriate stakeholders, including government and industry providers<br />

Version 1: Jan 2006 110<br />

Air Force Independent Logistics Assessment <strong>Handbook</strong>

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