MIL-HDBK-502 - Barringer and Associates, Inc.

MIL-HDBK-502: ACQUISITIONALOGISTICSconsider the support resources necessary to achieve specified levels ofreadiness (A o ) for a range of assumptions regarding system reliability andmaintainability characteristics, usage rates, and operating scenarios.Because of the uncertainty in estimating resource costs like manpower andenergy, sensitivity analyses should be performed. Sensitivity analyses helpto identify and weight the various factors which drive life cycle costs. Thisknowledge is key to understanding and managing program risk.All major elements of life cycle cost should be addressed as part of thesystem analysis and control activities. The objective is to minimize costwithin major constraints such as readiness requirements. Ongoingassessments of life cycle costs during a product’s acquisition andcontinuing through its service life provide important insight to effective lifecycle management. These assessments are required not only because costschange over time, but also because what constitutes acceptableaffordability is also subject to change. What is affordable under one set ofeconomic conditions may be unaffordable under another. Therefore, it isimportant to investigate opportunities to reduce the cost of ownershipthroughout all phases of a system’s life cycle.Equipment readinessReadiness is a measure of an organization’s capability to perform assignedmission responsibilities when called upon to do so. A combination of A oand mission frequencies (e.g., sortie rates), for both surge and sustainedoperations is a measure of equipment readiness. Equipment readinesspredictions are a tool for assessing the operational suitability of a productbefore its introduction into service. Equipment readiness needs will varyfrom system to system, and from peacetime to wartime. As was true withmanpower and personnel, equipment readiness should be addressed at theearliest stage of a new acquisition.Manpower and personnel constraintsReductions in manpower and the increasing complexity of defense systemsoffer a significant challenge in acquiring affordable defense systems. Earlyconsideration of manpower and personnel requirements is very important.Manpower and personnel constraints (quantities, skills, and skill levels) aremajor cost drivers of every total system and are as important as any otherdesign consideration. Because of their potential impact on productperformance, readiness, and cost, all manpower and personnelrequirements for new systems should be identified and evaluated early andalternatives considered. For example, use of commercial support for a lowdensity,highly complex product could eliminate most of the training costsassociated with maintaining a qualified cadre of personnel in anenvironment with frequent personnel changes.4-16