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Department of Defense INSTRUCTION

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DoDI 5000.02, January 7,

DoDI 5000.02, January 7, 2015 risk reduction prototypes will be included if they will materially reduce engineering and manufacturing development risk at an acceptable cost. If competitive prototyping is not considered feasible, single prototypes at the system or subsystem level will be considered. a. Risk reduction prototypes will be included if they will materially reduce engineering and manufacturing development risk at an acceptable cost. Risk reduction prototypes can be at the system level or can focus on sub-systems or components. b. A competitive prototype, or if this is not feasible, a single prototype or prototyping of critical subsystems prior to Milestone B is statutorily required to be part of the Acquisition Strategy for MDAPs and is a regulatory requirement for all other programs. The MDA may waive the competitive prototyping requirement at or prior to Milestone A if: I. The cost of producing competitive prototypes exceeds the expected lifecycle benefits (in constant dollars) of producing the prototypes, including the benefits of improved performance and increased technological and design maturity that may be achieved through competitive prototyping; or II. The department would be unable to meet critical national security objectives without such a waiver. 3. There are a number of ways to structure this phase which should be tailored to reduce the specific risks associated with the product being acquired. Technology Readiness Levels, described in the Technology Readiness Assessment (TRA) Guidance (Reference (e) (f)), should be used to benchmark technology risk during this phase; however, these indices are rough benchmarks, and not conclusive about the degree of risk mitigation needed prior to development. Deeper analysis of the actual risks associated with the preferred design and any recommended risk mitigation must be conducted and provided to the MDA. (c) The Acquisition Strategy will guide this phase. Multiple technology development demonstrations, defined in the acquisition strategy, may be necessary before the operational user and material materiel developer can substantiate that a preferred solution is feasible, affordable, and supportable; satisfies validated capability requirements; and has acceptable technical risk. Critical program information will be identified during this phase and program protection measures to prevent disclosure of critical information will be implemented consistent with section 13 in Enclosure 3. Planning for EMD, production, developmental and operational test, and life-cycle sustainment of proposed products will occur during this phase. The government will update the program IP Strategy (see paragraph 6a(4) of Enclosure 2) to ensure the ability to compete future sustainment efforts consistent with the Acquisition Strategy to include competition for spares and depot repair. (d) During this phase, and timed to support CDD validation (or its equivalent), the Program Manager will conduct a systems engineering trade-off analysis showing how cost and capability vary as a function of the major design parameters. The analysis will support the assessment of refined KPPs/KSAs in the CDD. Capability requirements proposed in the CDD (or equivalent requirements document) should be consistent with program affordability goals. Change 2, 02/02/2017 22

DoDI 5000.02, January 7, 2015 (e) Subsequent to CDD validation, the Program Manager will conduct additional requirements analysis including: requirements decomposition and allocation, definition of internal and external interfaces, and design activities leading to a PDR. Unless waived by the MDA, the PDR will occur prior to Milestone B. (f) Program Planning. 1. During the TMRR Phase, the Program Manager will plan the balance of the program, and prepare for subsequent decision points and phases, and. The Program Manager will submit an updated Acquisition Strategy for MDA approval in sufficient time to inform development of the RFP for the next phase. The updated Acquisition Strategy will describe the overall approach to acquiring the capability to include the program schedule, risks, funding, and the business strategy. The business strategy will describe the rationale for the contracting approach and how competition will be maintained throughout the program life cycle, and detail how contract incentives will be employed to support the Department’s goals. 2. To avoid re-planning and program disruptions, an updated Acquisition Strategy should be submitted to the MDA in time for approval prior to the preparation of the final RFPs for the next phase. (g) Life-Cycle Considerations During the TMRR Phase 1. Planning for the sustainment phase should begin in this phase, when requirements trades and early design decisions are still occurring. The Program Manager will finalize sustainment requirements and decompose them into more detailed requirements to support the PDR and for the following uses: a. Support system and product support package design trades. b. Support test and evaluation (T&E) planning. c. Provide performance metrics definition for product support contracts and organic support requirements. assessment. d. Provide logistics requirements, workload estimates, and logistics risk 2. The Program Manager will integrate the product support design into the overall design process, and assess enablers that improve supportability, such as diagnostics and prognostics, for inclusion in the system performance specification. As the design matures, the Program Manager will ensure that life-cycle affordability is a factor in engineering and sustainment trades. (5) CDD Validation and Configuration Steering Boards (CSBs) Change 2, 02/02/2017 23

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