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OPERATING AND SUPPORT COST-ESTIMATING GUIDE

OPERATING AND SUPPORT COST-ESTIMATING GUIDE OFFICE OF THE SECRETARY OF DEFENSE COST ASSESSMENT AND PROGRAM EVALUATION MARCH 2014 This page intentionally left blank Contents 1. INTRODUCTION .. 1- 1 Purpose .. 1- 1 Applicability .. 1- 1 Overview .. 1- 1 2. OVERVIEW OF life - cycle COSTS .. 2- 1 life - cycle Cost Categories .. 2- 1 life - cycle Cost Category Definitions .. 2- 3 life - cycle Cost Categories and Budget Appropriations .. 2- 5 3. ROLE OF O&S COST INFORMATION .. 3- 1 Introduction .. 3- 1 O&S Cost Information and Program Decision Points .. 3- 1 Trade-Off Studies .. 3- 4 Analysis of Alternatives .. 3- 5 Affordability .. 3- 6 Early Influence on System Design .. 3- 11 Business Case Analysis for life - cycle Sustainment Plan .. 3- 12 Reliability and Maintainability Specification and Tracking .. 3- 13 Tracking and Assessing O&S Cost Estimates .. 3- 16 Assessing Resources for SUPPORT .. 3- 19 Manpower Estimates .. 3- 20 O&M Budget Reports.

2.1 LIFE-CYCLE COST CATEGORIES . DoD 5000.04M -provides standardized definitions of cost categories and elements ... regardless of funding source or management control; the estimates are not limited to certain budget accounts or to categories controlled by certain lines of authority.

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