Transcription of OPERATING AND SUPPORT COST-ESTIMATING GUIDE
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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. SEPTEMBER 2020. This page intentionally left blank. Contents 1. INTRODUCTION .. 1. 1. Applicability .. 1. 1. 2. OVERVIEW OF LIFE-CYCLE COSTS .. 3. Life-Cycle Cost Categories .. 3. Cost Categories as a Percentage of Life-Cycle Cost .. 4. Overview of O&S Cost Scope and Definitions .. 6. 3. OSD COST ELEMENT STRUCTURE .. 7. Introduction .. 7. 9. 4. DIFFERENT METRICS OF O&S COSTS .. 19. Introduction .. 19. O&S Cost Categorizations .. 19. O&S Cost Metrics .. 25. 5. ROLE OF O&S COSTS .. 33. Acquisition Milestone and Other Reviews .. 33. Sustainment Reviews .. 34. Other Roles of O&S Cost Estimates and Analyses.
Work Breakdown Structures for Defense Materiel Items, Appendix K (Common Elements). The acquisition cost elements are part of the Work Breakdown Structure (WBS) for each major system type (e.g., aircraft, ground vehicle, etc.). The acquisition logistics support cost elements are described in Appendix C of this guide.
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