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 .. 34. Selected Acquisition Report .. 34. 6. SOURCES OF O&S COST data .. 37. VAMOSC Program .. 37. Cost Reporting for Sustainment Contracts .. 39. 7. O&S COST ESTIMATING PROCESS .. 47. Introduction .. 47. Program Definition .. 48. Cost Estimating Plan.
programs still actively reporting at the time of the publication of this guide, the data were taken from the December 2019 SARs. For other programs, the data were taken from the last SAR for that program. In all cases, the data were converted to FY 2020 dollars before calculating the percentages displayed.
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