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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.

of Cost Assessment and Program Evaluation (CAPE) for use by the Department of Defense (DoD) Components (i.e., military departments and defense agencies) in developing estimates of system operating and support (O&S) costs.

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DOD COST ESTIMATING GUIDE - OSD CAPE

www.cape.osd.mil

estimating community to do every day, albeit in a highly structured and disciplined way. Whether a new cost estimator or seasoned analyst, this guide will assist with projects and analyses so that the cost estimating community will continue to provide leaders and decision makers with relevant assessments and sound recommendations.

  Estimating

OPERATING AND SUPPORT COST-ESTIMATING GUIDE

www.cape.osd.mil

contractor cost data reporting for major contractor logistics support and other sustainment contracts. • Chapter 5 provides a tutorial on the best …

  Cost, Tutorials

OPERATING AND SUPPORT COST-ESTIMATING GUIDE

www.cape.osd.mil

Support (O&S) costs. 1.2 Applicability . This guide is focused on analytic methods and data for O&S cost estimates and analyses for a wide variety of DoD weapon systems. 1.3 Outline . The remainder of this guide is organized as follows: • Chapter 2 provides an overview of the concepts of system life-cycle cost and system O&S cost.

  Guide, Support

INFLATION AND ESCALATION BEST PRACTICES FOR COST …

www.cape.osd.mil

b. Estimates expressed in a base year using an escalation index, or a composite of inflation and escalation, must be labeled “constant price” to distinguish them from inflation-adjusted estimates. The Appendix discusses options for labeling both …

  Adjusted, Inflation, Inflation adjusted

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