A Product Support Business Case Analysis [BCA] study is employed by the Program Manager [PM] Office of a Program Executive Office [PEO] of a Life Cycle Management Command [LCMC] in their Milestone Weapon System Acquisition review. The Product Support BCA study applies a disciplined methodology for recommending the best solutions for efficiently and effectively managing the processes employed by a Product Support Enterprise [PSE] during the in-service life and End-Of-Life [EOL] of a weapon system. The Product Support BCA output is a major input to the Life Cycle Sustainment Plan [LCSP] that is delivered by the Product Support Manager/Integrated Logistics Support Manager of the Program Office. Giuntini & Company, Inc. [GCI] has successfully performed five Product Support BCAs for the CECOM LCMC and the TACOM LCMC.
As a result of the experience above, GCI has developed a listing below of the varied elements required as inputs to the BCA.
Item # |
BCA elements |
1 |
# of end-items to be fielded |
2 |
# of end-users |
3 |
Deployability status of end-users |
4 |
Global location of end-users |
5 |
Product Support processes employed during life cycle |
6 |
Product Support process frequency |
7 |
Product Support process duration |
8 |
Business model of each Product Support solution delivered by the PSE |
9 |
Volatility of product technology/DMSMS issues |
10 |
Regulatory requirements |
11 |
Aging of the fielded end-items |
12 |
Life of the product in DoD inventory |
13 |
Manufacturer’s warranty coverage |
14 |
Item design source/IP ownership/TDP |
15 |
Materiel Availability [Am] requirements of end-user |
16 |
“Jointness” of solution with multiple end-users |
17 |
Business model elements for each Product Support solution |
18 |
BOM levels employed |
19 |
BOM variations |
20 |
BOM level capabilities |
21 |
End-item on-site maintenance strategy |
22 |
End-item off-site maintenance strategy |
23 |
BOM item costs |
24 |
LRU renewal cost |
25 |
Current/constant $$ |
26 |
Continuous Process Improvement [CPI] initiatives |
27 |
Level of BOM in which Government owns IP |
28 |
Employment of PSM/PSI PSE construct |
29 |
Employment of ARFORGEN reset/reconstitute Product Support process |
30 |
Funding sources included in analysis |
31 |
Reparable parts Beyond Economic Repair [BER]/washout rate |
32 |
Others |
With over 35 years of data collection and development, GCI has created a software tool that encompasses all the above elements to create the outputs of a BCA study; it is called “Hypatia: A Scenario-Based, Product Support Life Cycle Financial Planning Software Tool.” Hypatia has enabled GCI to reduce the time to complete a Product Support BCA by 30%, and in turn has been able to reduce the cost of the study by the same amount. Another benefit of Hypatia has been its ability to deliver target life cycle Product Support costs that have been considered reasonably accurate by the recipients of the study. Traditional Product Support cost estimating tools such as COMPASS are often inadequate to be employed in a BCA.
If you are interested in discussing how our proven Hypatia tool can be employed in your Product Support BCA study initiative, both for new programs and legacy programs, call a Giuntini & Co. SME at 570-713-4795 or visit us at www.giuntinicompany.com.
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