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New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant Deputy Director for SE Policy and Guidance Systems and Software Engineering Office of the Deputy Under Secretary of Defense (Acquisition and Technology)
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New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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Page 1: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

New Acquisition Policyand Its Impact on Programs froma Systems Engineering Perspective

Systems Engineering SummitMarch 4, 2009

Sharon Vannucci

Assistant Deputy Director for SE Policy and Guidance

Systems and Software EngineeringOffice of the Deputy Under Secretary of Defense

(Acquisition and Technology)

Page 2: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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DoDI 5000.02: 2003 vs. 2008

New Policy Directed by Congress

New or Revised Regulatory Policy

Impact on Programs and Systems Engineering – A Discussion

Topics

Backup (for hardcore policy wonks!): Statutory and Regulatory Information Milestone Requirements New/Revised Enclosures to DoDI 5000.02

Page 3: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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IOC

Technology Development

Production & Deployment

Operations & Support

FRP DecisionReview

FOCMaterielSolutionAnalysisMateriel Development Decision

User Needs

Technology Opportunities & Resources

Defense Acquisition Management System - 2008

ProgramInitiation

IOCBConcept

RefinementSystem Development

& DemonstrationProduction &Deployment

Operations &Support

C

FRP DecisionReview

FOC

TechnologyDevelopment

ProgramInitiation

Design ReadinessReview

ConceptDecision

User Needs andTechnology Opportunities

BA C

A

Defense Acquisition Management Framework - 2003

Comparison of 2003 vs. 2008: Subtle, But Substantial Changes

Focus of major changes

Engineering & Manufacturing Development

Post-CDRAssessment

3

PDRPDR

or

Post PDRAssessment

Page 4: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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Policy flowing from numerous new/revised sections of

Public Law since 2003 (some with multiple requirements)

Approved policy appearing in over 25 policy memos and

DoD responses to the GAO, IG, and Congress

Reference to ten updated or newly issued DoD publications

Consideration of over 700 Defense Acquisition Policy

Working Group (DAPWG) comments

Sources of Change

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Operations & Support

In the beginning . . .

Incremental Development

A

Production & Deployment O&STechnology

Development

Engineering & Manuf Development

JCIDS Acquisition Process

B C

“Following the Materiel Development Decision (MDD), the MDA may authorize entry into the acquisition management system at any point consistent with phase-specific entrance criteria and statutory requirements.”

CDD CPD

User Needs

Joint Concepts

Capabilities - Based Assessment

OSD/JCS COCOM FCB

Strategic Guidance

MaterielSolutionAnalysisICD MDD

Technology Opportunities & Resources

A

Page 6: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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IOCBA

Technology Opportunities & Resources

MaterielSolutionAnalysis

FRPDecisionReview

FOC

Materiel DevelopmentDecision

Changes to Decision Points

User Needs

Old (2003) New (2008) Change from 2003

Concept Decision (CD) Materiel Development Decision (MDD)

MDD required prior to entering the acquisition lifecycle at any point

Design Readiness Review (DRR)

Post-CDR Assessment MDA’s assessment of PM’s Post-CDR Report

PDR CDR

CDD CPD

ICD

AoA

Pre-Systems Acquisition Systems Acquisition Sustainment

Post-CDRAssessment

PDR

Technology Development

Production & Deployment

Operations & Support

Engineering and Manufacturing Development

Post-PDR Assessment MDA’s assessment of PM’s PDR Report (if PDR is after MS B)

N/A

C

or

Post-PDRAssessment

Page 7: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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Changes to Phases

Old (2003) New (2008) Change from 2003

Concept Refinement (CR) Materiel Solution Analysis More robust AoA (result of changes to JCIDS)

Technology Development (TD) Competitive prototyping

Systems Development & Demonstration (SDD)

Engineering & Manufacturing Development (EMD)

More robust system engineering

IOCBA

Technology Opportunities & Resources

FOC

User Needs

CDD CPD

ICD

MaterielSolutionAnalysis

Technology Development

Production & Deployment

Operations & Support

Engineering and Manufacturing Development

FRPDecisionReview

Materiel DevelopmentDecision

Post CDRAssessment

PDR CDRAoA PDR

Pre-Systems Acquisition Systems Acquisition Sustainment

C

or

Post PDRAssessment

Page 8: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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Mandated Milestone A for MDAPs

Mandates Milestone A approval prior to technology development for a major weapon system

Requires MDA Certification prior to Milestone A for MDAPs

Changed Milestone B Certification Requirements

Mandates reporting and notification of program cost changes

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PDR Before Milestone B

• Planned in Technology Development Strategy (TDS)

• PDR Report provided to MDA at MS B• Includes recommended requirements

trades

B

Engineering & Manufacturing Development

C

TechnologyDevelopment

PDR CDR

CDD CPD

Post CDRAssessment

PDR

Preliminary Design Review

or

PDR After Milestone B

• Planned in Acquisition Strategy (AS)• PDR Report provided to MDA before the

Post-PDR Assessment• Reflects requirements trades• At Post-PDR Assessment, MDA considers

PDR Report; determines action(s) required to achieve APB objectives, and issues ADM

Post PDRAssessment

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Engineering and Manufacturing Development

B C

PDR CDR

CDD CPD

Post-CDRAssessment

PDR

or

Integrated SystemDesign

System Capability andManufacturing Process

Demonstration

Old (2003) New (2008) Change from 2003

System Design Integrated System Design At CDR, PM assumes control of the initial product baseline for all Class 1 Configuration Items.

System Demonstration

System Capability and Manufacturing Process Demonstration

Manufacturing processes effectively demonstrated; production-representative article(s) demonstrated in intended environment; T&E assesses improvements to mission capability and operational support based on user needs.

Post PDRAssessment

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Military Equipment Valuation (accounting for

military equipment)

MDA Certification at Milestones A & B

Cost type contract for EMD Phase requires written

determination by MDA

Lead Systems Integrator Restrictions

Replaced System Sustainment Plan

Configuration Steering Boards (CSBs)

New Policy Directed by Congress

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New MAIS Reporting Requirements

“Time-Certain” IT Business Systems Development

Defense Business Systems Oversight

MDA assessment of compliance with chemical,

biological, radiological, and nuclear survivability

(CBRN) requirements at Milestones B and C

Data Management Strategy

New Policy Directed by CongressContinued…

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Detailed Acquisition of Services Policy

Independent management reviews (Peer Reviews)

for supplies and services contracts

Interim Beyond-LRIP Report

DOT&E’s Role in Testing Force Protection

Equipment / Non-Lethal Weapons

Nunn-McCurdy breach / APB Revision Procedure

Cost of energy in AoA and resource estimate

New Policy Directed by CongressContinued…

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New or Revised Regulatory Policy

Contract Incentives Strategy

Program Support Reviews (PSRs)

Integrated Developmental and Operational Test and Evaluation

Restricted use of performance requirements that do not support KPPs

Comparison with current mission capabilities during OT&E

Assessment of Operational Test Readiness (AOTR)

Detailed Systems Engineering Policy

RAM Strategy

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New or Revised Regulatory PolicyContinued…

Contracting for Operational Support Services

Approval of Technology Development Strategy prior

to release of final RFP for TD Phase

Configuration Management policy

Approval of Acquisition Strategy prior to release of

final RFP for EMD or any succeeding phase

Life-Cycle Sustainment Plan (LCSP)

Review and assessment of new or modified communications waveforms

Evolutionary Acquisition Revised

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From two processes To one process

Evolutionary Acquisition

Capability is delivered in increments, recognizing up front need for future capability improvements.

Each increment:

depends on mature technology

is a militarily useful and supportable operational capability

Successive Technology Development Phases may be needed to mature technology for multiple increments.

Incremental Development: End-state is known; requirements met over time in several increments

Spiral Development: End-state is not known; requirements for increments dependent upon technology maturation and user feedback

No spirals!

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Policy Enabling Systems EngineeringTechnical Reviews

Preliminary Design Review (PDR) – Required Before MS B: PDR Report to the MDA for MS B After MS B:

PDR Report to the MDA Post-PDR Assessment and ADM

Critical Design Review (CDR) – Required Post-CDR Report to the MDA Post-CDR Assessment and ADM

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Preliminary Design Review

When consistent with Technology Development Phase objectives, associated prototyping activity, and the MDA approved TDS, the PM shall plan a Preliminary Design Review (PDR) before Milestone B. PDR planning shall be reflected in the TDS and shall be conducted for the candidate design(s) to establish the allocated baseline (hardware, software, human/support systems) and underlying architectures to define a high-confidence design. All system elements (hardware and software) shall be at a level of maturity commensurate with the PDR entrance and exit criteria. A successful PDR will inform requirements trades; improve cost estimation; and identify remaining design, integration, and manufacturing risks. The PDR shall be conducted at the system level and include user representatives and associated certification authorities. The PDR Report shall be provided to the MDA at Milestone B and include recommended requirements trades based upon an assessment of cost, schedule, and performance risk.

OR

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Preliminary Design Review

Post-PDR Assessment. If a PDR has not been conducted prior to Milestone B, the PM shall plan for a PDR as soon as feasible after program initiation. PDR planning shall be reflected in the Acquisition Strategy and conducted consistent with the policies specified in paragraph 5.d.(6). Following PDR, the PM shall plan and the MDA shall conduct a formal Post-PDR Assessment. The PDR report shall be provided to the MDA prior to the assessment and reflect any requirements trades based upon the PM’s assessment of cost, schedule, and performance risk. The MDA will consider the results of the PDR and the PM’s assessment, and determine whether remedial action is necessary to achieve APB objectives. The results of the MDA's Post-PDR Assessment shall be documented in an ADM.

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DAG* PDR Report Guidance

10.5.3. Preliminary Design Review (PDR) Report. The PDR Report shall be provided as a memorandum to the MDA.

1. When consistent with Technology Development Phase objectives, associated prototyping activity, and the MDA-approved TDS, the PM shall plan a Preliminary Design Review (PDR) before Milestone B. PDR planning shall be reflected in the TDS with details in the SEP and shall be conducted consistent with the policies specified in paragraph 5.d.(6). Additionally, the Report should address:

a. A comprehensive list of the systems engineering products that make up the allocated baseline (to include the preliminary design specifications for all configuration items) and that were subject to review;

b. A list of the participants in the review including the PDR chair, applicable technical authorities, independent subject matter experts, and other key stakeholders;

c. A summary of the Action Items from the review and their closure status/plan;

d. A risk assessment using the PDR risk assessment checklist (https://acc.dau.mil/TechRevChklst) or similar to determine readiness to commit to full detail design; and

e. A recommendation from the PDR as to the approval of the program's system allocated baseline to support detail design.

Note: Blue text is guidance, black is policy.* Defense Acquisition Guidebook

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DAG PDR Report Guidance Continued…

The PDR Report shall be provided to the MDA at Milestone B and

include recommended requirements trades based upon an assessment of cost, schedule, and performance risk.

2. If a PDR has not been conducted prior to Milestone B, the PM shall plan for a PDR as soon as feasible after program initiation. PDR planning shall be reflected in the Acquisition Strategy and conducted consistent with the policies specified in paragraph 5.d.(6).

3. For programs whose MDA is the USD(AT&L), the PDR Report should be a memorandum to the USD(AT&L) through the Director, Systems and Software Engineering and the OIPT lead.

Note: Blue text is guidance, black is policy.

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DAG Post-PDR-A Guidance

10.5.4. Post-Preliminary Design Review (PDR) Assessment. When the system-level PDR is conducted after Milestone B, the PM shall plan and the MDA shall conduct a formal Post-PDR Assessment. The MDA shall conduct a formal program assessment and consider the results of the PDR and the PM’s assessment in the PDR Report, and determine whether remedial action is necessary to achieve APB objectives. The results of the MDA's Post-PDR Assessment shall be documented in an ADM. The Post-PDR assessment shall reflect any requirements trades based upon the PM’s assessment of cost, schedule, and performance risk.

Note: Blue text is guidance, black is policy.

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Post-CDR Report

The PM shall provide a Post-CDR Report to the MDA that provides an overall assessment of design maturity and a summary of the system-level CDR results which shall include, but not be limited to:

a. The names, organizations, and areas of expertise of independent subject matter expert participants and CDR chair;b. A description of the product baseline for the system and the percentage of build-to packages completed for this baseline;c. A summary of the issues and actions identified at the review together with their closure plans;d. An assessment of risk by the participants against the exit criteria for the EMD Phase; ande. Identification of those issues/risks that could result in a breach to the program baseline or substantively impact cost, schedule, or performance.

The MDA shall review the Post-CDR Report and the PM's resolution/ mitigation plans and determine whether additional action is necessary to satisfy EMD Phase exit criteria and to achieve the program outcomes specified in the APB. The results of the MDA's Post-CDR Assessment shall be documented in an ADM.

Successful completion of the Post-CDR Assessment ends Integrated System Design and continues the EMD Phase into System Capability and Manufacturing Process Demonstration.

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Post-CDR Assessment

Post-CDR Assessment. The MDA shall conduct a formal program assessment following system-level CDR. The system-level CDR provides an opportunity to assess design maturity as evidenced by measures such as: successful completion of subsystem CDRs; the percentage of hardware and software product build-to specifications and drawings completed and under configuration management; planned corrective actions to hardware/software deficiencies; adequate developmental testing; an assessment of environment, safety and occupational health risks; a completed failure modes and effects analysis; the identification of key system characteristics;, manufacturing feasibility, and the maturity of critical manufacturing processes; and an estimate of system reliability based on demonstrated reliability rates.

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DAG Post-CDR-A Guidance

10.5.5. Post-Critical Design Review (CDR) Assessment. The MDA shall conduct a formal program assessment following system-level CDR.

1. The PM shall provide a Post-CDR Report as a memorandum to the MDA that provides an overall assessment of design maturity and a summary of the system-level CDR results which shall include, but not be limited to:

a. The names, organizations, and areas of expertise of independent subject matter expert participants and CDR chair;

b. A description of the product baseline for the system and the percentage of build-to packages completed for this baseline;

c. A summary of the issues and actions identified at the review together with their closure plans;

d. An assessment of risk by the participants against the exit criteria for the EMD Phase; and

e. Identification of those issues/risks that could result in a breach to the program baseline or substantively impact cost, schedule, or performance.

The CDR risk assessment checklist is designed as a technical review preparation tool, and should be used as the primary guide for assessing risk during the review. This checklist is available on the SE COP (https://acc.dau.mil/TechRevChklst).

Note: Blue text is guidance, black is policy.

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DAG Post-CDR-A Guidance Continued…

2. For programs whose MDA is the USD(AT&L), the Post-CDR Report should be a memorandum to the USD(AT&L) through the Director, Systems and Software Engineering and the OIPT lead.

3. The MDA shall review the Post-CDR Report and the PM’s resolution/ mitigation plans and determine whether additional action is necessary to satisfy EMD Phase exit criteria and to achieve the program outcomes specified in the APB. The results of the MDA’s Post-CDR Assessment shall be documented in an ADM.

Note: Blue text is guidance, black is policy.

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Codifies OSD SE Role in Program Oversight

Program Support Reviews (PSRs). PSRs are a means to inform an MDA and Program Office of the status of technical planning and management processes by identifying cost, schedule, and performance risk and recommendations to mitigate those risks. PSRs shall be conducted by cross-functional and cross-organizational teams appropriate to the program and situation. PSRs for ACAT ID and IAM programs shall be planned by the Director, Systems and Software Engineering (SSE) to support OIPT program reviews, at other times as directed by the USD(AT&L), and in response to requests from PMs.

Enclosure 6: The DUSD(A&T) shall conduct an independent Assessment of Operational Test Readiness (AOTR) for all ACAT ID and special interest programs designated by the USD(AT&L). Each AOTR shall consider the risks associated with the system’s ability to meet operational suitability and effectiveness goals. This assessment shall be based on capabilities demonstrated in DT&E and OAs and criteria described in the TEMP. Where feasible, the AOTR shall be performed in conjunction with the program's review and reporting activities as described in subparagraph 4.a.(1) of this Enclosure. The AOTR report shall be provided to the USD(AT&L), DOT&E, and CAE.

The CAE shall consider the results of the AOTR prior to making a determination of materiel system readiness for IOT&E.

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Enclosures to DoDI 5000.02

1. References2. Procedures3. ACAT and MDA 4. Statutory and Regulatory Information and Milestone Requirements

Table 5. EVM Implementation PolicyTable 6. APB PolicyTable 7. Unique Decision Forums

5. IT Considerations6. Integrated T&E7. Resource Estimation8. Human Systems Integration9. Acquisition of Services10. Program Management11. Management of Defense Business Systems12. Systems Engineering

▀ New

Tables Updated,

More UserFriendly

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New Systems Engineering Enclosure

Codifies three previous SE policy memoranda

Codifies a number of SE-related policies and statutes since 2003:

Environmental Safety and Occupational Health

Corrosion Prevention and Control

Modular Open Systems Approach

Data Management and Technical Data Rights

Item Unique Identification

Spectrum Supportability

Introduces new policy on Configuration Management

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Other ImportantStatutory and Regulatory

Policy Changes

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Other Major Policy ChangesContinued…

Acquisition of Services Replaces, and adds structure and discipline to,

former 5000.2 policy Implements Independent Management Reviews,

required by Sec. 808 of the ’08 NDAA, as “Peer Reviews”

Defines Senior Officials and Management Thresholds Requires: Performance-Based Requirements;

identifiable and measurable cost, schedule, and performance outcomes; a strategic, enterprise-wide approach for both planning and execution; and formal executive review before contract initiation

Assessment of Operational Test Readiness

Complements the DoD Component’s Operational Test Readiness Process

Considers the risks associated with the system’s ability to meet operational suitability and effectiveness goals

Based on capabilities demonstrated in DT&E and OA and TEMP criteria

Report provided to the USD(AT&L), DOT&E, and CAE

AIS ReportingFY ’09 NDAA §811 Establishes “pre-MAIS” reporting requirements No longer need to “Certify” CCA compliance to

Congress

FY ’07 NDAA §816 SAR-like and DAES-like reporting §816 (Nunn-McCurdy-like) Assessment and

Certification §811 Time-Certain IT Business System development

FY ’06 NDAA §806, MAIS Cancellation/Reduction in Scope: Notify

Congress before any MDA cancels or significantly reduces the scope of a MAIS program that has been fielded or has received Milestone C approval

APB Policy Clarifies when and on what basis the APB will be

updated Provides statutory basis for Nunn-McCurdy reporting

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Other Major Policy ChangesContinued…

Changes to the Technology Development Strategy

Statutory requirement for Test Plan in TD Phase is now accomplished in T&E Strategy (TES)

Now requires a summary of the CAIG-approved Cost and Software Data Reporting (CSDR) Plan(s) for the Technology Development phase

Data Rights PMs assess the long-term technical data needs of

their systems The assessment reflected in a Data Management

Strategy (included in the Acquisition Strategy) Addresses the merits of including a priced contract

option for the future delivery of technical data Considers the contractor’s responsibility to verify

any assertion of restricted use and release of data

Enhanced Focus on Manufacturing Readiness

Fully-Burdened Cost of Energy The Analysis of Alternatives considers — Alternative ways to improve the energy efficiency of

DoD tactical systems with end items that create a demand for energy

The fully burdened cost of delivered energy shall be used in trade-off analyses conducted for all DoD tactical systems with end items that create a demand for energy

Incentives PM required to describe how incentives will be used

to achieve required cost, schedule, and performance outcomes

Captured in Acquisition Strategy Institutionalizes current incentive fee policy

Institutionalizes Program Management Agreements (PMAs)

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Other Major Policy ChangesContinued…

Lead Systems Integrator MDA ensures that the LSI does not have, nor is

expected to acquire, a financial interest in development or construction

PM stresses appropriate checks and balances; insists the government performs inherently governmental functions

Milestone RequirementsFY’07/’08/’09 NDAAs Mandate Milestone A approval prior to technology

development for an MDAP Require MDA Certification prior to Milestone A for

MDAPs with Technology Development Phase efforts Mandate reporting and notification of program

cost changes Changed Milestone B Certification Requirements

FY’06 NDAA Requires MDA Certification prior to Milestone B for

MDAPs

MDA Determination of Contract Type Consistent with level of program risk: fixed price or

cost contract Cost-type only upon written determination that (1) the

program is so complex and technically challenging that it would not be practicable to reduce program risk to a level that would permit the use of a fixed-price contract; and, (2) the complexity and technical challenge of the program is not the result of a failure to meet the requirements of the MDA Milestone B Certification

Modified “Enclosure 3” Tables Now Enclosure 4 Clarifies Applicability by program type and ACAT

New Challenges Addresses Waveform, Electromagnetic Spectrum, and

Life-Cycle Signature Management Requires early consideration of Data Assets, Critical

Program Information, and the workforce mix

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Other Major Policy ChangesContinued…

New Enclosure 11, Management of Defense Business Systems

Describes the Defense Business Systems Management Committee (DBSMC) Certification Approval Process

DBSMC Certification Approval required for all defense business systems funded over $1,000,000

Investment Review Boards (IRB) assess programs and advise the DBSMC

Enclosure details the business process supporting IRB and DBSMC activity

New Enclosure 12, Systems Engineering Requires the Systems Engineering Plan and

Technical Reviews Also covers—

Corrosion Control Configuration Management

Pre-Award “Peer Reviews”

Recognizes Unique Decision Forums for Space, Missile Defense, and Joint Intelligence

Performance-Based Life-Cycle Product Support (PBL)

Document performance and sustainment requirements in performance agreements specifying objective outcomes, measures, resource commitments, and stakeholder responsibilities

Program Support Reviews On-site review of program information before each

milestone and release of the RFP Assesses technical planning and management

processes Assists in identifying and mitigating

cost/schedule/performance risk Informs decision making

Reliability, Availability, and Maintainability (RAM)

Requires a strategy that includes a reliability growth program

RAM integrated with Systems Engineering processes; assessed during technical reviews, T&E, and Program Support Reviews (PSRs)

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Other Major Policy ChangesContinued…

Replaced-System Sustainment Plan DoD Component plan to sustain the system

being replaced if the capability provided by the existing system remains necessary and relevant during fielding of and transition to the new system

The plan must provide for the budgeting to sustain the existing system until the new system assumes the majority of mission responsibility

Requests for Proposal Technology Development Strategy or Acquisition

Strategy must be approved before release

Small Business Innovation Research (SBIR)

Directs consideration of SBIR technologies

Updated EVM Policy Cost/Incentive Contracts: At PM’s discretion, based

on cost-benefit analysis Firm Fixed-Price Contracts: Limited. Requires MDA

approval based on a business case analysis

Workforce Considerations Manpower mix Inherently governmental PM tenure PM / PEO shall be experienced and certified

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Implications for Systems Engineering

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CBAJoint Concepts

MS CMS B

Strategic Guidance

MS A

ICD TechnologyDevelopment CDD

Engineering and Manufacturing

DevelopmentCPD

Production and Deployment O&S

MDD

Materiel Solution Analysis

CDR

Increased Focus on Early Acquisition

Materiel Development

Decision (MDD)

Full Rate ProductionDecision Review

JCIDS Process

Competing prototypes

before MS B

PDR and a PDR report to the MDA if pre-MS B or PDR and Post-PDR report and assessment if post-MS B

Early Acquisition

What are the implications of these changes for programs? How can systems engineering enable the program during this early phase?

PDR or PDR

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Full Rate ProductionDecision Review

CBAJoint Concepts

MS CMS B

Strategic Guidance

MS A

ICD TechnologyDevelopment

CDDEngineering and Manufacturing

DevelopmentCPD

Production and Deployment O&S

New Opportunities for Systems Engineering –Starting Programs Right

MDD

Materiel Solution

Analysis

Pre-MDD “SE Touch Points” Initial Capabilities Document (ICD) Analysis of Alternatives study plan

Pre-Milestone A “SE Touch Points” Systems Engineering Plan

Technology Development Strategy

Test and Evaluation Strategy

Analysis of Alternatives

CDRPDR

* PDR – Preliminary Design Review * CDR – Critical Design Review * MDA - Milestone Decision Authority

What’s relevant: Mandatory Materiel Development Decision Mandatory Milestone A for all “major weapon systems” Mandatory PDR* and CDR* with reports to the MDA*

JCIDS Process

PDR

OR

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Full RateProductionDecisionReview

CBAJoint Concepts

MS CMS B

Strategic Guidance

MS A

ICD TechnologyDevelopment

CDDEngineering and Manufacturing

Development and Demonstration

CPDProduction and

Deployment O&S

New Opportunities for Independent Reviews

MDD

Materiel Solution

Analysis

* PDR – Preliminary Design Review * CDR – Critical Design Review * OTRR – Operational Test Readiness Review

What’s relevant: Mandatory Milestone A for all “major weapon systems” MS B after system-level PDR* and a PDR Report to the MDA EMDD with Post-CDR* Report and MDA Assessment PSR and AOTR in policy

OTRRPotential Independent Technical Reviews - PSRs and AOTRs

Program Support Reviews (PSRs) All ACAT ID and IAM To inform the MDA on technical planning and management processes thru risk identification and mitigation recommendations To support OIPT program reviews and others as requested by the MDA Non-advocate reviews requested by the PM

Assessments of Operational Test Readiness (AOTRs) All ACAT ID and special interest programs To inform the MDA, DOTE, & CAE of risk of a system failing to meet operational suitability and effectiveness goals To support CAE determination of materiel readiness for IOT&E

Page 40: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

40

New Challenges for Programs

PM skill-sets after MDD and prior to MS A Increased importance of the Technology

Development Strategy (TDS) at MS A PM skill-set and PM organization for TD phase Funding implications (shifting resources from

EMD to TD) Possible contracting strategies – constraints,

competitive prototyping, data rights, etc. Early engagement with industry Tailoring the process to specific domains

and/or complexity Others?

Page 41: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

41

New Challenges for SEPs

Explicit technical planning for the Technology Development phase at Milestone A including: Technology maturation Competitive prototyping Manufacturing maturity Critical Program Information in design Item Unique Identification (IUID)

Mandatory system-level PDR with rationale for its placement before or after Milestone B PDR Report to the MDA either side of MS B Post-PDR Assessment by the MDA with ADM if after MS B

Mandatory system-level CDR Post-CDR Report to and Assessment by the MDA followed by an

ADM

IUID Implementation Plan as SEP Annex at Milestones B and C

Page 42: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

42

Why is this hard?

Programs have very little experience with current pre-Milestone B SE activities – makes it difficult to know what to ‘adjust’ given changes.

The current DAG guidance is voluminous – online resource with over 500 printed pages of information without hotlinks.

PMOs have limited understanding about interdependencies within the this Guidance.

For SE to be an effective enabler, Systems Engineers need to understand the activities, products, and their integration with the program, particularly in the unfamiliar realm of pre-Milestone B.

Page 43: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

43

CBAJoint Concepts

MS CMS B

Strategic Guidance

MS A

ICD TechnologyDevelopment

Engineering and Manufacturing

DevelopmentO&S

MDD

Materiel Solution Analysis

CDRPDR

Review of Policy Changes

Mandatory Materiel Development Decision (MDD) Mandatory competing prototypes before MS B Mandatory PDR and a report to the MDA (“the sliding PDR”) [PDR Report to MDA if before MS B; formal PDR Assessment by MDA if after MS B]

Configuration Steering Boards at Component level to review all requirements changes

Renewed emphasis on manufacturing during system development: Re-titles SDD phase to EMD with two sub phases: Integrated System Design and System Capability and Manufacturing Process Demonstration Establishes consideration of manufacturing maturity at key decision points

Mandatory system-level CDR with an initial product baseline and followed by a Post-CDR Report to the MDA Post-CDR Assessment by the MDA between EMD sub phases

Full Rate ProductionDecision Review

JCIDS Process

PDR

Production and Deployment

CPDCDD

or

Page 44: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

44

CompletedDesign

ProgramInitiation

Make acquisition decisions when you have solid evidence and acceptable risk

Un

ce

rta

inty

Agreement to pursue a material solution

Materiel Solution Analysis Technology Development

Selection of a

proposed materiel solution

System Level Specs

Preliminary Design

AoA

BusinessDecisions

EngineeringSupport

ProposedMateriel Solution

MaterielSolutionAnalysis

Technology Maturation

and Prototyping

MDD MS A

MS B

PDR

CDR

In Conclusion . . .

PDROR

P-PDRAssessment

P-CDRAssessment

Page 45: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

45

SE Planning for Milestone A and Technology Development Phase

Documents / activities / data requiring technical input from the Systems Engineer BEFORE Milestone A:

Analysis of AlternativesTechnology Development Strategy

Critical Program Information Technology maturation plans Competitive Prototyping plans Net-Centric Data Strategy Market Research Data Management Strategy

Component Cost EstimateSystems Engineering PlanTest and Evaluation Plan

The Systems Engineer’s Challenge: Where to find the data!?

Page 46: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

46

Call Me…

Sharon Vannucci

[email protected]

(703) 695-7853

www.acq.osd.mil/sse

Page 47: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

47

Backup

Page 48: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

48

Material Solution AnalysisMDD MS A

Materiel Solution Analysis

ConductAoA

Initial userassessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of Potential

Systems Solution(s)

SEP

TDS

JCIDS

AoA

Guidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

Grey Areas depending on PMO SE input

Typically executed by PMO SE Staff

Typically executed by Industry

Delivered Product

Informs

Leads to

Key SE input

Major Review

Grey Areas depending on PMO SE input

Typically executed by PMO SE Staff

Typically executed by Industry

Delivered Product

Informs

Leads to

Key SE input

Major Review

Page 49: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

49

MSA Starting & Closing Conditions

JROC Approved ICD Understanding of capability gaps

Successful MDD Agreement by MDA to proceed

MDA Approved AoA Guidance Direction for initial scoping of

solution

MDD MS AMateriel Solution Analysis

ConductAoA

Initial userassessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

MDD MS AMateriel Solution Analysis

ConductAoA

Initial userassessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

Technology Development Strategy (TDS) Understanding of risks

– technology, design, manufacturing, security, etc.

Plans for competitive prototyping and initial design (to PDR)

Plans for SE and T&E for technology development

Materiel SolutionAnalysis

(MSA)

Starting Conditions

Closing Conditions

Page 50: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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MSA – Materiel Development Decision

MDD MS AMateriel Solution Analysis

ConductAoA

Initial userassessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

Materiel Development Decision

New in 5000.02

Provides early visibility to MDA and opportunity for better upfront guidance

Page 51: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

51

MSA – Analysis of Alternatives

MDD MS A

Materiel Solution Analysis

ConductAoA

Initial userassessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

No major changes in 5000.02

Increased visibility at MDD

Recommends important considerations be addressed at the outset in AoA Guidance

Risk is that if driving issues are not addressed in the AoA they will cost more in time and funds when identified later in the process

Page 52: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

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MSA – Engineering AnalysisMDD MS A

Materiel Solution Analysis

ConductAoA

Initial userassessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

Early engineering analysis by ‘emerging program office’ Based on results of the AoA, translated into option(s) for acquisition

Provides technical basis for planning for next steps including the best technical approach for the TD phase

• Includes assessment of technical risks including technology maturity, design, assurance, integration, manufacturing

Provides technical foundation for MS A products and decisions

Page 53: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

53

MSA – Material Solution Options

MDD MS A

Materiel Solution Analysis

ConductAoA

Initial userassessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

Recommended solution or solution set Reviewed by stakeholders Provides scoping for planning for next phase

Page 54: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

54

MSA – Planning for TD Phase

ConductAoA

MDD MS A

Materiel Solution AnalysisInitial user

assessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

Evolutionary vs. single step approach (programmatic and technical)

Acquisition increments’ objectives Total R&D program cost, schedule,

performance goals TD Phase risk reduction/ technology

maturation objectives

Competitive prototyping and PDR plans

TD Phase-specific cost, schedule, performance goals and exit criteria

Contract strategy and RFP preparation

Program Office organization, responsibilities, and time-phased workload assessment

Page 55: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

55

MSA –Planning for TD Phase Continued…

ConductAoA

MDD MS A

Materiel Solution AnalysisInitial user

assessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

Major products Technology Development Strategy (TDS)

• Plan for the TD phase Systems Engineering Plan (SEP)

• Plan for engineering for TD activities T&E Strategy

• Test plans and criteria for TD and long lead time test elements

Page 56: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

56

MSA – PM QuestionsMDD MS A

Materiel Solution Analysis

ConductAoA

Initial userassessment of capability

needs

ICD

StudyEfforts

Engineering Analysis of PotentialSystems

Solution(s)

SEP

TDS

JCIDS

AoAGuidance

AoAPlan

AoAReport

TES

Technical Planning for TD

MaterialSolution Options

ProgramPlanningFor TD

ProgramOffice

Increased importance of AoA? When is Program Office formation? Role of industry? Coordination with S&T community? Who vets the PMO assessments in the TDS?

Page 57: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

57

Technology Development

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

Reduction SRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 58: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

58

TD Starting & Closing Conditions

Milestone A decisionSelected materiel solution(s)Clear direction in ADM including funding matched to TD plan (in approved TDS)

Cost, schedule, solution(s) maturity objectives

Cost certification Approved Technology

Development Strategy (TDS) TD phase acquisition strategy and RFPs

Detailed phase implementation plan with resources

Approved Systems Engineering Plan (SEP) and T&E Strategy (TES)Technical management and implementation plan

Testing objectives and criteria

Knowledge-based decision on establishing a program of record including cost, schedule, and performance based on: Approved CDD and systems

requirements Demonstrated mature

solution(s) technologies Initial end-item design

maturity (if PDR before B) EMD phase full funding

EMD plan and objectives (AS) based on acceptable level of risk to Sponsor, CAE, and PM

Supporting programmatic, technical, and test planning for EMD execution

Technology Development

(TD)

Starting Conditions

Closing Conditions

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 59: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

59

TD – Major Thrusts

Technology Maturation

Initial End Item Design

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 60: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

60

TD – Technology Maturity

Implementation based on MS A products

TDS identified CTE and provided technology risk reduction plans

SEP defined how risk reduction and prototypes will be technically managed and reviewed

TES provided T&E criteria for evaluation of technology risk reduction and prototype efforts

Reviews TDS assessment of technology maturity and its identified Critical Technology Elements CTEs

Confirms/ revises CTEs functional and performance baselines; the ”as is” and required

Matures CTEs in relevant environments Competitive prototypes or other

technology risk reduction activities Uses RFPs/ task orders with industry

and government labs/ agencies

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 61: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

61

TD – Engineering Analysis

Develops technical baseline for CARD and program estimate (Certification requirement)

Results… Drive the technical aspects of program:

Systems Requirement Document, SEP and TEMP

Provide the technical foundation for draft Acquisition Strategy, Initial end-item RFP, cost estimates, and APB

Assesses CTE/ prototyping results against required requirements

Refines system requirements based on technology maturation results

Collaborates with Users to balance CDD requirements with solutions’ technology maturity

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 62: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

62

TD – Interim Products

Interim products provide basis for initial end item design Sponsor-approved CDD Updated TEMP Initial Acquisition Strategy and cost estimates Preliminary APB Preliminary program total ownership costs and plan for

evolutionary acquisition increments

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 63: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

63

TD – Initial End Item Design(s)

Multiple design competitors including prototypes (as required)

Technical reviews’ products per SEP (e.g.: requirements tradeoffs, trade

studies, design alternatives, and prototyping results)

Greater understanding of achievable system performance

Risk reduction via HW and SW design maturation (engineering and manufacturing)

Engineering oversight and insight via IPTs

Interaction with user community and stakeholders to ensure shared understanding of technical feasibility

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 64: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

64

TD – Products

PDR Report to MDA (new in 5000.02) PM Assessment Final CDD reflecting a feasible, affordable

increment of development Acquisition Strategy, next increment’s APB &

CARD, and full funding requirement

Business Case Analysis EMD RFP or post PDR

contract(s) execution Technical plans: SEP, TEMP,

Information Support Plan (ISP), etc.

Design results inform final Milestone B products:

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 65: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

65

TD – PM Questions

Role of industry in TD? Relationship to JCIDS? PDR before B

Impact of time delay between PDR and MS B? Contracting implications for EMD? What requirements are in the RFP for initial designs? Timing and basis for Source Selection?

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Prototypingfor design feasibility

MS A MS BTechnology DevelopmentCDD

CTE Risk

ReductionSRR(s) PDR(s)

UpdatedSEP

SRD

Draft RFPfor InitialSystem Dev

JCIDS

FinalSEPISP

PDR Report

User assessment of capability needs

ASTEMPCARD/ICECCEAPB

UpdateRFP**

CTEPrototyping

*

TEMPCARD/ICECCEAPB

SFR(s)

Sponsor Approved

Execute TechMaturation

UpdateSEP

Preliminary Design***

TechnologyReadiness

InitialTRA

TRA

Engineering OversightEngineering Analysis

CDD

FinalUpdateInitialASTEMPCARD/ICECCEAPB

UpdateSEP

Page 66: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

66

Requirement CommentReference

Data ManagementStrategy

10 USC 2320

Military Equipment Program Valuation

PL 101-576 &Statement of Federal Financial Accounting Standards, No 6

WhenRequired

MS A, B, C, & FRPDR

MS C &FRPDR (orequivalent)

Part of TDS or Acq Strategy

Part of AcquisitionStrategy

Enclosure 4, Table 2-1

Statutory Requirements Added For MDAPs & MAISStatutory Requirements Added For MDAPs & MAIS

Analysis of Alternatives (AoA)

10 USC 2366aTitle 40, Sec III

MS A, B, C, &Program Initiation for Ships

Updated as necessary at MS B and C

Page 67: New Acquisition Policy and Its Impact on Programs from a Systems Engineering Perspective Systems Engineering Summit March 4, 2009 Sharon Vannucci Assistant.

67

Requirement CommentReference

MDA Program Certification

10 USC 2366 a & b

WhenRequired

MS A & B MS C (if program initiation)

Nunn-McCurdy Assessment and Certification

10 USC 2433 When Service Secretary reports an increase in cost that equals or exceeds the critical cost threshold

Increase of 25% over “current” PAUC or APUC APB values; Increase of 50% over “original” PAUC or APUC APB values

Replaced System Sustainment Plan

10 USC 2437 MS B; ProgramInitiation for Ships

Requires cost estimate at MS A

Statutory Requirements Added For MDAPs OnlyStatutory Requirements Added For MDAPs Only

Enclosure 4, Table 2-1

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Requirement CommentReferenceWhen

Required

Notification of a Significant Change to the Defense Committees

10 USC 2445c NLT 45 days after receiving MAIS Quarterly Report indicating a Significant Change

Schedule change of more than 6 mos, but less than 1 year; increase in development cost or life cycle cost of at least 15% but less than 25%; or significant adverse change in expected performance

Assessment and certification of a Critical Change to the Defense Committees

10 USC 2445c NLT 60 days after receiving a MAIS Quarterly Report indicating a Critical Change

Failed to achieve IOC w/in 5 years after funds were first obligated; schedule change of 1 yr or more; increase in dev cost or life cycle cost of 25% or more; or a change in expected performance that undermines ability of sys to perform anticipated functions

Enclosure 4, Table 2-1

Statutory Requirements Added For MAIS OnlyStatutory Requirements Added For MAIS Only

DoD CIO Confirmation of CCA Compliance

Sec 811, PL 106-398

MS A, B, C, & Full Deployment Decision Review

MS C if program initiation or equiv to Full Deployment Decision Review

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Requirement CommentReference

Notice of MAIS Cancellation or Significant Reduction in Scope

Sec 806, PL 109-163

WhenRequired

60 days prior to MDA decision to cancel or significantly reduce scope of fielded or post-MS C MAIS program

MAIS Annual Report to Congress

10 USC 2445b Annually, after first occurrence of any of the following events: MDA designation, MS A or MS B

MAIS Quarterly Report 10 USC 2445c Quarterly following initial submission of a MAIS Annual Report

DBSMC Certification for Business Systems Modernization

10 USC 2222 Prior to obligation of funds

See Encl. 11, DoDI 5000.02

Enclosure 4, Table 2-1

Statutory Requirements Added For MAIS Only, Statutory Requirements Added For MAIS Only, continued…continued…

Due 45 days after the President’s Budget is submitted to Congress

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Statutory Requirements Added For ACAT II and Below ProgramsStatutory Requirements Added For ACAT II and Below Programs (unless otherwise noted)(unless otherwise noted)

Requirement CommentReference

Analysis of Alternatives (AoA) – all IT including NSS

40 USC Subtitle III

WhenRequired

MS A, B, & C

Data ManagementStrategy (ACAT II only)

10 USC 2320

Military Equipment Program Valuation

PL 101-576 &Statement of Federal Financial Accounting Standards, No 6

MS B, C, & FRPDR

MS C &FRPDR (orequivalent)

Part of AcqStrategy

Part of AcquisitionStrategy

LRIP Quantities (ACAT II only)

10 USC 2400 MS B

Enclosure 4, Table 2-2

Updated as necessary at MS B and C

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Regulatory Requirements Added/Revised For All ProgramsRegulatory Requirements Added/Revised For All Programs(unless otherwise noted)(unless otherwise noted)

Requirement CommentReference When Required

Corrosion Prevention Control Plan

DoDI 5000.67 MS B & C Part of Acq Strategy for ACAT I only

Life Cycle Sustainment Plan

DoDI 5000.02 MS B, C, & FRPDR

Part of Acq Strategy

Acquisition InfoAssurance Strategy

DoDI 8580.1 MS A, B, C, & FRPDR or FDDR

All ITincluding NSS

Life-Cycle Signature Support Plan

DoDD 5250.01 MS A, B, & C

Enclosure 4, Table 3

Analysis of Alternatives (AoA)

DoDI 5000.02 MS A, B, & C FDDR for AIS

Updated as necessary at MS B and C

AoA Study Guidance DoDI 5000.02 MDD

Component Cost Estimate

DoDI 5000.02 MDAP: MS A & B & FRPDR MAIS: whenever an EA is required

Mandatory for MAIS; optional for MDAP

Updated as necessary for MS C

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Regulatory Requirements Added/Revised For All ProgramsRegulatory Requirements Added/Revised For All Programs(unless otherwise noted)(unless otherwise noted)

Requirement CommentReferenceWhen

Required

Post-Critical Design Review (CDR) Report

DoDI 5000.02 Post-CDRAssessment & ADM

Systems Engineering Plan (SEP)

DoDI 5000.02 MS A, B, & C

DoDI 5000.02 MS A, B, & CIUID Implementation Plan

Preliminary Design Review (PDR) Report

DoDI 5000.02 MS B afterSystem-levelPDR

Enclosure 4, Table 3

Net-Centric Data Strategy

DoDD 8320.02 MS A, B, C, &PI for Ships

May be after MS B – requires a Post-PDR Assessment & ADM

After system-level CDR

Annex to the SEP atMS B and C

Summarized in TDA; detailed in the ISP

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Requirement CommentReference

System Threat Assessment Report (STAR)

DoDI 5000.02DoDD 5105.21DIA Dir. 5000.200DIA Inst. 5000.002

WhenRequired

Program Deviation Report

DoDI 5000.02 Immediately upon a program deviation

Systems Threat Assessment (STA)

MS B & C

DoDI 5000.02 MS ATest and Evaluation Strategy (TES)

MS B & C &Program Initiation for Ships

ACAT I and all DOT&E Oversight List Programs

DoDI 5000.02DoDD 5105.21DIA Dir. 5000.200DIA Inst. 5000.002

ACAT II

Regulatory Requirements Added/Revised For All ProgramsRegulatory Requirements Added/Revised For All Programs(unless otherwise noted)(unless otherwise noted)

Enclosure 4, Table 3

APB breaches

Spectrum Supportability Determination

DoDD 4650.1 MS B & C

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Enclosure 5: IT Considerations . . . changes

“Title 40/CCA” replaces term CCA. Subtitle III of Title 40, US Code was formerly known as Division E of the Clinger-Cohen Act

Table 8 slightly modified for readability:

Added:

Investment Review Board (IRB) role as “OIPT” for MAIS and MDAP business systems

Time-Certain Acquisition of IT Business Systems (No MS A approval unless can achieve IOC within 5 years)

Defense Business System Management Committee (DBSMC) Certification for business systems with modernization funding over $1 million – prior to any milestone or FRP approval

DoD CIO notification to Congress 60 days before any MDA cancels or significantly reduces size of MAIS fielded or post-MC C MAIS program

Revised: Eliminated requirement for DoD CIO certification of CCA compliance.

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Enclosure 6: Test and Evaluation . . . changes

PM, in concert with user and test community, must provide safety releases to developmental and operational testers prior to any test using personnel

Systems that provide capabilities for joint missions must be tested in joint operational environment

Embedded instrumentation must be developed to facilitate training, logistics support, and combat data collection

Joint Interoperability Test Command (JITC), “regardless of ACAT” will provide interoperability test certification memoranda to J-6

At test readiness reviews, PM must ensure impact of all deviations and waivers is considered in decision to proceed to next phase of testing

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Enclosure 6: Test and Evaluation . . . changesContinued…

OUSD(AT&L), Director, Systems Software and Engineering, will conduct an independent Assessment of Operational Test Readiness (AOTR) for ACAT ID and special interest programs designated by USD(AT&L). CAE will consider AOTR prior to making determination of materiel readiness for IOT&E

OSD T&E Oversight List categories: developmental testing, operational testing, or live fire testing. Programs on list designated for OT or live fire testing will be considered same as MDAPs or “covered programs” and subject to all provisions of Title 10, US Code, and DoDI 5000.02

Force protection equipment (including non-lethal weapons) will be identified as a separate category on OSD T&E Oversight List

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Enclosure 7: Resource Estimation . . . changes

PMs must use Cost and Software Data Reporting System to report data on contractor costs and resource usage

CARD must reflect program definition achieved during TD phase, be in sync with other program documents, and if PDR is before MS B, the final CARD at MS B must reflect results of the PDR

Fully burdened cost of delivered energy must be used in trade-off analyses for all tactical systems with end items that create a demand for energy

Following areas of assessment added to AoA:

Alternative ways to improve the energy efficiency of DoD tactical systems consistent with mission and cost effectiveness

Appropriate system training to ensure that training is provided with the system

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Enclosure 8: Human Systems Integration . . . changes

Mix of military, DoD civilian, and contractor support to operate, maintain, and support (including training) a system must be determined based on Manpower Mix Criteria and reported in the Manpower Estimate

Economic analyses to support workforce mix decisions must use tools that account for all variable and fixed costs, compensation and non-compensation costs, current and deferred benefits, cash, and in-kind benefits

Details on Environment, Safety, and Occupational Health (ESOH) moved to new Enclosure 12, Systems Engineering

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Enclosure 9: Acquisition of Services . . . changes

Planning for acquisition of services must consider: Requirements development and management Acquisition planning Solicitation and contract award Risk management Contract tracking and oversight Performance evaluation

Special procedures for IT services that cost over $500M, all services that cost over $1B, and special interest programs designated by ASD(NII), USD(AT&L), or their designees: Senior officials/decision authorities must be notified prior to

issuing final solicitation (briefing or written) ASD(NII)/DoD CIO notifies USD(AT&L) of any proposed

acquisition of IT services over $1B Review by ASD(NII)/USD(AT&L) initiates review of acquisition

strategy – final RFPs cannot be released until approval

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Enclosure 9: Acquisition of Services . . . changes Continued…

Policy extended to services acquired after program achieves Full Operational Capability (FOC), if those services were not subject to previous milestones

Policy does not apply to R&D activities or services that are approved as part of an acquisition program managed IAW DoDI 5000.02

Senior Officials and decision authorities may apply policy to R&D services at their discretion

SAEs are Senior Officials for acquisition of services

USD(AT&L) is Senior Official for acquisition of services for Components outside of military departments – he may delegate decision authority to commanders/ directors of these components

Independent management reviews (Peer Reviews) required for contracts of $1B or more

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Acquisition of Services Categories (Table 9)

All dollars in FY 2006 constant year dollars

Category Threshold Decision Authority

Acquisitions > $1B

IT Acquisitions > $500M

Special Interest

Services Category I

Services Category II

Services Category III

Any services acquisition with total estimated cost of $1B or more

USD(AT&L)or designee

IT services with total estimated cost of $500M or more

ASD(NII)/DoD CIO or as designated

Designated by USD(AT&L), ASD(NII)/ DoD CIO, or any Military Department Senior Official

Services estimated to cost $250M or more

Services estimated to cost $10M or more, but less than $250M

Services estimated to cost more than simplified acquisition threshold, but less than $10M

USD(AT&L) orSenior Officials

Senior Officials or as designated

Senior Officials or as designated

Senior Officials or as designated

Enclosure 9: Enclosure 9: Acquisition of Services . . . changes of Services . . . changes Continued…Continued…

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Enclosure 10: Program Management . . . changes 10: Program Management . . . changes

Requires PMs for ACAT II and other significant non-major programs to be assigned for not less that 3 years

Program Management Agreements (PMAs) implemented to establish “contract” between PM and acquisition and resource officials

Provides that waivers for PM/PEO experience and certifications “should be strictly avoided”

Provides for USD(AT&L) waiver for PEOs to assume other command responsibilities

Adds US-ratified materiel international standardization agreements to consideration for international cooperative programs

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Enclosure 11: Management of Business Systems (New) 11: Management of Business Systems (New)

Applies to “defense business system” modernizations with total modernization or development funding exceeding $1 million

Defines Defense Business System as an information system, other than a national security system, operated by, for, or on behalf of DoD, including financial management systems, mixed systems, financial data feeder systems, and IT and information assurance infrastructure

Defense Business Systems support activities such as acquisition, financial management, logistics, strategic planning and budgeting, installations and environment, and human resource management

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Enclosure 11: Management of Business Systems (New) Continued…

Funds cannot be expended until the Defense Business System Management Committee (DBSMC) approves Investment Review Board Certification (IRB) that the system:

Is in compliance with the enterprise architecture; or

Is necessary to achieve a critical national security capability or address a critical requirement in an area such as safety or security; or

Is necessary to prevent a significant adverse impact on a project that is needed to achieve an essential capability

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Program Manager

(PM)

ComponentPre-CertificationAuthority (PCA)

Investment Review

Board (IRB)

Defense BusinessSystems ManagementCommittee (DBSMC)

MilestoneDecision

Authority (MDA)

CertificationAuthority

(CA)

Business Systems Certification and Approval Process

1. PM completes economic viability review & other plans/analysis as requested by the PCA2. PCA Validates info from PM, forwards certification request to appropriate IRB3. IRB reviews request, IRB chair recommends appropriate approval authority sign

certification memo and request DBSMC approval4. CA sends signed certification memo to DBSMC for approval5. DBSMC Chair approves certification and sends decision to the PM through the PCA6. PM requests MDA conduct milestone review

1 2

3

4

5

65

Enclosure 11: Management of Business Systems (New) Continued…

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Enclosure 12: Systems Engineering (New)

Systems Engineering Plan (SEP) required at each milestone

MDA is approval authority for the SEP

For programs where USD(AT&L) is MDA and for programs on the DT-only portion of OSD T&E Oversight List, SEPs must be submitted to Director, Systems and Software Engineering 30 days prior to DAB/ITAB review

PEOs must have lead systems engineer – oversees SE across PEO’s portfolio; reviews SEPs; assesses performance of subordinate systems engineers with PEO and PMs

Event-driven technical reviews required – with SMEs independent of program, unless waived by the MDA

Requires configuration management to establish and control product attributes and the technical baseline; at completion of the system-level CDR, PM assumes control of the initial product baseline for all Class 1 configuration changes

Spectrum Supportability determination required

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Enclosure 12: Systems Engineering (New)Continued…

ESOH risk management required to be integrated with overall SE process; Programmatic ESOH Evaluation (PESHE) required of all programs regardless of ACAT

NEPA and EO 12114 (Environmental Effects Abroad of Major Federal Actions) analyses required of PM, approved by CAE

Addresses PM support of Mishap Accident Investigations

Requires Corrosion Prevention Control Plan for ACAT I programs at MS B and C

Requires PMs to employ a modular open systems approach to design

Data Management Strategy (DMS) required to assess long-term technical data needs of the system – included in Acquisition Strategy