In addition, the data offered quite a few other interesting perspectives as well, especially in the way PMs view LCCM and CAIV regarding cost-containment principles.
LCCM never captures changes allowed/forced on programs, and fails to "predict" well.
PMs stated a need for additional training, primarily LCCM and Risk Management training, to help them better contain costs (Figure 11).
Take the chill out of cost containment and re-energize LCCM.
Elevate LCC to a KPP (Key Performance Parameter)--it will compel more PMs and senior personnel to rigorously exercise LCCM principles.
A sampling of comments on the way PMs view LCCM and its cost-containment principles follows.
Establish LCCM trip wires throughout a program's life cycle, and do not penalize PMs for reporting unfavorable but essentially accurate program information to seniors or higher headquarters.
As originally conceived, understanding the usefulness and criticality of LCCM can have a major impact on weapons systems developments by keeping a lid on rising costs--a growing necessity.
VALUE OF LIFE CYCLE COST MANAGEMENT: VIEWS OF ACAT I PROGRAM MANAGERS ACAT I Program Managers with over 11 years of experience No Experience Thoughts based on with Model Experience with Model LCCM Not Familiar One of Models or Not Used Not Useful Useful the Best ACARA 87% 2% 10% 1% CASA 78% 2% 18% 2% EDCAS 90% 2% 7% 1% MAAP 89% 2% 7% 2% FLEX 91% 3% 4% 2% LCCA 72% 3% 22% 4% LCCH 74% 2% 21% 3% PRICE 73% 2% 23% 3% ZCORE 92% 2% 3% 0% ACEIT 70% 2% 24% 4% Note.
Fundamentally, LCCM is actually an extraordinary concept, which is generally described through two manifestations.
Have we given LCCM enough attention to have an impact though?
To amplify the importance of LCCM, the SMEs recommended instituting an LCC breach construct (similar to the intent behind Nunn-McCurdy breaches).