We provided independent Life Cycle Cost Estimate (LCCE) analysis and technical assistance in support of ground transportation systems including the Internally Transportable Vehicle (ITV). We also supplied facilitation and consultation for the estimation/evaluation and development of Ground Transportation Systems life cycle costs, using such models as the Automated Cost Estimating Integrated Tools (ACEIT).

The primary objective was to identify and estimate all relevant costs early in the systems life cycle. Our LCCE analysis considered values and alternatives for design parameters, support and material management concepts, acquisition strategies, and additional factors that may influence life cycle costs such as readiness, maintainability, support of deployed/combat forces, and personnel.

Our Approach/Solution – We used LCCE Parametric Cost Estimating Relationships (CERs), analogous systems review, historical cost projections from earlier programs, current fees and costs, and engineering cost estimates as the basis for the ITV LCCE. We provided summary calculations for each cost element in the methodology part of the ACEIT Model. An essential part of each analysis is the Cost Element Structure (CES) developed specifically for each project. The CES organizes individual items/activities or groups of related items/activities into separate entities for the cost analysis. We used the CES as a basis for aggregating and reporting costs, and for determining the relevance of individual cost elements to the item/program being costed. In the case of the ITV LCCE, we used the CES Number process with each CES annotation containing cost element definition/contents, detailed basis of estimate, assumptions, fiscal year spread, rationale for FY phasing, crosschecks performed together with results and overall risk/uncertainty.

Results and Benefits – The ITV LCCE was a decision cost estimate that supported an engineering and manufacturing development decision (Milestone I/II). Research and development, investment, and operations and support phase life cycle costs were also captured. Specifically, the LCCE addressed the remaining research and development, the procurement and fielding, and the sustained operations and support of 2,747 ITVs.

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