| The purpose of this research was to develop a parametric cost model for predicting operating costs of Army ground combat weapon systems. The model is intended to be used during the first two phases of the Army's acquisition process. The research necessary to develop the model was guided by two questions: what weapon system characteristics (such as weight, horsepower, fuel consumption, primary mission, NBC protection, fire control and night fighting capability) impact directly on operating ground combat systems; and what is the form of the parametric model for operating costs for ground combat systems? The study extends the bounds of current parametric cost methods by incorporating a risk variable directly into the model. The purpose of the risk variable was to account for uncertainty and reduce the chance of underestimating operating costs. Underestimating operating costs could lead to under funding of weapon systems during the operating and support phase of the acquisition life cycle. The results showed that it is possible to develop parametric cost models using the Army's Operating and Support Management Information System (OSMIS) relational database. |
