DoD Acquisition Process Proposed Changes September 2002

1
DoD Acquisition ProcessProposed Changes
September 2002

• In a nutshell

DAU-NE-PML 17 September 02
2
The Current 5000 Model
Technology Opportunities User Needs
Program Outyear Funding
(BA 1 2)

• Multiple entry points possible depending on
  technical/concept maturity
• Three basic options at each decision point
  Proceed into next phase do additional work
  terminate effort
• Reviews are in-phase decision/progress points
  held as necessary

Single Step or Evolution to Full Capability
C
A
B
A
B
IOC
System Integration
System Demo
LRIP
Concept Exploration
Component Advanced Development
Full-Rate Production Deployment
Operations Support
Interim Progress Review
Decision Review
System Dev Demonstration
Concept Tech Development
Production Deployment
Sustainment
Pre-Systems Acquisition
Systems Acquisition (Engineering manufacturing
development, demonstration, LRIP production)
Continuous communication with users
BLOCK II
Early continuous testing
BLOCK III
Funding
BA 3
BA 5
BA 4
BA 5/Procurement
Proc/Operations Maintenance
Validated approved by operational validation
authority
Requirements
MNS
ORD
Component Advanced Development
System Integration
Concept Exploration
Full-Rate Prod Deployment
System Demonstration
Low-Rate Initial Production

• Development of subsystems/components that must be
  demonstrated before integration into a system
• Concept/tech demo of new system concepts

• System integration of demonstrated subsystems and
  components
• Reduction of integration risk

• Paper studies of alternative concepts for meeting
  a mission need

• Full rate production
• Deployment of system

• Complete development
• Demo engineering development models
• Combined DT/OT

• IOTE, LFTE of prod-rep articles
• Create manufacturing capability
• LRIP

3
The Current 5000 Model

• Multiple process paths - not just one way of
  entering systems acquisition
• Evolutionary acquisition - based on time-phased
  requirements - preferred (but not only) approach
• Minimum number of mission-oriented Key
  Performance Parameters to facilitate
  cost-performance trades
• Achieve proven technology and a validated ORD --
  before beginning systems-level work at Milestone
  B
• Complete full systems demonstration -- before
  committing to low-rate production
• Use market research and commercial products -- to
  increase competition

Higher Performance, Lower Costs, More Rapid
Deployment
4
So why is there another DoD 5000 rewrite in the
works?

• New Administration wants to put their stamp on
  the process
• Inspiration came from Air Force Acquisition
  Center of Excellence
• Direction came from TOP DOWN
• Major Goals
• Cut back on verbiage
• Delegate decision authority as much as possible
• Review process is contentious
• Original approval target was end of August

5
Details - What just happened?

• On 29 August, USD(ATL) circulated a draft memo
  that will
• Cancel DoDD 5000.1 and promises a replacement
  document in 120 days
• Cancel DoDI 5000.2 and promises a replacement
  document in 120 days
• Cancel DoD 5000.2-R --- and states that it will
  not be reissued.
• Issue interim guidance in memo form consisting of
  draft DoDD 5000.1 and DoDI 5000.2
• Is expected to be signed by SECDEF NLT 30
  September 02
• Why?

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Proposed Memo from SECDEF to the World

• I have determined that the current DoD Directive
  5000.1, The Defense Acquisition System, and DoD
  Instruction 5000.2, The Operation of the Defense
  Acquisition System, are overly prescriptive and
  do not constitute an acquisition policy
  environment that fosters efficiency, creativity,
  and innovation. Therefore, by separate
  memorandum, I have cancelled those documents
  effective immediately.

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Key Elements of 16 Sep 02 Draft 5000 Documents

• Retains basic acquisition life cycle model (no
  new phases)
• Reduces verbiage (and guidance)
• DoDD 5000.1 reduced from 12 to 6 pages
• DoDI 5000.2 reduced from 46 to 30 pages
• Initiative to develop joint Integrated
  Architectures (systems of systems)
• Emphasizes Cost Realism
• Renames Component Advanced Development work
  effort as Technology Development
• Renames Interim Progress Review as Critical
  Design Review
• Uses terminology from JV 2020 (e.g., DOTMLPF) as
  guidance for requirements process
• Cancels DoD 5000.2-R. Will be replaced by a
  Guidebook

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Key Elements continuedEvolutionary Acquisition
StrategyDraft DoDD 5000.1,Para 3.2.2

• Two processes to implement Evolutionary
  Acquisition
• Incremental Development End-state requirement
  is known, and requirement will be met over time
  in several increments
• Spiral Development Desired capability is
  identified, but end-state requirements are not
  known at Program Initiation. Requirements for
  future increments dependent upon technology
  maturation and user feedback from initial
  increments
• Evolutionary acquisition strategies shall be the
  preferred approach to satisfying operational
  needs. Not New
• Spiral development shall be the preferred
  process. NEW

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Key Elements continuedRequirement Documents

• Initial Concept Document (ICD) replaces MNS at MS
  A
• Initial Requirements Document (IRD) replaces ORD
  for MS B
• Each IRD will have a set of validated KPPs that
  will apply only to that increment of the
  evolutionary acquisition strategy.
• Table 2, Regulatory Information Requirements, now
  reflects these new documents
• No format for ICD or IRD
• Operational Requirement Document still required
  for MS C
• Requirement process changes will be implemented
  by on-going revision of CJCSI 3170.01B.
• Joint Staff is also expected to issue interim
  guidance in sync with DoD 5000 interim guidance.

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The Newer 5000 MODEL
User Needs
Process entry at Milestones A, B, or C
l
Technology Opportunities
Entrance criteria met before entering phase
l
Evolutionary Acquisition or Single Step to Full
Capability
l
(Program
B
A
C
FOC
IOC
Initiation)
Concept Technology Development
System Development
Production
Operations
Demonstration
Deployment
Support
FRP
Critical
Decision
Concept Exploration
Technology Development
LRIP/OTE
Design
Review
Review
Sustainment
Pre-Systems Acquisition
Systems Acquisition
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Requirements/Acquisition Process Fig 2 from Draft
Interim DoDI 5000.2
Enterprise Architecture
MS B
Approved
IRD
MS B
MS C
MS A
D
MDA
Refinement of
ORD
RA
O
Solution Sets
Analysis
T
Capability and Technology
of
M
Capability
Development
ICD
MDA
RA
Solution
L
Sets
Ongoing Mission
Demo
LRIP
SDD
P
Area Analysis
FRP
F
Increment 1
Demo
MDA
RA
MS C
MS B
LRIP
Demo
FRP
Demo
Increment 2
MS B
MS C
LRIP
Demo
FRP
Increment 3
Demo
Oversight
Acquisition
Combined decision meetings
Requirements
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Some concerns raised by the OSD staff during the
initial staffing process

• Current system is not that restrictive/prescriptiv
  e
• Majority of PMs need more guidance than provided
• Joint Staff will have to approve change to
  requirements process
• Possible consequences
• Invites Congress to further legislate the
  acquisition process
• Proliferation of separate organizational
  documents MDA/AE policy memos
• Auditor hey day limited regulatory direction
  inconsistent execution
• Chaos