Gate Review Process

1
Gate Review Process

• presented at DODCAS 2009 DON Session
• CAPT Jim Baratta
• Deputy Director, NCCA

2
Gate Review Process Overview

• Purpose
• improve governance and insight
• ensure alignment between capability requirements
  and acquisition
• improve senior leadership decision making
• gain better understanding of RISKS and COSTS
• Objectives
• endorse or approve key JCIDS and acquisition
  documents
• facilitate decisions regarding capabilities and
  material solutions
• 2-Pass, 6-Gate Process
• address Requirements and Acquisition governance
  respectively
• EVERY GATE reviews program health cost, risks,
  budget

3
Gate Review BoardMembership

• Principal (voting) members
• CNO / CMC / VCNO / ACMC
• ASN (RDA) / PDASN
• ASN (FMC)
• OPNAV N8 / HQMC DC PR and DC CDI
• Appropriate SYSCOM Commander
• Advisory (non-voting) members
• Resource Sponsor, CHSENG
• N80, N81, N091, FMB
• Cognizant DASN
• DASN (CE)
• Attendance limited to Principal or Deputy
  (Flag/SES) plus one

4
Pass 1 Gates

• Gates 1, 2, and 3 Requirements Gates
• Led by CNO or CMC
• Starts prior to Material Development Decision,
  ends after Gate 3
• Leads to
• Approving the ICD
• Approving AOA guidance
• Selecting an AOA optimal alternative
• Approving a CDD
• Developing a CONOPS
• Approving System Design Specification (SDS)
  Development Plan

5
Pass 2 Gates

• Gates 4, 5, and 6 Acquisition Gates
• Led by ASN(RDA)
• Starts after Gate 3, ends after Milestone B
  (initial EMD phase)
• Leads to
• Approving the SDS
• Approving release of the RFP
• Assessing readiness for production
• Assessing sufficiency of the EVMS PMB
• Assessing the IBR
• Follow-on Gate 6s pre- and post-Milestone C and
  FRP DR
• Serve as Configuration Steering Boards and review
  program health

6
Pass 1 Requirements Gates

• Gate 1 Approval of the ICD
• input Service review of the ICD
• brief AoA assumptions, cost constraints and
  life-cycle considerations
• outcome Validates AoA guidance, authorizes to
  proceed to MSA phase
• Gate 2 Approval of the preferred alternative
• input Approved ICD, AoA, sufficiently mature
  MS-A documentation
• brief AoA assumptions, analysis, findings,
  preliminary TRL assessment
• brief Projected life cycle costs for all AoA
  options
• outcome Approves development of CDD and CONOPS
  for alternative

7
Pass 1 Requirements Gates

• Gate 3 Approval of the Service CDD and CONOPS
• input Approved AoA, SDS development plan
• input Service review of CDD/CONOPS,
• supports LCCE (employment, sustainment, training,
  manning, etc)
• brief Initial independent cost estimate
  schedule assessment
• brief Compare to PM estimates
• outcome Approves the CDD/CONOPS, SDS development
  plan
• outcome Approves program to MS-A (or with MS-B
  preparations)

8
Pass 2 Acquisition Gates

• Gate 4 Approval of the SDS
• may be combined with Gate 5 and MS-B for ACAT
  IC/IAC/II
• input Approved CDD, CONOPS, and review of SDS
• input Independent cost estimate, PM cost
  estimate, budget
• brief Capability, risk, independent/PM
  cost/schedule estimates
• outcome Authorizes program to proceed to Gate 5
  (or Milestone B)
• Gate 5 Approval of release of the RFP
• may be before, concurrent with, or after MS-B
• input Approved SDS, key business elements in
  acquisition strategy
• brief Capability, risk, independent/PM cost and
  schedule estimates
• outcome RFP approval for release to industry

9
Pass 2 Acquisition Gates

• Gate 6 Assesses readiness for production
• occurs after contract award and IBR completion
• input Source Selection completed, contract
  awarded, IBR completed
• brief Capability, risk, independent/PM cost and
  schedule estimates
• brief Assesses IBR results, sufficiency of the
  SDS and EVMS PMB (EAC)
• outcome follow-on Gate 6 reviews prior to and
  post MS-C, FRP DR
• Gate 6 follow-on Pre-LRIP, Pre-FRP DR
• as needed tailored approach
• specific elements undefined in SECNAV 5000.2,
  same as Gate 6

10
PASS 1
PASS 2
OSD/JOINT LEVEL
MS B
JROC
JROC
MS A
JROC
CD
NAVY/USMC LEVEL
2
5
1
3
4
6
SDD
SSAC
CDD and CONOPS Approval
ICD Approval
Alternative Selection
SDS Approval
RFP Approval
Contract Award
CBA
Forum Lead Org Chair
R3B OPNAV/HQMC CNO (N8)/DC, CDI
R3B OPNAV/HQMC CNO/CMC
R3B ASN(RDA) ASN(RDA)
R3B ASN(RDA) ASN(RDA)
R3B ASN(RDA) ASN(RDA)
R3B OPNAV/HQMC CNO/CMC
PEO/SYSCOM/ OPNAV/HQMC LEVEL
IBR
AOA
CONOPS CDD
InitiaI SDS
RFP
Updated SDS
Illustrated example for program initiation at
Milestone A
11
PASS 1
PASS 2
OSD/JOINT LEVEL
MS B
JROC
MS A
JROC
CD
NAVY/USMC LEVEL
2
1
3
5
4
6
SDD
SSAC
CDD and CONOPS Approval
ICD Approval
Alternative Selection
SDS Approval
RFP Approval
Contract Award
CBA
Forum Lead Org Chair
R3B OPNAV/HQMC CNO (N8)/DC, CDI
R3B OPNAV/HQMC CNO/CMC
R3B ASN(RDA) ASN(RDA)
R3B ASN(RDA) ASN(RDA)
R3B ASN(RDA) ASN(RDA)
R3B OPNAV/HQMC CNO/CMC
PEO/SYSCOM/ OPNAV/HQMC LEVEL
InitiaI SDS
IBR
AOA
CONOPS CDD
RFP
Updated SDS
Illustrated example for program initiation at
Milestone B
12
Program Cost UncertaintyOver Time
Pre Systems Acquisition
Pre Systems Acquisition
Systems Acquisition
Sustainment
vs. BUDGET?
Material Solution Analysis
Technology Development
Engineering Manufacturing Development
Production Deployment
Operations Support
Cost, Technical, and Programmatic Uncertainty
A
B
C
IOC
FOC
Disposal
Gate Reviews
1
2
3
4
5
6
6 fo
6 fo
6 fo
ITR
ASR
SRR
IBR
PDR
TRR
OTRR
PCR
Technical Reviews
Preferred System Concept
System Specification/ CDD
SFR
Allocated Baseline
CDR
FRR
SVR/PRR
ECPR
System Functional Baseline
Product Baseline
Product Baseline
Parametric Analogy
Parametric Analogy

Engineering

Build-Up
Parametric Analogy
Extrapolate
Actuals
Engineering
Build-Up Parametric
Extrapolation of
Actuals Engineering Build-Up
Estimating Techniques
13
Gate Review ProcessPotential Cost Community
disconnects?

• How often are the programs definition and bounds
  changing during the pre-MS-B timeframe?
• What reliable data is available to estimate a
  program this early in its acquisition life cycle?
• What documents are complete and approved leading
  up to each Gate?
• To what extent are CAIV decisions still being
  made prior to RFP release?
• Do best practice estimating methods allow
  significant cost estimate confidence at this
  point?
• As the estimate progresses, in what ballpark
  should the estimates upper bound of range be
  expected to cover potential costs into MS-B?
• How will the range and estimates be used to
  program a budget at this early phase in the
  program?
• What value does an independent assessment add in
  the early requirements Gates?

14
Questions?
COST ANALYSIS
Go Army!
15
Cost Estimate Confidence thru Pre-MS-B Phase of
Programs
PROGRAMMATICBASELINE
Mature? Stable?
TECHBASELINE
Defined? Steady?
Analogy? Parametric? Program info?
SCORE
COSTDATA
Methodology? Underlying data?
ESTIMATECONFIDENCE
Budget supportable?
OVERRUNPOTENTIAL
ESTIMATESTABILITY
MOST CASES WILL BE RED OR YELLOW
Upper Bounds Stable?
Small changes early in program life?
COSTRISK