Document Type
Article
Publication Date
10-2024
Abstract
The authors use historical information obtained from the Cost Assessment Data Enterprise to estimate recurring production unit cost for DoD avionics via cost estimating relationships (CERs). The specific modeled responses include mean unit cost, median unit cost, and the 100th production unit cost (T100) utilizing learning curve theory. For T100, the authors adopt both a multiplicative and an additive error for CER comparison. Recommended CERs consist of the mean unit cost and the T100 utilizing a multiplicative error. Moreover, results reveal that weight has a significant effect on cost as well as a potential underaccounting of real price change or technology complexity of 3%, according to the selected sample.
DOI
10.22594/dau.24-919.31.02
Source Publication
Defense Acquisition Research Journal
Recommended Citation
Cisneros, C.J., White, E. D., Lucas, B.M., Ritschel, J.D., Fass, R.D., and Valentine, S.M. (2024) Production Box Cost Estimating Relationships for DoD Avionics. Defense Acquisition Research Journal, 31(107), 158-179. https://doi.org/10.22594/dau.24-919.31.02
Included in
Economics Commons, Electrical and Electronics Commons, Finance and Financial Management Commons, Numerical Analysis and Computation Commons, Systems Engineering and Multidisciplinary Design Optimization Commons
Comments
Defense ARJ is published by the Defense Acquisition University. The journal's online version is hosted at https://www.dau.edu/library/darj