Use of Incentives in Performance-Based Logistics Contracting

Use of Incentives in Performance-Based Logistics Contracting PDF Author: Gregory Sanders
Publisher: Rowman & Littlefield
ISBN: 1442280662
Category : Political Science
Languages : en
Pages : 74

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Book Description
Traditional contracting is primarily transactional, rewarding contractors when deliveries are made or certain process milestones are met. Performance-Based Logistic (PBL) contracting seeks to base contractor incentives on ongoing performance measures to achieve reliability and cost savings. Key to the success of these arrangements are the incentives that align the interests of the customer and the vendor. This report describes the incentives used in PBL contracts, identifies best practices, and provides recommendations for effective incentives going forward. The study team interviewed PBL practitioners including defense-unique contractors, defense-commercial contractors, and experts who are knowledgeable in the government perspective in the United States and abroad. The team supplemented these interviews by analyzing a PBL dataset of U.S. Department of Defense contracts. Of the four identified categories of incentives—time-based, financial, scope, and other—interviews found that time-based incentives stood out for their reliable appeal and relative underuse in the United States.

Use of Incentives in Performance-Based Logistics Contracting

Use of Incentives in Performance-Based Logistics Contracting PDF Author: Gregory Sanders
Publisher: Rowman & Littlefield
ISBN: 1442280662
Category : Political Science
Languages : en
Pages : 74

Get Book Here

Book Description
Traditional contracting is primarily transactional, rewarding contractors when deliveries are made or certain process milestones are met. Performance-Based Logistic (PBL) contracting seeks to base contractor incentives on ongoing performance measures to achieve reliability and cost savings. Key to the success of these arrangements are the incentives that align the interests of the customer and the vendor. This report describes the incentives used in PBL contracts, identifies best practices, and provides recommendations for effective incentives going forward. The study team interviewed PBL practitioners including defense-unique contractors, defense-commercial contractors, and experts who are knowledgeable in the government perspective in the United States and abroad. The team supplemented these interviews by analyzing a PBL dataset of U.S. Department of Defense contracts. Of the four identified categories of incentives—time-based, financial, scope, and other—interviews found that time-based incentives stood out for their reliable appeal and relative underuse in the United States.

Use of Incentives in Performance-Based Logistics Contracting

Use of Incentives in Performance-Based Logistics Contracting PDF Author: Andrew Hunter
Publisher:
ISBN:
Category :
Languages : en
Pages : 0

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Balancing Government Risks with Contractor Incentives in Performance-based Logistics Contracts

Balancing Government Risks with Contractor Incentives in Performance-based Logistics Contracts PDF Author: Christopher P. Gardner
Publisher:
ISBN:
Category : Contracting out
Languages : en
Pages : 194

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Book Description


The Scholar in Our Universities

The Scholar in Our Universities PDF Author: Robert Maximilian Wernaer
Publisher:
ISBN:
Category :
Languages : en
Pages : 12

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Book Description


Performance-Based Logistics

Performance-Based Logistics PDF Author: Sang-Hyun Kim
Publisher:
ISBN: 9780549805236
Category :
Languages : en
Pages : 205

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Book Description


Performance Based Logistics: A Program Manager's Product Support Guide

Performance Based Logistics: A Program Manager's Product Support Guide PDF Author:
Publisher: DIANE Publishing
ISBN: 1428980083
Category :
Languages : en
Pages : 75

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Book Description
Performance Based Logistics (PBL) is the preferred Department of Defense (DoD) product Support strategy to improve weapons system readiness by procuring performance, which capitalizes on integrated logistics chains and public/private partnerships. The cornerstone of PBL is the purchase of weapons system sustainment as an affordable, integrated package based on output measures such as weapons system availability, rather than input measures, such as parts and technical services. The Quadrennial Defense Review (QDR) and /the Defense Planning Guidance (DPG) directed the application of PBL to new and legacy weapons systems. PBL Implementation is also mandated by DoD Directive 5000.1, The Defense Acquisition System, May 12, 2003. This guide is a tool for Program Managers (PMs) and Product Support Managers (PSMs) as they design product support strategies for new programs or major modifications, or as they re-engineer product support strategies for existing fielded systems. It presents a method for implementing a PBL product support strategy. PBL delineates outcome performance goals of systems, ensures that responsibilities are assigned, provides incentives for attaining these goals, and facilitates the overall life cycle management of system reliability, supportability, and total owner ship costs. It is an integrated acquisition and logistics process for providing weapons system capability.

Disruptive and Game Changing Technologies in Modern Warfare

Disruptive and Game Changing Technologies in Modern Warfare PDF Author: Margaret E. Kosal
Publisher: Springer Nature
ISBN: 3030283429
Category : Political Science
Languages : en
Pages : 222

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Book Description
This book explores and analyzes emerging innovations within today’s most cutting-edge science and technology (S&T) areas, which are cited as carrying the potential to revolutionize governmental structures, economies, and international security. Some have argued that such technologies will yield doomsday scenarios and that military applications of such technologies have even greater potential than nuclear weapons to radically change the balance of power. As the United States looks to the future – whether dominated by extremist groups co-opting advanced weapons in the world of globalized non-state actors or states engaged in persistent regional conflicts in areas of strategic interest – new adversaries and new science and technology will emerge. Choices made today that affect science and technology will impact how ably the US can and will respond. Chapters within the book look at the changing strategic environment in which security operations are planned and conducted; how these impact science and technology policy choices made today; and predictions of how science and technology may play a beneficial or deleterious role in the future. Some game changing technologies have received global attention, while others may be less well known; the new technologies discussed within this proposal, as well as future discoveries, may significantly alter military capabilities and may generate new threats against military and civilian sectors.

Performance-based Contracting

Performance-based Contracting PDF Author: Gregory A. Garrett
Publisher:
ISBN:
Category : Government purchasing
Languages : en
Pages :

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Implementing Performance-based Services Acquisition (PBSA)

Implementing Performance-based Services Acquisition (PBSA) PDF Author: John A. Ausink
Publisher: RAND Corporation
ISBN:
Category : Business & Economics
Languages : en
Pages : 80

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Book Description
The U.S. Air Force is implementing performance-based practices in its service contracts to improve quality and reduce costs. Earlier Project AIR FORCE research examined implementation in installation support services. The project has now examined purchased services that support weapon system development and sustainment ('systems' services). Under performance-based services acquisition (PBSA), buyers should (1) describe what service is desired (not how to do it), (2) use measurable performance standards and quality assurance plans, (3) specify procedures for reductions in fee or price when services do not meet contract requirements, and (4) include performance incentives where appropriate. The authors conducted interviews at an Air Logistics Center and a Product Center to learn whether and how service contracts included these performance-based practices. Many at the two Centers felt that it is difficult for systems service contracts to satisfy all four of the PBSA criteria. To satisfy the requirement to use "measurable performance standards," for example, some personnel believe that the desired result of a service must be known in advance and objective data must be collected frequently to measure performance against that result. This cannot be easily done for many systems services such as engineering support and advisory and assistance services. Despite this difficulty, however, both Centers use a performance-based approach (applying the other three criteria) to purchase many services, and many personnel felt that they can determine and convey whether the contractor met their needs. The authors conclude that many of the approaches used by the Centers satisfy the intent of the criteria.

Defense Acquisition Guidebook

Defense Acquisition Guidebook PDF Author: Management Concepts, Incorporated
Publisher: Management Concepts
ISBN:
Category : History
Languages : en
Pages : 588

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Book Description