The Cost As an Independent Variable (CAIV) process is the next evolutionary step in the Department of Defiense's ongoing effort to continue to modermnize, operate and support its forces within a shrinking Defense budget. The Joint helmet Mounted Cuening System (JHMCS) prgram was one of the first development programs to implement the CAIV process. The objective undertaken by the JHMCS program was to establish in the integrated product teams the process to control the design factors affecting the production and ife cycle costs. This was accombplished through the detailed breakdown of the costs, the open communication beween Boeing and the U.S. Government and the active participation of the U.S. Government in reducing all ocst argeas. The incentive for Boeing to have a successful CAIV process on the JHMCS program was through its profit determination (award fee), but the criticality for the U.S.Government came through its program's budget proiections program affordability goals must be realized in order to ensure the program's future. This paper presents some of the lessons from the JHMCS program. More importantly, it describes the significance and affordability related results of key actions and decisions made during the formulation and execution of the JHMCS program.
展开▼
