1. Milestone B to Full Operational Capability (FOC) Requirements Management Activities
RQM-310, December 2016

2. Lesson Objective
Assess the major requirements management activities during the acquisition process from Milestone B to Full Rate Production / Full Deployment, Initial Operational Capability (IOC) and Full Operational Capability (FOC)
Explain the purpose and major activities of the Engineering and Manufacturing Development phase and the Production and Deployment phase
Describe the role of the Requirements Manager (RM) to assure a successful Critical Design Review (CDR) and response to CDR Assessment(s)
Describe role of the RM in preparing for Milestone C, the Full-Rate Production / Full Deployment Decision Review, and Sustainment

3. Milestone B to FOC A Program Model 1, Hardware Intensive Program B C
Materiel Solution Analysis
Technology Maturation & Risk Reduction
Engineering & Manufacturing Development
Operations
& Support
Production
& Deployment
Materiel
Development
Decision (MDD) A
CDD
Validation
RFP Release
FRP
Decision
Program Model 1, Hardware Intensive Program
ICD
draft
CPD
IOC
FOC B C
High-Cost First Article Combined Milestone B and C Decisions. Some programs, notably spacecraft and ships, normally do not produce prototypes during EMD for use solely as test articles because of the very high cost of each article. The first articles produced will be tested and then fielded as operational assets. These programs may be tailored by measures such as combining the development and initial production investment commitments. When this is the case, a combined Milestone B and C will be conducted.

4. Milestone B to FOC Requirements Management Activities
Purpose: Develop, build, and test to verify all operational & derived requirements are met.
Major Activities: T&E of production representative test articles
Purpose: Produce, deliver and sustain requirements compliance products
Major Activities: T&E of production systems, production, deployment, and sustainment
FRP/FD B C
IOC
FOC
CDD
LRIP
Engineering & Manufacturing Development
CPD
Production
& Deployment
Operations
& Support
IOT&E
CDR
Requirements Management Activities
Develop: CPD
Participate in
IPTs and Technical Reviews
PDR (If pre - MS B PDR was waived) and CDR
Milestone & Decision Reviews; Configuration Steering Board
Monitor/provide input
Test and Evaluation: DT/OA/OT, Live Fire, Interoperability
Update: OMS/MP, SEP, TEMP, APB, AS, ISP, Cost Estimate

5. Milestone B Approval to Enter EMD
MDA Approves:
Program Initiation, entry into Engineering & Manufacturing Development, with affordability caps
AS, ADM and Acquisition Program Baseline (APB)
Low-Rate Initial Production (LRIP) quantities (final decision), includes advance procurement
Event-based criteria for initiating production or making deployment decisions
Program Determination (10 USC 2366b)
Required Documentation:
Updates to Acquisition Strategy, TEMP, SEP, PPP, LCSP
Updated Cost Estimate
CDD/Problem Statement; OMS/MP
Full Funding Certification Memo
Program Initiation (not “new start” - a financial term. Effort was a new start in PPBE when funding for MSA and TMRR phases were sought.)
Acquisition Program Baseline (APB). A document prepared by the PM that reflects the threshold and objective values for the minimum number of cost, schedule, and performance attributes that describe the program over its life cycle. Discussed in more detail later in this lesson.
Low Rate Initial Production (LRIP) Quantities: MDA makes an initial determination on LRIP quantities at the Development RFP Release decision point, and a final determination at Milestone B. A LRIP quantity for an ACAT I program that exceeds 10% of the total production quantity in the AS must be reported to Congress, with rationale, in the first SAR after quantity determination.
Long Lead Production Items. Those components of a system or piece of equipment for which the times to design and fabricate are the longest, and therefore, to which an early commitment of funds may be desirable to ensure availability to complete the system by the earliest possible date.
Exit Criteria. Program-specific accomplishments that must be satisfactorily demonstrated before a program can transition to the next acquisition phase. Documented in the ADM (discussed later).
Program Determinations and Certifications (10 USC 2366b). A memorandum required by public law and signed at Milestone B by the Milestone Decision Authority for ACAT I programs. (see back-up charts)
At MS B must again demonstrate fully funded in FYDP years—part of Milestone B certifications required by law for MDAPs.
Requires a Validated Capability Development Document (CDD)
[or IRB-approved Problem Statement]

6. Engineering and Manufacturing Development (EMD) Phase
Purpose:
Develop, build and test a product to verify all operational and derived requirements are met
Support production and deployment decisions
Major Events:
Design Reviews (only CDR is required, PDR also if PDR prior to Milestone B was waived)
Developmental Test & Evaluation (DT&E) / Operational Assessments (OAs)
Independent Logistic Assessments (ILAs)
Capability Production Document (CPD) Validation
Production and Deployment RFP release and source selection
Guided by: Acquisition Strategy, MS B ADM and APB, validated CDD/Problem Statement, and other planning documents (PPP, SEP, LCSP, TEMP)
Developmental Test and Evaluation (DT&E). Discussed more later.
Independent Logistic Assessment (ILA). Discussed more later
Operational Assessments (OAs). Discussed more later
Critical Design Review (CDR). The CDR provides evidence that the system, down to the lowest system element level, has a reasonable expectation of satisfying the requirements of the system performance specification as derived from the CDD within current cost and schedule constraints. CDR is discussed in more detail later in this lesson.
Test Readiness Review (TRR). conducted to determine if the system under review is ready to proceed into formal testing by deciding whether the test procedures are complete and verify their compliance with test plans and descriptions. Normally conducted before each major test configuration item including hardware and software and provides management with the assurance that a system has undergone a thorough test process and is ready for turnover to the next test phase.
System Verification Review (SVR). a product/process assessment to ensure the system under review can proceed into LRIP and FRP within cost, schedule, risk, and other system constraints during the EMD Phase.  It assesses the system functionality and determines if it meets the functional requirements in the CDD and draft CPD documented in the functional baseline. Establishes and verifies final product performance and provides inputs to the CPD. The SVR is often conducted concurrently with the PRR and FCA
Production Readiness Review (PRR). Assesses a program to determine if the design is ready for production. It assesses if the prime contractor and major subcontractors have accomplished adequate production planning without incurring unacceptable risks that will breach thresholds of schedule, performance, cost, or other established criteria.

7. EMD Phase Major Activities
PM completes hardware/software detailed design of an integrated system
PM demonstrates design through appropriate development test & evaluation and operational assessments, RM supports
PM aligns technology and manufacturing readiness to support production
PM develops system product support attributes
RM supports the Critical Design Review
RM validated CPD to support Production and Deployment activities
PM completes draft RFP review to support P&D
PM completes program tracking through acquisition reporting

8. Requirements Managers Role in the EMD Phase
Participate in Program Management Office (PMO) activities:
Attend Milestone B prepared to explain/justify warfighter’s requirements
Help Program Manager (PM) prepare for MS C
Attend CDR prepared to explain/justify warfighter OMS/MP or Use Cases
Update RAM-C Report (with PM)
Observe/review testing (Developmental, Operational, Live Fire, Interoperability)
Ensure all CDD performance attributes are “testable”
Review and update performance attributes based on results of testing, paying attention to evolving insight on affordability
Help develop/update Critical Operational Issues (COI) for TEMP
Finalize CPD, Problem Statement, CONOPS and OMS/MP (or Use Cases) prior to Milestone C
Big role for requirements manager in EMD. Generally, bullets refer to the requirements managers out in the commands who work directly with the PM, not the requirements managers at Pentagon HQ level.
NOTE: RAM-C report attached to SEP at Milestones B and C.

9. Critical Design Review (CDR)
CDR establishes the initial product baseline* to ensure that the system has a reasonable expectation of satisfying the requirements of the CDD within current cost and schedule constraints
Any changes during EMD are incorporated and after CDR the CDD evolves to the CPD required at Milestone C
CDR also approves the product baselines for maintainability, supportability, and logistics elements.
After CDR, production-representative articles will be produced for testing against the KPPs and technical requirements
Once the initial product baseline is established, opportunities to improve performance or reduce life-cycle costs are severely limited
*Product Baseline—describes the detailed design for production, fielding/ deployment, and operations and support. It prescribes all necessary physical (form, fit, and function) characteristics and selected functional characteristics designated for production acceptance testing and production test requirements. It is traceable to the system performance requirements contained in the CDD..

10. CDR Assessment
MDAP and MAIS programs require a CDR Assessment. For ACAT ID and IAM - PM invites Deputy Assistant Secretary of Defense for Systems Engineering (DASD(SE)) to system-level CDRs and makes available CDR artifacts.
Office of the DASD(SE) prepares a brief assessment of the program’s design maturity and technical risks that may require MDA’s attention
MDA :
Reviews Post-CDR assessment
Determines whether additional action is necessary
RM CONCERN: What is the effect on the CPD if CDR trade-offs result in KPP and or KSA Changes? CONOPS or OMS/MP Change?

11. Milestone C
Program is reviewed by MDA for entrance into Production & Deployment, or Limited Deployment for software systems.
Approval Criteria:
Satisfies EMD exit criteria approved at MS B
Updated & approved Acq Strategy
DT & OA results that demonstrate stable design that meets requirements
Mature software capability
No significant manufacturing risks
Validated CPD (or equivalent)
Demonstrated interoperability and supportability
Costs within affordability caps
Full FYDP funding
Other MDA considerations: New threat(s) not in CPD? Requirements authority indicates capability requirements are current.
MDA documents MS C decision in an ADM

12. Milestone C Approval to Enter Production & Deployment
MDA Decisions:
Updated AS, ADM [and APB if KPPs changed]
Entry into LRIP [as applicable] or Production [for systems that do not require LRIP], or Limited Deployment [for MAIS programs or software intensive Systems with no Production Components]
Required Documentation:
Updates to Acquisition Strategy, TEMP, SEP, PPP, LCSP
Updated Cost Estimate
CPD or updated Problem Statement; OMS/MP
Full Funding Certification Memo
Backup chart shows all the program documentation required at Milestone C.
Authorizes entry into Production & Deployment (note: LRIP is production).
Exit criteria for LRIP may be related to some area of technology risk during EMD that needs engineering attention during LRIP to ensure operational performance is demonstrated at threshold values during IOT&E.
ICD and/or CDD may be waived in cases where potential programs are best served by proceeding directly to MS C, such as for GOTS/COTS solutions, transitioning UONs/JUONs, successful JCTDs, etc. The Gatekeeper is the approval authority for ICD and CDD waiver requests.
Requires approved Capability Production Document (CPD) or updated Problem Statement

13. Milestone C Review
Program reviewed for entrance into the Production and Deployment Phase (or Limited Deployment for software intensive systems)
PM provides:
Updated Acquisition Strategy
Production rates; including an industrial base assessment
Should Cost Targets
Required updated program documents: SEP, TEMP, PPP, LCSP, etc., refer to DoDI , Enclosure 1, Table 2
RM provides:
A validated CPD, or equivalent requirements document.
Confirm the validated threat environments
Approval depends on:
Specific criteria defined at Milestone B (exit criteria for EMD)
Updated and approved Acquisition Strategy
Performance in DT&E and Operational Assessments
Mature software capability
No significant manufacturing risks
Validated Capability Production Document (CPD)
Demonstrated interoperability
Demonstrated operational supportability
Costs within affordability caps
Full Funding in the Future Years Defense Program (FYDP)
Properly phased production ramp-up and/or fielding support

14. Milestone C Review Lead Component provides:
Affordability updates
Director, CAPE (for MDAP/MAIS)* provides:
Updated Independent Cost Estimate (ICE)
MDA provides:
Signed ADM
* Component equivalent for non-major programs

15. Production and Deployment (P&D) Phase
Purpose:
To produce and deliver requirements- compliant products to receiving military organizations
Major Events
Production and Test Readiness Reviews
IOT&E/LFT&E
FRP/FD decision
Production RFP Release
Guided by: Acquisition Strategy, MS C ADM, sponsor-approved CPD/Problem Statement and other planning documents (PPP, SEP, LCSP, TEMP)
PCA. Physical Configuration Audit - examines the actual configuration of an item being produced and is conducted around the time of the Full-Rate Production Decision. It verifies that the related design documentation matches the Configuration Item (CI) as specified in the contract and confirms that the manufacturing processes, quality control system, measurement and test equipment, and training are adequately planned, tracked, and controlled.
OTRR. Operational Test Readiness Review - assess if a system should proceed into Initial Operational Test and Evaluation (IOT&E). The review addresses and verifies system reliability, maintainability, and supportability performance and determines if the hazards and Environmental, Safety, Occupational and Health (ESOH) residual risks are manageable within the planned testing operations.
PRR. Production Readiness Review - assesses a program to determine if the design is ready for production. It assesses if the prime contractor and major subcontractors have accomplished adequate production planning without incurring unacceptable risks that will breach thresholds of schedule, performance, cost, or other established criteria.

16. P&D Phase Major Activities
PM executes Low-rate Initial Production and Limited Deployment
RM supports Initial Operational Test and Evaluation
DOT&E completes Beyond LRIP Report*
PM ensures Limited Deployment (LD) for software intensive systems
PM establishes the Product Support Capability
PM executes Full-rate Production and Full Deployment, RM supports
PM conducts product support draft RFP review C
FRP/ FD
Production and Deployment
PCA
OTRR
CPD
PRR
Sustainment RFP Release
Production RFP Release
Generic requirements to enter and leave (exit) each phase are in DoDI
Note the activities, and importance of JCIDS document (CPD) to guide this phase. [Business systems used a Problem Statement, which matures over the course of this analysis phase.]
CPD/Problem Statement is needed to assist in determining the technical requirements for the production and sustainment Phase contracts.
* DoDI calls it “DOT&E Report on IOT&E”

17. Production and Deployment Phase Low-Rate Initial Production
Purpose: Establishes the initial production baseline for the system
Outcome:
Provides test articles for Initial Operational Test and Evaluation (IOT&E)
Provides an efficient ramp-up to Full Rate Production
Maintains continuity in production pending completion of IOT&E
The system is demonstrated as ready for production
Answers: What is the LRIP quantity and configuration?
RM’s High Interest Concerns:
Use as IOC systems?
Training base assets?
Test & Evaluation During LRIP
Initial Operational Test and Evaluation (IOT&E): Typical users or units will operate and maintain the system under conditions simulating combat stress and peacetime conditions
Interoperability Test and Certification: Information Technology and National Security Systems undergo joint interoperability testing and evaluation for certification by JITC prior to fielding
Live Fire Test and Evaluation (LFT&E): Assesses lethality of missiles and munitions, and vulnerability of the system and crew to threat weapons
Unless waived by the MDA, critical deficiencies identified in testing will be resolved prior to proceeding beyond LRIP or limited deployment. Remedial action will be verified in follow-on test and evaluation (FOT&E).

18. P&D Phase FRP/FD Decision
PM provides:
Updated Acquisition Strategy
Updated program documents: SEP, TEMP, PPP*, LCSP, etc., refer to DoDI , Enclosure 1, Table 2
RM provides:
A validated CPD
Updated CONOPS and OMS/MP/Use Cases
DOT&E provides:
LFT&E and Beyond LRIP Reports
Exit criteria approved at this review may apply to a requirement to demonstrate, during Follow-on T&E (FOT&E), a “fix” of technical problems observed during IOT&E on LRIP systems.
For software-only programs, the equivalent decision here is Full Deployment Decision – since no hardware must be produced.
* Also contains updated Threat Assessment

19. Full Rate Production / Full Deployment (FRP/FD) Decision Review
Program reviewed by MDA to approve entry into Full Rate Production or Full Deployment
Approval criteria:
Results of IOT&E
Demonstrated control of manufacturing process
Acceptable performance & reliability
Establishment of adequate sustainment & support systems
Other MDA considerations:
Any new validated threat environment that may impact operational readiness
May consult with requirements validation authority to ensure capability requirements are current
MDA documents decision in an ADM

20. Requirements Manager’s Role in the P&D Phase
Be Involved in Test & Evaluation Activities:
Ensure CPD performance attributes are testable
Observe system performance during IOT&E, full-up system level Live Fire Test & Evaluation, and system level interoperability testing
Review all performance attributes based on test results
Participate in PMO activities:
Update RAM-C Report (with PM) using data from test results
Participate in program office Integrated Product Teams (IPTs) and technical reviews
Assist PM with prep for Full-Rate Production or Full Deployment Decision Review
Attend Full Rate Production/Full Deployment Decision Review prepared to explain/justify requirements.

21. Operations & Support (O&S) Phase
Purpose:
To execute the product support strategy
Satisfy materiel readiness and operational support performance requirements
Sustain the system over its life cycle (to include disposal)
Operations and Support
ISR
PIR
Dev RFP
Release
Major Events:
Begins when the first system is fielded
MDA approved Life Cycle Sustainment Plan
Guided by: Acquisition Strategy, MS C ADM and APB, sponsor-approved CPD/Problem Statement and other planning documents (PPP, SEP, LCSP, TEMP)
ISR: In Service Review - an assessment of a system to determine if it’s operationally employed with well-understood and Managed Risks.
It assesses the current status, operational health and corrective actions to satisfy user operational needs based on user feedback and performance metrics.
The reviews should be conducted at defined intervals to identify needed revisions and corrections and to allow for timely improvements in the strategies to meet performance requirements. Should provide the following:
An overall System Hazard Risk Assessment,
An Operational Readiness Assessment in terms of system problems (hardware, software, and production discrepancies), and
Status of current system problem (discrepancy) report inflow, resolution rate, trends, and updated metrics. The metrics may be used to prioritize budget requirements.
PIR: Post-implementation Review - verifies the MOEs of the ICD or the benefits of a business plan.
Normally the FRP/FD review and decision complete this action.
A process that aggregates information needed to successfully evaluate the degree to which a capability has been achieved.
A PIR answers the question, “Did the Service/Agency get what it needed, per the ICD / Business Plan, and if not, what should be done? A PIR is required for all acquisition program increments at the Full-Rate Decision Review (FRDR).
The Sponsor is responsible for planning the PIR, gathering data, analyzing the data, and assessing the results.
The PM is responsible for maintaining an integrated program schedule that includes the PIR on behalf of the Sponsor.
The PM is also responsible for supporting the Sponsor with respect to execution and reporting of the PIR

22. O&S Phase Major Activities
PM continues with Full-rate Production and Deployment
PM implements the Product Support Plan (likely performance based logistics)
PM along with the RM collect feedback and evaluates operations and support activities
PM evaluates program resources and ensure intellectual property deliverables and associated license rights, tools, equipment, and facilities are acquired
PM fully establishes organic or industry depot maintenance capability in accordance with statute and the LCSP
PM with RM support Disposal planning and execution
Operations and Support
ISR
PIR
Dev RFP
Release
Generic requirements to enter and leave (exit) each phase are in DoDI
Note the activities, and importance of JCIDS document (CPD) to guide this phase. [Business systems used a Problem Statement, which matures over the course of this analysis phase.]
Note: all actions must be in accordance with all legal and regulatory requirements relating to safety (including explosives safety, security, and the environment)

23. O&S Phase Exit Level Knowledge Points
Met any exit criteria in MS C ADM
Disposal decision understood
Major modification decision understood
Operations and Support
ISR
PIR
Dev RFP
Release
Generic requirements to enter and leave (exit) each phase are in DoDI
Note the activities, and importance of JCIDS document (CPD) to guide this phase. [Business systems used a Problem Statement, which matures over the course of this analysis phase.]

24. Requirements Manager’s Role in the O&S Phase
Track the threat (mission and cybersecurity), update the CPD
Monitor emerging technology.
Sponsor Life Cycle Cost reduction initiatives.
Obtain information on operations and support of fielded system to:
Review performance and supportability requirements in the CDD/CPD for next increment of capability (if applicable).
Provide input on modifications/upgrades to enhance performance and/or reduce operating costs.
RMs should maintain contact with the warfighter and with the PM during operations and support – this is the most important phase for the warfighter.
RMs must keep in mind that modifications and upgrades are usually not cheap and require program and budget lead time and funding justification. This is not solely a PM responsibility, it is a shared responsibility.
RMs should also be aware that selected modifications/upgrades may be treated as new ACAT programs depending on dollar value and the desires of the MDA.

25. Linkage: CPD, APB, TEMP & Contract for LRIP/Production
Full Rate
Production /
Full Deployment
Milestone B
Milestone C
Cost Estimate & $$
TEMP
COIs, MOEs,
MOPs, CTPs
Production
Representative
Articles
Production
Systems
CDD
CPD
SPECs
“build-to”
SPECs
“build-to”
Contract
CDR
KPPs
KSAs
APB
KPPs
KPPs
KSAs
IOT&E
LRIP/
Production DT OA
MOEs/
MOPs
Specs
MOEs/
MOPs
Engineering & Manufacturing Development Phase
Production &
Deployment Phase