1. Ref.: New Acquisition Policy by DAU, 20 May 2003, PMT-352
Review of DoD’s New Acquisition Policy and its Impact on Programs and Systems Engineering
by Al Bruns INCOSE Gateway Chapter Wednesday, 30 July 2003
Ref.: New Acquisition Policy by DAU, 20 May 2003, PMT-352

2. New Acquisition Policy Construct
DoD Directive
Principles retained; innovation/flexibility emphasized
DoD Instruction
Focused on required outcomes and statutory requirements and less on regulatory requirements
DoD Regulation R
Cancelled; becomes “guide” not a regulation
Provides expectations (TEMP, C4ISP, etc..), best practices and lessons learned

3. The Defense Acquisition Management Framework
DoDI , May 2003
Technology Opportunities & User Needs
Process entry at Milestones A, B, or C
Entrance criteria met before entering phase
Evolutionary Acquisition or Single Step to Full Capability
(Program
Initiation) A B C
IOC
FOC
Concept
Refinement
Technology
Development
System Development
& Demonstration
Production &
Deployment
Operations &
Support
New
Design
Readiness
Review
FRP
Decision
Review
Concept
Decision
LRIP/IOT&E
Pre-Systems Acquisition
Systems Acquisition
Sustainment
Increment II
Increment III

4. New Requirements Documents
Common element is CAPABILITIES
Initial Capabilities Document (ICD) replaces MNS at Milestone A
Describes desired capability. Evaluates multiple materiel approaches. Recommends a materiel approach.
Capability Development Document (CDD) replaces ORD at Milestone B
Describes the SDD effort and provides KPPs for the increment. Describes program to get to complete solution.
Capability Production Document (CPD) replaces ORD at Milestone C
Describes the SDD effort to produce materiel solution for the increment and provides KPPs for the production increment.
Details will be implemented by CJCSI C & CJCSM

5. Technology Development Strategy
Required ACAT I and IA programs. Based on AoA results
Contents:
Rational for EA or single-step strategy
For EA, description of how program will be divided into technology spirals & development increments
Appropriate limits on prototypes produced and deployed during the TD Phase
Performance Goals and Exit Criteria to be met prior to proceeding into SDD and producing additional prototypes
Overall cost, schedule and performance goals for the total R&D effort
Specific cost, schedule and performance goals and exit criteria for the first technology spiral demonstration, and a test plan to ensure that they are met.

6. DoD Instruction 5000.2 New/Revised from previous 5000.2:
Operation of the Defense Acquisition System
New/Revised from previous :
“Concept Decision” - new decision point prior to Milestone A
Analysis of materiel approaches done prior to Concept Decision, and documented in Initial Capabilities Document (ICD). MNS is eliminated.  
New phase prior to Milestone A, “Concept Refinement”
Analysis of Alternatives (AoA) due at Milestone A vice program initiation (Milestone B). Used to refine the initial concept and provide basis for the Technology Development Strategy.

7. Oversight & Review ACAT ID/IAM Programs*
Defense Acquisition
Executive
Chief Information
Officer
Defense Acquisition
Board
IT Acquisition
Board
Weapon Systems
C3ISR Systems
Major AIS
Overarching
Integrated Product
Teams (OIPT)
C3I Overarching
Integrated Product
Team (OIPT)
Director, Defense
Systems
OUSD(AT&L)
The acquisition responsibilities of USD(Intel) vs. ASD(NI2)/DoD CIO are a work in process.
*Note: Space Programs have been delegated to the Air Force and most missile defense programs to the Missile Defense Agency

8. Transformation to the Joint Capabilities Integration and Development System
RGS
JCIDS
Integrated at Department
National Military Strategy
Joint Vision
Systems
Joint Concept of Operations
Requirements
Joint Concepts Integrated Architectures
Joint Capabilities
Bottom Up, Often Stovepiped
Top Down, Born Joint

9. Evolutionary Acquisition
Increment 2
Increment 3
Single Step to
Full Capability ? OR
Key Considerations
Urgency of Requirement
Maturity of Key Technologies
Interoperability, Supportability, and Affordability of Alternative Acquisition Approaches
Cost/Benefit of Evolutionary vs. Single Step Approach

10. Operation of the Defense Acquisition System
DoD Instruction
Operation of the Defense Acquisition System
Evolutionary Acquisition
Two development processes to implement Evolutionary Acquisition Strategy
Incremental Development: End-state requirement is known, and requirement will be met over time in several increments
Spiral Development: Desired capability is identified, but end-state requirements are not known at Program Initiation. Requirements for future increments dependent upon technology maturation and user feedback from initial increments
Evolutionary acquisition strategies shall be preferred approach to satisfying operational needs.
Spiral development shall be the preferred process.

11. Evolutionary Acquisition – Incremental & Spiral Development
Warfighter Capability =
Known increment
Known increment
Known increment
- Incremental
First Fielded Capability
Known increment
- Spiral
Partially known increment
Traditional = Big-Bang 100% solution that requires continuous development.
P3I and Block occur subsequent to a development program and deliver an improved capability. Each P3I and Block effort is planned in detail before the effort begins—these “mini-bang” approaches do no provide for “use and learn” opportunities prior to fielding
Spiral Development, rather than the “Big Bang” approach of delivering 100% of the capability in a single development, incrementally delivers capabilities that grow to the 100% solution
--deliver some core capability sooner that is better than today’s capability
-- deliver fresher technology– “use and learn” with each capability to influence future spirals.
Spiral development differs from P3I and Block Upgrades because the content of successive spirals is not clearly defined up-front – those subsequent spirals are shaped from 1-use and learn; 2-changing requirements; 3-funding availability; 4-technology discoveries. P3I is “pre-planned” and defined prior to start.
Not known increment
Technology Demos
Not known increment
Feedback from warfighter
Time

12. Evolutionary Acquisition
Time
NO CAPABILITY
Capability
Single Step Approach
Technology Base
Requirements
FOC
IOC
Time
Capability
Evolutionary Acquisition
Initial Operationally
Useful Capability
Technology Base
Requirements

13. Evolutionary ApproachCR TD
SDD PD OS B C A B C
Increment 2 B C
Increment 3
Key Enablers
Time-Phased Requirements
A Modular Open Systems Approach to facilitate Technology Insertion
Evolutionary Sustainment Strategies
T&E Consistent with Evolutionary Approach
Full Funding

14. Each Increment Must Have…B C
Increment 2 B C
Increment 3
Approved Operational Requirements
Interoperability Key Performance Parameter
Performance, Cost and Schedule Goals (Acquisition Program Baseline)
Operational and Live Fire Testing (If Required)
Compliance with Acquisition Oversight Requirements
An Acquisition Strategy that reflects consideration of Logistics Planning; Manpower, Personnel and Training; Environmental and Security Factors; Protection of Critical Program Information; and Spectrum Management
Other information tailored to the conditions of the program
Each Increment is Managed as a Unique Acquisition

15. Acquisition Strategy Comparison Table
Pre-planned Product Improvement (P3I)
Single Step to Full Capability
Evolutionary Acquisition *
Criteria
Incremental Development
Spiral Development **
Full requirements defined at outset
Yes
Yes
Yes No
Useful intermediate capabilities No
Yes
Yes
Yes
Multiple iterations No No
Yes
Yes
All capabilities required in initial increment
Yes No No No
User feedback from earlier iterations used to define final requirement No No
Yes
Yes
Traditional acquisition strategy
Achieves increased capability from predictable maturing technology
Often used in hardware development
Preferred process
(Previously used mostly in Software development)
Other characteristics
* Preferred strategy ** Preferred process

16. DoD Instruction 5000.2 Operation of the Defense Acquisition System
Statutory Information Requirements Changed/Added
When
Required
Requirement
Reference
Comment
Spectrum Certification
Compliance
47 USC 305 & PL
OMB A-11, Part 2
DoDD
MS B, or
MS C if no B
Name change
Formerly –
Application
For Frequency
Allocation
Programmatic
Environmental
Safety & Health
Evaluation
MS B, or
MS C if no B
From
DoD R
42 USC 4321
Electronic Warfare T&E Report
Sec. 220, PL & Sec. 214, PL
annually
From
DoD R

17. DoD Instruction 5000.2 Operation of the Defense Acquisition System
Statutory Information Requirements Changed/Added
Continued…..
When
Required
Requirement
Reference
Comment
Certification of Compliance with Financial Management Modernization Plan (FM acq programs only)
NEW
From Congress
MS A, B, and C PL
Benefits Analysis & Determination (applies to bundled acquisitions; part of acq strategy)
NEW
From Congress
15 USC 644(e)
MS B, or
MS C if no B
Technology Development Strategy
NEW
From Congress
Sec. 803, PL
MS A, B and C

18. DoD Instruction 5000.2 Operation of the Defense Acquisition System
Regulatory Information Requirements Changed/Added
Regulatory Information
Requirements Added
When
Required
Reference
Comment
NEW from Joint Staff
Replaces MNS
Initial Capabilities Document (ICD)
CJCSI
MS A
Capability Development
Document (CDD)
CJCSI
MS B
NEW from Joint Staff
Replaces ORD
Capability Production
Document (CPD)
CJCSI
MS C
Technology Readiness
Assessment (PM-level)
Revised from
DoD R requirement for an Independent Technology Assessment for all programs
DoDI
MS B & C
Independent Technology
Readiness Assessment (ACAT ID only – as required by DUSD(S&T))
DoDI
MS B & C
Earned Value
Management Systems
OMB Cir A-11, part 7
See ANSI/ EIA
From
DoD R

19. DoD Instruction 5000.2 Operation of the Defense Acquisition System
Other Reports Changed/Added
Report
Reference
When Required
Comment
Defense Acquisition
Executive Summary
(DAES) (MDAP & MAIS)
Quarterly
POM or BES submit
UCR breach
From
DoD R
DoDI
Contractor Cost Data
Report (CCDR)
From
DoD R
DoD M-1
See the reference
Software Resources
Data Report
(ACAT I/IA programs for all major contracts & sub – contracts for any software development elements with a projected software effort greater than $25M (FY02 constant dollars)
-180 days prior to contract award
-60 days after contract award
-60 days after start of subsequent software releases
-within 120 days after software release or final delivery
DoD M-2
NEW from OSD Director, PA&E

20. Defense Acquisition Management
Framework – Key Points
Evolutionary acquisition is the preferred strategy for rapid acquisition of mature technology; spiral development is the preferred process
MDA may authorize entry at any point consistent with phase-specific entrance criteria and statutory requirements
Non-mandatory guidance on best practices, lessons learned and expectations are available in the Interim Guidebook (former DoD R)
Validated and approved ORDs are still required until revised CJCSI is published

21. The Defense Acquisition Management Framework
User Needs &
Technology Opportunities
Process entry at Milestones A, B, or C
Entrance criteria met before entering phases
Evolutionary Acquisition or Single Step to Full Capability B A C
IOC
FOC
System
Integration
System
Demonstration
LRIP
Full-Rate Prod & Deployment
Sustainment
Disposal
Design
Readiness
Review
FRP
Decision
Review
Concept
Decision
Concept
Refinement
Technology
Development
System Development
& Demonstration
Operations
& Support
Production & Deployment
Pre-Systems Acquisition
Systems Acquisition
Sustainment
Validated & approved by
operational validation authority
Initial Capabilities
Document (ICD)
Capability Development
Document (CDD)
Capability Production
Document (CPD)
Relationship to Requirements Process