An analysis of quantity-split and nonrecurring costs under competitive procurement environment. Volume 1
By: by Dan C. Boger, and Shu S. Liao
Contributors: Liao, Shu S.; Naval Postgraduate School (U.S.). Dept. of Administrative Sciences
Publisher: Naval Postgraduate School; Available from National Technical Information Service
Published: 1985
Place of publication: Monterey, Calif; Springfield, Va
Language: eng
Number of pages: 66
Subjects: COST MODELS; COST ANALYSIS
Other titles: NPS-54-85-08.
Description: This study addresses two important issues related to establishing a second source and      managing a program under dual source competition. The first relates to the issue of estimating      nonrecurring costs. The second relates to the issue of dual award quantity-split in order to      maintain a competitive environment. In dual sourcing decisions, it is necessary that the nature      and extent of prospective second source's nonrecurring costs be fully analyzed. Nonrecurring      costs are important since they represent those investment costs which must be incurred before      the second source produces any output. Several nonrecurring cost estimation models, both      parametric and nonparametric, are examined. Five different quantity-split models are analyzed      to evaluate each model's strength and weakness in cost performance and its ability to cope      with contractor gamesmanship.
Notes: Cover title.

"NPS-54-85-08."

"September 1985."

AD A163 028.

Includes bibliographical references.

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