Operations Research, Systems Engineering and Industrial Engineering Commons^™

Study Of Cost Overrun And Delays Of Department Of Defense (Dod)'S Space Acquisition Program, Nazareen Sikkandar Basha, Benjamin J. Kwasa, Christina Bloebaum

Engineering Management and Systems Engineering Faculty Research & Creative Works

Defense and Aerospace Systems Acquisition projects, just like any other Large-Scale Complex Engineered Systems (LSCES) experience delays and cost overrun during the acquisition process. Cost overrun and delays in LSCES are due, in part, to high complexity, size of the project, involvement of various stakeholders, organizations, political disruptions, changes in requirements and scope. These uncertainties, due to the exogenous factors, have cost the federal government billions of dollars and delays in completion of the programs. Cost estimation of federal programs is usually based on previous generations of systems produced and almost all the time the costs are underestimated. Underestimation of …