Predicting Disposal Costs for United States Air Force Aircraft (Presentation)

May, 2015
IDA document: D-5478
FFRDC: Systems and Analyses Center
Type: Documents
Division: Cost Analysis and Research Division
Mark F. Kaye, Bruce R. Harmon, Alexander O. Gallo, John E. MacCarthy See more authors
The Air Force Cost Analysis Agency (AFCAA) directed the Institute for Defense Analyses (IDA) to collect data, create databases, and develop innovative methods/tools to better predict future disposal costs for United States Air Force fixed-wing aircraft. IDA created and delivered a cost-estimating told which was informed by ten years of actual data from the Aerospace Maintenance and Regeneration Group (AMARG). The data used in this study were limited to aircraft currently in the AMARG inventory, but the IDA Cost Estimating Relationships (CERs) allow for estimation of future aircraft disposal costs. The value of this tool is that it allows AFCAA to quickly see the disposal costs of current aircraft (both total and by phase) as well as to quickly estimate the disposal costs of an aircraft currently in active inventory or of a notional system under development.