Subject: Acquisition System Management.THE UNDER SECRETARY OF DEFENSE 3010 DEFENSE PENTAGON WASHINGTON, DC 20301-3010 MAR 13 2006 MEMORANDUM FOR SECRETARIES OF THE MILITARY DEPARTMENTS (ATTN ATTN Attention ATTN Atentamente (Spanish) ATTN A l'attention de (French: Care of) : ACQUISITION EXECUTIVES) COMMANDER, UNITED STATES SPECIAL OPERATIONS COMMAND The United States Special Operations Command (USSOCOM or USSOC) is the Unified Combatant Command charged with overseeing the various Special Operations Commands (SOC or SOCOM) of each branch of the U.S. military. The command is part of the U.S. (ATTN: ACQUISITION EXECUTIVE) COMMANDER, UNITED STATES TRANSPORTATION COMMAND The unified command with the mission to provide strategic air, land, and sea transportation and common-user port management for the Department of Defense across the range of military operations. Also called USTRANSCOM. (ATTN: ACQUISITION EXECUTIVE) DIRECTORS OF THE DEFENSE AGENCIES DIRECTORS OF THE DOD (1) (Dial On Demand) A feature that allows a device to automatically dial a telephone number. For example, an ISDN router with dial on demand will automatically dial up the ISP when it senses IP traffic destined for the Internet. FIELD ACTIVITIES SUBJECT: Acquisition System Management As a result of his recent review of the management of the KC-767-A Tanker Program, the DoD Inspector General made several broader observations regarding our overall acquisition control system and the procedures the Department employs to evaluate proposed acquisition approaches, including leasing. This letter is intended to clarify Department policy on both points. The acquisition of major systems is governed by a substantial body of policy captured in OMB OMB abbr. Office of Management and Budget Noun 1. OMB - the executive agency that advises the President on the federal budget Office of Management and Budget circulars, the Federal Acquisition Regulation, and the DoD 5000 acquisition policies. These policies serve as a management control system intended to ensure that needed capabilities are provided while addressing risk and satisfying all other applicable federal government acquisition requirements. These policies also facilitate program success by structured consideration of a broad spectrum of issues that might endanger en·dan·ger tr.v. en·dan·gered, en·dan·ger·ing, en·dan·gers 1. To expose to harm or danger; imperil. 2. To threaten with extinction. that success. Many of these policies are inherently flexible to provide decision makers with the opportunity to tailor policy to the unique circumstances of each program. However, the opportunity to tailor and streamline must not be taken without thoughtful consideration of the issues our policies are designed to address. Flexibility and discipline are not mutually exclusive Adj. 1. mutually exclusive - unable to be both true at the same time contradictory incompatible - not compatible; "incompatible personalities"; "incompatible colors" objectives. We must also ensure we make the best use of the analytical tools available. DoD acquires capability through various means; however, use of an alternative approach such as leasing does not alter the requirement to review a program as rigorously as any other program of comparable size and complexity. The approach employed should be consistent with the requirement, and carefully evaluated in the context of a formal analysis of alternatives. In short, quantitative analysis Quantitative Analysis A security analysis that uses financial information derived from company annual reports and income statements to evaluate an investment decision. Notes: must play a key role in our determination of the most cost-effective solution. I plan to review the results of those analyses at designated program decision points and strongly suggest that other decision authorities do likewise. I believe that this flexible but disciplined approach will enhance our ability to make well informed decisions, improve our responsiveness to the warfighter, and ensure confidence in our acquisition system. |
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