Subject: Policy for Systems Engineering in DoD.

THE UNDER SECRETARY OF DEFENSE

3010 DEFENSE PENTAGON

WASHINGTON, D.C. 20301-3010

FEB 20, 2004

MEMORANDUM FOR: SEE DISTRIBUTION

SUBJECT: Policy for Systems Engineering in DoD

[ILLUSTRATION OMITTED]

Application of rigorous systems engineering discipline is paramount to the Department's ability to meet the challenge of developing and maintaining needed warfighting capability. This is especially true as we strive to integrate increasingly complex systems in a family-of-systems, system-of-systems, net-centric warfare context. Systems engineering provides the integrating technical processes to define and balance system performance, cost, schedule, and risk. It must be embedded in program planning and performed across the entire acquisition life cycle.

Toward that end, I am establishing the following policy, effective immediately and to be included in the next revision of the DoD 5000 series acquisition documents:

      Systems Engineering (SE) All programs responding to a capabilities
      or requirements document, regardless of acquisition category,
      shall apply a robust SE approach that balances total system
      performance and total ownership costs within the
      family-of-systems, system-of-systems context. Programs shall
      develop a Systems Engineering Plan (SEP) for Milestone Decision
      Authority (MDA) approval in conjunction with each Milestone
      review, and integrated with the Acquisition Strategy. This plan
      shall describe the program's overall technical approach, including
      processes, resources, metrics, and applicable performance
      incentives. It shall also dewtail the timing, conduct, and success
      criteria of technical reviews.

In support of the above policy, the Director, Defense Systems shall:

a. Identify the requirement for a SEP in DoDI 5000.2, and provide specific content guidance tailorable by the MDA in the Defense Acquisition Guidebook.

b. Assess the adequacy of current Department-level SE-related policies, processes, practices, guidance, tools, and education and training and recommend to me necessary changes.

c. Establish a senior-level SE forum with participation from the Military Departments, and appropriate defense agencies, as a means to collaborate and leverage activities within the components and to provide a forum to institutionalize SE discipline across the Department. A goal of this forum will be extending the SE process to address family-of-systems, system-of-systems capability-based acquisition.

d. For programs where I am the MDA, review each program's SEP as part of the preparation for Defense Acquisition Board Milestone Reviews (DAB) and other acquisition reviews, and provide me with a recommendation on the program's readiness to proceed during the DAB. Together with other members of the OSD staff, lead program support assessments to identify and help resolve issues to ensure program success.

To assist in these efforts, each Component Acquisition Executive and defense agency with acquisition responsibilities will, within 90 days, provide the Director, Defense Systems its approach and recommendations on how we can ensure that application of sound systems engineering discipline is an integral part of overall program planning, management, and execution within both DoD and defense industry. Further, I direct each Component Acquisition Executive and those defense agencies with acquisition responsibilities to provide, within 30 days, a flag officer or Senior Executive Service-level representative to participate in the Director, Defense Systems-led systems engineering forum. The first such forum will be held within 60 days.

I need your assistance to ensure we drive good systems engineering processes and practices back into the way we do business. We can accomplish this goal by establishing clear policies, reinvigorating our training, developing effective tools, and using and institutionalizing best practices, applying performance incentives, and making systems engineering an important consideration during source selections and throughout contract execution. Collectively these actions will reinvigorate our acquisition community--including our industry partners--thus assuring affordable, supportable, and above all, capable solutions for the warfighter.

Michael W. Wynne

Acting

DISTRIBUTION:

SECRETARIES OF THE MILITARY DEPARTMENTS

CHAIRMAN OF THE JOINT CHIEFS OF STAFF

ASSISTANT SECRETARY OF DEFENSE (NETWORKS AND INFORMATION INTEGRATION/CHIEF INFORMATION OFFICER)

GENERAL COUNSEL OF THE DEPARTMENT OF DEFENSE

COMMANDER, SPECIAL OPERATIONS COMMAND

DIRECTOR, ADMINISTRATION AND MANAGEMENT

DIRECTOR, PROGRAM ANALYSIS AND EVALUATION

DIRECTOR, DEFENSE ADVANCED RESEARCH PROJECTS AGENCY

DIRECTOR, DEFENSE CONTRACT MANAGEMENT AGENCY

DIRECTOR, DEFENSE INTELLIGENCE AGENCY

DIRECTOR, DEFENSE LOGISTICS AGENCY

DIRECTOR, DEFENSE THREAT REDUCTION AGENCY

DIRECTOR, MISSILE DEFENSE AGENCY

DIRECTOR, NATIONAL GEOSPATIAL-INTELLIGENCE AGENCY

DIRECTOR, NATIONAL SECURITY AGENCY

DIRECTOR, OPERATIONAL TEST AND EVALUATION