1. EMIS 7307 1 Chapter 5 Much of Chap 5 and 6 varies depending on the contract type. Two major types are important so we’ll digress to Contracting 101 for a few charts. –If interested in more details see Chapter 6 of text.

2. EMIS 7307 2 Chapter 5

3. EMIS 7307 3 Chapter 5 The two types of contracts are Firm Fixed Price (FFP) and Cost Plus Fee (CPF). FFP contracts are used when: –Producing product is low risk. –Making off the shelf purchases. –Potential willing bidders exist. There is little, perhaps no, customer involvement during the execution of FFP contracts.

4. EMIS 7307 4 Chapter 5 CPF contracts are used when: –Producing system is perceived as high risk. –Potential bidders won’t bid on a FFP. There is much customer involvement in the execution of CPF contracts. –Design reviews –Production reviews –Testing –ETC.

5. EMIS 7307 5 Chapter 5 Why is there so much customer involvement in the execution of CPF contracts? –Only have a target cost. If the costs exceed target customer still pays. –The system is so new and challenging it’s hard to know the requirements well, at the beginning. This partially explains requirements creep.

6. EMIS 7307 6 Chapter 5 Range of Contract Types/Risk/Program Control (TYPES OF CONTRACTS) FFP/EPAFPIFFPRT&M OR L/H CSCRCPIFCPAF CPFFFFP (RISK) LOW HIGH HIGH LOW BUYER SELLER (PROJECT CONTROL) BUYER SELLER MORE LESS LESS MORE FFP = Firm Fixed PriceCS = Cost Sharing FFP/EPA = Firm Fixed PriceCR = Cost Reimbursement w/Economic Price AdjustmentsCPIF = Cost Plus Incentive Fee FPIF = Fixed Price Incentive FirmCPAF = Cost Plus Award Fee FPR = Fixed Price RedeterminableCPFF = Cost Plus Fixed Fee T&M = Time and MaterialsL/H = Labor Hour

7. EMIS 7307 7 Chapter 5 Design review general considerations: –Customer involvement not required in an FFP contract. From a SE perspective no less important! –Event driven. –All the lead-up work complete else postpone! –Should be a phase culminating event. –Actual event should be anticlimactic.

8. EMIS 7307 8 Chapter 5

9. EMIS 7307 9 Chapter 5 Figure 5.1 shows the author’s view of how design reviews, both formal and informal, fit into the process. Next slide shows a government view. Design reviews are gating functions. –Next phase doesn’t officially start until successful. Design reviews fit into a bigger review picture as depicted in the second slide from here.

10. EMIS 7307 10 Chapter 5

11. EMIS 7307 11 Chapter 5

12. EMIS 7307 12 Chapter 5 Informal reviews are the many “mini” reviews (discussions) without the senior management or customer. –This is where the work is done to make sure the various design teams are ready for the formal reviews.

13. EMIS 7307 13 Chapter 5 Formal reviews at the system level cover items like those listed in Figure 5.4. Typically every program has at least 3: –SRR –PDR –CDR Look at Figure 5.6 for an example of tracking TPMs through the review process.

14. EMIS 7307 14 Chapter 5 –Operational requirements –Draft A spec –Functional Analysis (block diagrams) –Feasibility analysis (trade study results) –Maintenance concept –SEMP –TEMP –Draft TPMs –Conceptual; design drawings –Output is baseline functional design –May consume as much as a week. Conceptual Design Review also called SDR or SRR includes:

15. EMIS 7307 15 Chapter 5 –Subsystems specs –Draft Assembly specs –“ilities reports” –TPM analyses –Engineering models/ prototypes –Lab test results presented –Supplier data –Allocated baseline –Test plans reviewed –May consume the equivalent of a weeks time for each subsystem –~15% of the production drawings available Preliminary Design Review (PDR) includes:

16. EMIS 7307 16 Chapter 5 –Evaluates all Cis –Evaluates product baseline –Prelude to actual building and coding of system –Product baseline –Test plans reviewed –May consume the equivalent of a weeks time for each assembly –~ 85% of the production drawings available Critical Design Review (CDR) includes:

17. EMIS 7307 17 Chapter 5 For PDRs and CDRs the formal events will necessarily be capstone or summary events. Action items are brought forward and results adjudicated. –From previous reviews. –From TIMs. Sometimes reviews are given a pass to continue design, with a  review scheduled to finish the review some time in the future. –  reviews are for a few specific action items.

18. EMIS 7307 18 Chapter 5 Whenever we have a baseline what happens? –For some good (?) reason someone wants to change it! Change control is a big issue from the beginning and gets bigger as time goes on. –More drawings that may need to change. –More drawings or products impacted if there is a change. Remember, change control is required because of changes!

19. EMIS 7307 19 Chapter 5 Configuration management comprises: –Identification –Control –Status accounting –Audits

20. EMIS 7307 20 Chapter 5 Identification –Selection of CIs. –Determine types of documentation. –Documenting the functional and physical characteristics. –Establish interface management procedures. –Issuing numbers and identifiers.

21. EMIS 7307 21 Chapter 5 Control –Engineering change proposals. Class 1- Form, fit, function changes. –Requires customer approval. Class 2 - All other changes. Configuration Control Board. –Request for deviation.

22. EMIS 7307 22 Chapter 5

23. EMIS 7307 23 Chapter 5

24. EMIS 7307 24 Chapter 5 Status accounting: –Lists of approved documents. –Status of proposed changes. –Implementation status. –Configuration of all units.

25. EMIS 7307 25 Chapter 5 Audits –Functional Configuration Audit (FCA) Verifies actual performance of each CI meets specification. –Physical Configuration Audit (PCA) Verifies as-built matches technical data package.

26. EMIS 7307 26 Chapter 5 Look at the 2 paragraphs near the bottom of page 245. –Another illustration that later is more costly.