1. Materiel Development Decision (MDD) to Milestone A Requirements Management Activities
July 12, 2016

2. Lesson Objective
Determine the key requirements management activities and the role of the ICD in support of the Materiel Development Decision (MDD), during the Materiel Solution Analysis (MSA) phase, and Milestone A.
Explain the inputs to the MDD
Explain the outputs from MDD -- decisions and approvals
Summarize the purpose, major activities, and links that take place during the MSA phase
Explain Milestone A decisions and approvals

3. Materiel Development Decision (MDD)
The MDD is mandatory for ALL programs, regardless of Acquisition Category (ACAT)
Development RFP Release
CDD Validation
FRP/FD A B C
MDD
ICD
Draft
CDD
CDD
CPD
Strategic Guidance
Joint Concepts
Capabilities - Based Assessment
Materiel
Solution Analysis
Engineering &
Manufacturing
Development
Production & Deployment
Operations & Support
Technology Maturation & Risk Reduction
Sustainment
Disposal
President
SECDEF
CJCS
Joint
Community
JCIDS
DAS
CDD: Capability Development Document
CPD: Capability Production Document
FRP/FD: Full-Rate Production/Full Deployment
ICD: Initial Capabilities Document
MDD: Materiel Development Decision
RFP: Request for Proposal

4. Pre-MDD Activities
CBA, or other study, results in a validated ICD recommending a materiel solution approach.
Approved Analysis of Alternatives (AoA) Study Guidance & AoA Study Plan.
Conduct Market Survey to inform the AoA on potential commercial-off-the-shelf (COTS) and non-developmental item (NDI) solutions.
Requirements sponsor works with Milestone Decision Authority’s (MDA) staff to ensure information is available to help the MDA make an informed decision on where to enter the acquisition process
Determines next phase and potential program model.
For ACAT I and IA programs, the Office of the Secretary of Defense (OSD), Director, Cost Assessment and Program Evaluation (CAPE) must approve the AoA Study Guidance and Plan. For other ACATs, Component policy applies.

5. MDD Inputs and Outputs Inputs: Outputs: Validated ICD
Initial Threat Environment Assessment (required for ACAT I and IA, optional for others)
Approved AoA Study Guidance and Study Plan
Market Survey results
Any Component analysis supporting preliminary conclusions to narrow range of alternatives
Plan to staff and fund actions leading to next decision point (usually Milestone A)
Tentative affordability, cost & inventory goals to scope AoA
Outputs:
Entry into the acquisition process
MDA’s Acquisition Decision Memorandum (ADM):
Designates lead DoD Component
Determines acquisition phase entry
Directs conduct of an AoA
Identifies initial review milestone
AoA Study Guidance and Study Plan (attached)

6. Materiel Solution Analysis Phase
MSA phase may include concept definition studies by industry to provide solutions to inform the AoA
Purpose: Conduct analysis and other activities to support a Milestone A decision
Appoint PM; establish program office
Conduct AoA
Prepare RFP for TMRR Phase: Acquisition Strategy (AS), Systems Engineering Plan (SEP), Test & Evaluation Master Plan (TEMP), Life Cycle Sustainment Plan (LCSP) and other milestone documents
Activities: Requirements Management
Ensure AoA reflects solution to satisfy the validated ICD; Support AoA briefing for FCB
Translate ICD operational attributes into performance attributes (KPP/KSA/APA)
Develop DRAFT CDD and Operational Mode Summary/Mission Profile (OMS/ MP)
Update CONOPS
Support PM with writing the AS, TEMP, SEP, LCSP and other milestone documents
Support initial estimates for Affordability Goals (constraints) and Life Cycle Cost

7. Example 1: Post-MDD Analysis, Single MOE
Which does not meet threshold?
Which meets threshold?
Which far exceeds threshold?
Which is close to threshold?
Which has the least cost risk?
Which has the most technical risk?
Which has the lowest overall risk?
Which has the most overall risk?

8. Example 2: Post-MDD Presentation
For more information on the AoA,
browse CLR 151

9. Milestone Documents and the RM
Milestone Documents the RM is responsible for, and must be coordinated with the program management office (PMO):
ICD, draft CDD, CDD and CPD
Concept of Operations (CONOPS)
Operational Mode Summary/Mission Profile (OMS/MP)
Milestone Documents the PMO should provide to & coordinate with the RM:
Acquisition Strategy (Market Research results at Milestone A)
Acquisition Program Baseline (APB)
Cyber Security Strategy
Reliability, Availability and Maintainability Cost Rationale (RAM-C) Report
Test and Evaluation Master Plan (TEMP)
Life Cycle Sustainment Plan (LCSP)
System Threat Assessment Report (STAR)
Technology Readiness Assessment (TRA) results (Milestone B – CDD entry); Manufacturing Readiness Assessment (MRA) results (Milestone C – CPD entry)
Cost Documents: PMO Life Cycle Cost Estimate, Component Cost Estimate (CCE), Should-Cost Estimates. MDAPs and MAIS: Component Cost Position (CCP), and Independent Cost Estimate (ICE); Affordability Analysis: Initial goals to inform the AoA: MDD; Production and Sustainment Goals: Milestone A; Production and Sustainment Caps: Milestones B and C.
Other: AoA Report; Acquisition Decision Memos (ADMs); Request for Proposal (RFP); Contract

10. Reliability Analysis Planning, Tracking, and Reporting
PM formulates a comprehensive Reliability and Maintainability (R&M) program in support of Milestone A.
Reliability growth curves are included in SEP at MS A, Development RFP Release Decision Point, and in the SEP and TEMP beginning at MS B.
For ACAT I programs, PM prepares a Reliability, Availability, Maintainability and Cost Rationale (RAM-C) Report:
Documents the quantitative basis for the elements of the sustainment KPP
Attached to the Systems Engineering Plan (SEP); updated in support of the Development RFP Release Decision Point, Milestone B, and Milestone C
Programs other than ACAT I develop RAM-C Reports IAW Component policy
See DoD Reliability, Availability, Maintainability, and Cost Rationale Report Manual, June 1, 2009 and Encl. 3, DoDI

11. Milestone A PM Presents: MDA Approves: Component Presents:
Acquisition Strategy (AS)
Business approach
Framing assumptions
Risk assessment
Should cost management targets
MDA Approves:
Materiel solution
Acquisition Strategy
Release of final RFP and source selection for TMRR contract(s)
Exit criteria to complete TMRR and Enter EMD.
10 USC Section 2366a Determination (ACAT I only)
ADM (with approved affordability goals)
Component Presents:
Affordability analysis and proposed affordability goals (production and sustainment costs)
Component Cost Estimate (CCE)
Evidence of Full funding in FYDP
A favorable Milestone A decision does not mean initiation of a new acquisition program – exception: ship programs

12. Title 10, Section 2366a (as revised by NDAA 2016)
§2366a. Major defense acquisition programs: determination required before Milestone A approval
(a) RESPONSIBILITIES.—Before granting Milestone A approval for a major defense acquisition program or a major subprogram, the milestone decision authority for the program or subprogram shall ensure that—
(1) information about the program or subprogram is sufficient to warrant entry of the program or subprogram into the risk reduction phase;
(2) the Secretary of the military department concerned and the Chief of the armed force concerned concur in the cost, schedule, technical feasibility, and performance trade-offs that have been made with regard to the program; and
(3) there are sound plans for progression of the program or subprogram to the development phase.
(b) WRITTEN DETERMINATION REQUIRED
MDA must submit the basis and determination to Congress (IF requested by any of the congressional defense committees…)

13. 10 USC 2366a Written Determination at Milestone A (with NDAA 2016 revisions)
The MDA certifies determines in writing, after consulting the Joint Requirements Oversight Council (JROC) on matters related to program requirements and military needs that:
(1) the program fulfills an approved initial capabilities document;
(2) the program is being executed by an entity with a relevant core competency function as identified by the Secretary of Defense; the program has been developed in light of appropriate market research;
(3) if the program duplicates a capability already provided by an existing system, the duplication provided by such program is necessary and appropriate;
(4) with respect to any identified areas of risk, there is a plan to reduce the risk;
(5) That a determination of applicability of core depot-level maintenance and repair capabilities requirements has been made; the planning for sustainment has been addressed and that a determination of applicability of core logistics capability requirements has been made
(6) an analysis of alternatives has been performed consistent with the study guidance developed by the Director of Cost Assessment and Program Evaluation;
(7) a cost estimate for the program has been submitted, with the concurrence of the Director of Cost Assessment and Program Evaluation, and the level of resources required to develop, procure, and sustain the program is consistent with the priority level assigned by the JROC sufficient for successful program execution; and,
(8) the program or subprogram meets any other considerations the milestone decision authority considers relevant.

14. Takeaway: ICD, AoA, draft CDD, & Contract(s) for TMRR Phase
Materiel
Development
Decision
Milestone A
Strategic Direction
Joint Concepts
CONOPS
Feedback from field
Cost Estimate & $$
Full Funding in FYDP
Component
approved
Final RFP
for TMRR
Phase
Contract(s)
Draft
CDD
ICD
SPECs
Preliminary
CBA
AoA
operational
attributes
MOEs/
MOPs
KPPs/
KSAs/APAs
TMRR
Materiel Solution Analysis Phase

15. Back Up

16. Useful Links: ADM - AT&L - AAS with AoA Guidance, 24 Aug 2009.pdf
Memo - JS, JROCM , KPP Relief, 23 Jan 2013.pdf
Briefing - DAS Evolution, Star Wars, 1971 to 2008, v3, Cochrane, Jan 2009.pps