SEFGuide 01-01

Introduction
Systems Engineering Fundamentals
SYSTEMS
ENGINEERING
FUNDAMENTALS
Student 6970503
Al Sierra
BECHTEL Corp.
January 2001
SUPPLEMENTARY TEXT
PREPARED BY THE
DEFENSE ACQUISITION UNIVERSITY PRESS
FORT BELVOIR, VIRGINIA 22060-5565
Introduction
ii
Introduction
TABLE OF
CONTENTS
PREFACE ............................................................................................................................................. iv
PART 1. INTRODUCTION
Chapter 1.
Introduction to Systems Engineering Management ............................................. 3
Chapter 2.
Systems Engineering Management in DoD Acquisition .................................... 11
PART 2. THE SYSTEMS ENGINEERING PROCESS

Chapter 3.
Systems Engineering Process Overview ............................................................ 31
Chapter 4.
Requirements Analysis ....................................................................................... 35
Chapter 5.
Functional Analysis and Allocation .................................................................... 45
Chapter 6.
Design Synthesis ................................................................................................ 57
Chapter 7.
Verification ......................................................................................................... 65
Chapter 8.
Systems Engineering Process Outputs ............................................................... 73
PART 3. SYSTEM ANALYSIS AND CONTROL

Chapter 9.
Work Breakdown Structure ................................................................................ 85
Chapter 10. Configuration Management ................................................................................ 91

Chapter 11. Technical Reviews and Audits ............................................................................ 99
Chapter 12. Trade Studies .................................................................................................... 111
Chapter 13. Modeling and Simulation ................................................................................. 117
Chapter 14. Metrics .............................................................................................................. 125
Chapter 15. Risk Management ............................................................................................. 133
PART 4. PLANNING, ORGANIZING, AND MANAGING
Chapter 16. Systems Engineering Planning ......................................................................... 147
Chapter 17. Product Improvement Strategies ...................................................................... 157
Chapter 18. Organizing and Integrating System Development ............................................ 171
Chapter 19. Contractual Considerations .............................................................................. 185
Chapter 20. Management Considerations and Summary ..................................................... 201
GLOSSARY ..................................................................................................................................... 209
iii
Introduction
PREFACE
This book provides a basic, conceptual-level description of engineering management disciplines that
relate to the development and life cycle management of a system. For the non-engineer it provides an
overview of how a system is developed. For the engineer and project manager it provides a basic framework
for planning and assessing system development.
Information in the book is from various sources, but a good portion is taken from lecture material developed for the two Systems Planning, Research, Development, and Engineering courses offered by the
Defense Acquisition University.
The book is divided into four parts: Introduction; Systems Engineering Process; Systems Analysis and
Control; and Planning, Organizing, and Managing. The first part introduces the basic concepts that
govern the systems engineering process and how those concepts fit the Department of Defense acquisition
process. Chapter 1 establishes the basic concept and introduces terms that will be used throughout the
book. The second chapter goes through a typical acquisition life cycle showing how systems engineering
supports acquisition decision making.
The second part introduces the systems engineering problem-solving process, and discusses in basic
terms some traditional techniques used in the process. An overview is given, and then the process of
requirements analysis, functional analysis and allocation, design synthesis, and verification is explained
in some detail. This part ends with a discussion of the documentation developed as the finished output of
the systems engineering process.
Part three discusses analysis and control tools that provide balance to the process. Key activities (such as
risk management, configuration management, and trade studies) that support and run parallel to the
system engineering process are identified and explained.
Part four discusses issues integral to the conduct of a systems engineering effort, from planning to
consideration of broader management issues.
In some chapters supplementary sections provide related material that shows common techniques or
policy-driven processes. These expand the basic conceptual discussion, but give the student a clearer
picture of what systems engineering means in a real acquisition environment.
iv
Chapter 1
Introduction to Systems Engineering
PART 1
INTRODUCTION
Chapter 1
Chapter 1
CHAPTER 1
INTRODUCTION TO
SYSTEMS ENGINEERING
MANAGEMENT
1.1 PURPOSE
499A, Engineering Management, 1 May 1974.

Now cancelled.)
The overall organization of this text is described

in the Preface. This chapter establishes some of
the basic premises that are expanded throughout
the book. Basic terms explained in this chapter are
the foundation for following definitions. Key systems engineering ideas and viewpoints are presented, starting with a definition of a system.
An interdisciplinary approach that encompasses

the entire technical effort, and evolves into and
verifies an integrated and life cycle balanced
set of system people, products, and process solutions that satisfy customer needs. (EIA Standard
IS-632, Systems Engineering, December 1994.)
An interdisciplinary, collaborative approach that
derives, evolves, and verifies a life-cycle balanced system solution which satisfies customer
expectations and meets public acceptability.
(IEEE P1220, Standard for Application and
Management of the Systems Engineering
Process, [Final Draft], 26 September 1994.)
1.2 DEFINITIONS
A System Is
Simply stated, a system is an integrated composite
of people, products, and processes that provide a
capability to satisfy a stated need or objective.
In summary, systems engineering is an interdisciplinary engineering management process that

evolves and verifies an integrated, life-cycle balanced set of system solutions that satisfy customer
needs.
Systems Engineering Is
Systems engineering consists of two significant
disciplines: the technical knowledge domain in
which the systems engineer operates, and systems
engineering management. This book focuses on
the process of systems engineering management.
Systems Engineering Management Is

As illustrated by Figure 1-1, systems engineering
management is accomplished by integrating three
major activities:
Three commonly used definitions of systems

engineering are provided by the best known technical standards that apply to this subject. They all
have a common theme:
Development phasing that controls the design

process and provides baselines that coordinate
design efforts,
A logical sequence of activities and decisions

that transforms an operational need into a description of system performance parameters and
a preferred system configuration. (MIL-STD-
A systems engineering process that provides

a structure for solving design problems and
Chapter 1
Development
Phasing
Baselines
Systems
Engineering
Management
Systems
Engineering
Process
Integrated
Teaming
Life Cycle
Planning
Life Cycle
Integration
Figure 1-1. Three Activities of Systems Engineering Management

The systems engineering process is the heart of
systems engineering management. Its purpose is
to provide a structured but flexible process that
transforms requirements into specifications, architectures, and configuration baselines. The discipline of this process provides the control and traceability to develop solutions that meet customer
needs. The systems engineering process may be
repeated one or more times during any phase of
the development process.
tracking requirements flow through the design

effort, and
Life cycle integration that involves customers
in the design process and ensures that the system
developed is viable throughout its life.
Each one of these activities is necessary to achieve
proper management of a development effort. Phasing has two major purposes: it controls the design
effort and is the major connection between the technical management effort and the overall acquisition effort. It controls the design effort by developing design baselines that govern each level of
development. It interfaces with acquisition management by providing key events in the development process, where design viability can be assessed. The viability of the baselines developed is
a major input for acquisition management Milestone (MS) decisions. As a result, the timing and
coordination between technical development
phasing and the acquisition schedule is critical to
maintain a healthy acquisition program.
Life cycle integration is necessary to ensure that

the design solution is viable throughout the life of
the system. It includes the planning associated with
product and process development, as well as the
integration of multiple functional concerns into the
design and engineering process. In this manner,
product cycle-times can be reduced, and the need
for redesign and rework substantially reduced.
1.3 DEVELOPMENT PHASING

Development usually progresses through distinct
levels or stages:
4
Chapter 1
descriptions, and the product baseline for the subsystem/component detail descriptions. Figure 1-2
shows the basic relationships between the baselines.
The triangles represent baseline control decision
points, and are usually referred to as technical reviews or audits.
Concept level, which produces a system concept

description (usually described in a concept
study);
System level, which produces a system description in performance requirement terms; and
Levels of Development Considerations
Subsystem/Component level, which produces

first a set of subsystem and component product
performance descriptions, then a set of
corresponding detailed descriptions of the
products characteristics, essential for their
production.
Significant development at any given level in the

system hierarchy should not occur until the configuration baselines at the higher levels are considered complete, stable, and controlled. Reviews
and audits are used to ensure that the baselines are
ready for the next level of development. As will be
shown in the next chapter, this review and audit
process also provides the necessary assessment of
system maturity, which supports the DoD
Milestone decision process.
The systems engineering process is applied to each

level of system development, one level at a time,
to produce these descriptions commonly called
configuration baselines. This results in a series of
configuration baselines, one at each development
level. These baselines become more detailed with
each level.
1.4 THE SYSTEMS ENGINEERING

PROCESS
In the Department of Defense (DoD) the configuration baselines are called the functional baseline
for the system-level description, the allocated
baseline for the subsystem/ component performance
The systems engineering process is a top-down

comprehensive, iterative and recursive problem
Concept Studies
DESIGN DEFINITION
System Definiiton
(Functional Baseline)
DESIGN DEFINITION
DESIGN DEFINITION
Figure 1-2. Development Phasing
Preliminary Design
(Allocated Baseline)
Detail Design
(Product Baseline)
Chapter 1
solving process, applied sequentially through all

stages of development, that is used to:
During the systems engineering process architectures are generated to better describe and understand the system. The word architecture is used
in various contexts in the general field of engineering. It is used as a general description of how
the subsystems join together to form the system. It
can also be a detailed description of an aspect of a
system: for example, the Operational, System, and
Technical Architectures used in Command, Control, Communications, Computers, Intelligence,
Surveillance, and Reconnaissance (C4ISR), and
software intensive developments. However, Systems Engineering Management as developed in
DoD recognizes three universally usable architectures that describe important aspects of the system:
functional, physical, and system architectures. This
book will focus on these architectures as necessary components of the systems engineering
process.
Transform needs and requirements into a set of

system product and process descriptions (adding value and more detail with each level of
development),
Generate information for decision makers, and
Provide input for the next level of development.
As illustrated by Figure 1-3, the fundamental systems engineering activities are Requirements
Analysis, Functional Analysis and Allocation, and
Design Synthesisall balanced by techniques and
tools collectively called System Analysis and Control. Systems engineering controls are used to track
decisions and requirements, maintain technical
baselines, manage interfaces, manage risks, track
cost and schedule, track technical performance,
verify requirements are met, and review/audit the
progress.
P
R
O
C
E
S
S
I
N
P
U
T
The Functional Architecture identifies and structures the allocated functional and performance
requirements. The Physical Architecture depicts the
System Analysis
and Control
(Balance)
Requirements
Analysis
Requirements
Loop
Functional Analysis
and Allocation
Design
Loop
Verification
Design Synthesis
PROCESS OUTPUT
Figure 1-3. The Systems Engineering Process
Chapter 1
system product by showing how it is broken down

into subsystems and components. The System
Architecture identifies all the products (including
enabling products) that are necessary to support
the system and, by implication, the processes
necessary for development, production/construction, deployment, operations, support, disposal,
training, and verification.
Technical specialty areas, such as safety, risk

management, quality, etc., or
When appropriate, business areas such as
finance, cost/budget analysis, and contracting.
Life Cycle Functions
Life cycle functions are the characteristic actions
associated with the system life cycle. As illustrated
by Figure 1-4, they are development, production
and construction, deployment (fielding), operation, support, disposal, training, and verification.
These activities cover the cradle to grave life
cycle process and are associated with major functional groups that provide essential support to the
life cycle process. These key life cycle functions
are commonly referred to as the eight primary
functions of systems engineering.
Life Cycle Integration

Life cycle integration is achieved through integrated developmentthat is, concurrent consideration of all life cycle needs during the development process. DoD policy requires integrated
development, called Integrated Product and Product Development (IPPD) in DoD, to be practiced
at all levels in the acquisition chain of command
as will be explained in the chapter on IPPD. Concurrent consideration of all life cycle needs can be
greatly enhanced through the use of interdisciplinary teams. These teams are often referred to as
Integrated Product Teams (IPTs).
The customers of the systems engineer perform

the life-cycle functions. The system users needs
are emphasized because their needs generate the
requirement for the system, but it must be remembered that all of the life-cycle functional areas
generate requirements for the systems engineering process once the user has established the basic
need. Those that perform the primary functions
also provide life-cycle representation in designlevel integrated teams.
The objective of an Integrated Product Team is to:

Produce a design solution that satisfies initially
defined requirements, and
Communicate that design solution clearly,
effectively, and in a timely manner.
Primary Function Definitions

Multi-functional, integrated teams:
Development includes the activities required to
evolve the system from customer needs to product
or process solutions.
Place balanced emphasis on product and process

development, and
Require early involvement of all disciplines
appropriate to the team task.
Manufacturing/Production/Construction includes the fabrication of engineering test models

and brass boards, low rate initial production,
full-rate production of systems and end items, or
the construction of large or unique systems or subsystems.
Design-level IPT members are chosen to meet the

team objectives and generally have distinctive competence in:
Technical management (systems engineering),
Deployment (Fielding) includes the activities necessary to initially deliver, transport, receive, process, assemble, install, checkout, train, operate,
house, store, or field the system to achieve full
operational capability.
Life cycle functional areas (eight primary

functions),
Disposal
Chapter 1
Training
Verification
Operation
Support
8 Primary
Life Cycle
Functions
Development
Deployment
Manufacturing/Production/
Construction
Figure 1-4. Primary Life Cycle Functions
Systems Engineering Considerations
Operation is the user function and includes

activities necessary to satisfy defined operational
objectives and tasks in peacetime and wartime
environments.
Systems engineering is a standardized, disciplined

management process for development of system
solutions that provides a constant approach to
system development in an environment of change
and uncertainty. It also provides for simultaneous
product and process development, as well as a
common basis for communication.
Support includes the activities necessary to provide operations support, maintenance, logistics,
and material management.
Disposal includes the activities necessary to ensure
that the disposal of decommissioned, destroyed,
or irreparable system components meets all
applicable regulations and directives.
Systems engineering ensures that the correct

technical tasks get done during development
through planning, tracking, and coordinating.
Responsibilities of systems engineers include:
Training includes the activities necessary to

achieve and maintain the knowledge and skill levels
necessary to efficiently and effectively perform
operations and support functions.
Development of a total system design solution

that balances cost, schedule, performance, and
risk,
Development and tracking of technical
information needed for decision making,
Verification includes the activities necessary to

evaluate progress and effectiveness of evolving
system products and processes, and to measure
specification compliance.
Verification that technical solutions satisfy

customer requirements,
Chapter 1
Development of a system that can be produced

economically and supported throughout the life
cycle,
tracking and verification problems software development entails. In a like manner, all technology
domains are expected to bring their own unique
needs to the process.
Development and monitoring of internal and

external interface compatibility of the system and subsystems using an open systems
approach,
This book provides a conceptual-level description

of systems engineering management. The specific
techniques, nomenclature, and recommended
methods are not meant to be prescriptive. Technical managers must tailor their systems engineering planning to meet their particular requirements
and constraints, environment, technical domain,
and schedule/budget situation.
Establishment of baselines and configuration

control, and
Proper focus and structure for system and major
sub-system level design IPTs.
However, the basic time-proven concepts inherent

in the systems engineering approach must be retained to provide continuity and control. For complex system designs, a full and documented understanding of what the system must do should
precede development of component performance
descriptions, which should precede component
detail descriptions. Though some parts of the system may be dictated as a constraint or interface, in
general, solving the design problem should start
with analyzing the requirements and determining
what the system has to do before physical alternatives are chosen. Configurations must be controlled
and risk must be managed.
1.5 GUIDANCE
DoD 5000.2-R establishes two fundamental
requirements for program management:
It requires that an Integrated Product and
Process approach be taken to design wherever
practicable, and
It requires that a disciplined systems engineering process be used to translate operational
needs and/or requirements into a system
solution.
Tailoring of this process has to be done carefully

to avoid the introduction of substantial unseen risk
and uncertainty. Without the control, coordination,
and traceability of systems engineering, an environment of uncertainty results which will lead to
surprises. Experience has shown that these
surprises almost invariably lead to significant
impacts to cost and schedule. Tailored processes
that reflect the general conceptual approach of this
book have been developed and adopted by professional societies, academia, industry associations,
government agencies, and major companies.
Tailoring the Process

System engineering is applied during all acquisition and support phases for large- and small-scale
systems, new developments or product improvements, and single and multiple procurements. The
process must be tailored for different needs and/or
requirements. Tailoring considerations include
system size and complexity, level of system
definition detail, scenarios and missions, constraints and requirements, technology base, major
risk factors, and organizational best practices and
strengths.
1.6 SUMMARY POINTS

For example, systems engineering of software
should follow the basic systems engineering
approach as presented in this book. However, it
must be tailored to accommodate the software
development environment, and the unique progress
Systems engineering management is a multifunctional process that integrates life cycle

functions, the systems engineering problemsolving process, and progressive baselining.
Chapter 1
The systems engineering process is a problem-solving process that drives the balanced
development of system products and processes.
Baseline phasing provides for an increasing

level of descriptive detail of the products and
processes with each application of the systems
engineering process.
Integrated Product Teams should apply the systems engineering process to develop a life cycle
balanced-design solution.
Baselining in a nut shell is a concept description that leads to a system definition which, in
turn, leads to component definitions, and then
to component designs, which finally lead to a
product.
The systems engineering process is applied to

each level of development, one level at a time.
Fundamental systems engineering activities are
Requirements Analysis, Functional Analysis/
Allocation, and Design Synthesis, all of which
are balanced by System Analysis and Control.
The output of each application of the systems

engineering process is a major input to the next
process application.
10
Chapter 2
Systems Engineering Management in DoD Acquisition
CHAPTER 2
SYSTEMS ENGINEERING
MANAGEMENT IN
DOD ACQUISITION
establish the broad responsibilities and ground
rules to be followed in funding and acquiring major
assets. The departments of the executive branch of
government are then expected to draft their own
guidance consistent with the guidelines established. The principal guidance for defense system
acquisitions is the DoD 5000 series of directives
and regulations. These documents reflect the
actions required of DoD acquisition managers to:
2.1 INTRODUCTION
The DoD acquisition process has its foundation in
federal policy and public law. The development,
acquisition, and operation of military systems is
governed by a multitude of public laws, formal
DoD directives, instructions and manuals, numerous Service and Component regulations, and many
inter-service and international agreements.
Managing the development and fielding of military systems requires three basic activities: technical management, business management, and contract management. As described in this book,
systems engineering management is the technical
management component of DoD acquisition
management.
Translate operational needs into stable,

affordable programs,
The acquisition process runs parallel to the requirements generation process and the budgeting process (Planning, Programming, and Budgeting System.) User requirements tend to be event driven
by threat. The budgeting process is date driven by
constraints of the Congressional calendar. Systems
Engineering Management bridges these processes
and must resolve the dichotomy of event driven
needs, event driven technology development, and
a calendar driven budget.
2.2 RECENT CHANGES
Acquire quality products, and

Organize for efficiency and effectiveness.
The DoD 5000 series documents were revised in

2000 to make the process more flexible, enabling
the delivery of advanced technology to warfighters
more rapidly and at reduced total ownership cost.
The new process encourages multiple entry points,
depending on the maturity of the fundamental technologies involved, and the use of evolutionary methods to define and develop systems. This encourages
a tailored approach to acquisition and engineering
management, but it does not alter the basic logic
of the underlying systems engineering process.
Direction and Guidance

The Office of Management and Budget (OMB)
provides top-level guidance for planning, budgeting, and acquisition in OMB Circular A-11, Part
3, and the Supplemental Capital Programming
Guide: Planning, Budgeting, and Acquisition of
Capital Assets, July 1997. These documents
2.3 ACQUISITION LIFE CYCLE

The revised acquisition process for major defense
systems is shown in Figure 2-1. The process is
11
Chapter 2
Process entry at
Milestones A, B, or C
(or within phases)
Milestones
Program outyear funding
when it makes sense, but
no later than Milestone B
Concept and
Technology
Development
Pre-Systems
Acquisition
MNS
IOC
System
Development and
Demonstration
Single Step or
Evolution
to Full Capacity
Production
and
Deployment
Systems Acquisition
(Engineering Development, Demonstration,
LRIP and Production)
Sustainment
and
Disposal
Sustainment
and
Maintenance
All validated by JROC
ORD
Relationship to Requirements Process
Figure 2-1. Revised DoD 5000 Acquisition Process
the Concept and Technology Development phase

is made formally at the Milestone A forum.
defined by a series of phases during which technology is defined and matured into viable concepts,
which are subsequently developed and readied for
production, after which the systems produced are
supported in the field.
The Concept and Technology Development

phase begins with concept exploration. During this
stage, concept studies are undertaken to define alternative concepts and to provide information about
capability and risk that would permit an objective
comparison of competing concepts. A decision
review is held after completion of the concept exploration activities. The purpose of this review is
to determine whether further technology development is required, or whether the system is ready to
enter into system acquisition. If the key technologies involved are reasonably mature and have already been demonstrated, the Milestone Decision
Authority (MDA) may agree to allow the system
to proceed into system acquisition; if not, the system may be directed into a component advanced
development stage. (See Supplement A to this
chapter for a definition of Technology Readiness
levels.) During this stage, system architecture definition will continue and key technologies will be
demonstrated in order to ensure that technical and
cost risks are understood and are at acceptable levels prior to entering acquisition. In any event, the
The process allows for a given system to enter the

process at any of the development phases. For example, a system using unproven technology would
enter at the beginning stages of the process and
would proceed through a lengthy period of technology maturation, while a system based on mature and proven technologies might enter directly
into engineering development or, conceivably, even
production. The process itself (Figure 2-1) includes
four phases of development. The first, Concept
and Technology Development, is intended to explore alternative concepts based on assessments
of operational needs, technology readiness, risk,
and affordability. Entry into this phase does not
imply that DoD has committed to a new acquisition program; rather, it is the initiation of a process to determine whether or not a need (typically
described in a Mission Need Statement (MNS))
can be met at reasonable levels of technical risk
and at affordable costs. The decision to enter into
12
Chapter 2
Concept and Technology Development phase ends

with a defined system architecture supported by
technologies that are at acceptable levels of maturity to justify entry into system acquisition.
the process is a function of technology maturity,

so the possibility exists that a system could enter
directly into this phase if it were sufficiently mature, for example, a commercial product to be produced for defense applications. However the entry
is madedirectly or through the maturation process described, the production readiness and LRIP
stage is where initial operational test, live fire test,
and low rate initial production are conducted. Upon
completion of the LRIP stage and following a
favorable Beyond LRIP test report, the system enters
the rate production and deployment stage during
which the item is produced and deployed to the
user. As the system is produced and deployed, the
final phase, Sustainment and Disposal, begins.
Formal system acquisition begins with a Milestone

B decision. The decision is based on an integrated
assessment of technology maturity, user requirements, and funding. A successful Milestone B is
followed by the System Development and Demonstration phase. This phase could be entered directly as a result of a technological opportunity
and urgent user need, as well as having come
through concept and technology development. The
System Development and Demonstration phase
consists of two stages of development, system
integration and system demonstration. Depending
upon the maturity level of the system, it could enter
at either stage, or the stages could be combined.
This is the phase during which the technologies,
components and subsystems defined earlier are first
integrated at the system level, and then demonstrated and tested. If the system has never been
integrated into a complete system, it will enter this
phase at the system integration stage. When subsystems have been integrated, prototypes demonstrated, and risks are considered acceptable, the
program will normally enter the system demonstration stage following an interim review by the
MDA to ensure readiness. The system demonstration stage is intended to demonstrate that the system
has operational utility consistent with the operational requirements. Engineering demonstration
models are developed and system level development testing and operational assessments are performed to ensure that the system performs as
required. These demonstrations are to be conducted
in environments that represent the eventual operational environments intended. Once a system has
been demonstrated in an operationally relevant
environment, it may enter the Production and
Deployment phase.
The last, and longest, phase is the Sustainment

and Disposal phase of the program. During this
phase all necessary activities are accomplished to
maintain and sustain the system in the field in the
most cost-effective manner possible. The scope of
activities is broad and includes everything from
maintenance and supply to safety, health, and environmental management. This period may also
include transition from contractor to organic support, if appropriate. During this phase, modifications and product improvements are usually implemented to update and maintain the required levels
of operational capability as technologies and threat
systems evolve. At the end of the system service
life it is disposed of in accordance with applicable
classified and environmental laws, regulations, and
directives. Disposal activities also include recycling, material recovery, salvage of reutilization,
and disposal of by-products from development and
production.
The key to this model of the acquisition process is
that programs have the flexibility to enter at any
of the first three phases described. The decision as
to where the program should enter the process is
primarily a function of user needs and technology
maturity. The MDA makes the decision for the
program in question. Program managers are
encouraged to work with their users to develop evolutionary acquisition strategies that will permit
deliveries of usable capabilities in as short a timeframe as possible, with improvements and enhancements added as needed through continuing
The Production and Deployment phase consists

of two stages: production readiness and low rate
initial production (LRIP), and rate production
and deployment. The decision forum for entry into
this phase is the Milestone C event. Again, the
fundamental issue as to where a program enters
13
Chapter 2
definition of requirements and development activities to support the evolving needs.
3. Characterize and manage technical risks.

4. Apply scientific and engineering principles to
identify security vulnerabilities and to minimize
or contain associated information assurance and
force protection risks.
2.4 SYSTEMS ENGINEERING

IN ACQUISITION
As required by DoD 5000.2-R, the systems
engineering process shall:
These objectives are accomplished with use of the

management concepts and techniques described in
the chapters which follow in this book. The application of systems engineering management coincides with acquisition phasing. In order to support
milestone decisions, major technical reviews are
conducted to evaluate system design maturity.
1. Transform operational needs and requirements

into an integrated system design solution
through concurrent consideration of all lifecycle needs (i.e., development, manufacturing,
test and evaluation, verification, deployment,
operations, support, training and disposal).
Concept and Technology Development
2. Ensure the compatibility, interoperability and

integration of all functional and physical interfaces and ensure that system definition and
design reflect the requirements for all system
elements: hardware, software, facilities, people,
and data; and
The Concept and Technology Development phase

consists of two pre-acquisition stages of development. The first, Concept Exploration, is represented in Figure 2-2. The exploration of concepts
is usually accomplished through multiple shortterm studies. Development of these studies is
Analysis of Alternatives
Operational Analysis
R&D Activities
MNS
Technology Opportunity
Assessments and Analysis
ORD Development
Preferred Concepts
Market Research
Technology
Opportunity
Assessments
Business Process
Reengineering
Technical Review
System Engineering Process

(System Architecting)
MS A
Decision
Review
Alternative Concepts Defined

Key Requirements Defined
Key Cost, Schedule, Performance
Objectives Established
Figure 2-2. Concept and Technology Development (Concept Exploration Stage)
14
Chapter 2
expected to employ various techniques including

the systems engineering process that translates
inputs into viable concept architectures whose
functionality can be traced to the requirements. In
addition, market surveys, Business Process Reengineering activities, operational analysis, and trade
studies support the process.
If the details of the concept require definition,

i.e., the system has yet to be designed and demonstrated previously, or the system appears to be
based on technologies that hold significant risk,
then it is likely that the system will proceed to the
second stage of the Concept and Technology
Development phase. This stage, Component
Advanced Development, is represented in Figure
2-3. This is also a pre-acquisition stage of development and is usually characterized by extensive
involvement of the DoD Science and Technology
(S&T) community. The fundamental objectives of
this stage of development are to define a systemlevel architecture and to accomplish risk-reduction
activities as required to establish confidence that
the building blocks of the system are sufficiently
well-defined, tested and demonstrated to provide
confidence that, when integrated into higher level
assemblies and subsystems, they will perform
reliably.
The primary inputs to these activities include

requirements, in form of the MNS, assessments of
technology opportunities and status, and the outputs from any efforts undertaken to explore potential solutions. When the contractor studies are
complete, a specific concept to be pursued is
selected based on a integrated assessment of technical performance; technical, schedule and cost
risk; as well as other relevant factors. A decision
review is then held to evaluate the concept recommended and the state of technology upon which
the concept depends. The MDA then makes a
decision as to whether the concept development
work needs to be extended or redirected, or whether
the technology maturity is such that the program
can proceed directly to either Mile-stone B (System
Development and Demonstration) or Milestone C
(Production and Deployment).
Development of a system-level architecture entails

continuing refinement of system level requirements
based on comparative analyses of the system concepts under consideration. It also requires that
consideration be given to the role that the system
Continued Concept Exploration

Activities As Appropriate
Advanced Concept Technology

Demonstration
Concept
System Architecture
Developed
Component Technology
Demonstrated
Systems Engineering Process

(System Architecture Developed)
Decision
Review
ORD Development
Figure 2-3. Concept and Technology Development

(Component Advanced Development Stage)
15
MS B
Chapter 2
will play in the system of systems of which it will

be a part. System level interfaces must be established. Communications and interoperability requirements must be established, data flows defined,
and operational concepts refined. Top level planning should also address the strategies that will be
employed to maintain the supportability and
affordability of the system over its life cycle
including the use of common interface standards
and open systems architectures. Important design
requirements such as interoperability, open systems, and the use of commercial components
should also be addressed during this stage of the
program.
and are mature enough to justify their use in a system design and development effort. The next stage
of the life cycle involves engineering development,
so research and development (R&D) activities
conducted within the science and technology
appropriations should be completed during this
stage.
System Development and Demonstration
The decision forum for entry into the System
Development and Demonstration (SD&D) phase
is the Milestone B event. Entry into this phase represents program initiation, the formal beginning
of a system acquisition effort. This is the government commitment to pursue the program. Entry
requires mature technology, validated requirements, and funding. At this point, the program requirement must be defined by an Operational Requirements Document (ORD). This phase consists
of two primary stages, system integration (Figure
2-4) and system demonstration (Figure 2-5).
Risk reduction activities such as modeling and

simulation, component testing, bench testing, and
man-in-the-loop testing are emphasized as decisions are made regarding the various technologies
that must be integrated to form the system. The
primary focus at this stage is to ensure that the key
technologies that represent the system components
(assemblies and sub-systems) are well understood
Approved Functional Baseline

Draft Allocated Baseline
System Level
Architecture
System Analysis
and Control
(Balance)
Requirements
Analysis
Requirements
Loop
Functional Analysis
and Allocation
ORD
Preliminary and
Detail Design
Efforts
Design
Loop
Verification
Design Synthesis
Previous
Phase
MS B
Requirements
Review
Tech
Review
IPR
Prototype
Demonstration
System Definition Effort
Preliminary Design Effort
Figure 2-4. System Development and Demonstration

(System Integration Stage)
16
Chapter 2
Approved Functional and Allocated Baseline
Functional
Baseline
Requirements
Requirements
Analysis
Analysis
SystemSystem
Analysis
Analysis
and Control
and Control
(Balance)
(Balance)
Requirements
Requirements
Loop Loop
ORD (Rev)
Draft Product
Baseline
Functional
Functional
Analysis
Analysis
Verification
Verification
Initial Product
Baseline
System System
AnalysisSystem
AnalysisAnalysis
Requirements
Requirementsand Control
Requirements
and Control
and Control
AnalysisAnalysisAnalysis
(Balance)
(Balance)
(Balance)
Requirements
Requirements
Requirements
Loop Loop Loop
Design Design
Loop Loop
Design Design
Synthesis
Synthesis
Production
Readiness
and
Design
Completion
Functional
Functional
Functional
AnalysisAnalysisAnalysis
Previous
Phase
Design Design Design

Loop Loop Loop
Verification
Verification
Verification
Design Synthesis
Design Synthesis
Design Synthesis
IPR
Technical Review
Design Reviews
System Demonstration
Preliminary Design Effort
Detail Design Effort
MS C
Figure 2-5. System Development and Demonstration

(System Demonstration Stage)
(one not previously defined and developed), this
stage will continue the work begun in the component advanced development stage, but the flavor
of the effort now becomes oriented to engineering
development, rather than the research-oriented
efforts that preceded this stage. A formal ORD,
technology assessments, and a high-level system
architecture have been established. (These will
form major inputs to the systems engineering
process.) The engineering focus becomes establishment and agreement on system level technical
requirements stated such that designs based on
those technical requirements will meet the intent
of the operational requirements. The system level
technical requirements are stabilized and documented in an approved system level requirements
specification. In addition, the system-level requirements baseline (functional baseline) is established.
This baseline is verified by development and
demonstration of prototypes that show that key
technologies can be integrated and that associated
risks are sufficiently low to justify developing the
system.
There is no hard and fast guidance that stipulates

precisely how the systems engineering process is
to intersect with the DoD acquisition process.
There are no specified technical events, e.g., DoD
designated technical reviews, that are to be accomplished during identified stages of the SD&D
phase. However, the results of a SD&D phase
should support a production go-ahead decision at
Milestone C. That being the case, the process
described below reflects a configuration control
approach that includes a system level design (functional baseline), final preliminary designs (allocated baselines), and detail designs (initial product baselines). Along with their associated documentation, they represent the systems engineering
products developed during SD&D that are most
likely needed to appropriately support Milestone C.
System Integration is that stage of SD&D that
applies to systems that have yet to achieve system
level design maturity as demonstrated by the integration of components at the system level in relevant environments. For an unprecedented system
17
Chapter 2
Program initiation signals the transition from an

S&T focus to management by the program office.
The R&D community, the users, and the program
office may have all been involved in defining the
concepts and technologies that will be key to the
system development. It is appropriate at this point,
therefore, to conduct a thorough requirements analysis and review to ensure that the user, the contractor, and the program office all hold a common view
of the requirements and to preserve the lessons
learned through the R&D efforts conducted in the
earlier phase. The risk at this point can be high,
because misunderstandings and errors regarding
system-level requirements will flow down to subsequent designs and can eventually result in overruns and even program failure. The contractor will
normally use the occasion of the system requirements review early in this stage to set the functional baseline that will govern the flow-down of
requirements to lower level items as preliminary
designs are elaborated.
the product or system. The product baseline is

drafted as the design is elaborated. This physical
description of the system may change as a result
of testing that will follow, but it forms the basis
for initial fabrication and demonstration of these
items. If the system has been previously designed
and fabricated, then, clearly, this process would
be curtailed to take advantage of work already
completed.
Following the elaboration of the detailed design,
components and subsystems are fabricated, integrated, and tested in a bottom-up approach until
system level engineering demonstration models are
developed. These demonstration models are not,
as a rule, production representative systems.
Rather, they are system demonstration models, or
integrated commercial items, that serve the purpose of enabling the developer to accomplish
development testing on the integrated system.
These models are often configured specifically to
enable testing of critical elements of the system,
for example, in the case of an aircraft development,
there may be separate engineering demonstration
models developed specifically to test the integrated
avionics subsystems, while others demonstrate the
flying qualities and flight controls subsystems.
The Interim Progress Review held between System Integration and System Demonstration has no
established agenda. The agenda is defined by the
MDA and can be flexible in its timing and content. Because of the flexibility built into the
acquisition process, not all programs will conform
to the model presented here. Programs may find
themselves in various stages of preliminary design
and detailed design as the program passes from
one stage of the SD&D phase to the succeeding
stage. With these caveats, System Demonstration
(Figure 2-5) is the stage of the SD&D phase during which preliminary and detailed designs are
elaborated, engineering demonstration models are
fabricated, and the system is demonstrated in
operationally relevant environments.
For purposes of making decisions relative to

progress through the acquisition process, these
system-level demonstrations are not intended to
be restricted to laboratory test and demonstrations.
They are expected to include rigorous demonstrations that the integrated system is capable of performing operationally useful tasks under conditions
that, while not necessarily equal to the rigor of
formal operational testing, represent the eventual
environment in which the system must perform.
The result of these demonstrations provide the
confidence required to convince the decisionmaker (MDA) that the system is ready to enter the
production phase of the life cycle. This implies
that the system has demonstrated not only that
technical performance is adequate, but also that
the affordability, supportability, and producibility
risks are sufficiently low to justify a production
decision.
System level requirements are flowed down to the

lower level items in the architecture and requirements are documented in the item performance
specifications, which represent the preliminary
design requirements for those items. The item performance specifications and supporting documentation, when finalized, together form the allocated
baseline for the system. Design then proceeds
toward the elaboration of a detailed design for
18
Chapter 2
Production Readiness and LRIP
Rate Production and Deployment
Establish Manufacturing Capability

Low Rate Initial Production
Initial Operational Test
and Live Fire Test
Full Rate Production
Deployment
Previous
Phase
System
Analysis
and Control
(Balance)
Requirements
Analysis
Requirements
Loop
Next
Phase
Functional Analysis
and Allocation
ORD
Design
Loop
Verification
Design Synthesis
Functional Configuration Audit
Physical Configuration Audit

Decision
Review
MS C
Figure 2-6. Production and Deployment
is also the means by which manufacturing rates

are ramped upward to the rates intended when
manufacturing is fully underway.
Production and Deployment

Milestone C is the decision forum for entry into
the Production and Deployment phase of the
program. Like other phases, this phase is also
divided into stages of development. Production
Readiness and LRIP is the first of these. At this
point, system-level demonstrations have been
accomplished and the product baseline is defined
(although it will be refined as a result of the activities undertaken during this phase). The effort is
now directed toward development of the manufacturing capability that will produce the product or
system under development. When a manufacturing capability is established, a LRIP effort begins.
Following the completion of formal testing, the

submission of required Beyond-LRIP and Live Fire
Test reports, and a full-rate production decision
by the MDA, the system enters the Rate Production
and Deployment stage. After the decision to go to
full-rate production, the systems engineering
process is used to refine the design to incorporate
findings of the independent operational testing,
direction from the MDA, and feedback from
deployment activities. Once configuration changes
have been made and incorporated into production,
and the configuration and production is considered stable, Follow-on Operational Test and Evaluation (FOT&E), if required, is typically performed
on the stable production system. Test results are
used to further refine the production configuration.
Once this has been accomplished and production
again becomes stable, detailed audits are held to
The development of a LRIP manufacturing capability has multiple purposes. The items produced
are used to proof and refine the production line
itself, items produced on this line are used for Initial Operational Test and Evaluation (IOT&E) and
Live Fire Test and Evaluation (LFT&E), and this
19
Chapter 2
confirm that the Product Baseline documentation

correctly describes the system being produced.
The Product Baseline is then put under formal
configuration control.
system transitions to the Sustainment and Disposal

phase of the system life cyclethe longest and
most expensive of all phases.
Sustainment and Disposal
As the system is produced, individual items are

delivered to the field units that will actually employ and use them in their military missions. Careful coordination and planning is essential to make
the deployment as smooth as possible. Integrated
planning is absolutely critical to ensure that the
training, equipment, and facilities that will be required to support the system, once deployed, are
in place as the system is delivered. The systems
engineering function during this activity is focused
on the integration of the functional specialties to
make certain that no critical omission has been
made that will render the system less effective than
it might otherwise be. Achieving the users required
initial operational capability (IOC) schedule demands careful attention to the details of the transition at this point. Furthermore, as the system is
delivered and operational capability achieved, the
There is no separate milestone decision required

for a program to enter this phase of the system life
cycle. The requirement for the Sustainment phase
is implicit in the decision to produce and deploy
the system. This phase overlaps the Production
phase. Systems Engineering activities in the
Sustainment phase are focused on maintaining
the systems performance capability relative to
the threat the system faces. If the military threat
changes or a technology opportunity emerges, then
the system may require modification. These
modifications must be approved at an appropriate
level for the particular change being considered.
The change then drives the initiation of new systems engineering processes, starting the cycle (or
parts of it) all over again.
Sustainment
Block
Modificati
ons
ang
Ch
g
ls
erin
ine oposa
g
n
E
Pr
Disposal
ments
equire
R
y
r
a
ion
Evolut evelopment
D
Test
Eval and
uati
on
System Analysis
and Control
(Balance)
Requirements
Analysis
Requirements
Loop
Production
Items
Functional Analysis
and Allocation
Design
Loop
Verification
Design Synthesis
Figure 2-7. Sustainment and Disposal
20
sal
Dispo
Chapter 2
Also, in an evolutionary development environment,

there will be a continuing effort to develop and
refine additional operational requirements based
on the experience of the user with the portion of
the system already delivered. As new requirements
are generated, a new development cycle begins,
with technology demonstrations, risk reduction,
system demonstrations and testingthe same cycle
just describedall tailored to the specific needs
and demands of the technology to be added to the
core system already delivered.
system, then the program definition and risk

reduction efforts could be adjusted appropriately.
It is the role of the system engineer to advise the
program manager of the recommended path that
the development should take, outlining the reasons
for that recommendation. The decision as to the
appropriate path through the process is actually
made by the MDA, normally based on the recommendation of the program manager. The process
must be tailored to the specific development, both
because it is good engineering and because it is
DoD policy as part of the Acquisition Reform initiative. But tailoring must done with the intent of
preserving the requirements traceability, baseline
control, lifecycle focus, maturity tracking, and
integration inherent in the systems engineering
approach. The validity of tailoring the process
should always be a risk management issue. Acquisition Reform issues will be addressed again in Part
IV of this text.
The final activity in the system life cycle is Disposal. System engineers plan for and conduct system disposal throughout the life cycle beginning
with concept development. System components
can require disposal because of decommissioning,
their destruction, or irreparable damage. In addition, processes and material used for development,
production, operation, or maintenance can raise
disposal issues throughout the life cycle. Disposal
must be done in accordance with applicable laws,
regulations, and directives that are continually
changing, usually to require more severe constraints. They mostly relate to security and environment issues that include recycling, material recovery, salvage, and disposal of by-products from
development and production.
2.5 SUMMARY POINTS

The development, acquisition, and operation of
military systems is governed by a multitude of
public laws, formal DoD directives, instructions
and manuals, numerous Service and Component regulations, and many inter-service and
international agreements.
Every Development is Different

The process described above is intended to be very
flexible in application. There is no typical system acquisition. The process is therefore defined
to accommodate a wide range of possibilities, from
systems that have been proven in commercial
applications and are being purchased for military
use, to systems that are designed and developed
essentially from scratch. The path that the system
development takes through the process will depend
primarily on the level of maturity of the technology employed. As explained in the preceding discussion, if the system design will rely significantly
on the use of proven or commercial items, then
process can be adjusted to allow the system to skip
phases, or move quickly from stage to stage within
phases. If the type of system is well understood
within the applicable technical domains, or it is an
advanced version of a current well understood
The system acquisition life cycle process is a

model used to guide the program manager through
the process of maturing technology based systems and readying them for production and
deployment to military users.
The acquisition process model is intended to
be flexible and to accommodate systems and
technologies of varying maturities. Systems
dependent on immature technologies will take
longer to develop and produce, while those that
employ mature technologies can proceed
through the process relatively quickly.
The system engineering effort is integrated into
the systems acquisition process such that the
activities associated with systems engineering
21
Chapter 2
(development of documentation, technical reviews, configuration management, etc.) support

and strengthen the acquisition process. The
challenge for the engineering manager is to
ensure that engineering activities are conducted
at appropriate points in the process to ensure

that the system has, in fact, achieved the levels
of maturity expected prior to progressing into
succeeding phases.
22
Chapter 2
SUPPLEMENT 2-A
TECHNOLOGY
READINESS LEVELS
Technology Readiness Level
Description
1. Basic principles observed

and reported.
Lowest level of technology readiness. Scientific research begins

to be translated into technologys basic properties.
2. Technology concept and/or

application formulated.
Invention begins. Once basic principles are observed, practical

applications can be invented. The application is speculative and
there is no proof or detailed analysis to support the assumption.
Examples are still limited to paper studies.
3. Analytical and experimental

critical function and/or characteristic proof of concept.
Active R&D is initiated. This includes analytical studies and

laboratory studies to physically validate analytical predictions
of separate elements of the technology. Examples include
components that are not yet integrated or representative.
4. Component and/or breadboard validation in laboratory environment.
Basic technological components are integrated to establish that

the pieces will work together. This is relatively low fidelity
compared to the eventual system. Examples include integration
of ad hoc hardware in a laboratory.
5. Component and/or breadboard validation in relevant

environment.
Fidelity of breadboard technology increases significantly. The

basic technological components are integrated with reasonably
realistic supporting elements so that the technology can be
tested in simulated environment. Examples include high
fidelity laboratory integration of components.
6. System/subsystem model or
prototype demonstration in a
relevant environment.
Representative model or prototype system, which is well beyond

the breadboard tested for level 5, is tested in a relevant environment. Represents a major step up in a technologys demonstrated readiness. Examples include testing a prototype in a high
fidelity laboratory environment or in a simulated operational
environment.
7. System prototype demonstration in an operational

environment.
Prototype near or at planned operational system. Represents a

major step up from level 6, requiring the demonstration of an
actual system prototype in an operational environment.
Examples include testing the prototype in a test bed aircraft.
(continued)
23
Technology Readiness Level
Chapter 2
Description
8. Actual system completed and Technology has been proven to work in its final form and under
qualified through test and
expected conditions. In almost all cases, this level represents the
demonstration.
end of true system development. Examples include developmental test and evaluation of the system in its intended weapon
system to determine if it meets design specifications.
9. Actual system proven
through successful mission
operations.
Actual application of the technology in its final form and under

mission conditions, such as those encountered in operational
test and evaluation. Examples include using the system under
operational mission conditions.
24
Chapter 2
SUPPLEMENT 2-B
EVOLUTIONARY ACQUISITION
CONSIDERATIONS
The evolutionary approach to defense acquisition
is the simple recognition that systems evolve as a
result of changing user needs, technological
opportunities, and knowledge gained in operation.
Evolutionary Acquisition is not new to military
systems. No naval ship in a class is the same; aircraft and vehicles have block changes designed to
improve the design; variants of systems perform
different missions; satellites have evolutionary
improvements between the first and last launched;
and due to fast evolving technology, computer
resources and software systems are in constant
evolution.
Requirements Analysis
General for the System
Specific for the Core
As shown by Figure 2-8, evolutionary acquisition

starts with the development and delivery of a core
capability. As knowledge is gained through system use and as technology changes, the system is
evolved to a more useful or effective product. At
the beginning of an evolutionary acquisition the
ultimate user need is understood in general terms,
but a core need that has immediate utility can be
well-defined. Because future events will affect the
eventual form of the product, the requirements can
not be fully defined at the program initiation. However, the evolutionary development must be accomplished in a management system that demands
Concept of Operations
Preliminary
System
Architecture
Define Develop Operationally Test > CORE

Refine and Update
Requirements
Define Develop Operationally Test > Block A

continue as required
Flexible/Incremental ORD, TEMP, etc.
Figure 2-8. Evolutionary Acquisition
25
User Feedback
Tech Opportunity
Evolving Threat
Chapter 2
requirements validation, fully funded budgets, and

rigorous review. In addition, the systems engineering function remains responsible for controlling
requirements traceability and configuration control in the absence of complete definition of all
requirements or final configurations. These constraints and concerns require the evolutionary
approach be accomplished in a manner such the
various concerns of users, developers, and managers are adequately addressed, while the risks
associated with these issues are mitigated.
System Engineering Concerns

Evolutionary acquisition will require incremental
and parallel development activities. These activities are developing evolutionary designs that
represent a modification as well as an evolved
system. The evolutionary upgrade is developed as
a modification, but the new evolved system must
be evaluated and verified as a system with new,
evolved requirements. This implies that, though
we can enter the acquisition process at any point,
the basic baselining process required by systems
engineering must somehow be satisfied for each
block upgrade to assure requirements traceability
and configuration control.
Acquisition Managment
Acquisition management requirements established
in the DoD 5000 documents and associated component regulations or instructions establish a series
of program-specific analyses, reports, and decision
documents that support the milestone decision process. In addition, prior to decision points in the
acquisition process, substantial coordination is required with an array of stakeholders. This process
is resource consuming but necessary to establish
the programs validity in the eyes of those responsible to approve the public resources committed
to the program.
As shown by Figure 2-9, incremental delivery of

capability can be the result of an evolutionary block
upgrade or be an incremental release of capability within the approved program (or current
evolutionary block) baseline. System engineering
is concerned with both. There is no check list approach to structure these relationships, but the following is presented to provide some general guidance in a difficult and complex area of acquisition
management planning and implementation.
Evolutionary acquisition, by its nature, represents

an acquisition within an acquisition. On one
level, the engineering manager is confronted with
the management and control of the system as it
progresses to its eventual final configuration, and,
on another level, there is the management and control of the modifications, or blocks, that are successively integrated into the system as they are
developed. The system has associated requirements, baselines, reviewsthe normal elements
of a system acquisition; however, each block also
has specified requirements, configuration, and
management activities. The challenge for technical management then becomes to ensure that good
technical management principles are applied to the
development of each block, while simultaneously
ensuring that the definition and control of requirements and baselines at the system level include
and accommodate the evolving architecture.
Evolutionary upgrades may be based on known

operational requirements where delivery of the
capability is incremental due to immediate operational need, continuing refinement of the product
baseline prior to full operational capability, and
pre-planned parallel developments. If the modification is only at the allocated or product baseline,
and the programs approved performance, cost, and
schedule is not impacted, then the system would
not necessarily require the management approvals
and milestones normal to the acquisition process.
In all cases, the key to maintaining a proper systems engineering effort is to assure that architectures and configuration baselines used for evolutionary development can be upgraded with minimal impact to documented and demonstrated configurations. The risk associated with this issue can
be significantly reduced through program planning
that addresses optimization of the acquisition
baseline and control of the evolving configuration.
26
Chapter 2
Core
B
C
Block A
B
C
Block B
Block A
Etc.
P3I
First Block A Release
(Related to Block A IOC)
Release
(Related to P3I)
Release 2
Release 3
Final Block A
Release
Figure 2-9. Incremental Release Within Evolutionary Blocks
Planning
Systems engineering planning should emphasize:
Evolutionary acquisition program planning must

clearly define how the core and evolutionary blocks
will be structured, including:
1. The openness and modularity of the design

of the core system architecture in order to
facilitate modification and upgrades,
1. A clear description of an operationally suitable

core system including identification of subsystems and components most likely to evolve.
2. How baseline documentation is structured to

improve flexibility for upgrade,
3. How evolutionary acquisition planning impacts
baseline development and documentation
control,
2. Establishment of a process for obtaining, evaluating and integrating operational feedback,

technology advancements, and emerging
commercial products.
4. How technical reviews will be structured to best

support the acquisition decision points, and
3. Planning for evolutionary block upgrade evaluation, requirements validation, and program
initiation.
5. How risk management will monitor and control the management and technical complexity
introduced by evolutionary development.
4. Description of the management approach for

evolutionary upgrades within a block and the
constraints and controls associated with
incremental delivery of capability.
The basic system architecture should be designed

to accommodate change. Techniques such as open
architecting, functional partitioning, modular
design, and open system design (all described later
in this book) are key to planning for a flexible
system that can be easily and affordably modified.
5. Risk analysis of the developmental approach,

both technical and managerial.
27
Chapter 2
Notional Example of Evolutionary MAIS Acquisition Relationships

Acquisition
Program
Level
Acquisition
Documentation
Required
Baseline
CM Authority
Major Program
or
Business Area
Capstone or
Sub-Portfolio
Capstone
Acquisition
Documentaion
Top Level
Functional
Baseline
PMO
Core and
Evolutionary
Blocks
Build or Block
of
Major Program
Acquisition
Program
Full
Program
Documentation
Cumulative
Functional and
Allocated
Baseline
PMO with
Contractor
Support
Incremental
Delivery of
Capability
Release or
Version
of Block
Internal to
Acquisition
Program
Separate
Acquisition
Documentation
Not Required
Product
Baseline
Contractor
(Must Meet
Allocated
Basleine)
Associated
Product
Improvements
Application
or
Bridge
Parallel Product
Improvement
(Less than MAIS)
Component or
Lower Decision
Level Acquisition
Processing
Functional,
Allocated, and
Product Baselines
PMO/Contractor
Characterization
System Level
Overall Need
Table 2-1. Evolutionary Acquisition Relationships
Example
Summary
Table 2-1 illustrates some of the relationships discussed above as it might apply to a Major Automated Information System (MAIS) program. Due
to the nature of complex software development, a
MAIS acquisition inevitably will be an evolutionary acquisition. In the notional MAIS shown in
the table, management control is primarily defined
for capstone, program, subsystem or incremental
delivery, and supporting program levels. The table
provides relationships showing how key acquisition and system engineering activities correlate in
the evolutionary environment. Probably the most
important lesson of Table 2-1 is that these relationships are complex and if they are not planned
for properly, they will present a significant risk to
the program.
Acquisition oversight is directly related to the

performance, cost, and schedule defined in the
acquisition baseline. It establishes the approved
scope of the developmental effort. Evolutionary
development that exceeds the boundaries established by the acquisition baseline requires a new
or revised acquisition review process with additional oversight requirements. The development
and approval of the ORD and Acquisition Program
Baseline are key activities that must structure an
evolutionary process that provides user and oversight needs, budgetary control, requirements
traceability, risk mitigation, and configuration
management.
28
Chapter 3
Systems Engineering Process Overview
PART 2
THE
SYSTEMS
ENGINEERING
PROCESS
29
Chapter 3
30
Chapter 3
CHAPTER 3
SYSTEMS ENGINEERING
PROCESS OVERVIEW
3.1 THE PROCESS
definition with each level of development. As

shown by Figure 3-1, the process includes: inputs
and outputs; requirements analysis; functional
analysis and allocation; requirements loop;
synthesis; design loop; verification; and system
analysis and control.
The Systems Engineering Process (SEP) is a

comprehensive, iterative and recursive problem
solving process, applied sequentially top-down by
integrated teams. It transforms needs and requirements into a set of system product and process
descriptions, generate information for decision
makers, and provides input for the next level of
development. The process is applied sequentially,
one level at a time, adding additional detail and
Systems Engineering Process Inputs

Inputs consist primarily of the customers needs,
objectives, requirements and project constraints.
Process Input
Customer Needs/Objectives/
Requirements
Missions
Measures of Effectiveness
Environments
Constraints
Technology Base
Output Requirements from Prior
Development Effort
Program Decision Requirements
Requirements Applied Through
Specifications and Standards
System Analysis
and Control
(Balance)
Analyze Missions and Environments
Identify Functional Requirements
Define/Refine Performance and Design
Constraint Requirements
Requirements Loop
Functional Analysis/Allocation
Decompose to Lower-Level Functions
Allocate Performance and Other Limiting Requirements
to All Functional Levels
Define/Refine Functional Interfaces (Internal/External)
Define/Refine/Integrate Functional Architecture
Trade-Off Studies
Effectiveness Analyses
Risk Management
Configuration Management
Interface Management
Data Management
Perfromance Measurement
SEMS
TPM
Technical Reviews
Design Loop
Synthesis
Verification
Transform Architectures (Functional to Physical)

Define Alternative System Concepts, Configuration
Items and System Elements
Select Preferred Product and Process Solutions
Define/Refine Physical Interfaces (Internal/External)
Related Terms:
Process Output
Customer = Organizations responsible for Primary Functions

Primary Functions = Development, Production/Construction, Verification,
Deployment, Operations, Support, Training, Disposal
Systems Elements = Hardware, Software, Personnel, Facilities, Data, Material,
Services, Techniques
Development Level Dependent

Decision Database
System/Configuration Item
Architecture
Specifications and Baselines
Figure 3-1. The Systems Engineering Process
31
Chapter 3
Inputs can include, but are not restricted to, missions, measures of effectiveness, environments,
available technology base, output requirements
from prior application of the systems engineering
process, program decision requirements, and
requirements based on corporate knowledge.
Block Diagrams, Time Line Analysis, and the

Requirements Allocation Sheet.
Requirements Loop
Performance of the functional analysis and allocation results in a better understanding of the
requirements and should prompt reconsideration
of the requirements analysis. Each function identified should be traceable back to a requirement.
This iterative process of revisiting requirements
analysis as a result of functional analysis and
allocation is referred to as the requirements loop.
The first step of the Systems Engineering Process
is to analyze the process inputs. Requirements analysis is used to develop functional and performance
requirements; that is, customer requirements are
translated into a set of requirements that define
what the system must do and how well it must perform. The systems engineer must ensure that the
requirements are understandable, unambiguous,
comprehensive, complete, and concise.
Design Synthesis
Design synthesis is the process of defining the
product or item in terms of the physical and software elements which together make up and define
the item. The result is often referred to as the physical architecture. Each part must meet at least one
functional requirement, and any part may support
many functions. The physical architecture is the
basic structure for generating the specifications and
baselines.
Requirements analysis must clarify and define

functional requirements and design constraints.
Functional requirements define quantity (how
many), quality (how good), coverage (how far),
time lines (when and how long), and availability
(how often). Design constraints define those factors that limit design flexibility, such as: environmental conditions or limits; defense against internal or external threats; and contract, customer or
regulatory standards.
Design Loop
Similar to the requirements loop described above,
the design loop is the process of revisiting the functional architecture to verify that the physical design
synthesized can perform the required functions at
required levels of performance. The design loop
permits reconsideration of how the system will
perform its mission, and this helps optimize the
synthesized design.
Functional Analysis/Allocation
Functions are analyzed by decomposing higherlevel functions identified through requirements
analysis into lower-level functions. The performance requirements associated with the higher
level are allocated to lower functions. The result is
a description of the product or item in terms of
what it does logically and in terms of the performance required. This description is often called
the functional architecture of the product or item.
Functional analysis and allocation allows for a better understanding of what the system has to do, in
what ways it can do it, and to some extent, the
priorities and conflicts associated with lower-level
functions. It provides information essential to
optimizing physical solutions. Key tools in functional analysis and allocation are Functional Flow
Verification
For each application of the system engineering
process, the solution will be compared to the requirements. This part of the process is called the
verification loop, or more commonly, Verification.
Each requirement at each level of development
must be verifiable. Baseline documentation developed during the systems engineering process must
establish the method of verification for each
requirement.
32
Chapter 3
Appropriate methods of verification include

examination, demonstration, analysis (including
modeling and simulation), and testing. Formal test
and evaluation (both developmental and operational) are important contributors to the verification
of systems.
Traceability from systems engineering process

inputs to outputs is maintained,
Schedules for development and delivery are
mutually supportive,
Required technical disciplines are integrated
into the systems engineering effort,
Systems Analysis and Control

Systems Analysis and Control include technical
management activities required to measure
progress, evaluate and select alternatives, and document data and decisions. These activities apply to
all steps of the sysems engineering process.
Impacts of customer requirements on resulting

functional and performance requirements are
examined for validity, consistency, desirability,
and attainability, and,
Product and process design requirements are
directly traceable to the functional and performance requirements they were designed to
fulfill, and vice versa.
System analysis activities include trade-off studies, effectiveness analyses, and design analyses.
They evaluate alternative approaches to satisfy
technical requirements and program objectives, and
provide a rigorous quantitative basis for selecting
performance, functional, and design requirements.
Tools used to provide input to analysis activities
include modeling, simulation, experimentation,
and test.
Systems Engineering Process Output

Process output is dependent on the level of development. It will include the decision database, the
system or configuration item architecture, and the
baselines, including specifications, appropriate to
the phase of development. In general, it is any data
that describes or controls the product configuration or the processes necessary to develop that
product.
Control activities include risk management, configuration management, data management, and
performance-based progress measurement including event-based scheduling, Technical Performance Measurement (TPM), and technical
reviews.
The purpose of Systems Analysis and Control is
to ensure that:
3.2 SUMMARY POINTS

The system engineering process is the engine
that drives the balanced development of system products and processes applied to each level
of development, one level at a time.
Solution alternative decisions are made only

after evaluating the impact on system effectiveness, life cycle resources, risk, and customer
requirements,
The process provides an increasing level of

descriptive detail of products and processes with
each system engineering process application.
The output of each application is the input to
the next process application.
Technical decisions and specification requirements are based on systems engineering

outputs,
33
Chapter 3
34
Chapter 4
CHAPTER 4
REQUIREMENTS
ANALYSIS
4.1 SYSTEMS ENGINEERING PROCESS
INPUTS
the constraints. They eventually must be verified

to meet both the requirements and constraints.
The inputs to the process include the customers

requirements and the project constraints. Requirements relate directly to the performance characteristics of the system being designed. They are
the stated life-cycle customer needs and objectives
for the system, and they relate to how well the
system will work in its intended environment.
Types of Requirements
Requirements are categorized in several ways. The
following are common categorizations of requirements that relate to technical management:
Customer Requirements: Statements of fact and
assumptions that define the expectations of the
system in terms of mission objectives, environment, constraints, and measures of effectiveness
and suitability (MOE/MOS). The customers are
those that perform the eight primary functions of
systems engineering (Chapter 1), with special
emphasis on the operator as the key customer.
Operational requirements will define the basic need
and, at a minimum, answer the questions posed in
Figure 4-1.
Constraints are conditions that exist because of

limitations imposed by external interfaces, project
support, technology, or life cycle support systems.
Constraints bound the development teams design
opportunities.
Requirements are the primary focus in the systems
engineering process because the processs primary
purpose is to transform the requirements into designs. The process develops these designs within
Operational distribution or deployment: Where will the system be used?

Mission profile or scenario: How will the system accomplish its mission objective?
Performance and related parameters: What are the critical system parameters to accomplish the mission?
Utilization environments: How are the various system components to be used?
Effectiveness requirements: How effective or efficient must the system be in performing its
mission?
Operational life cycle: How long will the system be in use by the user?
Environment: What environments will the system be expected to operate in an effective
manner?
Figure 4-1. Operational Requirements Basic Questions
35
Chapter 4
Functional Requirements: The necessary task,

action or activity that must be accomplished. Functional (what has to be done) requirements identified
in requirements analysis will be used as the toplevel functions for functional analysis.
It must be verifiablethat is, not defined by

words such as excessive, sufficient, resistant,
etc. The expected performance and functional
utility must be expressed in a manner that
allows verification to be objective, preferably
quantitative.
Performance Requirements: The extent to which

a mission or function must be executed; generally
measured in terms of quantity, quality, coverage,
timeliness or readiness. During requirements analysis, performance (how well does it have to be done)
requirements will be interactively developed across
all identified functions based on system life cycle
factors; and characterized in terms of the degree
of certainty in their estimate, the degree of criticality to system success, and their relationship to
other requirements.
A requirement must be unambiguous. It must

have but one possible meaning.
It must be complete and contain all mission
profiles, operational and maintenance concepts,
utilization environments and constraints. All
information necessary to understand the
customers need must be there.
It must be expressed in terms of need, not
solution; that is, it should address the why
and what of the need, not how to do it.
Design Requirements: The build to, code to,

and buy to requirements for products and how
to execute requirements for processes expressed
in technical data packages and technical manuals.
It must be consistent with other requirements.

Conflicts must be resolved up front.
Derived Requirements: Requirements that are

implied or transformed from higher-level requirement. For example, a requirement for long range
or high speed may result in a design requirement
for low weight.
It must be appropriate for the level of system

hierarchy. It should not be too detailed that it
constrains solutions for the current level of
design. For example, detailed requirements
relating to components would not normally be
in a system-level specification.
Allocated Requirements: A requirement that is

established by dividing or otherwise allocating a
high-level requirement into multiple lower-level
requirements. Example: A 100-pound item that
consists of two subsystems might result in weight
requirements of 70 pounds and 30 pounds for the
two lower-level items.
4.2 REQUIREMENTS ANALYSIS

Requirements analysis involves defining customer
needs and objectives in the context of planned
customer use, environments, and identified system characteristics to determine requirements
for system functions. Prior analyses are reviewed
and updated, refining mission and environment
definitions to support system definition.
Attributes of Good Requirements

The attributes of good requirements include the
following:
Requirements analysis is conducted iteratively with

functional analysis to optimize performance
requirements for identified functions, and to
verify that synthesized solutions can satisfy customer requirements. The purpose of Requirements
Analysis is to:
A requirement must be achievable. It must

reflect need or objective for which a solution is
technically achievable at costs considered
affordable.
36
Chapter 4
analysis is fundamental to successful design

definition.
Refine customer objectives and requirements;

Define initial performance objectives and refine
them into requirements;
Inputs
Typical inputs include customer needs and objectives, missions, MOE/MOS, environments, key
performance parameters (KPPs), technology base,
output requirements from prior application of SEP,
program decision requirements, and suitability
requirements. (See Figure 4-2 for additional
considerations.)
Identify and define constraints that limit

solutions; and
Define functional and performance requirements based on customer provided measures
of effectiveness.
In general, Requirements Analysis should result
in a clear understanding of:
Input requirements must be comprehensive and

defined for both system products and system processes such as development, manufacturing, verification, deployment, operations, support, training
and disposal (eight primary functions).
Functions: What the system has to do,

Performance: How well the functions have to
be performed,
Role of Integrated Teams

Interfaces: Environment in which the system
will perform, and
The operator customers have expertise in the

operational employment of the product or item
being developed. The developers (government and
contractor) are not necessarily competent in the
operational aspects of the system under development. Typically, the operators need is neither
clearly nor completely expressed in a way directly
Other requirements and constraints.

The understandings that come from requirements
analysis establish the basis for the functional and
physical designs to follow. Good requirements
Inputs converted to putputs:

Customer requirements
Mission and MOEs (MNS, ORD)
Maintenance concept and other life-cycle function
planning
SE outputs from prior development efforts
Controls:
Laws and organizational policies and procedures
Military specific requirements
Utilization environments
Inputs
Tech base and other constraints
Transformed
into Outputs
Enablers:
Multi-disciplinary product teams
Decision and requirements database including
system/configuration item descriptions from prior
efforts
System analysis and control
Controls
Requirements
Analysis
Enablers
Figure 4-2. Inputs to Requirements Analysis
37
Outputs
Chapter 4
usable by developers. It is unlikely that developers will receive a well-defined problem from which
they can develop the system specification. Thus,
teamwork is necessary to understand the
problem and to analyze the need. It is imperative
that customers are part of the definition team.
What will be the final form of the product: such

as model, prototype, or mass production?
This list can start the critical, inquisitive outlook
necessary to analyze requirements, but it is only
the beginning. A tailored process similar to the
one at the end of this chapter must be developed
to produce the necessary requirements analysis
outputs.
On the other hand, customers often find it easier

to describe a system that attempts to solve the problem rather than to describe the problem itself.
Although these solutions may be workable to
some extent, the optimum solution is obtained
through a proper technical development effort
that properly balances the various customer mission objectives, functions, MOE/MOS, and constraints. An integrated approach to product and
process development will balance the analysis of
requirements by providing understanding and
accommodation among the eight primary functions.
4.3 REQUIREMENTS ANALYSIS

OUTPUTS
The requirements that result from requirements
analysis are typically expressed from one of three
perspectives or views. These have been described
as the Operational, Functional, and Physical views.
All three are necessary and must be coordinated
to fully understand the customers needs and
objectives. All three are documented in the decision
database.
Requirements Analysis Questions

Requirements Analysis is a process of inquiry and
resolution. The following are typical questions that
can initiate the thought process:
Operational View
The Operational View addresses how the system
will serve its users. It is useful when establishing
requirements of how well and under what condition. Operational view information should be
documented in an operational concept document
that identifies:
What are the reasons behind the system

development?
What are the customer expectations?
Who are the users and how do they intend to
use the product?
Operational need definition,
What do the users expect of the product?
System mission analysis,
What is their level of expertise?
Operational sequences,
With what environmental characteristics must

the system comply?
Operational environments,
Conditions/events to which a system must
respond,
What are existing and planned interfaces?

What functions will the system perform,
expressed in customer language?
Operational constraints on system,

Mission performance requirements,
What are the constraints (hardware, software,

economic, procedural) to which the system must
comply?
User and maintainer roles (defined by job tasks

and skill requirements or constraints),
38
Chapter 4
Structure of the organizations that will operate,

support and maintain the system, and
Physical View
The Physical View focuses on HOW the system is
constructed. It is key to establishing the physical
interfaces among operators and equipment, and
technology requirements. Physical View
information would normally include:
Operational interfaces with other systems.

Analyzing requirements requires understanding
the operational and other life cycle needs and
constraints.
Configuration of System:
Interface descriptions,
Characteristics of information displays and
operator controls,
Relationships of operators to system/
physical equipment, and
Operator skills and levels required to
perform assigned functions.
Functional View
The Functional View focuses on WHAT the system must do to produce the required operational
behavior. It includes required inputs, outputs,
states, and transformation rules. The functional
requirements, in combination with the physical
requirements shown below, are the primary sources
of the requirements that will eventually be reflected
in the system specification. Functional View
information includes:
Characterization of Users:
Handicaps (special operating environments),
and
Constraints (movement or visual limitations).
System functions,
System performance,
Qualitative how well
Quantitative how much, capacity
Timeliness how often
System Physical Limitations:

Physical limitations (capacity, power, size,
weight),
Technology limitations (range, precision,
data rates, frequency, language),
Government Furinished Equipment (GFE),
Commercial-Off-the-Shelf (COTS),
Nondevelopmental Item (NDI), reusability
requirements, and
Necessary or directed standards.
Tasks or actions to be performed,

Inter-function relationships,
Hardware and software functional relationships,
Performance constraints,
4.4 SUMMARY POINTS

Interface requirements including identification
of potential open-system opportunities (potential standards that could promote open systems
should be identified),
An initial statement of a need is seldom defined

clearly.
Unique hardware or software, and
A significant amount of collaboration between

various life cycle customers is necessary to
produce an acceptable requirements document.
Verification requirements (to include inspection,

analysis/simulation, demo, and test).
Requirements are a statement of the problem

to be solved. Unconstrained and nonintegrated requirements are seldom sufficient for
designing a solution.
39
Chapter 4
Because requirements from different customers will conflict, constraints will limit options,
and resources are not unlimited; trade studies
must be accomplished in order to select a balanced set of requirements that provide feasible
solutions to customer needs.
40
Chapter 4
SUPPLEMENT 4-A
A PROCEDURE FOR
REQUIREMENTS ANALYSIS
The following section provides a list of tasks that
represents a plan to analyze requirements. Part of
this notional process is based on the 15 requirements analysis tasks listed in IEEE P1220. This
industry standard and others should be consulted
when preparing engineering activities to help
identify and structure appropriate activities.
requirements for future reference. It is the primary

means for maintaining requirements traceability.
This database decision management system must
be developed or the existing system must be
reviewed and upgraded as necessary to accommodate the new stage of product development. A key
part of this database management system is a
Requirements Traceability Matrix that maps requirements to subsystems, configuration items, and
functional areas.
As with all techniques, the student should be careful to tailor; that is, add or subtract, as suits the
particular system being developed. Additionally,
these tasks, though they build on each other, should
not be considered purely sequential. Every task
contributes understanding that may cause a need
to revisit previous task decisions. This is the nature
of all System Engineering activities.
This must be developed, updated, and reissued on

a regular basis. All requirements must be recorded.
Remember: If it is not recorded, it cannot be an
approved requirement!
The 15 Tasks of IEEE P1220
Preparation: Establish and

Maintain Decision Database
The IEEE Systems Engineering Standard offers a

process for performing Requirements Analysis that
comprehensively identifies the important tasks that
must be performed. These 15 task areas to be analyzed follow and are shown in Figure 4-3.
When beginning a systems engineering process,

be sure that a system is in place to record and manage the decision database. The decision database
is an historical database of technical decisions and
1. Customer expectations
9. LIfe cycle
2. Project and enterprise constraints
10. Functional requirements
3. External constraints
11. Performance requirements
4. Operational scenarios
12. Modes of operation
5. Measure of effectiveness (MOEs)
13. Technical performance measures
6. System boundaries
14. Physical characteristics
7. Interfaces
15. Human systems integration
8. Utilization environments
Figure 4-3. IEEE P1220 Requirements Analysis Task Areas
41
Chapter 4
Task 1. Customer Expectations
Physical, financial, and human resource

allocations to the project.
Define and quantify customer expectations. They

may come from any of the eight primary functions,
operational requirements documents, mission
needs, technology-based opportunity, direct communications with customer, or requirements from
a higher system level. The purpose of this task is
to determine what the customer wants the system
to accomplish, and how well each function must
be accomplished. This should include natural and
induced environments in which the product(s) of
the system must operate or be used, and constraints
(e.g. funding, cost, or price objectives, schedule,
technology, nondevelopmental and reusable items,
physical characteristics, hours of operation per day,
on-off sequences, etc.).
Task 3. External Constraints

Identify and define external constraints impacting
design solutions or implementation of the Systems
Engineering Process activities. External constraints
can include:
Public and international laws and regulations,
Technology base,
Compliance requirements: industry, international, and other general specifications, standards, and guidelines which require compliance
for legal, interoperability, or other reasons,
Task 2. Project and Enterprise Constraints

Threat system capabilities, and
Identify and define constraints impacting design
solutions. Project specific constraints can include:
Capabilities of interfacing systems.
Approved specifications and baselines developed from prior applications of the Systems
Engineering Process,
Task 4. Operational Scenarios

Identify and define operational scenarios that scope
the anticipated uses of system product(s). For each
operational scenario, define expected:
Costs,
Updated technical and project plans,
Interactions with the environment and other

systems, and
Team assignments and structure,

Physical interconnectivities with interfacing
systems, platforms, or products.
Control mechanisms, and

Required metrics for measuring progress.
Task 5. Measures of Effectiveness and

Suitability (MOE/MOS)
Enterprise constraints can include:

Identify and define systems effectiveness measures
that reflect overall customer expectations and
satisfaction. MOEs are related to how well the
system must perform the customers mission. Key
MOEs include mission performance, safety, operability, reliability, etc. MOSs are related to how
well the system performs in its intended environment and includes measures of supportability,
maintainability, ease of use, etc.
Management decisions from a preceding

technical review,
Enterprise general specifications,
Standards or guidelines,
Policies and procedures,
Domain technologies, and
42
Chapter 4
Task 6. System Boundaries
Biological (e.g., animal, insects, birds, fungi),
Define system boundaries including:
Time (e.g., dawn, day, night, dusk), and
Which system elements are under design control of the performing activity and which fall
outside of their control, and
Induced (e.g., vibration, electromagnetic,

chemical).
Task 9. Life Cycle Process Concepts
The expected interactions among system elements under design control and external and/or
higher-level and interacting systems outside the
system boundary (including open systems
approaches).
Analyze the outputs of tasks 1-8 to define key life

cycle process requirements necessary to develop,
produce, test, distribute, operate, support, train, and
dispose of system products under development.
Use integrated teams representing the eight primary
functions. Focus should be on the cost drivers and
higher risk elements that are anticipated to impact
supportability and affordability over the useful life
of the system.
Task 7. Interfaces
Define the functional and physical interfaces to
external or higher-level and interacting systems,
platforms, and/or products in quantitative terms
(include open systems approach). Functional and
physical interfaces would include mechanical, electrical, thermal, data, control, procedural, and other
interactions. Interfaces may also be considered
from an internal/external perspective. Internal
interfaces are those that address elements inside
the boundaries established for the system addressed. These interfaces are generally identified
and controlled by the contractor responsible for
developing the system. External interfaces, on the
other hand, are those which involve entity relationships outside the established boundaries, and
these are typically defined and controlled by the
government.
Task 10. Functional Requirements

Define what the system must accomplish or must
be able to do. Functions identified through requirements analysis will be further decomposed during
functional analysis and allocation.
Task 11. Performance Requirements
Define the performance requirements for each
higher-level function performed by the system. Primary focus should be placed on performance requirements that address the MOEs, and other
KPPs established in test plans or identified as
interest items by oversight authorities.
Task 8. Utilization Environments

Task 12. Modes of Operation
Define the environments for each operational
scenario. All environmental factors (natural or
induced) which may impact system performance
must be identified and defined. Environmental
factors include:
Define the various modes of operation for the system products under development. Conditions (e.g.,
environmental, configuration, operational, etc.) that
determine the modes of operation should be
included in this definition.
Weather conditions (e.g., rain, snow, sun, wind,

ice, dust, fog),
Task 13. Technical Performance Measures

(TPMs)
Temperature ranges,
Identify the key indicators of system performance
that will be tracked during the design process.
Selection of TPMs should be limited to critical
Topologies (e.g., ocean, mountains, deserts,

plains, vegetation),
43
Chapter 4
technical thresholds and goals that, if not met, put

the project at cost, schedule, or performance risk.
TPMs involve tracking the actual versus planned
progress of KPPs such that the manager can make
judgments about technical progress on a by-exception basis. To some extent TPM selection is
phase dependent. They must be reconsidered at
each systems engineering process step and at the
beginning of each phase.
Integrate Requirements:
Task 14. Physical Characteristics
During Functional Analysis and Allocation, validate that the derived functional and performance
can be traced to the operational requirements.
Take an integrated team approach to requirements

determination so that conflicts among and between
requirements are resolved in ways that result in
design requirements that are balanced in terms of
both risk and affordability.
Validate Requirements:
Identify and define required physical characteristics (e.g., color, texture, size, weight, buoyancy)
for the system products under development. Identify which physical characteristics are true constraints and which can be changed, based on trade
studies.
Verify Requirements:
Coordinate design, manufacturing, deployment
and test processes,
Task 15. Human Factors
Ensure that requirements are achievable and

testable,
Identify and define human factor considerations

(e.g., physical space limits, climatic limits, eye
movement, reach, ergonomics) which will affect
operation of the system products under development. Identify which human systems integration
are constraints and which can be changed based
on trade studies.
Verify that the design-to-cost goals are

achievable, and
Verify that the functional and physical architectures defined during Functional Analysis/
Allocation and Synthesis meet the integrated
technical, cost, and schedule requirements
within acceptable levels of risk.
Follow-on Tasks
The follow-on tasks are related to the iterative
nature of the Systems Engineering Process:
44
Chapter 5
Functional Analysis and Allocation
CHAPTER 5
FUNCTIONAL ANALYSIS
AND ALLOCATION
requirements. Functional Analysis and Allocation
is repeated to define successively lower-level functional and performance requirements, thus defining architectures at ever-increasing levels of detail.
System requirements are allocated and defined in
sufficient detail to provide design and verification
criteria to support the integrated system design.
5.1 INTRODUCTION
The purpose of this systems engineering process
activity is to transform the functional, performance,
interface and other requirements that were identified through requirements analysis into a coherent
description of system functions that can be used
to guide the Design Synthesis activity that follows.
The designer will need to know what the system
must do, how well, and what constraints will limit
design flexibility.
This top-down process of translating systemlevel requirements into detailed functional and
performance design criteria includes:
Defining the system in functional terms, then
decomposing the top-level functions into
subfunctions. That is, identifying at successively
lower levels what actions the system has to do,
This is accomplished by arranging functions in

logical sequences, decomposing higher-level
functions into lower-level functions, and allocating performance from higher- to lower-level functions. The tools used include functional flow block
diagrams and timeline analysis; and the product is
a functional architecture, i.e., a description of the
systembut in terms of functions and performance
parameters, rather than a physical description.
Functional Analysis and Allocation facilitates
traceability from requirements to the solution
descriptions that are the outcome of Design
Synthesis.
Translating higher-level performance requirements into detailed functional and performance

design criteria or constraints. That is, identifying how well the functions have to be
performed,
Identifying and defining all internal and external
functional interfaces,
Identifying functional groupings to minimize
and control interfaces (functional partitioning),
Functions are discrete actions (use action verbs)

necessary to achieve the systems objectives. These
functions may be stated explicitly, or they may be
derived from stated requirements. The functions
will ultimately be performed or accomplished
through use of equipment, personnel, facilities,
software, or a combination.
Determining the functional characteristics of existing or directed components in the system and incorporating them in the analysis and allocation,
Examining all life cycle functions, including
the eight primary functions, as appropriate for
the specific project,
5.2 FUNCTIONAL ANALYSIS AND

ALLOCATION
Performing trade studies to determine alternative functional approaches to meet requirements,

and
Functional and performance requirements at any

level in the system are developed from higher-level
45
Chapter 5
Requirements Loop
Revisiting the requirements analysis step as

necessary to resolve functional issues.
During the performance of the Functional Analysis

and Allocation process, it is expected that revisiting the requirements analysis process will be
necessary. This is caused by the emergence of
functional issues that will require re-examination
of the higher-level requirements. Such issues might
include directed components or standards that
cause functional conflict, identification of a revised
approach to functional sequencing, or, most likely,
a conflict caused by mutually incompatible
requirements.
The objective is to identify the functional, performance, and interface design requirements; it
is not to design a solutionyet!
Functional Partitioning
Functional partitioning is the process of grouping
functions that logically fit with the components
likely to be used, and to minimize functional interfaces. Partitioning is performed as part of functional decomposition. It identifies logical groupings of functions that facilitate the use of modular
components and open-system designs. Functional
partitioning is also useful in understanding how
existing equipment or components (including
commercial) will function with or within the
system.
Figure 5-1 gives an overview of the basic parameters of Functional Analysis and Allocation. The
output of the process is the functional architecture. In its most basic form, the functional architecture is a simple hierarchical decomposition of
the functions with associated performance requirements. As the architecture definition is refined and
made more specific with the performance of the
Outputs:
Functional architecture and supporting detail
Inputs:
Outputs of the Requirements Analysis
Enablers:
Multi-discipline product teams, decision database; Tools & Models, such as QFD, Functional Flow
Block Diagrams, IDEF, N2 charts, Requirement Allocation Sheet, Timelines, Data Flow Diagrams,
State/Mode Diagrams, Behavior Diagrams
Controls:
Constraints; GFE, COTS, & Reusable S/W; System concept
& subsystem choices; organizational procedures
Activities:
Define system states and modes
Define system functions & external interfaces
Define functional interfaces
Allocate performance requirements to functions
Analyze performance
Analyze timing and resources
Analyze failure mode effects and criticality
Define fault detection and recovery behavior
Integrate functions
Inputs
Controls
Functional
Analysis &
Allocation
Enablers
Figure 5-1. Functional Analysis and Allocation
46
Outputs
Chapter 5
activities listed in Figure 5-1, the functional

architecture becomes more detailed and comprehensive. These activities provide a functional
architecture with sufficient detail to support the
Design Synthesis. They are performed with the aid
of traditional tools that structure the effort and provide documentation for traceability. There are
many tools available. The following are traditional
tools that represent and explain the primary tasks
of Functional Analysis and Allocation (several of
these are defined and illustrated beginning on page
49):
5.3 FUNCTIONAL ARCHITECTURE
Functional flow block diagrams that define task

sequences and relationships,
The functional architecture produced by the

Functional Analysis and Allocation process is the
detailed package of documentation developed to
analyze the functions and allocate performance
requirements. It includes the functional flow block
diagrams, timeline sheets, requirements allocation
sheets, IDEF0 diagrams, and all other documentation developed to describe the functional
characteristics of the system. However, there is a
basic logic to the functional architecture, which in
its preliminary form is presented in the example
of Figure 5-2. The Functional Analysis and
Allocation process would normally begin with the
The functional architecture is a top-down decomposition of system functional and performance requirements. The architecture will show not only
the functions that have to be performed, but also
the logical sequencing of the functions and
performance requirements associated with the
functions. It also includes the functional description of existing and government-furnished items
to be used in the system. This may require reverse
engineering of these existing components.
IDEF0 diagrams that define process and data

flows,
Timeline analyses that define the time sequence
of time critical functions, and
Requirements allocation sheets that identify
allocated performance and establish traceability
of performance requirements.
First Level:
Basic Functional
Requirement
Perform Mission
Communicate
Second Level:
Transport and
communicate
showing as
parallel functions
Third Level:
Showing decomposition of the
transport function
Transport
Required transport
requirements allocated
from mission requirements
50 km 90 min
Load
Start
Move
Stop
Unload
8 min
0 km
1 min
0 km
75 min
50 km
1 min
0 km
5 min
0 km
A Simple Rule:
Look to see if all the functions are verbs. If there is a function identified as
a noun, then there is a problem with the understanding of the functions.
Performance Allocation:
Performance requirements
allocated to functions
Figure 5-2. Functional Architecture Example
47
Chapter 5
IPT drafting such a basic version of the architecture. This would generally give the IPT an
understanding of the scope and direction of the
effort.
There are many tools available to support the

development of a Functional Architecture, such
as: functional-flow block diagrams, timeline
analysis sheet, requirements allocation sheet,
Integrated Definition, and others.
Functional Architecture Example

Use of the tools illustrated in this chapter is not
mandatory, but the process they represent is:
The Marine Corps has a requirement to transport

troops in squad-level units over a distance of 50
kilometers. Troops must be transported within 90
minutes from the time of arrival of the transport
system. Constant communication is required during the transportation of troops. Figure 5-2 illustrates a preliminary functional architecture for this
simple requirement.
5.4
Define task sequences and relationships

(functional flow block diagram (FFBD)),
Define process and data flows (IDEF0
diagrams),
Define the time sequence of time-critical
functions (timeline analysis sheets (TLS)),
and
SUMMARY POINTS
Functional analysis begins with the output of

requirements analysis (that is, the identification of
higher-level functional and performance requirements). Functional Analysis and Allocation consists of decomposition of higher-level functions to
lower-levels and then allocation of requirements
to those functions.
Allocate performance and establish traceability of performance requirements (requirements allocation sheets (RAS)).
48
Chapter 5
SUPPLEMENT 5-A
FUNCTIONAL FLOW
BLOCK DIAGRAM
The purpose of the functional flow block diagram
(FFBD) is to describe system requirements in
functional terms.
Proper sequencing of activities and design

relationships are established including critical
design interfaces.
Objectives
Characteristics
The FFBD is structured to ensure that:
The FFBD is functionally orientednot solution

oriented. The process of defining lower-level functions and sequencing relationships is often referred
to as functional decomposition. It allows traceability vertically through the levels. It is a key step in
developing the functional architecture from which
designs may be synthesized.
All life cycle functions are covered.

All elements of system are identified and
defined (e.g. prime equipment, training, spare
parts, data, software, etc.).
System support requirements are identified to
specific system functions.
Top Level
1.0
2.0
3.0
1.1
1.2
Subfunction 1.0
2nd Level
1.4.1
1.4.2
Subfunction 1.4
5.0
6.0
4.0
System Function
1st Level
Figure 5-3 shows the flow-down structure of a set

of FFBDs and Figure 5-4 shows the format of an
FFBD.
1.6
1.3
1.4
2.6
1.4.6
1.5.3
1.4.5
Figure 5-3. FFBD Traceability and Indenture
49
2.7
2.8
1.5
1.4.3
1.4.4
1.7
1.5.4
1.5.5
Chapter 5
Flow connection: Lines connecting functions

should only indicate function flow and not a lapse
in time or intermediate activity.
Key FFBD Attributes

Function block: Each function on an FFBD should
be separate and be represented by single box (solid
line). Each function needs to stand for definite,
finite, discrete action to be accomplished by system
elements.
Flow direction: Diagrams should be laid out so

that the flow direction is generally from left to right.
Arrows are often used to indicate functional flows.
Summing gates: A circle is used to denote a summing gate and is used when AND/OR is present.
AND is used to indicate parallel functions and all
conditions must be satisfied to proceed. OR is used
to indicate that alternative paths can be satisfied to
proceed.
Function numbering: Each level should have a

consistent number scheme and provide information concerning function origin. (E.g., top level
1.0, 2.0, 3.0, etc; first indenture (level 2)1.1, 1.2,
1.3, etc; second indenture (level 3)1.1.1, 1.1.2,
1.1.3, etc.) These numbers establish identification
and relationships that will carry through all Functional Analysis and Allocation activities and
facilitate traceability from lower to top levels.
GO and NO-GO paths: G and bar G are used

to denote go and no-go conditions. These symbols are placed adjacent to lines leaving a particular
function to indicate alternative paths.
Functional reference: Each diagram should contain a reference to other functional diagrams by
using a functional reference (box in brackets).
Abbreviations/Notes:
And Gate: Parallel Function
Or Gate:
Alternate Function
Functional
description
Ref 9.2, Provide guidance
Function
number
Summing
gate
9.2.2
Go flow
9.2.1
3.5 Ref
and
Parallel
and
functions
and
9.2.3
See Detail Diagram
or
or
See Detail Diagram
Alternate
functions
Sys
1.1.2 Ref
or
9.2.4
No go flow
Malf.
Interface reference
block (used on firstand lower-level
function diagrams
only)
Leader note
Ref.
11.3.1
or
Tentative
function
See Detail Diagram
Flow level designator
Scope Note:
Title block and standard drawing number
2nd Level
Functional Flow Block

Diagram Format
Figure 5-4. Functional Flow Block Diagrams (FFBD) Format
50
Chapter 5
SUPPLEMENT 5-B
IDEF0
Integration Definition for Function Modeling
(IDEF0) is a common modeling technique for the
analysis, development, re-engineering, and integration of information systems; business processes;
or software engineering analysis. Where the FFBD
is used to show the functional flow of a product,
IDEF0 is used to show data flow, system control,
and the functional flow of life cycle processes.
referenced to each other. The two primary modeling components are: functions (represented on a
diagram by boxes), and data and objects that interrelate those functions (represented by arrows).
As shown by Figure 5-5 the position at which the
arrow attaches to a box conveys the specific role
of the interface. The controls enter the top of the
box. The inputs, the data or objects acted upon by
the operation, enter the box from the left. The outputs of the operation leave the right-hand side of
the box. Mechanism arrows that provide supporting means for performing the function join (point
up to) the bottom of the box.
IDEF0 is capable of graphically representing a

wide variety of business, manufacturing and other
types of enterprise operations to any level of detail.
It provides rigorous and precise description, and
promotes consistency of usage and interpretation.
It is well-tested and proven through many years of
use by government and private industry. It can be
generated by a variety of computer graphics tools.
Numerous commercial products specifically support development and analysis of IDEF0 diagrams
and models.
The IDEF0 process starts with the identification

of the prime function to be decomposed. This function is identified on a Top Level Context Diagram, that defines the scope of the particular
IDEF0 analysis. An example of a Top Level Context Diagram for an information system management process is shown in Figure 5-6. From this
diagram lower-level diagrams are generated. An
example of a derived diagram, called a child in
IDEF0 is a model that consists of a hierarchical

series of diagrams, text, and glossary cross-
Control
Input
Function Name
Output
Function
Number
Mechanism
Figure 5-5. Integration Definition for Function Modeling (IDEF0) Box Format
51
Chapter 5
IDEF0 terminology, for a life cycle function is

shown in Figure 5-7.
ment IDEF0 for data intensive systems. The IDEF0

standard, Federal Information Processing Standards Publication 183 (FIPS 183), and the IDEF1x
standard (FIPS 184) are maintained by the National
Institute of Standards and Technology (NIST).
An associated technique, Integration Definition for

Information Modeling (IDEF1x), is used to supple-
Program Charter
Issues
Operations
Data
Plan New
Information
Program
Program
Plan
Program
Team
Purpose: The assessment, planning, and streamlining of information management

functions.
Viewpoint: The Information Integration Assessment Team.
QA/A-0
Manage Information Resources
Figure 5-6. Top-Level Context Diagram
52
Chapter 5
Detected or suspected malfunction, or

item is scheduled for bench-check
In-service
asset
Remove
and
replace 1
Replaced asset
Reparable
asset
Spare
asset
Status records
Schedule
into
shop 2
Supply
parts
Asset
(before
repair)
Replacement
or original
(repaired)
Inspect
or
repair 3
Assets
awaiting
parts
Asset
(after
repair)
Monitor
and
route 4
Completed
asset
Spare
Node:
Title:
A0F
Number:
Maintain Reparable Spares
Figure 5-7. IDEF0 Diagram Example
53
pg. 45
Chapter 5
SUPPLEMENT 5-C
TIMELINE ANALYSIS
SHEETS
The timeline analysis sheet (TLS) adds detail to
defining durations of various functions. It defines
concurrency, overlapping, and sequential relationships of functions and tasks. It identifies time critical functions that directly affect system availability, operating time, and maintenance downtime. It
is used to identify specific time-related design
requirements.
function, and design constraints. It identifies

both quantitative and qualitative performance
requirements. Initial resource requirements are
identified.
Figure 5-8 shows an example of a TLS. The time
required to perform function 3.1 and its subfunctions are presented on a bar chart showing how the
timelines relate. (Function numbers match the
FFBD.)
The TLS includes purpose of function and the

detailed performance characteristics, criticality of
Function 3.1 Establish and maintain vehicle

readiness from 35 hrs to 2 hrs prior to launch.
Function
Number
Hours
Name
30
25
20
15
10
3.1.1
Provide ground power
3.1.2
Provide vehicle air conditioning
3.1.3
Install and connect batteries
3.1.4
Install ordnance
3.1.5
Perform stray voltage checks and

connect ordnance
3.1.6
Load fuel tanks
3.1.7
Load oxidizer tanks
7.5
3.1.8
Activate guidance system
2.5
3.1.9
Establish propulsion flight pressure
3.1.10
2.5
7.5
2.6
7.5
1.0
Telemetry system on
2.5
Figure 5-8. Time Analysis Sheet
54
Chapter 5
SUPPLEMENT 5-D
REQUIREMENTS
ALLOCATION SHEET
The Requirements Allocation Sheet documents the
connection between allocated functions, allocated
performance and the physical system. It provides
traceability between Functional Analysis and
Allocation and Design Synthesis, and shows any
Requirements
Allocation Sheet
disconnects. It is a major tool in maintaining consistency between functional architectures and designs that are based on them. (Function numbers
match the FFBD.)
Functional Flow Diagram Title and No. 2.58.4

Provide Guidance Compartment Cooling
Function Name
and No.
Functional Performance and

Design Requirements
2.58.4 Provide
Guidance
Compartment
Cooling
The temperature in the guidance

compartment must be maintained at the
initial calibration temperature of +0.2 Deg F.
The initial calibration temperature of the
compartment will be between 66.5 and 68.5
Deg F.
2.58.4.1 Provide
Chilled Coolant
(Primary)
A storage capacity for 65 gal of chilled liquid

coolant (deionized water) is required. The
temperature of the stored coolant must be
monitored continuously. The stored coolant
must be maintained within a temperature
range of 4050 Deg F. for an indefinite
period of time. The coolant supplied must
be free of obstructive particles 0.5 micron at
all times.
Equipment
Identification
Facility
Rqmnts
Nomenclature
Figure 5-9. Requirements Allocation Sheet (Example)
55
CI or Detail
Spec No.
Chapter 5
56
Chapter 6
Design Synthesis
CHAPTER 6
DESIGN SYNTHESIS
6.1 DESIGN DEVELOPMENT
and restructure hardware and software components

in such a way as to achieve a design solution
capable of satisfying the stated requirements.
During concept development, synthesis produces
system concepts and establishes basic relationships among the subsystems. During preliminary
and detailed design, subsystem and component
descriptions are elaborated, and detailed interfaces
between all system components are defined.
Design Synthesis is the process by which concepts

or designs are developed based on the functional
descriptions that are the products of Functional
Analysis and Allocation. Design synthesis is a creative activity that develops a physical architecture
(a set of product, system, and/or software elements)
capable of performing the required functions within
the limits of the performance parameters prescribed. Since there may be several hardware and/
or software architectures developed to satisfy a
given set of functional and performance requirements, synthesis sets the stage for trade studies to
select the best among the candidate architectures.
The objective of design synthesis is to combine
The physical architecture forms the basis for

design definition documentation, such as, specifications, baselines, and work breakdown structures (WBS). Figure 6-1 gives an overview of the
basic parameters of the synthesis process.
Outputs:
Physical Architecture (Product Elements and Software Code)
Decision Database
Inputs:
Functional Architecture
Enablers:
IPTs, Decision Database, Automated Tools, Models
Controls:
Constraints; GFE, COTS, & Reusable S/W; System concept
& subsystem choices; organizational procedures
Activities:
Allocate functions and constraints to system elements
Synthesize system element alternatives
Inputs
Assess technology alternatives
Define physical interfaces
Define system product WBS
Develop life cycle techniques and procedures
Integrate system elements
Select preferred concept/design
Figure 6-1. Design Synthesis
57
Controls
Design
Synthesis
Enablers
Outputs
Chapter 6
Characteristics
to the relationship of internal elements within one

module to internal elements within another module. High connectivity is undesirable in that it creates complex interfaces that may impede design,
development, and testing.
Physical architecture is a traditional term. Despite

the name, it includes software elements as well as
hardware elements. Among the characteristics of
the physical architecture (the primary output of
Design Synthesis) are the following:
Design Loop
The correlation with functional analysis

requires that each physical or software component meets at least one (or part of one) functional requirement, though any component can
meet more than one requirement,
The design loop involves revisiting the functional

architecture to verify that the physical architecture
developed is consistent with the functional and
performance requirements. It is a mapping between
the functional and physical architectures. Figure
6-2 shows an example of a simple physical architecture and how it relates to the functional architecture. During design synthesis, re-evaluation of
the functional analysis may be caused by the discovery of design issues that require re-examination
of the initial decomposition, performance allocation, or even the higher-level requirements. These
issues might include identification of a promising
physical solution or open-system opportunities that
have different functional characteristics than those
foreseen by the initial functional architecture
requirements.
The architecture is justified by trade studies and

effectiveness analyses,
A product WBS is developed from the physical
architecture,
Metrics are developed to track progress among
KPPs, and
All supporting information is documented in a
database.
Modular Designs
6.2 SYNTHESIS TOOLS

Modular designs are formed by grouping components that perform a single independent function
or single logical task; have single entry and exit
points; and are separately testable. Grouping related functions facilitates the search for modular
design solutions and furthermore increases the
possibility that open-systems approaches can be
used in the product architecture.
During synthesis, various analytical, engineering,

and modeling tools are used to support and
document the design effort. Analytical devices such
as trade studies support decisions to optimize
physical solutions. Requirements Allocation Sheets
(RAS) provide traceability to the functional and
performance requirements. Simple descriptions
like the Concept Decription Sheet (CDS) help visualize and communicate the system concept. Logic
models, such as the Schematic Block Diagram
(SBD), establish the design and the interrelationships within the system.
Desirable attributes of the modular units include

low coupling, high cohesion, and low connectivity. Coupling between modules is a measure of their
interdependence, or the amount of information
shared between two modules. Decoupling modules eases development risks and makes later modifications easier to implement. Cohesion (also called
binding) is the similarity of tasks performed within
the module. High cohesion is desirable because it
allows for use of identical or like (family or series) components, or for use of a single component
to perform multiple functions. Connectivity refers
Automated engineering management tools such as

Computer-Aided Design (CAD), ComputerAided-Systems Engineering (CASE), and the
Computer-Aided-Engineering (CAE) can help organize, coordinate and document the design effort.
CAD generates detailed documentation describing the product design including SBDs, detailed
58
Chapter 6
Design Synthesis
PHYSICAL ARCHITECTURE
Aircraft
Air
Frame
Engine
Communications
Nav
System
Fire
Control
Function Performed
Preflight check
F
U
N
C
T
I
O
N
A
L
A
R
C
H
I
T
E
C
T
U
R
E
Fly
Load
Taxi
Take-off
Cruise
Recon
Communicate
Surveillance
Figure 62. Functional/Physical Matrix
and software parameters, permit performance

predictions to be made, allow operational sequences to be derived, and permit optimum
allocation of functional and performance requirements among the system elements. The traditional
logical prototyping used in Design Synthesis is the
Schematic Block Diagram.
drawings, three dimensional and solid drawings,

and it tracks some technical performance measurements. CAD can provide significant input for virtual modeling and simulations. It also provides a
common design database for integrated design
developments. Computer-Aided Engineering can
provide system requirements and performance
analysis in support of trade studies, analysis related to the eight primary functions, and cost analyses. Computer-Aided Systems Engineering can
provide automation of technical management
analyses and documentation.
6.3 SUMMARY POINTS

Synthesis begins with the output of Functional
Analysis and Allocation (the functional architecture). The functional architecture is transformed into a physical architecture by defining
physical components needed to perform the
functions identified in Functional Analysis and
Allocation.
Modeling
Modeling techniques allow the physical product
to be visualized and evaluated prior to design
decisions. Models allow optimization of hardware
59
Chapter 6
Many tools are available to support the

development of a physical architecture:
Establish traceability of performance

requirements to components (RAS).
Define and depict the system concept (CDS),
Specifications and the product WBS are derived

from the physical architecture.
Define and depict components and their

relationships (SBD), and
60
Chapter 6
Design Synthesis
SUPPLEMENT 6-A
CONCEPT DESCRIPTION
SHEET
The Concept Description Sheet describes (in textual or graphical form) the technical approach or
the design concept, and shows how the system will
be integrated to meet the performance and functional requirements. It is generally used in early
concept design to show system concepts.
Target
Missile
Missile
Tracking
Radar
Steering
Commands
Radio
Computer
External Command Guidance System
Figure 6-3. Concept Description Sheet Example
61
Target
Tracking
Radar
Chapter 6
SUPPLEMENT 6-B
SCHEMATIC BLOCK
DIAGRAMS
The Schematic Block Diagram (SBD) depicts hardware and software components and their interrelationships. They are developed at successively lower
levels as analysis proceeds to define lower-level
functions within higher-level requirements. These
requirements are further subdivided and allocated
using the Requirements Allocation Sheet (RAS).
SBDs provide visibility of related system elements,
and traceability to the RAS, FFBD, and other system engineering documentation. They describe a
solution to the functional and performance requirements established by the functional architecture;
show interfaces between the system components
and between the system components and other
systems or subsystems; support traceability
between components and their functional origin;

and provide a valuable tool to enhance configuration control. The SBD is also used to develop
Interface Control Documents (ICDs) and provides
an overall understanding of system operations.
A simplified SBD, Figure 6-4, shows how components and the connection between them are presented on the diagram. An expanded version is
usually developed which displays the detailed functions performed within each component and a detailed depiction of their interrelationships. Expanded SBDs will also identify the WBS numbers
associated with the components.
Electrical
Power
Subsystem
(Ref)
Inert Gas
Pressurization
Subsystem
Oxidizer Remaining Indication
Manual Control and

Display Subsystem
(Ref)
Inert Gas Pressurant
Fuel
Storage
Subsystem
Oxidizer
Storage
Subsystem
Fuel Remaining Indication

Attitude and
Navigational
Signals
Command Signals
Command Signals
Command Signals
Oxidizer
Solenoid
Valve
(Oxidizer)
Solenoid
Valve
(Fuel)
Command Signals
Fuel
MSRV Guidance
and Navigation
Subsystem
(Ref)
Rocket Engine Nozzle Assemblies
Moon Station Rendezvous Vehicle

Pitch
Thrust
Roll
Thrust
Yaw
Thrust
Longitudinal
Velocity
Increments
Attitude Control and

Maneuvering Subsystem
Figure 6-4. Schematic Block Diagram Example
62
Chapter 6
Design Synthesis
SUPPLEMENT 6-C
REQUIREMENTS ALLOCATION
SHEET
The RAS initiated in Functional Analysis and
Allocation is expanded in Design Synthesis to
document the connection between functional
requirements and the physical system. It provides
traceability between the Functional Analysis and
Requirements
Allocation Sheet
Allocation and Synthesis activities. It is a major

tool in maintaining consistency between functional
architectures and the designs that are based on
them. (Configuration Item (CI) numbers match the
WBS.)
Functional Flow Diagram Title and No. 2.58.4

Provide Guidance Compartment Cooling
Function Name
and No.
Functional Performance and

Design Requirements
2.58.4 Provide
Guidance
Compartment
Cooling
2.58.4.1 Provide
Chilled Coolant
(Primary)
Facility
Rqmnts
Equipment
Identification
Nomenclature
CI or Detail
Spec No.
The temperature in the guidance

compartment must be maintained
at the initial calibration temperature of +0.2 Deg F. The initial calibration temperature of the compartment will be between 66.5
and 68.5 Deg F.
Guidance Compartment Cooling

System
3.54.5
A storage capacity for 65 gal of

chilled liquid coolant (deionized
water) is required. The temperature
of the stored coolant must be
monitored continuously. The stored
coolant must be maintained within
a temperature range of 4050 Deg
F. for an indefinite period of time.
The coolant supplied must be free
of obstructive particles 0.5 micron
at all times.
Guidance Compartment Coolant

Storage Subsystem
3.54.5.1
Figure 6-5. Requirements Allocation Sheet (Example)
63
Chapter 6
64
Chapter 7
Verification
CHAPTER 7
VERIFICATION
7.1 GENERAL
system to ensure that cost, schedule, and performance requirements are satisfied with acceptable
levels of risk. Further objectives include generating data (to confirm that system, subsystem, and
lower level items meet their specification requirements) and validating technologies that will be used
in system design solutions. A method to verify each
requirement must be established and recorded during requirements analysis and functional allocation activities. (If it can not be verified it can not
be a legitimate requirement.) The verification list
should have a direct relationship to the requirements allocation sheet and be continually updated
to correspond to it.
The Verification process confirms that Design Synthesis has resulted in a physical architecture that
satisfies the system requirements. Verification represents the intersection of systems engineering and
test and evaluation.
Verification Objectives
The objectives of the Verification process include
using established criteria to conduct verification
of the physical architecture (including software and
interfaces) from the lowest level up to the total
SVR
n
sig
De
Item Level
Design Requirements
PDR
&T
est
SFR
Fab
rica
te, I
nte
gra
te
System Level
Design Requirements
System Level
Subsystems
Configuration Items
TRR
Assemblies
Components
CDR
All Design Requirements Complete
TRR = Test Readiness Review

SVR = System Verification Review
SFR = System Functional Review

PDR = Preliminary Design Review
CDR = Critical Design Review
Figure 7-1. Systems Engineering and Verification
65
Chapter 7
Verification Activities
as designs progress from concept to detailed

designs to physical products.
System design solutions are verified by the following types of activities:
During earlier design stages, verification focuses

on proof of concept for system, subsystem and
component levels. During later stages, as the product definition effort proceeds, the focus turns to
verifying that the system meets the customer
requirements. As shown by Figure 7-1, design is a
top-down process while the Verification activity is
a bottom-up process. Components will be fabricated and tested prior to the subsystems. Subsystems will be fabricated and tested prior to the
completed system.
1. Analysis the use of mathematical modeling

and analytical techniques to predict the compliance of a design to its requirements based
on calculated data or data derived from lower
level component or subsystem testing. It is
generally used when a physical prototype or
product is not available or not cost effective.
Analysis includes the use of both modeling and
simulation which is covered in some detail in
chapter 13,
Performance Verification
2. Inspection the visual examination of the system, component, or subsystem. It is generally
used to verify physical design features or
specific manufacturer identification,
Performance requirements must be objectively

verifiable, i.e., the requirement must be measurable. Where appropriate, Technical Performance
Measurements (TPM) and other management
metrics are used to provide insight on progress
toward meeting performance goals and requirements. IEEE Standard P1220 provides a structure
for Verification activity. As shown in Figure 7-2
the structure is comprehensive and provides a good
starting point for Verification planning.
3. Demonstration the use of system, subsystem,

or component operation to show that a requirement can be achieved by the system. It is generally used for a basic confirmation of performance capability and is differentiated from testing by the lack of detailed data gathering, or
4. Test the use of system, subsystem, or component operation to obtain detailed data to
verify performance or to provide sufficient
information to verify performance through
further analysis. Testing is the detailed quantifying method of verification, and as described
later in this chapter, it is ultimately required in
order to verify the system design.
7.2 DOD TEST AND EVALUATION

DoD Test and Evaluation (T&E) policies and procedures directly support the system engineering
process of Verification. Testing is the means by
which objective judgments are made regarding
the extent to which the system meets, exceeds,
or fails to meet stated objectives. The purpose of
evaluation is to review, analyze, and assess data
obtained from testing and other means to aid in
making systematic decisions. The purpose of DoD
T&E is to verify technical performance, operational effectiveness, operational suitability; and
it provides essential information in support of
decision making.
Choice of verification methods must be considered an area of potential risk. Use of inappropriate
methods can lead to inaccurate verification. Required defining characteristics, such as key performance parameters (KPPs) are verified by demonstration and/or test. Where total verification by
test is not feasible, testing is used to verify key
characteristics and assumptions used in design
analysis or simulation. Validated models and simulation tools are included as analytical verification
methods that complement other methods. The
focus and nature of verification activities change
Common Types of T&E in DoD

T&E policy requires developmental tests. They
confirm that technical requirements have been
66
Chapter 7
Verification
From: Synthesis
Physical Verification
Select
Verification Approach
Define, Inspection, Analysis,

Demo, or Test Requirements
Verify Architectural
Completeness
Define
Verification Procedures
Conduct
Verification Evaluation
Requirements Vaseline
Functional Architecture
Verify
Functional and
Performance Measures
Verify Satisfaction
of Constraints
Identify
Variance and Conflicts
Verified Physcial
Architectures of
Life Cycle Products/Processes
Establish Verification
Environment
Verified
Physical Architecture
To:
Synthesis
To: Control
Verified
System Architecture
Establish Specifications and

Configuration Baselines
To: Control
Develop Product
Breakdown Structure(s)
Adapted from IEEE 1220
Figure 7-2. Verification Tasks
satisfied, and independent analysis and tests verify

the systems operational effectiveness and suitability. DoD T&E traditionally and by directive is
categorized as:
Evaluation (IOT&E), and Follow-On Operational Test and Evaluation (FOT&E), and
Live Fire T&E which provides assessment of
the vulnerability and lethality of a system by
subjecting it to real conditions comparable to
the required mission.
Developmental T&E which focuses primarily

on technical achievement,
Operational T&E which focuses on operational
effectiveness and suitability and includes Early
Operational Assessments (EOA), Operational
Assessment (OA), Initial Operational Test and
T&E
The program office plans and manages the test
effort to ensure testing is timely, efficient,
67
Chapter 7
comprehensive and completeand that test results

are converted into system improvements. Test planning will determine the effectiveness of the
verification process. Like all systems engineering
planning activities, careful attention to test
planning can reduce program risk. The key test
planning document is the Test and Evaluation
Master Plan (TEMP). This document lays out the
objectives, schedule, and resources reflecting program office and operational test organization planning decisions. To ensure integration of this effort, the program office organizes a Test Planning
Work Group (TPWG) or Test Working Level IPT
(WIPT) to coordinate the test planning effort.
operational scenarios. Part I of the required TEMP

format is System Introduction, which provides the
mission description, threat assessment, MOEs/
MOSs, a system description, and an identification
of critical technical parameters. Part II, Integrated
Test Program Summary, provides an integrated test
program schedule and a description of the overall
test management process. Part III, Developmental
Test & Evaluation (DT&E) Outline, lays out an
overview of DT&E efforts and a description of
future DT&E. Part IV, Operational Test & Evaluation (OT&E) Outline, is provided by the operational test organization and includes an OT&E
overview, critical operational issues, future OT&E
description, and LFT&E description. Part V, Test
& Evaluation Resource Summary, identifies the
necessary physical resources and activity responsibilities. This last part includes such items as test
articles, test sites, test instrumentation, test support equipment, threat representation, test targets
and other expendables, operational force test
support, simulations, models, test-beds, special
requirements, funding, and training.
Test Planning Work Group/Test WIPT

The TPWG/Test WIPT is intended to facilitate the
integration of test requirements and activities
through close coordination between the members
who represent the material developer, designer
community, logistic community, user, operational
tester, and other stakeholders in the system development. The team outlines test needs based on
system requirements, directs test design, determines needed analyses for each test, identifies
potential users of test results, and provides rapid
dissemination of test and evaluation results.
Key Performance Parameters

Every system will have a set of KPPs that are the
performance characteristics that must be achieved
by the design solution. They flow from the operational requirements and the resulting derived
MOEs. They can be identified by the user, the
decision authority, or the operational tester. They
are documented in the TEMP.
Test and Evaluation Master Plan (TEMP)

The Test and Evaluation Master Plan is a mandatory document prepared by the program office. The
operational test organization reviews it and
provides the operational test planning for inclusion. The TEMP is then negotiated between the
program office and operational test organization.
After differences are resolved, it is approved at
appropriate high levels in the stakeholder organizations. After approval it becomes binding on managers and designers (similar to the binding nature
of the Operational Requirements Document (ORD)).
Developmental Test and Evaluation

The DT&E verifies that the design solution meets
the system technical requirements and the system
is prepared for successful OT&E. DT&E activities
assess progress toward resolving critical operational
issues, the validity of cost-performance tradeoff
decisions, the mitigation of acquisition technical
risk, and the achievement of system maturity.
The TEMP is a valuable Verification tool that

provides an excellent template for technology, system, and major subsystem-level Verification planning. The TEMP includes a reaffirmation of the
user requirements, and to an extent, an interpretation of what those requirements mean in various
DT&E efforts:
Identify potential operational and technological capabilities and limitations of the alternative concepts and design options being pursued;
68
Chapter 7
Verification
DT&E
DT&E
Preferred tech
approach
Technical risk
Engineering
design
solutions
Technology
Feasibility
Testing
Technology
DT&E
Simulation
Studies and
Analysis
Requirements
Simulation
MS A
Concept and
Technology
Development
Production
Design
Engineering completeness
System performance
Validate specifications
Technical compliance test
Qualification tests
DT&E
Validates specifications
System performance
Modifications
Product acceptance
DT&E
Production
Design
Modifications
Alternatives
Simulation
MS B
MS C
System
Development
and
Demonstration
Production
and
Deployment
Operations
and
Support
Figure 7-3. DT&E During System Acquisition
Live Fire Test and Evaluation
Support the identification of cost-performance

tradeoffs by providing analyses of the
capabilities and limitations of alternatives;
LFT&E is performed on any Acquisition Category

(ACAT) I or II level weapon system that includes
features designed to provide protection to the system or its users in combat. It is conducted on a
production configured article to provide information concerning potential user casualties, vulnerabilities, and lethality. It provides data that can
establish the systems susceptibility to attack and
performance under realistic combat conditions.
Support the identification and description of

design technical risks;
Assess progress toward resolving Critical
Operational Issues, mitigating acquisition
technical risk, achieving manufacturing process
requirements and system maturity;
Operational Test and Evaluation
Assess validity of assumptions and analysis

conclusions; and
OT&E programs are structured to determine the

operational effectiveness and suitability of a system under realistic conditions, and to determine if
the minimum acceptable operational performance
requirements as specified in the ORD and reflected
by the KPPs have been satisfied. OT&E uses threatrepresentative forces whenever possible, and employs typical users to operate and maintain the
system or item under conditions simulating both
combat stress and peacetime conditions. Operational tests will use production or production-
Provide data and analysis to certify the system

ready for OT&E, live-fire testing and other
required certifications.
Figure 7-3 highlights some of the more significant DT&E focus areas and where they fit in the
acquisition life cycle.
69
MS A
Chapter 7
MS B
Concept and
Technology
Development
MS C
System
Development
and
Demonstration
Integrated
Program
Summary
Mission
Area
Analysis
Production
and
Deployment
Simulation
Operations
and
Support
Validate
Requirements
Operational
utility
Independent
evaluation
IOT&E
Operational utility
Production validation
Independent assessment
Concept
Studies
OA
Potential effectiveness
Suitability
Alternatives
Independent evaluation
Milestone II decision information
IOT&E
Follow-on OT&E
Operational utility
Tactics-doctrine
personnel
_ Interoperability
IOT&E
EOA
Operational aspects
Preferred alternatives
EOA
Figure 7-4. OT&E During System Acquisition
representative articles for the operational tests that

support the full-rate production decision. Live Fire
Tests are usually performed during the operational
testing period. Figure 7-4 shows the major activities associated with operational testing and where
they fit in the DoD acquisition life cycle.
is used to determine if the program should proceed to full-rate production. Figure 7-5 lists the
major differences between the two.
OT&E Differences
The Verification activities of the Systems Engineering Process are performed to verify that physical
design meets the system requirements.
7.3 SUMMARY POINTS
Though the overall objective of both DT&E and

OT&E is to verify the effectiveness and suitability
of the system, there are distinct differences in their
specific objects and focus. DT&E primarily focuses on verifying system technical requirements,
while OT&E focuses on verifying operational requirements. DT&E is a program office responsibility that is used to develop the design. OT&E is
an independent evaluation of design maturity that
DoD T&E policy supports the verification process through a sequence of Developmental,
Operational, and Live-Fire tests, analyses, and
assessments. The primary management tools for
planning and implementing the T&E effort are
the TEMP and the integrated planning team.
70
Chapter 7
Verification
Development Tests
Operational Tests
Controlled by program manager
Controlled by independent agency
One-on-one tests
Many-on-many tests
Controlled environment
Realistic/tactical environment with

operational scenario
Contractor environment
No system contractor involvement
Trained, experienced operators
User troops recently trained
Precise performance objectives and

threshold measurements
Performance measures of operational

effectiveness and suitability
Test to specification
Test to operational requirements
Developmental, engineering, or production

representative test article
Production representative test article
Figure 7-5. DT/OT Comparison
71
Chapter 7
72
Chapter 8
Systems Engineering Process Outputs
CHAPTER 8
SYSTEMS ENGINEERING
PROCESS OUTPUTS
considered. The design contractor will normally
develop the levels below these first three. Chapter 9
of this text describes the WBS in more detail.
8.1 DOCUMENTING REQUIREMENTS

AND DESIGNS
Outputs of the systems engineering process consist of the documents that define the system requirements and design solution. The physical
architecture developed through the synthesis process is expanded to include enabling products and
services to complete the system architecture. This
system level architecture then becomes the reference model for further development of system requirements and documents. System engineering
process outputs include the system and configuration item architectures, specifications, and
baselines, and the decision database.
Specifications
Outputs are dependent on the level of development.

They become increasingly technically detailed as
system definition proceeds from concept to detailed
design. As each stage of system definition is
achieved, the information developed forms the
input for succeeding applications of the system
A specification is a document that clearly and

accurately describes the essential technical requirements for items, materials, or services including
the procedures by which it can be determined that
the requirements have been met. Specifications
help avoid duplication and inconsistencies, allow
for accurate estimates of necessary work and
resources, act as a negotiation and reference document for engineering changes, provide documentation of configuration, and allow for consistent
communication among those responsible for the
eight primary functions of Systems Engineering.
They provide IPTs a precise idea of the problem
to be solved so that they can efficiently design the
system and estimate the cost of design alternatives.
They provide guidance to testers for verification
(qualification) of each technical requirement.
Architectures: System/Configuration Item
Program-Unique Specifications
The System Architecture describes the entire system. It includes the physical architecture produced
through design synthesis and adds the enabling
products and services required for life cycle
employment, support, and management. Military
Handbook (MIL-HDBK)-881, Work Breakdown
Structures, provides reference models for weapon
systems architectures. As shown by Figure 8-1,
MIL-HDBK-881 illustrates the first three levels
of typical system architectures. Program Offices
can use MIL-HDBK-881 templates during system
definition to help develop a top-level architecture tailored to the needs of the specific system
During system development a series of specifications are generated to describe the system at different levels of detail. These program unique specifications form the core of the configuration
baselines. As shown by Figure 8-2, in addition to
referring to different levels within the system hierarchy, these baselines are defined at different
phases of the design process.
Initially the system is described in terms of the
top-level (system) functions, performance, and interfaces. These technical requirements are derived
from the operational requirements established by
73
Chapter 8
Level 1
Aircraft System
Level 2
Air
Vehicle
SE/
Program
Mgmt
System
T&E
Training
Data
Peculiar
Support
Equipment
Airframe
DT&E
Equipment
Tech Pubs
Propulsion
OT&E
Services
Engrg Data
Application Software
Mockups
Facilities
System Software
T&E
Support
Support
Data
C3I
Navigation/Guidance
Central Computer
Test
Facilities
Management Data
Data
Depository
Common
Support
Equipment
Op/Site
Activation
Test and
Test and
Sys
Measuremt Measuremt Assembly,
Equipment Equipment Installation
and
Support
Support
Checkout
and
and
on Site
Handling
Handling
Equipment Equipment Contractor
Tech Support
Industrial
Facilities
Initial
Spares and
Initial
Repair
Parts
Construction/Conversion/Expan- (Specify by
Allowance
sion
List,
Equipment Grouping
Acquisition or H/W
or Mod
Element)
Maintenance
Site
Construction
Fire Control
Site/Ship
Vehicle
Conversion
Data Display and Controls

Survivability
Reconnaissance
Automatic Flight Control
Central Integrated Checkout
Level 3
Antisubmarine Warfare
Armament
Weapons Delivery
Auxiliary Equipment
Figure 8-1. Example from MIL-HDBK-881

by the Technical Data Package, which will include
not only Item Detail Specifications, but also, Process and Material Specifications, as well as drawings, parts lists, and other information that describes the final system in full physical detail. Figure 8-3 shows how these specifications relate to
their associated baselines.
the user. This system-level technical description is

documented in the System Specification, which is
the primary documentation of the system-level
Functional Baseline. The system requirements are
then flowed down (allocated) to the items below
the system level, such that a set of design criteria
are established for each of those items. These item
descriptions are captured in a set of Item Performance Specifications, which together with other
interface definitions, process descriptions, and
drawings, document the Allocated Baseline (sometimes referred to as the Design To baseline).
Having baselined the design requirements for the
individual items, detailed design follows. Detailed
design involves defining the system from top to
bottom in terms of the physical entities that will
be employed to satisfy the design requirements.
When detailed design is complete, a final baseline
is defined. This is generally referred to as the Product Baseline, and, depending on the stage of development, may reflect a Build to or As built
description. The Product Baseline is documented
Role of Specifications
Requirements documents express why the development is needed. Specification documents are an
intermediate expression of what the needed system has to do in terms of technical requirements
(function, performance, and interface). Design
documents (drawings, associated lists, etc.) describe the means by which the design requirements
are to be satisfied. Figure 8-4 illustrates how
requirements flow down from top-level specifications to design documentation. Preparation of
specifications are part of the system engineering
process, but also involve techniques that relate to
74
Chapter 8
System
Concept
P
Requirements r I
o n
d p
u u
c t
t
Integrated and
Qualified System
System Definition (Functional Baseline)
System Specification
SI&T
Preliminary Design (Allocated Baseline)
Product
Output
System
Spec
P
r
o
d
u
c
t
I
n
p
u
t
Item Performance Specifications
SI&T
Detail Design (Product BL)

Product
Output
Performance Item Specs
P
r
o
d
u
c
t
P
r
o
d
u
c
t
Item
Detail
Specs
I
n
p
u
t
SI&T
Drawings
Product
Output
I
n
p
u
t
Process
and
Material
Specs
Drawings
Product
Output
SI&T = System Integration and Text
Figure 8-2. Specifications and Levels of Development
Specification
System
Spec
Item
Performance
Spec
Item Detail
Spec
Content
Baseline
Defines mission/technical performance requirements.

Allocates requirements to functional areas and defines interfaces.
Functional
Defines performance characteristics of CIs and CSCIs.

Details design requirements and with drawings and other
documents form the Allocated Baseline.
Allocated
Design To
Defines form, fit, function, performance, and test requirements

for acceptance. (Item, process, and material specs start the
Product Baseline effort, but the final audited baseline includes
all the items in the TDP.)
Process
Spec
Defines process performed during fabrication.
Material
Spec
Defines production of raw materials or semi-fabricated

material used in fabrication.
Figure 8-3. Specification Types
75
Product
Build To
or
As Built
Chapter 8
communication skills, both legal and editorial.

Figure 8-5 provides some rules of thumb that
illustrate this.
and requirements traceability. Enabling product

baseline documents include a wide range of
documents that could include manufacturing plans
and processes, supportability planning, supply
documentation, manuals, training plans and programs, test planning, deployment planning, and
others. All enabling products should be reviewed
for their susceptibility to impact from system configuration changes. If a document is one that
describes a part of a system and could require
change if the configuration changes, then most
likely it should be included as a baseline document.
In summary, specifications document what the

system has to do, how well it has to do it, and how
to verify it can do it.
Baselines
Baselines formally document a product at some
given level of design definition. They are references for the subsequent development to follow.
Most DoD systems are developed using the three
classic baselines described above: functional,
allocated, and product. Though the program unique
specifications are the dominant baseline documentation, they alone do not constitute a baseline.
Acquisition Program Baselines

Acquisition Program Baselines and Configuration
Baselines are related. To be accurate the Program
baseline must reflect the realities of the Configuration Baseline, but the two should not be confused. Acquisition Program Baselines are high level
assessments of program maturity and viability.
Configuration Baselines are system descriptions.
Figure 8-6 provides additional clarification.
Additional documents include both end and enabling product descriptions. End product baseline
documents normally include those describing
system requirements, functional architecture,
physical architecture, technical drawing package,
System
Spec
Item Performance
Specs
Item
Detail Specs
Process
Material
Specs
Technical Data Package which includes:
Product Baseline
Build To Specs
Engineering Drawings and associated lists

Technical manuals
Manufacturing part programs
Verfication provisions
Spares provisioning lists
Specifications, those listed above plus any of the
following may be referenced;
Defense specs
Commercial item descriptions
International specs
Non-government standards
Commercial standards
Etc.
Figure 8-4. How Specifications Lead to Design Documents
76
Chapter 8
Use a table of contents and define all abbreviations and acronyms.

Use active voice.
Use shall to denote mandatory requirement and may or should to denote guidance
provisions.
Avoid ambiguous provisions, such as as necessary, contractors best practice, smooth
finish, and similar terms.
Use the System Engineering Process to identify requirements. Do not over-specify.
Avoid tiering. Any mandatory requirement in a document below the first tier, should be stated
in the specification.
Only requirement sections of the MIL-STD-491D formats are binding. Do not put requirements
in non-binding sections, such as Scope, Documents, or Notes.
Data documentation requirements are specified in a Contract Data Requirements List.
Figure 85. Rules of Thumb for Specification Preparation
Decision Database
8.2 DOD POLICY AND PRACTICE

SPECIFICATIONS AND STANDARDS
The decision database is the documentation that

supports and explains the configuration solution
decisions. It includes trade studies, cost effectiveness analyses, Quality Function Deployment (QFD)
analysis, models, simulations, and other data
generated to understand a requirement, develop
alternative solutions, or make a choice between
them. These items are retained and controlled as
part of the Data Management process described in
Chapter 10.
DoD uses specifications to communicate product

requirements and standards to provide guidance
concerning proven methods and practices.
Specifications
DoD uses three basic classifications of specifications: materiel specifications (developed by DoD
components), Program-Unique Specifications, and
non-DoD specifications.
Program Baselines
Configuration Baselines
Embody only the most important cost,

schedule, and performance objectives
and thresholds
Identify and define an items functional

and physical characteristics
Functional Baseline Describes system
level requirements
Threshold breach results in re-evaluation of program at MDA level
Allocated Baseline Describes design

requirements for items below system
level
Selected key performance parameters

Specifically evolves over the development cycle and is updated at each major
milestone review or program restructure
Product Baseline Describes product

physical detail
Required on ALL programs for measuring

and reporting status
Documents outputs of Systems Engineering

Process
Figure 86. Acquisition Program Baselines and Configuration Baselines
77
Chapter 8
DoD developed specifications describe essential

technical requirements for purchase of materiel.
Program-Unique Specifications are an integral part
of the system development process. Standard practice for preparation of DoD and Program-Unique
Specifications is guided by MIL-STD-961D.
This standard provides guidance for the development of performance and detail specifications.
MIL-STD-961D, Appendix A provides further
guidance for the development of Program-Unique
Specifications.
to develop and use performance specifications in

a reprocurement.
Performance Specifications
Performance Specifications state requirements in
terms of the required results with criteria for verifying compliance, but without stating the methods
for achieving the required results. In general, performance specifications define products in terms
of functions, performance, and interface requirements. They define the functional requirements for
the item, the environment in which it must operate, and interface and interchangeability characteristics. The contractor is provided the flexibility
to decide how the requirements are best achieved,
subject to the constraints imposed by the government, typically through interface requirements.
System Specifications and Item Performance
Specifications are examples of performance
specifications.
Non-DoD specifications and standards approved

for DoD use are listed in the DoD Index of
Specifications and Standards (DoDISS).
DoD Policy (Specifications)
DoD policy is to develop performance specifications for procurement and acquisition. In general,
detail specifications are left for contractor development and use. Use of a detail specification in
DoD procurement or acquisition should be considered only where absolutely necessary, and then
only with supporting trade studies and acquisition
authority approval.
Detail Specifications
Detail Specifications, such as Item Detail, Material and Process Specifications, provide design requirements. This can include materials to be used,
how a requirement is to be achieved, or how an
item is to be fabricated or constructed. If a specification contains both performance and detail requirements, it is considered a Detail Specification,
with the following exception: Interface and interchangeability requirements in Performance Specifications may be expressed in detailed terms. For
example, a Performance Specification for shoes
would specify size requirements in detailed terms,
but material or method of construction would be
stated in performance terms.
DoD policy gives preference to the use of commercial solutions to government requirements,
rather than development of unique designs. Therefore, the use of commercial item specifications and
descriptions should be a priority in system architecture development. Only when no commercial
solution is available should government detail
specifications be employed.
In the case of re-procurement, where detail specifications and drawings are government owned,
standardization or interface requirements may
present a need for use of detailed specifications.
Trade studies that reflect total ownership costs and
the concerns related to all eight primary functions
should govern decisions concerning the type of
specification used for re-procurement of systems,
subsystems, and configuration items. Such trade
studies and cost analysis should be preformed prior
to the use of detail specifications or the decision
Software Documentation IEEE/EIA 12207

IEEE/EIA 12207, Software Life Cycle Processes,
describes the U.S. implementation of the ISO standard on software processes. This standard describes
the development of software specifications as one
aspect of the software development process.
78
Chapter 8
expectation is established among all stakeholders

in the software development activity.
The process described in IEEE/EIA 12207 for

allocating requirements in a top-down fashion and
documenting the requirements at all levels parallels
the systems engineering process described in this
text. The standard requires first that system-level
requirements be allocated to software items (or
configuration items) and that the software
requirements then be documented in terms of functionality, performance, and interfaces, and that
qualification requirements be specified. Software
item requirements must be traceable to systemlevel, and be consistent and verifiable.
Standard Practice for Defense Specifications

MIL-STD-961D
The purpose of MIL-STD-961D is to establish
uniform practices for specification preparation, to
ensure inclusion of essential requirements, to
ensure Verification (qualification) methods are established for each requirement, and to aid in the
use and analysis of specification content. MILSTD-961D establishes the format and content of
system, configuration item, software, process and
material specifications. These Program-Unique
Specifications are developed through application
of the systems engineering process and represent
a hierarchy as shown in Figure 8-7.
The developer is then required to decompose each

software item into software components and then
into software units that can be coded. Requirements
are allocated from item level, to component, and
finally to unit level. This is the detailed design
activity and IEEE/EIA 12207 requires that these
allocations of requirements be documented in
documents that are referred to as descriptions,
or, if the item is a stand alone item, as specifications. The content of these documents is defined
in the IEEE/EIA standard; however, the level of
detail required will vary by project. Each project
must therefore ensure that a common level of
Standards
Standards establish engineering and technical
limitations and applications for items, materials,
processes, methods, designs, and engineering
practices. They are corporate knowledge documents describing how to do some process or a
System
Spec
Process
Spec
Item Spec
(Performance)
Software Requirements Spec

Interface Requirements Spec
Item Spec
(Detail)
Material
Spec
Software Product Spec

Software Design Description
Interface Design Description
Figure 87. Specification Hierarchy
79
Chapter 8
description of a body of knowledge. Standards

come from many sources, reflecting the practices
or knowledge base of the source. Format and content of Defense Standards, including Handbooks,
are governed by MIL-STD-962. Other types of
standards in use in DoD include Commercial Standards, Corporate Standards, International Standards, Federal Standards, and Federal Information
Processing Standards.
directed standards should be confirmed by trade

studies and requirements traceability.
DoD Index of Specifications and Standards
The DoDISS lists all international, adopted industry standardization documents authorized for use
by the military departments, federal and military
specifications and standards. Published in three
volumes, it contains over 30,000 documents in 103
Federal Supply Groups broken down into 850 Federal Supply Classes. It covers the total DoD use of
specifications and standards, ranging from fuel
specifications to international quality standards.
DoD Policy (Standards)

DoD policy does not require standard management
approaches or manufacturing processes on contracts. This policy applies to the imposition of both
Military Specifications and Standards and, in addition, to the imposition of Commercial and Industry Standards. In general, the preferred approach is to allow contractors to use industry, government, corporate, or company standards they
have determined to be appropriate to meet
governments needs. The government reviews and
accepts the contractors approach through a
contract selection process or a contractual review
process.
8.3 SUMMARY POINTS

System Engineering Process Outputs include
the system/configuration item architecture,
specifications and baselines, and the decision
database.
System/Configuration Item Architectures include the physical architecture and the associated products and services.
The government should impose a process or

standard only as a last resort, and only with the
support of an appropriate trade study analysis. If a
specific standard is imposed in a solicitation or
contract, a waiver will be required from an
appropriate Service authority.
Program-Unique specifications are a primary

output of the System Engineering Process. Program-Unique specifications describe what the
system or configuration item must accomplish
and how it will be verified. Program-Unique
specifications include the System, Item Performance, and Item Detail Specifications. The
System Specification describes the system requirements, while Item Performance and Item
Detail Specifications describe configuration
item requirements.
However, there is need on occasion to direct the

use of some standards for reasons of standardization, interfaces, and development of open systems.
A case in point is the mandated use of the Joint
Technical Architecture (JTA) for defining
interoperability standards. The JTA sets forth the
set of interface standards that are expected to be
employed in DoD systems. The JTA is justifiably
mandatory because it promotes needed
interoperability standardization, establishes supportable interface standards, and promotes the
development of open systems.
Configuration baselines are used to manage and

control the technical development. Program
baselines are used for measuring and supporting
program status.
The Decision Database includes those documents or software that support understanding
and decision making during formulation of the
configuration baselines.
DoD technical managers should be alert to situations when directed standards are appropriate to
their program. Decisions concerning use of
80
Chapter 8
DoD policy is to develop performance specifications for procurement and acquisition. Use
of other than performance specifications in a
contract must be justified and approved.
Mandatory use of some standard practices are

necessary, but must be justified through
analysis. A case in point is the mandatory use
of the standards listed in the Joint Technical
Architecture.
It is DoD policy not to require standard management approaches or manufacturing processes

on contracts.
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Chapter 8
82
Chapter 9
Work Breakdown Structure
PART 3
SYSTEMS
ANALYSIS
AND
CONTROL
83
Chapter 9
84
Chapter 9
CHAPTER 9
WORK BREAKDOWN
STRUCTURE
9.1 INTRODUCTION
is used to structure development activities, to identify data and documents, and to organize integrated
teams, and for other non-technical program
management purposes.
The Work Breakdown Structure (WBS) is a means

of organizing system development activities based
on system and product decompositions. The systems engineering process described in earlier chapters produces system and product descriptions.
These product architectures, together with associated services (e.g., program management, systems
engineering, etc.) are organized and depicted in a
hierarchical tree-like structure that is the WBS.
(See Figure 9-1.)
WBS Role in DoD Systems Engineering

DoD 5000.2-R requires that a program WBS be
established to provide a framework for program
and technical planning, cost estimating, resource
allocation, performance measurement, and status
reporting. The WBS is used to define the total
system, to display it as a product-oriented family
tree composed of hardware, software, services,
data, and facilities, and to relate these elements to
each other and to the end product. Program offices
are to tailor a program WBS using the guidance
provided in MIL-HDBK-881.
Because the WBS is a direct derivative of the physical and systems architectures it could be considered an output of the systems engineering process.
It is being presented here as a Systems Analysis
and Control tool because of its essential utility for
all aspects of the systems engineering process. It
Architecture
System
Air Vehicle
Aircraft Subsystems
Landing Gear System
WBS
WBS Elements
System
1000 Air Vehicle
1000 Aircraft Subsystems

1610 Landing Gear System
Figure 91. Architecture to WBS Flow
85
1610 Landing Gear
Chapter 9
The program WBS is developed initially to define

the top three levels. As the program proceeds
through development and is further defined, program managers should ensure that the WBS is
extended to identify all high-cost and high-risk
elements for management and reporting, while
ensuring the contractor has complete flexibility to
extend the WBS below the reporting requirement
to reflect how work will be accomplished.
WBS Benefits
The WBS allows the total system to be described
through a logical breakout of product elements into
work packages. A WBS, correctly prepared, will
account for all program activity. It links program
objectives and activities with resources, facilitates
initial budgets, and simplifies subsequent cost
reporting. The WBS allows comparison of various independent metrics and other data to look for
comprehensive trends.
Basic Purposes of the WBS

Organizational:
The WBS provides a coordinated, complete, and
comprehensive view of program management. It
establishes a structure for organizing system
development activities, including IPT design,
development, and maintenance.
It is a foundation for all program activities, including program and technical planning, event schedule definition, configuration management, risk
management, data management, specification
preparation, SOW preparation, status reporting
and problem analysis, cost estimates, and budget
formulation.
Business:
It provides a structure for budgets and cost estimates. It is used to organize collection and analysis of detailed costs for earned value reports (Cost
Performance Reports or Cost/Schedule Control
System Criteria reporting).
9.2 WBS DEVELOPMENT

The physical and system architectures are used to
prepare the WBS. The architectures should be
reviewed to ensure that all necessary products and
services are identified, and that the top-down structure provides a continuity of flow down for all
tasks. Enough levels must be provided to identify
work packages for cost/schedule control purposes.
If too few levels are identified, then management
visibility and integration of work packages may
suffer. If too many levels are identified, then program review and control actions may become
excessively time-consuming.
Technical:
The WBS establishes a structure for:
Identifying products, processes, and data,
Organizing risk management analysis and
tracking,
Enabling configuration and data management.
It helps establish interface identification and
control.
The first three WBS Levels are organized as:

Level 1 Overall System
Level 2 Major Element (Segment)
Level 3 Subordinate Components (Prime
Items)
Developing work packages for work orders and

material/part ordering, and
Organizing technical reviews and audits.
Levels below the first three represent component

decomposition down to the configuration item
level. In general, the government is responsible for
the development of the first three levels, and the
contractor(s) for levels below three.
The WBS is used to group product items for specification development, to develop Statements of
Work (SOW), and to identify specific contract
deliverables.
86
Chapter 9
DoD Practice
system typically consists of the prime mission

product(s) delivered to the operational customer.
This part of the WBS is based on the physical
architectures developed from operational requirements. It represents that part of the WBS involved
in product development. Figure 9-2 presents a
simple example of a program WBS product part.
In accordance with DoD mandatory procedures in

DoD 5000.2-R and common DoD practice as established in MIL-HDBK-881, the program office
develops a program WBS and a contract WBS for
each contract. The program WBS is the WBS that
represents the total system, i.e., the WBS that
describes the system architecture. The contract
WBS is the part of the program WBS that relates
to deliverables and tasks of a specific contract.
The enabling product part of the system includes

the products and services required to develop,
produce, and support the end product(s). This part
of the WBS includes the horizontal elements of
the system architecture (exclusive of the end products), and identifies all the products and services
necessary to support the life cycle needs of the
product. Figure 9-3 shows an example of the top
three levels of a complete WBS tree.
MIL-HDBK-881 is used by the program office to

support the systems engineering process in developing the first three levels of the program WBS,
and to provide contractors with guidance for lower
level WBS development. As with most standards
and handbooks, use of MIL-HDBK-881 cannot be
specified as a contract requirement.
Contract WBS
Though WBS development is a systems engineering activity, it impacts cost and budget professionals, as well as contracting officers. An integrated
team representing these stakeholders should be
formed to support WBS development.
A contract WBS is developed by the program office

in preparation for contracting for work required to
develop the system. It is further developed by the
contractor after contract award. The contract WBS
is that portion of the program WBS that is specifically being tasked through the contract. A simple
example of a contract WBS derived from the
program WBS shown in Figure 9-2 is provided by
Figure 9-4. Figure 9-4, like Figure 9-2, only
includes the product part of the contract WBS. A
WBS Anatomy
A program WBS has an end product part and an
enabling product part. The end product part of the
Level 1
Level 2
Level 3
System
Air Vehicle
1.0
Air Frame
1.1
Propulsion
1.2
Fire Control
1.3
Etc.
1.n
Figure 9-2. Program WBS The Product Part (Physical Architecture)
87
Chapter 9
Aircraft Systems WBS

(MIL-HDBK-881)
Aircraft System
Level 1
Level 2
Air
Vehicle
SE/
Program
Mgmt
System
T&E
Training
Data
Peculiar
Support
Equipment
Airframe
DT&E
Equipment
Tech Pubs
Propulsion
OT&E
Services
Engrg Data
Mockups
Facilities
System Software
T&E
Support
Support
Data
Com/Identification
Navigation/Guidance
Data
Depository
Central Computer
Op/Site
Activation
Test and
Test and
Sys
Measuremt Measuremt Assembly,
Equipment Equipment Installation
and
Support
Support
Checkout
and
and
on Site
Handling
Handling
Equipment Equipment Contractor
Tech Support
Management Data
Test
Facilities
Common
Support
Equipment
Industrial
Facilities
Initial
Spares and
Initial
Repair
Parts
Construction/Conversion/Expan- (Specify by
Allowance
sion
List,
Equipment Grouping
Acquisition or H/W
or Mod
Element)
Maintenance
Site
Construction
Fire Control
Site/Ship
Vehicle
Conversion
Data Display and Controls

Survivability
Reconnaissance
Automatic Flight Control
Central Integrated Checkout
Level 3
Antisubmarine Warfare
Armament
Weapons Delivery
Auxiliary Equipment
Figure 9-3. The Complete Work Breakdown Structure
is used to organize and identify contractor tasks.

The program offices preliminary version is used
to develop a SOW for the Request for Proposals.
complete contract WBS would include associated

enabling products, similar to those identified in
Figure 9-3. The resulting complete contract WBS
Level 1
Radar
Receiver
Fire Control
Level 2
Transmitter
Antenna
Figure 94. Contract WBS
88
Radar S/W
Level 3
Chapter 9
9.3 DESIGNING AND TRACKING WORK
WBS Dictionary
A prime use of the WBS is the design and tracking

of work. The WBS is used to establish what work
is necessary, a logical decomposition down to work
packages, and a method for organizing feedback.
As shown by Figure 9-5, the WBS element is
matrixed against those organizations in the company responsible for the task. This creates cost
accounts and task definition at a detailed level. It
allows rational organization of integrated teams
and other organizational structures by helping
establish what expertise and functional support is
required for a specific WBS element. It further
allows precise tracking of technical and other
management.
As part of the work and cost control use of the

WBS, a Work Breakdown Dictionary is developed.
For each WBS element a dictionary entry is prepared that describes the task, what costs (activities) apply, and the references to the associated
Contract Line Item Numbers and SOW paragraph.
An example of a level 2 WBS element dictionary
entry is shown as Figure 9-6.
9.4 SUMMARY POINTS

The WBS is an essential tool for the organization and coordination of systems engineering
Aircraft System
Product
Engineering
Airframe
Manufacturing
Training
Receiver
Group
Antenna
Xmtr
Group
Cost
Account
Cost
Account
Cost
Account
Test
Fire
Control
Propulsion
Work Packages
Feed Horn
Machining
Fabrication
Cost
Account
Cost
Account
Cost
Account
Set-Ups
Cost
Account
Cost
Account
Cost
Account
Test
Company
Organizational Structure
Assembly
Radar
Training
Air
Vehicle
Figure 9-5. WBS Control Matrix
89
Labor
Material
Other Direct Costs
Waveguide
Bending
Index Item No. 2

WBS Title
A10100
Air Vehicle
Revision No.
CONTRACT NUMBER
F33657-72-C-0923
WBS Level 2
WBS Element
Date
Chg
Chapter 9
Revision Auth
Contract
Line Item:
0001, 0001AA, 0001AB, 0001AC, 0001AD
0001AE, 0001AF, 0001AG, 0001AH
Approved
Specification No. Specification Title:

Prime Item Development
689E078780028
Specification for AGM 86A Air Vehicle/
Airframe
Element Task Description
Cost Description
MPC/PMC
A10100
Technical Content:
The Air Vehicle element task description refers to the effort
required to develop, fabricate, integrate and test the
airframe segment, portions of the Navigation/Guidance
element, and Airborne Development Test Equipment and
Airborne Operational Test Equipment and to the integration assembly and check-out of these complete elements,
together with the Engine Segment, to produce the
complete Air Vehicle. The lower-level elements included
and summarized in the Air Vehicle element are:
Airframe Segment (A11100), Navigation/Guidance
Segment (A32100), Airborne Development Test
Equipment (A61100), and Airborne Operational Test
Equipment (A61200).
Work Order/Work Auth

See lower level
WBS Elements
Cost Content System Contractor

The cost to be accumulated against this element includes
a summarization of all costs required to plan, develop,
fabricate, assemble, integrate and perform development
testing, analysis and reporting for the air vehicle. It also
includes all costs associated with the required efforts in
integrating, assembling and checking our GFP required to
create this element.
Applicable SOW Paragraph
3.6.2
Figure 9-6. Work Breakdown Dictionary
processes, and it is a product of the systems

contractors develop the lower levels of the

contract WBS associated with their contract.
Its importance extends beyond the technical

community to business professionals and contracting officers. The needs of all stakeholders
must be considered in its development. The program office develops the program WBS and a
high-level contract WBS for each contract. The
The system architecture provides the structure

for a program WBS. SOW tasks flow from this
WBS.
The WBS provides a structure for organizing
IPTs and tracking metrics.
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Chapter 10
CHAPTER 10
CONFIGURATION
MANAGEMENT
of configuration control authority corresponding
to the baseline structure. Since lower level baselines
have to conform to a higher-level baseline, changes
at the lower levels must be examined to assure they
do not impact a higher-level baseline. If they do,
they must be approved at the highest level impacted. For example, suppose the only engine
turbine assembly affordably available for an engine
development cannot provide the continuous operating temperature required by the allocated baseline. Then not only must the impact of the change
at the lower level (turbine) be examined, but the
change should also be reviewed for possible impact on the functional baseline, where requirements
such as engine power and thrust might reside.
10.1 FOUNDATIONS
Configuration Defined
A configuration consists of the functional, physical, and interface characteristics of existing or
planned hardware, firmware, software or a combination thereof as set forth in technical documentation and ultimately achieved in a product. The configuration is formally expressed in relation to a
Functional, Allocated, or Product configuration
baseline as described in Chapter 8.
Configuration management permits the orderly
development of a system, subsystem, or configuration item. A good configuration management program ensures that designs are traceable to requirements, that change is controlled and documented,
that interfaces are defined and understood, and that
there is consistency between the product and its
supporting documentation. Configuration management provides documentation that describes what
is supposed to be produced, what is being produced,
what has been produced, and what modifications
have been made to what was produced.
Configuration management is supported and

performed by integrated teams in an Integrated
Product and Process Development (IPPD) environment. Configuration management is closely
associated with technical data management and
interface management. Data and interface management is essential for proper configuration management, and the configuration management effort has
to include them.
DoD Application of
Configuration management is performed on

baselines, and the approval level for configuration
modification can change with each baseline. In a
typical system development, customers or user
representatives control the operational requirements and usually the system concept. The developing agency program office normally controls the
functional baseline. Allocated and product baselines can be controlled by the program office, the
producer, or a logistics agent depending on the life
cycle management strategy. This sets up a hierarchy
During the development contract, the Government

should maintain configuration control of the
functional and performance requirements only,
giving contractors responsibility for the detailed
design. (SECDEF Memo of 29 Jun 94.) This implies government control of the Functional (system requirements) Baseline. Decisions regarding
whether or not the government will take control of
the lower-level baselines (allocated and product
baselines), and when ultimately depends on the
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Chapter 10
requirements and strategies needed for the particular program. In general, government control of
lower-level baselines, if exercised, will take place
late in the development program after design has
stabilized.
related CIs. The decision to place an item, or items,

under formal configuration control results in:
Separate specifications,
Formal approval of changes,
Configuration Management Planning

Discrete records for configuration status
accounting,
When planning a configuration management effort you should consider the basics: what has to be
done, how should it be done, who should do it,
when should it be done, and what resources are
required. Planning should include the organizational and functional structure that will define the
methods and procedures to manage functional and
physical characteristics, interfaces, and documents
of the system component. It should also include
statements of responsibility and authority, methods of control, methods of audit or verification,
milestones, and schedules. EIA IS-649, National
Consensus Standard for Configuration Management, and MIL-HDBK-61 can be used as planning guidance.
Individual design reviews and configuration

audits,
Discrete identifiers and name plates,
Separate qualification testing, and
Separate operating and user manuals.
10.2 CONFIGURATION MANAGEMENT

STRUCTURE
Configuration management comprises four
interrelated efforts:
Configuration Item (CI)

A key concept that affects planning is the configuration item (CI). CI decisions will determine what
configurations will be managed. CIs are an aggregation of hardware, firmware, or computer software, or any of their discrete portions, which satisfies an end-use function and is designated for
separate configuration management. Any item
required for logistic support and designated for
separate procurement is generally identified as CI.
Components can be designated CIs because of
crucial interfaces or the need to be integrated with
operation with other components within or outside of the system. An item can be designated CI
if it is developed wholly or partially with government funds, including nondevelopmental items
(NDI) if additional development of technical data
is required. All CIs are directly traceable to the
WBS.
Identification,
Impact of CI Designation
Selection of the CIs,
CI designation requires a separate configuration

management effort for the CI, or groupings of
Determination of the types of configuration

documentation required for each CI,
Control,
Status Accounting, and
Audits.
Also directly associated with configuration management are data management and interface management. Any configuration management planning
effort must consider all six elements.
Identification
Configuration Identification consists of documentation of formally approved baselines and
specifications, including:
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Chapter 10
Documenting the functional and physical

characteristics of each CI,
Change Documents Used for

Government Controlled Baselines
Establishing interface management procedures,

organization, and documentation,
There are three types of change documents used

to control baselines associated with government
configuration management: Engineering Change
Proposal, Request for Deviation, and Request for
Waivers.
Issuance of numbers and other identifiers

associated with the system/CI configuration
structure, including internal and external
interfaces, and
Engineering Change Proposals (ECP) identify

need for a permanent configuration change.
Upon approval of an ECP a new configuration
is established.
Distribution of CI identification and related

configuration documentation.
Configuration Documentation
Requests for Deviation or Waiver propose a

temporary departure from the baseline. They
allow for acceptance of non-conforming
material. After acceptance of a deviation or
waiver the documented configuration remains
unchanged.
Configuration documentation is technical documentation that identifies and defines the items
functional and physical characteristics. It is
developed, approved, and maintained through three
distinct evolutionary increasing levels of detail. The
three levels of configuration documentation form
the three baselines and are referred to as functional,
allocated, and product configuration documentation. These provide the specific technical description of a system or its components at any point in
time.
Engineering Change Proposal (ECP)

An ECP is documentation that describes and
suggests a change to a configuration baseline. Separate ECPs are submitted for each change that has a
distinct objective. To provide advanced notice and
reduce paperwork, Preliminary ECPs or Advance
Change/Study Notices can be used preparatory to
issue of a formal ECP. Time and effort for the
approval process can be further reduced through
use of joint government and contractor integrated
teams to review and edit preliminary change
proposals.
Configuration Control
Configuration Control is the systematic proposal,
justification, prioritization, evaluation, coordination, approval or disapproval, and implementation
of all approved changes in the configuration of a
system/CI after formal establishment of its
baseline. In other words, it is how a system (and
its CIs) change control process is executed and
managed.
ECPs are identified as Class I or Class II. Class I

changes require government approval before
changing the configuration. These changes can
result from problems with the baseline requirement, safety, interfaces, operating/servicing capability, preset adjustments, human interface including skill level, or training. Class I changes can also
be used to upgrade already delivered systems to
the new configuration through use of retrofit, mod
kits, and the like. Class I ECPs are also used to
change contractual provisions that do not directly
impact the configuration baseline; for example,
changes affecting cost, warranties, deliveries, or
Configuration Control provides management

visibility, ensures all factors associated with a
proposed change are evaluated, prevents unnecessary or marginal changes, and establishes change
priorities. In DoD it consists primarily of a
change process that formalizes documentation and
provides a management structure for change
approval.
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Chapter 10
Classification
Class I
Class II
Justification Codes
D Correction of deficiency
S Safety
B Interface
Types
Preliminary
Formal
C Compatibility
O OPS or log support
R Cost reduction
Priorities
Emergency
Urgent
Routine
V Value engineering
P Production stoppage
A Record only
Figure 10-1. ECP Designators
indicates the change is not viable. The approach

used for preliminary ECPs vary in their form and
name. Both Preliminary ECPs and Advanced
Change/Study Notices have been used to formalize this process, but forms tailored to specific
programs have also been used.
data requirements. Class I ECPs require program

office approval, which is usually handled through
a formal Configuration Control Board, chaired by
the government program manager or delegated
representative.
Class II changes correct minor conflicts, typos, and
other housekeeping changes that basically correct the documentation to reflect the current configuration. Class II applies only if the configuration is not changed when the documentation is
changed. Class II ECPs are usually handled by the
in-plant government representative. Class II ECPs
generally require only that the government concurs that the change is properly classified. Under
an initiative by the Defense Contract Management
Command (DCMC), contractors are increasingly
delegated the authority to make ECP classification
decisions.
Configuration Control Board (CCB)

A CCB is formed to review Class I ECPs for
approval, and make a recommendation to approve
or not approve the proposed change. The CCB
chair, usually the program manager, makes the final
decision. Members advise and recommend, but the
authority for the decision rests with the chair. CCB
membership should represent the eight primary
functions with the addition of representation of the
procurement office, program control (budget), and
Configuration Control manager, who serves as the
CCB secretariat.
Figure 10-1 shows the key attributes associated

with ECPs. The preliminary ECP, mentioned in
Figure 10-1, is a simplified version of a formal
ECP that explains the proposed ECP, and
establishes an approximate schedule and cost for
the change. The expense of an ECP development
is avoided if review of the Preliminary ECP
The CCB process is shown in Figure 10-2. The

process starts with the contractor. A request to the
contractor for an ECP or Preliminary ECP is
necessary to initiate a government identified
configuration change. The secretariats review
process includes assuring appropriate government
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Chapter 10
CCB Review
CCB Secretariat
(Configuration
Manager)
Engineering Change
Proposal (ECP)
Chairman (PM)
User Command
Training Command
Log Command
Engineering
Procurement
Program Control
Test
Config Mgmt
Safety
Maintenance
CCB
Directive
Other
implementing
activities
Contracting
Officer
Alteration in approved
CM docs CI or
contractural provision
Contractor
Begins and
ends process
Figure 10-2. Configuration Control Board
All pertinent information is available for review;
contractual and engineering review is done prior

to receipt by the CCB.
The ECP has been reviewed by appropriate

functional activities; and
CCB Management Philosophy

The CCB process is a configuration control process, but it is also a contractual control process.
Decisions made by the CCB chair affects the contractual agreement and program baseline as well
as the configuration baseline. Concerns over contractual policy, program schedule, and budget can
easily come into conflict with concerns relating to
configuration management, technical issues, and
technical activity scheduling. The CCB technical
membership and CCB secretariat is responsible to
provide a clear view of the technical need and the
impact of alternate solutions to these conflicts. The
CCB secretariat is further responsible to see that
the CCB is fully informed and prepared, including
ensuring that:
Issues have been identified and addressed.
A government/contractor engineering working

group has analyzed the ECP and supporting data,
prepared comments for CCB consideration, and
is available to support the CCB;
Documentation affected (drawings, specifications, technical manuals, etc.), associated cost,

and schedule completion date; and
CCB Documentation
Once the CCB chair makes a decision concerning
an ECP, the CCB issues a Configuration Control
Board Directive that distributes the decision and
identifies key information relating to the implementation of the change:
Implementation plan (who does what when);
Contracts affected (prime and secondary);
Dates of incorporation into contracts;
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Chapter 10
Identification of any orders or directives needed

to be drafted and issued.
The configuration of all units, including those

in the operational inventory.
Request for Deviation or Waiver
Purpose of Configuration Status Accounting
A deviation is a specific written authorization,

granted prior to manufacture of an item, to depart
from a performance or design requirement for a
specific number of units or a specific period of
time.
Configuration Status Accounting provides information required for configuration management by:
Collecting and recording data concerning:
Baseline configurations,
Proposed changes, and
Approved changes.
A waiver is a written authorization to accept a CI

that departs from specified requirements, but is
suitable for use as is or after repair.
Disseminating information concerning:

Approved configurations,
Status and impact of proposed changes,
Requirements, schedules, impact and
status of approved changes, and
Current configurations of delivered items.
Requests for deviation and waivers relate to a temporary baseline departure that can affect system
design and/or performance. The baseline remains
unchanged and the government makes a determination whether the alternative non-conforming
configuration results in an acceptable substitute.
Acceptable substitute usually implies that there will
be no impact on support elements, systems affected
can operate effectively, and no follow-up or correction is required. The Federal Acquisition Regulations (FAR) requires consideration on government contracts when the Government accepts a
non-conforming unit.
Audits
Configuration Audits are used to verify a system
and its components conformance to their configuration documentation. Audits are key milestones
in the development of the system and do not stand
alone. The next chapter will show how they fit in
the overall process of assessing design maturity.
The distinction between Request for Deviation and

Request for a Waiver is that a deviation is used
before final assembly of the affected unit, and a
waiver is used after final assembly or acceptance
testing of the affected unit.
Functional Configuration Audits (FCA) and the

System Verification Review (SVR) are performed
in the Production Readiness and LRIP stage of
the Production and Development Phase. FCA
is used to verify that actual performance of the
configuration item meets specification requirements. The SVR serves as system-level audit after
FCAs have been conducted.
Status Accounting
Configuration Status Accounting is the recording
and reporting of the information that is needed to
manage the configuration effectively, including:
The Physical Configuration Audit (PCA) is normally held during Rate Production and Development stage as a formal examination of a production representative unit against the draft technical data package (product baseline documentation).
A listing of the approved configuration documentation,

The status of proposed changes, waivers and
deviations to the configuration identification,
Most audits, whether FCA or PCA, are today

approached as a series of rolling reviews in which
items are progressively audited as they are produced such that the final FCA or PCA becomes
The implementation status of approved changes,

and
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Chapter 10
significantly less oppressive and disruptive to the

normal flow of program development.
program office (external and selected top-level

interfaces) or prime contractor (internal interfaces)
generally designates the chair.
10.3 INTERFACE MANAGEMENT
Interface Control Documentation (ICD)
Interface Management consists of identifying the

interfaces, establishing working groups to manage
the interfaces, and the groups development of interface control documentation. Interface Management identifies, develops, and maintains the external and internal interfaces necessary for system
operation. It supports the configuration management effort by ensuring that configuration
decisions are made with full understanding of their
impact outside of the area of the change.
Interface Control Documentation includes Interface Control Drawings, Interface Requirements

Specifications, and other documentation that
depicts physical and functional interfaces of related
or co-functioning systems or components. ICD is
the product of ICWGs or comparable integrated
teams, and their purpose is to establish and maintain compatibility between interfacing systems or
components.
Open Systems Interface Standards
Interface Identification
To minimize the impact of unique interface
designs, improve interoperability, maximize the
use of commercial components, and improve the
capacity for future upgrade, an open-systems approach should be a significant part of interface
control planning. The open-systems approach involves selecting industry-recognized specifications
and standards to define system internal and external interfaces. An open system is characterized by:
An interface is a functional, physical, electrical,

electronic, mechanical, hydraulic, pneumatic, optical, software, or similar characteristic required
to exist at a common boundary between two or
more systems, products, or components. Normally,
in a contractual relationship the procuring agency
identifies external interfaces, sets requirements for
integrated teams, and provides appropriate personnel for the teams. The contracted design agent or
manufacturer manages internal interfaces; plans,
organizes, and leads design integrated teams; maintains internal and external interface requirements;
and controls interfaces to ensure accountability and
timely dissemination of changes.
Increased use of functional partitioning and

modular design to enhance flexibility of
component choices without impact on interfaces,
Use of well-defined, widely used, non-proprietary interfaces or protocols based on standards
developed or adopted by industry recognized
standards institutions or professional societies,
and
Interface Control Working Group (ICWG)

The ICWG is the traditional forum to establish
official communications link between those
responsible for the design of interfacing systems
or components. Within the IPPD framework
ICWGs can be integrated teams that establish linkage between interfacing design IPTs, or could be
integrated into a system-level engineering working group. Membership of ICWGs or comparable
integrated teams should include membership from
each contractor, significant vendors, and participating government agencies. The procuring
Explicit provision for expansion or upgrading

through the incorporation of additional or
higher performance elements with minimal
impact on the system.
DoD mandatory guidance for information technology standards is in the Joint Technical Architecture.
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Chapter 10
10.4 DATA MANAGEMENT
Data Call for Government Contracts
Data management documents and maintains the

database reflecting system life cycle decisions,
methods, feedback, metrics, and configuration
control. It directly supports the configuration status accounting process. Data Management governs
and controls the selection, generation, preparation,
acquisition, and use of data imposed on contractors.
As part of the development of an Invitation for Bid

or Request for Proposals, the program office issues a letter that describes the planned procurement and asks integrated team leaders and effected
functional managers to identify and justify their
data requirements for that contract. A description
of each data item needed is then developed by the
affected teams or functional offices, and reviewed
by the program office. Data Item Descriptions,
located in the Acquisition Management Systems
Data List (AMSDL) (see Chapter 8) can be used
for guidance in developing these descriptions.
Data Required By Contract

Data is defined as recorded information, regardless of form or characteristic, and includes all the
administrative, management, financial, scientific,
engineering, and logistics information and documentation required for delivery from the contractor. Contractually required data is classified as one
of three types:
Concurrent with the DoD policy on specifications

and standards, there is a trend to avoid use of standard Data Item Descriptions on contracts, and
specify the data item with a unique tailored data
description referenced in the Contract Data
Requirements List.
Type I: Technical data

Type II: Non-technical data
10.5 SUMMARY POINTS

Type III: One-time use data (technical or nontechnical)
Configuration management is essential to control the system design throughout the life cycle.
Data is acquired for two basic purposes:

Use of integrated teams in an IPPD environment is necessary for disciplined configuration
management of complex systems.
Information feedback from the contractor for

program management control, and
Decision making information needed to
manage, operate, and support the system (e.g.,
specifications, technical manuals, engineering
drawings, etc.).
Technical data management is essential to trace

decisions and changes and to document designs,
processes and procedures.
Interface management is essential to ensure that
system elements are compatible in terms of
form, fit, and function.
Data analysis and management is expensive and

time consuming. Present DoD philosophy requires
that the contractor manage and maintain significant portions of the technical data, including the
Technical Data Package (TDP). Note that this does
not mean the government isnt paying for its
development or shouldnt receive a copy for postdelivery use. Minimize the TDP cost by requesting the contractors format (for example, accepting the same drawings they use for production),
and asking only for details on items developed with
government funds.
Three configuration baselines are managed:

Functional (System level)
Allocated (Design To)
Product (Build To/As Built)
Configuration management is a shared responsibility between the government and the contractor.
Contract manager (CM) key elements are Identification, Control, Status Accounting, and Audits.
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Technical Reviews and Audits
CHAPTER 11
TECHNICAL REVIEWS
AND AUDITS
11.1 PROGRESS MEASUREMENT
Establishing a common configuration baseline

from which to proceed to the next level of
design, and
The Systems Engineer measures design progress

and maturity by assessing its development at key
event-driven points in the development schedule.
The design is compared to pre-established exit
criteria for the particular event to determine if the
appropriate level of maturity has been achieved.
These key events are generally known as Technical
Reviews and Audits.
Recording design decision rationale in the

decision database.
Formal technical reviews are preceded by a series
of technical interchange meetings where issues,
problems and concerns are surfaced and addressed.
The formal technical review is NOT the place for
problem solving, but to verify problem solving has
been done; it is a process rather than an event!
A system in development proceeds through a

sequence of stages as it proceeds from concept to
finished product. These are referred to as levels
of development. Technical Reviews are done after
each level of development to check design maturity, review technical risk, and determines whether
to proceed to the next level of development. Technical Reviews reduce program risk and ease the
transition to production by:
Planning
Planning for Technical Reviews must be extensive
and up-front-and-early. Important considerations
for planning include the following:
Timely and effective attention and visibility into
the activities preparing for the review,
Assessing the maturity of the design/development effort,

Clarifying design requirements,
Identification and allocation of resources

necessary to accomplish the total review effort,
Challenging the design and related processes,
Tailoring consistent with program risk levels,
Checking proposed design configuration

against technical requirements, customer needs,
and system requirements,
Scheduling consistent with availability of

appropriate data,
Establishing event-driven entry and exit criteria,
Evaluating the system configuration at different

stages,
Where appropriate, conduct of incremental

reviews,
Providing a forum for communication, coordination, and integration across all disciplines and
IPTs,
Implementation by IPTs,
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Review of all system functions, and
Planning Tip: Develop a check list of pre-review,

review, and post-review activities required. Develop check lists for exit criteria and required level
of detail in design documentation. Include key
questions to be answered and what information
must be available to facilitate the review process.
Figure 11-1 shows the review process with key
activities identified.
Confirmation that all system elements are

integrated and balanced.
The maturity of enabling products are reviewed
with their associated end product. Reviews should
consider the testability, producibility, training, and
supportability for the system, subsystem or
configuration item being addressed.
11.2 TECHNICAL REVIEWS

The depth of the review is a function of the complexity of the system, subsystem, or configuration
item being reviewed. Where design is pushing
state-of-the-art technology the review will require
a greater depth than if it is for a commercial offthe-shelf item. Items, which are complex or an
application of new technology, will require a more
detailed scrutiny.
Technical reviews are conducted at both the system level and at lower levels (e.g., sub-system).
This discussion will focus on the primary systemlevel reviews. Lower-level reviews may be thought
of as events that support and prepare for the system-level events. The names used in reference to
During
Before
After
Follow-up
Resolve
Review
Pre-review
Familiarize
Plan
Have overview
meeting
Identify
participants
Assign roles
and tasks
Establish
guidelines and
procedures
Establish and
use entry
criteria
Establish exit
criteria based
on the eventdriven schedule
Individual and
team reviews
Examine data
Analyze data
Track and
document
analysis
Assign
responsibility
Individual and
team reviews
Facilitate and
pace meeting
Examine review
data and
analyses
record and
classify findings
Address key
issues identified by prereview activity
Assess severity
of problems
Identify action
items
Figure 11-1. Technical Review Process
100
Track action
items and
issues
Track action
item completion
trends
Document and
distribute
results of
review and
action item
completions
Chapter 11
reviews is unimportant; however, it is important

that reviews be held at appropriate points in program development and that both the contractor and
government have common expectations regarding
the content and outcomes.
schedules, design and test data, trade studies, risk

analysis, effectiveness analyses, mock-ups, breadboards, in-process and finished hardware, test
methods, technical plans (Manufacturing, Test,
Support, Training), and trend (metrics) data. Reviews should be brief and follow a prepared agenda
based on the pre-review analysis and assessment
of where attention is needed.
Conducting Reviews
Reviews are event-driven, meaning that they are
to be conducted when the progress of the product
under development merits review. Forcing a review
(simply based on the fact that a schedule developed earlier) projected the review at a point in time
will jeopardize the reviews legitimacy. Do the
work ahead of the review event. Use the review
event as a confirmation of completed effort. The
data necessary to determine if the exit criteria are
satisfied should be distributed, analyzed, and
analysis coordinated prior to the review. The type
of information needed for a technical review
would include: specifications, drawings, manuals,
ORD
Item
Design
Rqmts
SYS
CI
A review is the confirmation of a process. New

items should not come up at the review. If significant items do emerge, its a clear sign the review is
Sys
Tech
Rqmts
System
Definition
MS
Only designated participants should personally

attend. These individuals should be those that were
involved in the preparatory work for the review
and members of the IPTs responsible for meeting
the event exit criteria. Participants should include
representation from all appropriate government
activities, contractor, subcontractors, vendors and
suppliers.
Detailed
Design
Rqmts
LRIP
CE
CAD
Integration
Demonstration
Prod Readiness
Block I
Rate Prod
Tech Reviews
ASR
Documents
Sys Perf Spec
Item Perf Specs
SRR
SFR
CDR
SVR
FCA
draft
Item Detail/TDP
Baselines
Functional
PDR
Contractor
Government
Allocated
Product
Figure 11-2. Phasing of Technical Reviews
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PCA
Chapter 11
being held prematurely, and project risk has just

increased significantly. A poorly orchestrated and
performed technical review is a significant
indicator of management problems.
These stages are the levels of development referred to in this chapter. System-level technical
reviews are generally timed to correspond to the
transition from one level of development to another. The technical review is the event at which
the technical manager verifies that the technical
maturity of the system or item under review is sufficient to justify passage into the subsequent phase
of development, with the concomitant commitment
of resources required.
Action items resulting from the review are documented and tracked. These items, identified by
specific nomenclature and due dates, are prepared
and distributed as soon as possible after the review.
The action taken is tracked and results distributed
as items are completed.
As the system or product progresses through

development, the focus of technical assessment
takes different forms. Early in the process, the primary focus is on defining the requirements on
which subsequent design and development activities will be based. Similarly, technical reviews
conducted during the early stages of development are almost always focused on ensuring that
the top-level concepts and system definitions
reflect the requirements of the user. Once systemlevel definition is complete, the focus turns to design at sub-system levels and below. Technical reviews during these stages are typically design reviews that establish design requirements and then
Phasing of Technical Reviews

As a system progresses through design and development, it typically passes from a given level of
development to another, more advanced level of
development. For example, a typical system will
pass from a stage where only the requirements are
known, to another stage where a conceptual
solution has been defined. Or it may pass from a
stage where the design requirements for the
primary subsystems are formalized, to a stage
where the physical design solutions for those
requirements are defined. (See Figure 11-2.)
Alternative System Review

Requirements
Reviews
System Requirements Review

System Functional Review
Design
Reviews
Preliminary Design Review

(includes System Software Specification Review)
Critical Design Review

Test Readiness Review
Production Readiness Review
Verification
Reviews

System Verification Review
Figure 11-3. Typical System-Level Technical Reviews
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verify that physical solutions are consistent with

those requirements. In the final stages of development, technical reviews and audits are conducted
to verify that the products produced meet the requirements on which the development is based.
Figure 11-3 summarizes the typical schedule of
system-level reviews by type and focus.
Specific system-level technical reviews are known

by many different names, and different engineering standards and documents often use different nomenclature when referring to the same
review. The names used to refer to technical
reviews are unimportant; however, it is important
to have a grasp of the schedule of reviews that is
normal to system development and to have an
understanding of what is the focus and purpose of
those reviews. The following paragraphs outline a
schedule of reviews that is complete in terms of
assessing technical progress from concept through
production. The names used were chosen because
they seemed to be descriptive of the focus of the
activity. Of course, the array of reviews and the
focus of individual reviews is to be tailored to the
specific needs of the program under development,
so not all programs should plan on conducting all
of the following reviews.
Another issue associated with technical reviews,

as well as other key events normally associated
with executing the systems engineering process,
is when those events generally occur relative to
the phases of the DoD acquisition life-cycle
process. The timing of these events will vary somewhat from program to program, based upon the
explicit and unique needs of the situation; however, Figure 11-4 shows a generalized concept of
how the technical reviews normal to systems
engineering might occur relative to the acquisition
life-cycle phases.
CE
CAD
Integration
Demonstration
Prototype Demos
LRIP
Rate
Sustainment
EDMs
Test
ASR
Configuration Definition
SRR
Systems
Engineering
Activities
SFR
TRR
PDR
De
si
gn
CDR
e,
at
ic
r
b
Fa
te
ra
g
te
In
&
st
Te FCA
PCA
SVR
REQUIREMENTS
REVIEW
Pre-Systems
Acquisition
Systems Acquisition
(Engineering Development, Demonstration,
LRIP and Production)
Sustainment and
Maintenance
All validated by JROC
MNS
ORD
Relationship to Requirements Process
Figure 11-4. Relationship of Systems Engineering Events

to Acquisition Life Cycle Phases
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Alternative Systems Review (ASR)
Development in the revised acquisition life-cycle

process) is the stage during which system-level architectures are defined and any necessary advanced
development required to assess and control technical risk is conducted. As the system passes into
the acquisition process, i.e., passes a Milestone B
and enters System Development and Demonstration, it is appropriate to conduct a SRR. The SRR
is intended to confirm that the users requirements
have been translated into system specific technical requirements, that critical technologies are identified and required technology demonstrations are
planned, and that risks are well understood and
mitigation plans are in place. The draft system
specification is verified to reflect the operational
requirements.
After the concept studies are complete a preferred

system concept is identified. The associated draft
System Work Breakdown Structure, preliminary
functional baseline, and draft system specification
are reviewed to determine feasibility and risk.
Technology dependencies are reviewed to ascertain the level of technology risk associated with
the proposed concepts. This review is conducted
late during the Concept Exploration stage of the
Concept and Technology Development Phase of
the acquisition process to verify that the preferred
system concept:
Provides a cost-effective, operationally-effective
and suitable solution to identified needs,
All relevant documentation should be reviewed,

including:
Meets established affordability criteria, and

Can be developed to provide a timely solution
to the need at an acceptable level of risk.
System Operational Requirements,

Draft System Specification and any initial draft
Performance Item Specifications,
The findings of this review are a significant input

to decision review conducted after Concept
Exploration to determine where the system should
enter in the life-cycle process to continue development. This determination is largely based on
technology and system development maturity.
Functional Analysis (top level block diagrams),

Feasibility Analysis (results of technology
assessments and trade studies to justify system
design approach),
It is important to understand that the path of the

system through the life-cycle process will be
different for systems of different maturities. Consequently, the decision as whether or not to conduct
the technical reviews that are briefly described in
the following paragraphs is dependent on the extent
of design and development required to bring the
system to a level of maturity that justifies producing
and fielding it.
System Maintenance Concept,

Significant system design criteria (reliability,
maintainability, logistics requirements, etc.),
System Engineering Planning,
Test and Evaluation Master Plan,
System Requirements Review (SRR)
Draft top-level Technical Performance Measurement, and
If a system architecture system must be developed

and a top-down design elaborated, the system will
pass through a number of well-defined levels of
development, and that being the case, a wellplanned schedule of technical reviews is imperative. The Component Advanced Development stage
(the second stage of Concept and Technology
System design documentation (layout drawings,

conceptual design drawings, selected supplier
components data, etc.).
The SRR confirms that the system-level requirements are sufficiently well understood to permit
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the developer (contractor) to establish an initial system level functional baseline. Once that baseline is
established, the effort begins to define the functional, performance, and physical attributes of the items
below system level and to allocate them to the
physical elements that will perform the functions.
Functional Analysis and Allocation of requirements to items below system level,

Draft Item Performance and some Item Detail
Specifications,
Design data defining the overall system,
System Functional Review (SFR)

Verification that the risks associated with the
system design are at acceptable levels for
engineering development,
The process of defining the items or elements

below system level involves substantial engineering effort. This design activity is accompanied by
analysis, trade studies, modeling and simulation,
as well as continuous developmental testing to
achieve an optimum definition of the major elements that make up the system, with associated
functionality and performance requirements. This
activity results in two major systems engineering
products: the final version of the system performance specification and draft versions of the
performance specifications, which describe the
items below system level (item performance specifications). These documents, in turn, define the
system functional baseline and the draft allocated
baseline. As this activity is completed, the system
has passed from the level of a concept to a welldefined system design, and, as such, it is appropriate to conduct another in the series of technical
reviews.
Verification that the design selections have been

optimized through appropriate trade study
analyses,
Supporting analyses, e.g., logistics, human systems integration, etc., and plans are identified
and complete where appropriate,
Technical Performance Measurement data and
analysis, and
Plans for evolutionary design and development
are in place and that the system design is
modular and open.
Following the SFR, work proceeds to complete the
definition of the design of the items below system
level, in terms of function, performance, interface
requirements for each item. These definitions are
typically captured in item performance specifications, sometimes referred to as prime item development specifications. As these documents are
finalized, reviews will normally be held to verify
that the design requirements at the item level reflect
the set of requirements that will result in an
acceptable detailed design, because all design work
from the item level to the lowest level in the system
will be based on the requirements agreed upon at
the item level. The establishment of a set of final
item-level design requirements represents the definition of the allocated baseline for the system.
There are two primary reviews normally associated with this event: the Software Specification
Review (SSR), and the Preliminary Design Review
(PDR).
The SFR will typically include the tasks listed

below. Most importantly, the system technical
description (Functional Baseline) must be approved as the governing technical requirement
before proceeding to further technical development.
This sets the stage for engineering design and
development at the lower levels in the system
architecture. The government, as the customer,
will normally take control of and manage the
system functional baseline following successful
completion of the SFR.
The review should include assessment of the following items. More complete lists are found in
standards and texts on the subject.
Verification that the system specification
reflects requirements that will meet user
expectations.
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Software Specification Review (SSR)
Item Performance Specifications, including the

system software specification, which form the
core of the Allocated Baseline, will be confirmed
to represent a design that meets the System
Specification.
As system design decisions are made, typically

some functions are allocated to hardware items,
while others are allocated to software. A separate
specification is developed for software items to
describe the functions, performance, interfaces and
other information that will guide the design and
development of software items. In preparation for
the system-level PDR, the system software
specification is reviewed prior to establishing the
Allocated Baseline. The review includes:
This review is performed during the System

Development and Demonstration phase. Reviews
are held for configuration items (CIs), or groups
of related CIs, prior to a system-level PDR. Item
Performance Specifications are put under configuration control (Current DoD practice is for contractors to maintain configuration control over Item
Performance Specifications, while the government
exercises requirements control at the system
level). At a minimum, the review should include
assessment of the following items:
Review and evaluate the maturity of software

requirements,
Validation that the software requirements specification and the interface requirements specification reflect the system-level requirements
allocated to software,
Item Performance Specifications,

Draft Item Detail, Process, and Material
Specifications,
Evaluation of computer hardware and software

compatibility,
Design data defining major subsystems,

equipment, software, and other system
elements,
Evaluation of human interfaces, controls, and

displays
Assurance that software-related risks have been
identified and mitigation plans established,
Analyses, reports, ility analyses, trade studies, logistics support analysis data, and design
documentation,
Validation that software designs are consistent

with the Operations Concept Document,
Technical Performance Measurement data and

analysis,
Plans for testing, and

Engineering breadboards, laboratory models,
test models, mockups, and prototypes used to
support the design, and
Review of preliminary manuals.

Preliminary Design Review (PDR)
Supplier data describing specific components.

Using the Functional Baseline, especially the
System Specification, as a governing requirement,
a preliminary design is expressed in terms of design
requirements for subsystems and configuration
items. This preliminary design sets forth the functions, performance, and interface requirements that
will govern design of the items below system level.
Following the PDR, this preliminary design (Allocated Baseline) will be put under formal configuration control [usually] by the contractor. The
[Rough Rule of Thumb: ~15% of production drawings are released by PDR. This rule is anecdotal
and only guidance relating to an average defense
hardware program.]
Critical Design Review (CDR)
Before starting to build the production line there
needs to be verification and formalization of the
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Chapter 11
mutual understanding of the details of the item

being produced. Performed during the System
Development and Demonstration phase, this review evaluates the draft Production Baseline
(Build To documentation) to determine if the
system design documentation (Product Baseline,
including Item Detail Specs, Material Specs, Process Specs) is satisfactory to start initial manufacturing. This review includes the evaluation of all
CIs. It includes a series of reviews conducted for
each hardware CI before release of design to fabrication, and each computer software CI before
final coding and testing. Additionally, test plans
are reviewed to assess if test efforts are developing sufficiently to indicate the Test Readiness
Review will be successful. The approved detail
design serves as the basis for final production
planning and initiates the development of final
software code.
plete, comprehensive, and coordinated. PRRs are

necessary to determine the readiness for production prior to executing a production go-ahead
decision. They will formally examine the producibility of the production design, the control over
the projected production processes, and adequacy
of resources necessary to execute production.
Manufacturing risk is evaluated in relationship to
product and manufacturing process performance,
cost, and schedule. These reviews support acquisition decisions to proceed to Low-Rate Initial
Production (LRIP) or Full-Rate Production.
Functional Configuration Audit/ System
Verification Review (FCA)/(SVR)
This series of audits and the consolidating SVR
re-examines and verifies the customers needs, and
the relationship of these needs to the system and
subsystem technical performance descriptions
(Functional and Allocated Baselines). They determine if the system produced (including production representative prototypes or LRIP units) is
capable of meeting the technical performance
requirements established in the specifications, test
plans, etc. The FCA verifies that all requirements
established in the specifications, associated test
plans, and related documents have been tested and
that the item has passed the tests, or corrective
action has been initiated. The technical assessments
and decisions that are made in SVR will be presented to support the full-rate production go-ahead
decision. Among the issues addressed:
[Rough Rule of Thumb: At CDR the design should

be at least 85% complete. Many programs use
drawing release as a metric for measuring design
completion. This rule is anecdotal and only guidance relating to an average defense hardware
program.]
Test Readiness Review (TRR)
Typically performed during the System Demonstration stage of the System Development and
Demonstration phase (after CDR), the TRR assesses test objectives, procedures, and resources
testing coordination. Originally developed as a
software CI review, this review is increasingly
applied to both hardware and software items. The
TRR determines the completeness of test procedures and their compliance with test plans and
descriptions. Completion coincides with the
initiation of formal CI testing.
Readiness issues for continuing design, continuing verifications, production, training, deployment, operations, support, and disposal have
been resolved,
Verification is comprehensive and complete,
Production Readiness Reviews (PRR)
Configuration audits, including completion of all

change actions, have been completed for all CIs,
Performed incrementally during the System

Development and Demonstration and during the
Production Readiness stage of the Production and
Deployment phase, this series of reviews is held
to determine if production preparation for the system, subsystems, and configuration items is com-
Risk management planning has been updated

for production,
Systems Engineering planning is updated for
production, and
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Critical achievements, success criteria and

metrics have been established for production.
cases where system technical maturity is more

advanced than normal for the phase, for example,
where a previous program or an Advanced Technical Concept Demonstration (ACTD) has provided a significant level of technical development
applicable to the current program. In some cases
this will precipitate the merging or even elimination of acquisition phases. This does not justify
elimination of the technical management activities grouped under the general heading of systems
analysis and control, nor does it relieve the
government program manager of the responsibility to see that these disciplines are enforced. It does,
however, highlight the need for flexibility and
tailoring to the specific needs of the program under
development.
Physical Configuration Audit (PCA)

After full-rate production has been approved, follow-on independent verification (FOT&E) has
identified the changes the user requires, and those
changes have been corrected on the baseline documents and the production line, then it is time to
assure that the product and the product baseline
documentation are consistent. The PCA will formalize the Product Baseline, including specifications and the technical data package, so that future
changes can only be made through full configuration management procedures. Fundamentally, the
PCA verifies the product (as built) is consistent
with the Technical Data Package which describes
the Product Baseline. The final PCA confirms:
For example, a DoD acquisition strategy that proposes that a system proceed directly into the demonstration stage may skip a stage of the complete
acquisition process, but it must not skip the formulation of an appropriate Functional Baseline and
the equivalent of an SFR to support the development. Nor should it skip the formulation of the
Allocated Baseline and the equivalent of a PDR,
and the formulation of the Product Baseline and
the equivalent of a CDR. Baselines must be developed sequentially because they document different levels of design requirements and must build
on each other. However, the assessment of design
and development maturity can be tailored as appropriate for the particular system. Tailored efforts
still have to deal with the problem of determining
when the design maturity should be assessed, and
how these assessments will support the formulation and control of baselines, which document the
design requirements as the system matures.
The subsystem and CI PCAs have been

successfully completed,
The integrated decision database is valid and
represents the product,
All items have been baselined,
Changes to previous baselines have been
completed,
Testing deficiencies have been resolved and
appropriate changes implemented, and
System processes are current and can be
executed.
The PCA is a configuration management activity
and is conducted following procedures established
in the Configuration Management Plan.
In tailoring efforts, be extremely careful determining the level of system complexity. The system
integration effort, the development of a single
advanced technology or complex sub-component,
or the need for intensive software development may
be sufficient to establish the total system as a complex project, even though it appears simple because
most subsystems are simple or off-the-shelf.
11.3 TAILORING
The reviews described above are based on a
complex system development project requiring
significant technical evaluation. There are also
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11.4 SUMMARY POINTS
As the system progresses through the development effort, the nature of design reviews and
audits will parallel the technical effort. Initially
they will focus on requirements and functions,
and later become very product focused.
Each level of product development is evaluated

and progress is controlled by specification development (System, Item Performance, Item
Detail, Process, and Material specifications) and
technical reviews and audits (ASR, SRR, SDR,
SSR, PDR, CDR, TRR, PRR, FCA, SVR,
PCA).
After system level reviews establish the Functional Baseline, technical reviews tend to be
subsystem and CI focused until late in development when the focus again turns to the system level to determine the systems readiness
for production.
Technical reviews assess development maturity,

risk, and cost/schedule effectiveness to determine readiness to proceed.
Reviews must be planned, managed, and
followed up to be effective as an analysis and
control tool.
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Chapter 12
Trade Studies
CHAPTER 12
TRADE STUDIES
12.1 MAKING CHOICES

and Trade Studies
Trade Studies are a formal decision making methodology used by integrated teams to make choices
and resolve conflicts during the systems engineering process. Good trade study analyses demand
the participation of the integrated team; otherwise,
the solution reached may be based on unwarranted
assumptions or may reflect the omission of
important data.
Trade studies are required to support decisions

throughout the systems engineering process. During requirements analysis, requirements are balanced against other requirements or constraints,
including cost. Requirements analysis trade studies examine and analyze alternative performance
and functional requirements to resolve conflicts
and satisfy customer needs.
Trade studies identify desirable and practical

alternatives among requirements, technical objectives, design, program schedule, functional and
performance requirements, and life-cycle costs are
identified and conducted. Choices are then made
using a defined set of criteria. Trade studies are
defined, conducted, and documented at the various levels of the functional or physical architecture in enough detail to support decision making
and lead to a balanced system solution. The level
of detail of any trade study needs to be commensurate with cost, schedule, performance, and risk
impacts.
During functional analysis and allocation, functions are balanced with interface requirements,
dictated equipment, functional partitioning,
requirements flowdown, and configuration items
designation considerations. Trade studies are
conducted within and across functions to:
Support functional analyses and allocation of
performance requirements and design constraints,
Define a preferred set of performance requirements satisfying identified functional interfaces,
Both formal and informal trade studies are conducted in any systems engineering activity. Formal trade studies tend to be those that will be used
in formal decision forums, e.g., milestone decisions. These are typically well documented and
become a part of the decision database normal to
systems development. On the other hand, engineering choices at every level involve trade-offs and
decisions that parallel the trade study process. Most
of these less-formal studies are documented in
summary detail only, but they are important in that
they define the design as it evolves.
111
Determine performance requirements for lowerlevel functions when higher-level performance

and functional requirements can not be readily
resolved to the lower-level, and
Evaluate alternative functional architectures.
During design synthesis, trade studies are used to
evaluate alternative solutions to optimize cost,
schedule, performance, and risk. Trade studies are
conducted during synthesis to:
Chapter 12
Support decisions for new product and process

developments versus non-developmental
products and processes;
Support materials selection and make-or-buy,

process, rate, and location decisions;
preferred. It is important that there be criteria

established that are acceptable to all members of
the integrated team as a basis for a decision. In
addition, there must be an agreed-upon approach
to measuring alternatives against the criteria. If
these principles are followed, the trade study should
produce decisions that are rational, objective, and
repeatable. Finally, trade study results must be such
that they can be easily communicated to customers and decision makers. If the results of a trade
study are too complex to communicate with ease,
it is unlikely that the process will result in timely
decisions.
Examine proposed changes;
Trade Study Process
Examine alternative technologies to satisfy

functional or design requirements including
alternatives for moderate- to high- risk
technologies;
As shown by Figure 12-1, the process of trade-off

analysis consists of defining the problem, bounding the problem, establishing a trade-off methodology (to include the establishment of decision
criteria), selecting alternative solutions, determining the key characteristics of each alternative,
evaluating the alternatives, and choosing a solution:
Establish system, subsystem, and component

configurations;
Assist in selecting system concepts, designs,
and solutions (including people, parts, and
materials availability);
Evaluate environmental and cost impacts of

materials and processes;
Evaluate alternative physical architectures to
select preferred products and processes; and
Defining the problem entails developing a

problem statement including any constraints.
Problem definition should be done with extreme
care. After all, if you dont have the right
problem, you wont get the right answer.
Select standard components, techniques,

services, and facilities that reduce system lifecycle cost and meet system effectiveness
requirements.
Bounding and understanding the problem

requires identification of system requirements
that apply to the study.
During early program phases, for example, during

Concept Exploration and functional baseline
development, trade studies are used to examine
alternative system-level concepts and scenarios to
help establish the system configuration. During
later phases, trade studies are used to examine
lower-level system segments, subsystems, and end
items to assist in selecting component part designs.
Performance, cost, safety, reliability, risk, and other
effectiveness measures must be traded against each
other and against physical characteristics.
Conflicts between desired characteristics of the

product or process being studied, and the
limitations of available data. Available databases
should be identified that can provide relevant,
historical actual information to support
evaluation decisions.
Establishing the methodology includes choosing the mathematical method of comparison,
developing and quantifying the criteria used for
comparison, and determining weighting factors
(if any). Use of appropriate models and methodology will dictate the rationality, objectivity,
and repeatability of the study. Experience has
shown that this step can be easily abused
12.2 TRADE STUDY BASICS

Trade studies (trade-off analyses) are processes that
examine viable alternatives to determine which is
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Chapter 12
Trade Studies
Establish the study problem

Review inputs
Develop a problem statement

Identify requirements and constraints
Establish analysis level of detail
Check requirements and constraints for completeness and

conflicts
Develop customer-team communication
Select and set up methodology

Identify and select alternatives
Choose trade-off methodology

Develop and quantify criteria,
including weights where
appropriate
Identify alternatives
Select viable candidates for study
Analyze results
Measure performance
Calculate relative value based

on chosen methodology
Evaluate alternatives
Perform sensitivity analysis
Select preferred alternative
Re-evaluate results
Develop models and measurements of merit

Develop values for viable
candidates
Document process and results
Figure 12-1. Trade Study Process
Determining the key characteristics entails

deriving the data required by the study
methodology for each alternative.
through both ignorance and design. To the extent possible the chosen methodology should
compare alternatives based on true value to the
customer and developer. Trade-off relationships
should be relevant and rational. Choice of utility or weights should answer the question, what
is the actual value of the increased performance,
based on what rationale?
Evaluating the alternatives is the analysis part

of the study. It includes the development of a
trade-off matrix to compare the alternatives,
performance of a sensitivity analysis, selection
of a preferred alternative, and a re-evaluation
(sanity check) of the alternatives and the study
process. Since weighting factors and some
quantified data can have arbitrary aspects, the
sensitivity analysis is crucial. If the solution can
be changed with relatively minor changes in
data input, the study is probably invalid, and
Selecting alternative solutions requires identification of all the potential ways of solving the
problem and selecting those that appear viable.
The number of alternatives can drive the cost
of analysis, so alternatives should normally be
limited to clearly viable choices.
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the methodology should be reviewed and

revised. After the above tasks are complete, a
solution is chosen, documented, and recorded
in the database.
Provide analytic confirmation that designs

satisfy customer requirements within cost
constraints, and
Support product and process verification.
Cost Effectiveness Analyses

Cost effectiveness analyses are a special case trade
study that compares system or component performance to its cost. These analyses help determine
affordability and relative values of alternate
solutions. Specifically, they are used to:
12.3 SUMMARY POINTS
Support identification of affordable, cost optimized mission and performance requirements,
Initial trade studies focus on alternative system

concepts and requirements. Later studies assist
in selecting component part designs.
The purpose of trade studies is to make better

and more informed decisions in selecting best
alternative solutions.
Support the allocation of performance to an

optimum functional structure,
Cost effectiveness analyses provide assessments

of alternative solution performance relative to
cost.
Provide criteria for the selection of alternative

solutions,
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Trade Studies
SUPPLEMENT 12-A
UTILITY CURVE
METHODOLOGY
The method uses a utility curve, Figure 12-2, for

each of the decision factors to normalize them to
ease comparison. This method establishes the relative value of the factor as it increases from the
minimum value of the range. The curve shows can
show a constant value relationship (straight line),
increasing value (concave curve), decreasing value
(convex curve), or a stepped value.
to establish weighting factors for each decision

factor. The weighting factors prioritize the decision factors and allow direct comparison between
them. A decision matrix, similar to Figure 12-3, is
generated to evaluate the relative value of the
alternative solutions. In the case of Figure 12-3
range is given a weight of 2.0, speed a weight of
1.0, and payload a weight of 2.5. The utility values for each of the decision factors are multiplied
by the appropriate weight. The weighted values
for each alternative solution are added to obtain a
total score for each solution. The solution with the
highest score becomes the preferred solution. For
the transport analysis of Figure 12-3 the apparent
preferred solution is System 3.
Decision Matrix
Sensitivity
Each of the decision factors will also have relative

value between them. These relative values are used
Figure 12-3 also illustrates a problem with the

utility curve method. Both the utility curve and
The utility curve is a common methodology used

in DoD and industry to perform trade-off analysis. In DoD it is widely used for cost effectiveness
analysis and proposal evaluation.
Utility Curve
1.0
Step Function
Utility
Continuous
Relationship
0.0
Threshold
Goal
Decision Factor
(e.g., speed, cost, reliability, etc.)
Figure 12-2. Utility Curve
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Chapter 12
weighting factors contain a degree of judgment that

can vary between evaluators. Figure 12-3 shows
three systems clustered around 3.8, indicating that
a small variation in the utility curve or weighting
factor could change the results. In the case of Figure 12-3, a sensitivity analysis should be performed
to determine how solutions change as utility and
weighting change. This will guide the evaluator in
determining how to adjust evaluation criteria to
eliminate the problems sensitivity to small
changes. In the case of Figure 12-3 the solution
could be as simple as re-evaluating weighting factors to express better the true value to the customer.
For example, if the value of range is considered to
be less and payload worth more than originally
stated, then System 4 may become a clear winner.
Decision Factors
Notes
When developing or adjusting utility curves and
weighting factors, communication with the
customers and decision makers is essential. Most
sensitivity problems are not as obvious as Figure
12-3. Sensitivity need not be apparent in the alternatives total score. To ensure study viability,
sensitivity analysis should always be done to
examine the consequences of methodology choice.
(Most decision support software provides a
sensitivity analysis feature.)
Range
Speed
Payload
Wt. = 2.0
Wt. = 1.0
Wt. = 2.5
Weighted
Total
Alternatives
Transport System 1
.8
1.6
.7
.7
.6
1.5
3.8
Transport System 2
.7
1.4
.9
.9
.4
1.0
3.3
Transport System 3
.6
1.2
.7
.7
.8
2.0
3.9
Transport System 4
.5
1.0
.5
.5
.9
2.25
3.75
Key: U = Utility value

W = Weighted value
Figure 12-3. Sample Decision Matrix
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Chapter 13
Modeling and Simulation
CHAPTER 13
MODELING AND
SIMULATION
13.1 INTRODUCTION
A model is a physical, mathematical, or logical
representation of a system entity, phenomenon, or
process. A simulation is the implementation of a
model over time. A simulation brings a model to
life and shows how a particular object or phenomenon will behave. It is useful for testing, analysis
or training where real-world systems or concepts
can be represented by a model.
Modeling and simulation (M&S) provides virtual
duplication of products and processes, and
Modeling, Simulation, and Acquisition

Modeling and simulation has become a very
important tool across all acquisition-cycle phases
and all applications: requirements definition;
program management; design and engineering;
Prove System Need:

Use existing high resolution
models to emulate
operational situation
$ Savings
Smooth Transition to Operation
Manual proven
Trained personnel
Operationally ready before
equipment is given to
operators
represents those products or processes in readily

available and operationally valid environments.
Use of models and simulations can reduce the cost
and risk of life cycle activities. As shown by Figure
13-1, the advantages are significant throughout the
life cycle.
Shortens
Schedules
Need
Prod
Deploy
O&S
Concepts
Saves Time
Test concepts in the real

world of simulation using
simple models and putting
operators into process
Improves IPPD
Detail
Design
Reduce Program Risks

Design
Integration
Transition to production
Testing
Prelim
Design
Helps Refine Requirements
Get the user involved
Prevent gold-plating
Sometimes its the only way

to verify or validate
Figure 13-1. Advantages of Modeling and Simulation
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Chapter 13
efficient test planning; result prediction; supplement to actual test and evaluation; manufacturing;
and logistics support. With so many opportunities
to use M&S, its four major benefits; cost savings,
accelerated schedule, improved product quality and
cost avoidance can be achieved in any system
development when appropriately applied. DoD and
industry around the world have recognized these
opportunities, and many are taking advantage of
the increasing capabilities of computer and information technology. M&S is now capable of
prototyping full systems, networks, interconnecting multiple systems and their simulators so that
simulation technology is moving in every direction
conceivable.
operating in a realistic computer-generated environment. A virtual prototype is a computer-based

simulation of a system or subsystem with a degree
of functional realism that is comparable to that of
a physical prototype.
Constructive Simulations
The purpose of systems engineering is to develop
descriptions of system solutions. Accordingly, constructive simulations are important products in all
key system engineering tasks and activities. Of
special interest to the systems engineer are Computer-Aided Engineering (CAE) tools. Computeraided tools can allow more in-depth and complete
analysis of system requirements early in design.
They can provide improved communication because data can be disseminated rapidly to several
individuals concurrently, and because design
changes can be incorporated and distributed
expeditiously. Key computer-aided engineering
tools are CAD, CAE, CAM, Continuous Acquisition and Life Cycle Support, and Computer-Aided
Systems Engineering:
13.2 CLASSES OF SIMULATIONS

The three classes of models and simulations are
virtual, constructive, and live:
Virtual simulations represent systems both
physically and electronically. Examples are aircraft trainers, the Navys Battle Force Tactical
Trainer, Close Combat Tactical Trainer, and
built-in training.
Computer-Aided Design (CAD). CAD tools are

used to describe the product electronically to
facilitate and support design decisions. It can model
diverse aspects of the system such as how components can be laid out on electrical/electronic circuit boards, how piping or conduit is routed, or
how diagnostics will be performed. It is used to
lay out systems or components for sizing, positioning, and space allocating using two- or threedimensional displays. It uses three-dimensional
solid models to ensure that assemblies, surfaces,
intersections, interfaces, etc., are clearly defined.
Most CAD tools automatically generate isometric
and exploded views of detailed dimensional and
assembly drawings, and determine component surface areas, volumes, weights, moments of inertia,
centers of gravity, etc. Additionally, many CAD
tools can develop three-dimensional models of
facilities, operator consoles, maintenance workstations, etc., for evaluating man-machine interfaces. CAD tools are available in numerous varieties, reflecting different degrees of capabilities,
fidelity, and cost. The commercial CAD/CAM
product, Computer-Aided Three-Dimensional
Constructive simulations represent a system

and its employment. They include computer
models, analytic tools, mockups, IDEF, Flow
Diagrams, and Computer-Aided Design/ Manufacturing (CAD/CAM).
Live simulations are simulated operations with
real operators and real equipment. Examples
are fire drills, operational tests, and initial
production run with soft tooling.
Virtual Simulation
Virtual simulations put the human-in-the-loop. The
operators physical interface with the system is
duplicated, and the simulated system is made to
perform as if it were the real system. The operator
is subjected to an environment that looks, feels,
and behaves like the real thing. The more advanced
version of this is the virtual prototype, which allows
the individual to interface with a virtual mockup
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Interactive Application (CATIA), was used to

develop the Boeing 777, and is a good example of
current state-of-the-art CAD.
previous chapters, and performing the systems

analysis and control activities. It provides technical management support and has a broader
capability than either CAD or CAE. An increasing variety of CASE tools are available, as
competition brings more products to market, and
many of these support the commercial best
Systems Engineering practices.
Computer-Aided Engineering (CAE). CAE provides automation of requirements and performance

analyses in support of trade studies. It normally
would automate technical analyses such as stress,
thermodynamic, acoustic, vibration, or heat transfer analysis. Additionally, it can provide automated
processes for functional analyses such as fault
isolation and testing, failure mode, and safety
analyses. CAE can also provide automation of lifecycle-oriented analysis necessary to support the
design. Maintainability, producibility, human factor, logistics support, and value/cost analyses are
available with CAE tools.
Continuous Acquisition and Life Cycle Support

(CALS). CALS relates to the application of
computerized technology to plan and implement
support functions. The emphasis is on information
relating to maintenance, supply support, and associated functions. An important aspect of CALS is
the importation of information developed during
design and production. A key CALS function is to
support the maintenance of the system configuration during the operation and support phase. In
DoD, CALS supports activities of the logistics
community rather than the specific program office,
and transfer of data between the CAD or CAM
programs to CALS has been problematic. As a
result there is current emphasis on development of
standards for compatible data exchange. Formats
of import include: two- and three-dimensional
models (CAD), ASCII formats (Technical Manuals), two-dimensional illustrations (Technical
Manuals), and Engineering Drawing formats (Raster, Aperture cards). These formats will be employed in the Integrated Data Environment (IDE) that
is mandated for use in DoD program offices.
Computer-Aided Manufacturing (CAM). CAM

tools are generally designed to provide automated
support to both production process planning and
to the project management process. Process planning attributes of CAM include establishing
Numerical Control parameters, controlling
machine tools using pre-coded instructions, programming robotic machinery, handling material,
and ordering replacement parts. The production
management aspect of CAM provides management
control over production-relevant data, uses historical actual costs to predict cost and plan activities,
identifies schedule slips or slack on a daily basis,
and tracks metrics relative to procurement,
inventory, forecasting, scheduling, cost reporting,
support, quality, maintenance, capacity, etc. A common example of a computer-based project planning and control tool is Manufacturing Resource
Planning II (MRP II). Some CAM programs can
accept data direct from a CAD program. With this
type of tool, generally referred to as CAD/CAM,
substantial CAM data is automatically generated
by importing the CAD data directly into the CAM
software.
Live Simulation
Live simulations are simulated operations of real
systems using real people in realistic situations.
The intent is to put the system, including its
operators, through an operational scenario, where
some conditions and environments are mimicked
to provide a realistic operating situation. Examples
of live simulations range from fleet exercises to
fire drills.
Computer-Aided Systems Engineering (CASE).

CASE tools provide automated support for the
Systems Engineering and associated processes.
CASE tools can provide automated support for
integrating system engineering activities, performing the systems engineering tasks outlined in
Eventually live simulations must be performed to

validate constructive and virtual simulations. However, live simulations are usually costly, and trade
studies should be performed to support the balance of simulation types chosen for the program.
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Chapter 13
hardware as well. Figure 13-2 shows the basic

differences between the terms (VV&A).
13.3 HARDWARE VERSUS SOFTWARE

Though current emphasis is on software M&S, the
decision of whether to use hardware, software, or
a combined approach is dependent on the complexity of the system, the flexibility needed for the
simulation, the level of fidelity required, and the
potential for reuse. Software capabilities are
increasing, making software solutions cost effective for large complex projects and repeated processes. Hardware methods are particularly useful
for validation of software M&S, simple or onetime projects, and quick checks on changes of production systems. M&S methods will vary widely
in cost. Analysis of the cost-versus-benefits of
potential M&S methods should be performed to
support planning decisions.
More specifically:
Verification is the process of determining that
a model implementation accurately represents
the developers conceptual description and
specifications that the model was designed to.
Validation is the process of determining the
manner and degree to which a model is an accurate representation of the real world from the
perspective of the intended uses of the model,
and of establishing the level of confidence that
should be placed on this assessment.
Accreditation is the formal certification that a
model or simulation is acceptable for use for a
specific purpose. Accreditation is conferred by
the organization best positioned to make the
judgment that the model or simulation in
question is acceptable. That organization may
be an operational user, the program office, or a
contractor, depending upon the purposes
intended.
13.4 VERIFICATION, VALIDATION,

AND ACCREDITATION
How can you trust the model or simulation?
Establish confidence in your model or simulation
through formal verification, validation, and
accreditation (VV&A). VV&A is usually identified
with software, but the basic concept applies to
Verification
Validation
Accreditation
It works as I
thought it would.
It suits my needs.
It looks just like
the real thing.
Developer
Functional Expert
Requester/User
Verification Agent
Validation Agent
Accreditation Agent
As design matures, re-examine basic assumptions.
Figure 13-2. Verification, Validation, and Accreditation
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Chapter 13
VV&A is particularly necessary in cases where:
Significant resources are involved.
Note of caution: Dont confuse the quality of the

display with the quality of meeting simulation
needs! An example of fidelity is a well-known
flight simulator using a PC and simple joystick
versus a full 6-degree of freedom fully-instrumented aircraft cockpit. Both have value at different stages of flight training, but obviously vary
significantly in cost from thousands of dollars to
millions. This cost difference is based on fidelity,
or degree of real-world accuracy.
VV&A Currency
Planning
VV&A is applied at initial development and use.

The VV&A process is required for all DoD simulations and should be redone whenever existing
models and simulations undergo a major upgrade
or modification. Additionally, whenever the model
or simulation violates its documented methodology or inherent boundaries that were used to validate or verify by its different use, then VV&A must
be redone. Accreditation, however, may remain
valid for the specific application unless revoked
by the Accreditation Agent, as long as its use or
what it simulates doesnt change.
Planning should be an inherent part of M&S, and,

therefore, it must be proactive, early, continuous,
and regular. Early planning will help achieve balance and beneficial reuse and integration. With
computer and simulation technologies evolving so
rapidly, planning is a dynamic process. It must be
a continuing process, and it is important that the
appropriate simulation experts be involved to maximize the use of new capabilities. M&S activities
should be a part of the integrated teaming and involve all responsible organizations. Integrated
teams must develop their M&S plans and insert
them into the overall planning process, including
the TEMP, acquisition strategy, and any other
program planning activity.
Complex and critical interoperability is being

represented,
Reuse is intended,
Safety of life is involved, and
13.5 CONSIDERATIONS
There are a number of considerations that should
enter into decisions regarding the acquisition and
employment of modeling and simulation in defense
acquisition management. Among these are such
concerns as cost, fidelity, planning, balance, and
integration.
M&S planning should include:

Identification of activities responsible for each
VV&A element of each model or simulation,
and
Thorough VV&A estimates, formally agreed to
by all activities involved in M&S, including
T&E commitments from the developmental
testers, operational testers, and separate VV&A
agents.
Cost Versus Fidelity

Fidelity is the degree to which aspects of the real
world are represented in M&S. It is the foundation for development of the model and subsequent
VV&A. Cost effectiveness is a serious issue with
simulation fidelity, because fidelity can be an
aggressive cost driver. The correct balance between
cost and fidelity should be the result of simulation
need analysis. M&S designers and VV&A agents
must decide when enough is enough. Fidelity needs
can vary throughout the simulation. This variance
should be identified by analysis and planned for.
Those responsible for the VV&A activities must

be identified as a normal part of planning. Figure
13-2 shows the developer as the verification agent,
the functional expert as the validation agent, and
the user as the accreditation agent. In general this
is appropriate for virtual simulations. However, the
manufacturer of a constructive simulation would
usually be expected to justify or warrantee their
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Chapter 13
programs use for a particular application. The

question of who should actually accomplish
VV&A is one that is answered in planning. VV&A
requirements should be specifically called out in
tasking documents and contracts. When appropriate, VV&A should be part of the contractors
proposal, and negotiated prior to contract award.
Integration
Integration is obtained by designing a model or
simulation to inter-operate with other models or
simulations for the purpose of increased performance, cost benefit, or synergism. Multiple benefits or savings can be gained from increased
synergism and use over time and across activities.
Integration is achieved through reuse or upgrade
of legacy programs used by the system, or of the
proactive planning of integrated development of
new simulations. In this case integration is accomplished through the planned utilization of models,
simulations, or data for multiple times or applications over the system life cycle. The planned
upgrade of M&S for evolving or parallel uses
supports the application of open systems architecture to the system design. M&S efforts that are
established to perform a specific function by a
specific contractor, subcontractor, or government
activity will tend to be sub-optimized. To achieve
Balance
Balance refers to the use of M&S across the phases
of the product life cycle and across the spectrum
of functional disciplines involved. The term may
further refer to the use of hardware versus software, fidelity level, VV&A level, and even use
versus non-use. Balance should always be based
on cost effectiveness analysis. Cost effectiveness
analyses should be comprehensive; that is, M&S
should be properly considered for use in all parallel applications and across the complete life cycle
of the system development and use.
Concept
Development
Another
System
Functional
Design
Distributed
Framework
Requirements
Repository
Physical and
HW/SW Design
Distributed
Program
Mgmt
Another
System
Opns, Log
and Training
Testing
Eng Dev
and Manuf
Figure 13-3. A Robust Integrated Use of Simulation Technology
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Chapter 13
integration M&S should be managed at least at the

program office level.
13.6 SUMMARY
M&S provides virtual duplication of products
and processes, and represent those products or
processes in readily available and operationally
valid environments.
The Future Direction

DoD, the Services, and their commands have
strongly endorsed the use of M&S throughout the
acquisition life cycle. The supporting simulation
technology is also evolving as fast as computer
technology changes, providing greater fidelity and
flexibility. As more simulations are interconnected,
the opportunities for further integration expand.
M&S successes to date also accelerate its use. The
current focus is to achieve open systems of simulations, so they can be plug-and-play across the
spectrum of applications. From concept analysis
through disposal analysis, programs may use hundreds of different simulations, simulators and
model analysis tools. Figure 13-3 shows conceptually how an integrated program M&S would
affect the functions of the acquisition process.
M&S should be applied throughout the system

life cycle in support of systems engineering
activities.
The three classes of models and simulations are
virtual, constructive, and live.
Establish confidence in your model or simulation through formal VV&A.
M&S planning should be an inherent part of
Systems Engineering planning, and, therefore,
pro-active, early, continuous, and regular.
A more detailed discussion of the use and management of M&S in DoD acquisition is available in the DSMC publication Systems Acquisition Managers Guide for the Use of Models
and Simulations.
A formal DoD initiative, Simulation Based Acquisition (SBA), is currently underway. The SBA
vision is to advance the implementation of M&S
in the DoD acquisition process toward a robust,
collaborative use of simulation technology that is
integrated across acquisition phases and programs.
The result will be programs that are much better
integrated in an IPPD sense, and which are much
more efficient in the use of time and dollars
expended to meet the needs of operational users.
An excellent second source is the DSMC publication, Simulation Based Acquisition A New
Approach. It surveys applications of increasing integration of simulation in current DoD
programs and the resulting increasing benefits
through greater integration.
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Chapter 14
Metrics
CHAPTER 14
METRICS
Effectiveness (MOEs) which reflect operational
performance requirements.
14.1 METRICS IN MANAGEMENT

Metrics are measurements collected for the purpose of determining project progress and overall
condition by observing the change of the measured
quantity over time. Management of technical
activities requires use of three basic types of
metrics:
The term metric implies quantitatively measurable data. In design, the usefulness of metric data
is greater if it can be measured at the configuration item level. For example, weight can be estimated at all levels of the WBS. Speed, though an
extremely important operational parameter, cannot be allocated down through the WBS. It cannot
be measured, except through analysis and simulation, until an integrated product is available. Since
weight is an important factor in achieving speed
objectives, and weight can be measured at various
levels as the system is being developed, weight
may be the better choice as a metric. It has a direct
impact on speed, so it traces to the operational
requirement, but, most importantly, it can be allocated throughout the WBS and progress toward
achieving weight goals may then be tracked
through development to production.
Product metrics that track the development of

the product,
Earned Value which tracks conformance to the
planned schedule and cost, and
Management process metrics that track
management activities.
Measurement, evaluation and control of metrics is
accomplished through a system of periodic reporting must be planned, established, and monitored
to assure metrics are properly measured, evaluated,
and the resulting data disseminated.
Measures of Effectiveness and Suitability

Measures of Effectiveness (MOEs) and Measures
of Suitability (MOSs) are measures of operational
effectiveness and suitability in terms of operational
outcomes. They identify the most critical performance requirements to meet system-level mission
objectives, and will reflect key operational needs
in the operational requirements document.
Product Metrics
Product metrics are those that track key attributes
of the design to observe progress toward meeting
customer requirements. Product metrics reflect
three basic types of requirements: operational performance, life-cycle suitability, and affordability.
The key set of systems engineering metrics are the
Technical Performance Measurements (TPM.)
TPMs are product metrics that track design
progress toward meeting customer performance
requirements. They are closely associated with the
system engineering process because they directly
support traceability of operational needs to the
design effort. TPMs are derived from Measures of
Performance (MOPs) which reflect system requirements. MOPs are derived from Measures of
Operational effectiveness is the overall degree of

a systems capability to achieve mission success
considering the total operational environment. For
example, weapon system effectiveness would consider environmental factors such as operator organization, doctrine, and tactics; survivability; vulnerability; and threat characteristics. MOSs, on
the other hand, would measure the extent to which
the system integrates well into the operation
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Chapter 14
environment and would consider such issues as

supportability, human interface compatibility, and
maintainability.
the required performance, but it may not be useful

as an early warning device to indicate progress
toward meeting the design goal. A more detailed
discussion of TPMs is available as Supplement A
to this chapter.
Measures of Performance
MOPs characterize physical or functional attributes
relating to the execution of the mission or function. They quantify a technical or performance
requirement directly derived from MOEs and
MOSs. MOPs should relate to these measures such
that a change in MOP can be related to a change in
MOE or MOS. MOPs should also reflect key performance requirements in the system specification.
MOPs are used to derive, develop, support, and
document the performance requirements that will
be the basis for design activities and process
development. They also identify the critical technical parameters that will be tracked through
TPMs.
Example of Measures
MOE: The vehicle must be able to drive fully
loaded from Washington, DC, to Tampa on one
tank of fuel.
MOP: Vehicle range must be equal to or greater
than 1,000 miles.
TPM: Fuel consumption, vehicle weight, tank size,
drag, power train friction, etc.
Suitability Metrics
Tracking metrics relating to operational suitability and other life cycle concerns may be appropriate to monitor progress toward an integrated design.
Operational suitability is the degree to which a
system can be placed satisfactorily in field use
considering availability, compatibility, transportability, interoperability, reliability, usage rates,
maintainability, safety, human factors, documentation, training, manpower, supportability, logistics, and environmental impacts. These suitability
parameters can generate product metrics that
indicate progress toward an operationally suitable
system. For example, factors that indicate the
level of automation in the design would reflect
progress toward achieving manpower quantity and
quality requirements. TPMs and suitability product metrics commonly overlap. For example, Mean
Time Between Failure (MBTF) can reflect both
effectiveness or suitability requirements.
Technical Performance Measurements

TPMs are derived directly from MOPs, and are
selected as being critical from a periodic review
and control standpoint. TPMs help assess design
progress, assess compliance to requirements
throughout the WBS, and assist in monitoring and
tracking technical risk. They can identify the need
for deficiency recovery, and provide information
to support cost-performance sensitivity assessments. TPMs can include range, accuracy, weight,
size, availability, power output, power required,
process time, and other product characteristics
that relate directly to the system operational
requirements.
TPMs traceable to WBS elements are preferred,
so elements within the system can be monitored
as well as the system as a whole. However, some
necessary TPMs will be limited to the system or
subsystem level. For example, the specific fuel
consumption of an engine would be a TPM necessary to track during the engine development, but it
is not allocated throughout the WBS. It is reported
as a single data item reflecting the performance of
the engine as a whole. In this case the metric will
indicate that the design approach is consistent with
Suitability metrics would also include measurements that indicate improvement in the producibility, testability, degree of design simplicity, and
design robustness. For example, tracking number
of parts, number of like parts, and number of wearing parts provides indicators of producibility,
maintainability, and design simplicity.
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Metrics
Product Affordability Metrics
DoD and Industry Policy on Product Metrics
Estimated unit production cost can be tracked

during the design effort in a manner similar to the
TPM approach, with each CI element reporting an
estimate based on current design. These estimates
are combined at higher WBS levels to provide
subsystem and system cost estimates. This provides
a running engineering estimate of unit production
cost, tracking of conformance to Design-to-Cost
(DTC) goals, and a method to isolate design
problems relating to production costs.
Analysis and control activities shall include

performance metrics to measure technical
development and design, actual versus planned;
and to measure [the extent to which systems meet
requirements]. DoD 5000.2-R.
The performing activity establishes and implements TPM to evaluate the adequacy of evolving
solutions to identify deficiencies impacting the
ability of the system to satisfy a designated value
for a technical parameter. EIA IS-632, Section 3.
Life cycle affordability can be tracked through

factors that are significant in parametric life cycle
cost calculations for the particular system. For
example, two factors that reflect life cycle cost for
most transport systems are fuel consumption and
weight, both of which can be tracked as metrics.
The performing activity identifies the technical

performance measures which are key indicators
of system performance...should be limited to
critical MOPs which, if not met put the project at
cost, schedule, or performance risk. IEEE 1220,
Section 6.
Timing
Product metrics are tied directly to the design process. Planning for metric identification, reporting,
and analysis is begun with initial planning in the
concept exploration phase. The earliest systems
engineering planning should define the management approach, identify performance or characteristics to be measured and tracked, forecast values
for those performances or characteristics, determine when assessments will be done, and establish
the objectives of assessment.
14.2 EARNED VALUE

Earned Value is a metric reporting system that uses
cost-performance metrics to track the cost and
schedule progress of system development against
a projected baseline. It is a big picture approach
and integrates concerns related to performance,
cost, and schedule. Referring to Figure 14-1, if we
think of the line labeled BCWP (budgeted cost of
work performed) as the value that the contractor
has earned, then deviations from this baseline
indicate problems in either cost or schedule. For
example, if actual costs vary from budgeted costs,
we have a cost variance; if work performed varies
from work planned, we have a schedule variance.
The projected performance is based on estimates
of appropriate cost and schedule to perform the
work required by each WBS element. When a variance occurs the system engineer can pinpoint WBS
elements that have potential technical development
problems. Combined with product metrics, earned
value is a powerful technical management tool
for detecting and understanding development
problems.
Implementation is begun with the development of

the functional baseline. During this period, systems engineering planning will identify critical
technical parameters, time phase planned profiles
with tolerance bands and thresholds, reviews or
audits or events dependent or critical for achievement of planned profiles, and the method of estimation. During the design effort, from functional
to product baseline, the plan will be implemented
and continually updated by the systems engineering process. To support implementation, contracts
should include provision for contractors to provide
measurement, analysis, and reporting. The need
to track product metrics ends in the production
phase, usually concurrent with the establishment
of the product (as built) baseline.
Relationships exist between product metrics, the

event schedule, the calendar schedule, and Earned
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Chapter 14
Total Allocated Budget
Over
Budget
EAC
Management Reserve
P
R
O
J
E
C
T
E
D
PMB
Schedule Variancec
Cost Variance c
BCWSc
ACWPc
BCWPc
Time
Now
S
L
I
P
P
A
G
E
Completion
Date
Figure 14-1. Earned Value Concept

Value:
Examples of these factors are: number of trained

personnel onboard, average time to approve/disapprove ECPs, lines of code or drawings released,
ECPs resolved per month, and team risk identification or feedback assessments. Selection of appropriate metrics should be done to track key management activities. Selection of these metrics is
part of the systems engineering planning process.
The Event Schedule includes tasks for each

event/exit criteria that must be performed to
meet key system requirements, which are
directly related to product metrics.
The Calendar (Detail) Schedule includes time
frames established to meet those same product
metric-related objectives (schedules).
How Much Metrics?

The choice of the amount and depth of metrics is a
planning function that seeks a balance between risk
and cost. It depends on many considerations, including system complexity, organizational complexity, reporting frequency, how many contractors, program office size and make up, contractor
past performance, political visibility, and contract
type.
Earned Value includes cost/schedule impacts

of not meeting those objectives, and, when
correlated with product metrics, can identify
emerging program and technical risk.
14.3 PROCESS METRICS

Management process metrics are measurements
taken to track the process of developing, building,
and introducing the system. They include a wide
range of potential factors and selection is program unique. They measure such factors as
availability of resources, activity time rates, items
completed, completion rates, and customer or team
satisfaction.
14.4 SUMMARY POINTS

Management of technical activities requires use
of three basic types of metrics: product metrics
that track the development of the product,
earned value which tracks conformance to the
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Metrics
planned schedule and cost, and management

process metrics that track management activities.
TPMs are performance based product metrics

that track progress through measurement of key
technical parameters. They are important to the
systems engineering process because they connect operational requirements to measurable
design characteristics and help assess how well
the effort is meeting those requirements. TPMs
are required for all programs covered by DoD
5000.2-R.
Measurement, evaluation and control of metrics

is accomplished through a system of periodic
reporting that must be planned, established, and
monitored to assure metrics are measured
properly, evaluated, and the resulting data
disseminated.
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SUPPLEMENT 14-A
TECHNICAL PERFORMANCE
MEASUREMENT
Technical Performance Measurement (TPM) is an
analysis and control technique that is used to: (1)
project the probable performance of a selected
technical parameter over a period of time, (2)
record the actual performance observed of the
selected parameter, and (3) through comparison
of actual versus projected performance, assist the
manager in decision making. A well thought out
program of technical performance measures provides an early warning of technical problems and
supports assessments of the extent to which
operational requirements will be met, as well as
assessments of the impacts of proposed changes
in system performance.
Planned
Profile
TPMs generally take the form of both graphic displays and narrative explanations. The graphic, an
example of which is shown in Figure 14-2, shows
the projected behavior of the selected parameter
as a function of time, and further shows actual observations, so that deviations from the planned profile can be assessed. The narrative portion of the
report should explain the graphic, addressing the
reasons for deviations from the planned profile,
assessing the seriousness of those deviations, explaining actions underway to correct the situation
if required, and projecting future performance,
given the current situation.
Tolerance
Band
15
Achieved
To Date
Technical
Parameter
10
Value
Variation
Threshold
e.g., Weight
5
Planned
Value
Goal
Milestones
TIME
Figure 14-2. Technical Performance Measurement The Concept
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Metrics
Parameters to be tracked are typically based on

the combined needs of the government and the
contractor. The government program office will
need a set of TPMs which provide visibility into
the technical performance of key elements of the
WBS, especially those which are cost drivers on
the program, lie on the critical path, or which
represent high risk items.
associated with formal testing, although the TPM

program will not normally be limited just to those
parameters identified as critical for test purposes.
Government review and follow up of TPMs are
appropriate on a periodic basis when submitted by
the contractor, and at other major technical events
such as at technical reviews, test events, and
program management reviews.
The TPMs selected for delivery to the government

are expected to be traceable to the needs of the
operational user. The contractor will generally track
more items than are reported to the government,
as the contractor needs information at a more
detailed level than does the government program
office.
While TPMs are expected to be traceable to the

needs of the user, they must be concrete technical
parameters that can be projected and tracked. For
example, an operational user may have a requirement for survivability under combat conditions.
Survivability is not, in and of itself, a measurable
parameter, but there are important technical parameters that determine survivability, such as radar
cross section (RCS) and speed. Therefore, the technical manager might select and track RCS and
speed as elements for TPM reporting. The decision on selection of parameters for TPM tracking
must also take into consideration the extent to
which the parameter behavior can be projected
(profiled over a time period) and whether or not it
can actually be measured. If the parameter cannot
be profiled, measured, or is not critical to program
success, then the government, in general, should
not select it for TPM tracking. The WBS structure
makes an excellent starting point for consideration
of parameters for TPM tracking (see Figure 14-3).
TPM reporting to the government is a contractual

issue, and those TPMs on which the government
receives reports are defined as contract deliverables
in the contract data requirements list. Which parameters are selected for reporting depends on a number of issues, among which are resources to purchase TPMs, the availability of people to review
and follow the items, the complexity of the system involved, the phase of development, and the
contractors past experience with similar systems.
A typical TPM graphic will take a form somewhat
like that previously shown. The actual form of the
projected performance profile and whether or not
tolerance bands are employed will be a function
of the parameter selected and the needs of the program office.
Another important consideration is the relationship between the TPM program and risk management. Generally, the parameters selected for tracking should be related to the risk areas on the program. If a particular element of the design has been
identified as a risk area, then parameters should
be selected which will enable the manager to track
progress in that area. For example, if achieving a
required aircraft range is considered to be critical
and a risk area, then tracking parameters that provide insight into range would be selected, such as
aircraft weight, specific fuel consumption, drag,
etc. Furthermore, there should be consistency between TPMs and the Critical Technical Parameters
131
A substantial effort has taken place in recent years

to link TPMs with Earned Value Management in a
way that would result in earned value calculations
that reflect the risks associated with achieving technical performance. The approach used establishes
statistical probability of achieving a projected level
of performance on the TPM profile based on a
statistical analysis of actual versus planned performance. Further information is available on the
Internet at http://www.acq.osd.mil/api/tpm/.
In summary, TPMs are an important tool in the
program managers systems analysis and control
toolkit. They provide an early warning about deviations in key technical parameters, which, if not
controlled, can impact system success in meeting
user needs. TPMs should be an integral part of both
SUBSYSTEM
Chapter 14
Fire
Control
System
WBS XXXX
Power Density
Slew Time
CWI Ant Side Lobes
AM noise
Pointing Accuracy
Power
MTTR
Angular Resolution
Detection Range
TI Ant Side Lobes
TI Track Accuracy
FM Noise
Weight
MTBF
Range Resolution
Component
CW
Transmitter
Data
Processor
Antenna
WBS XXXX
WBS XXXX
WBS XXXX
AM Noise
FM Noise
Radiated Power
MTBF
MTBF
Memory
Proc Speed
MTTR
Slew Time
Beam Width
Side Lobes
MTTR
Figure 14-3. Shipboard Fire Control System (Partial)
manager, whether technically grounded or not, can

make perceptive judgments about system technical performance and can follow up on contractor
plans and progress when deviations occur.
periodic program reporting and management follow-up, as well as elements for discussion in technical reviews and program management reviews.
By thoughtful use of a good program of TPM, the
Relevant Terms
Achievement to date Measured or estimated progress plotted and compared with planned
progress by designated milestone date.
Current estimate Expected value of a technical parameter at contract completion.
Planned value Predicted value of parameter at a given point in time.
Planned profile Time phased projected planned values.
Tolerance band Management alert limits representing projected level of estimating error.
Threshold Limiting acceptable value, usually contractual.
Variance Difference between the planned value and the achievement-to-date
derived from analysis, test, or demonstration.
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Risk Management
CHAPTER 15
RISK MANAGEMENT
15.1 RISK AS REALITY
Risk is inherent in all activities. It is a normal condition of existence. Risk is the potential for a negative future reality that may or may not happen. Risk
is defined by two characteristics of a possible negative future event: probability of occurrence
(whether something will happen), and consequences of occurrence (how catastrophic if it happens). If the probability of occurrence is not known
then one has uncertainty, and the risk is undefined.
whether if it is written down, or whether you

understand it. Risk does not change because you
hope it will, you ignore it, or your bosss expectations do not reflect it. Nor will it change just
because it is contrary to policy, procedure, or
regulation. Risk is neither good nor bad. It is just
how things are. Progress and opportunity are
companions of risk. In order to make progress, risks
must be understood, managed, and reduced to
acceptable levels.
Types of Risk in a
Systems Engineering Environment
Risk is not a problem. It is an understanding of the

level of threat due to potential problems. A problem is a consequence that has already occurred.
Systems engineering management related risks

could be related to the system products or to the
process of developing the system. Figure 15-1
shows the decomposition of system development
risks.
In fact, knowledge of a risk is an opportunity to

avoid a problem. Risk occurs whether there is an
attempt to manage it or not. Risk exists whether
you acknowledge it, whether you believe it,
Development Risk
Management of
Development
Management of
Development
Internal
Process
Prime
Mission
Product
External
Influences
Supporting
Products
Figure 15-1. Risk Hierarchy
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Chapter 15
handling of risk. It is a process, not a series of

events. Risk management depends on risk management planning, early identification and analysis of risks, continuous risk tracking and reassessment, early implementation of corrective actions,
communication, documentation, and coordination.
Though there are many ways to structure risk management, this book will structure it as having four
parts: Planning, Assessment, Handling, and Monitoring. As depicted in Figure 15-2 all of the parts
are interlocked to demonstrate that after initial
planning the parts begin to be dependent on each
other. Illustrating this, Figure 15-3 shows the key
control and feedback relationships in the process.
Risks related to the system development generally

are traceable to achieving life cycle customer
requirements. Product risks include both end product risks that relate to the basic performance and
cost of the system, and to enabling products that
relate to the products that produce, maintain,
support, test, train, and dispose of the system.
Risks relating to the management of the development effort can be technical management risk or
risk caused by external influences. Risks dealing
with the internal technical management include
those associated with schedules, resources, work
flow, on time deliverables, availability of appropriate personnel, potential bottlenecks, critical path
operations and the like. Risks dealing with external influences include resource availability, higher
authority delegation, level of program visibility,
regulatory requirements, and the like.
Risk Planning
Risk Planning is the continuing process of developing an organized, comprehensive approach to
risk management. The initial planning includes
establishing a strategy; establishing goals and
objectives; planning assessment, handling, and
monitoring activities; identifying resources, tasks,
and responsibilities; organizing and training risk
management IPT members; establishing a method
to track risk items; and establishing a method to
15.2 RISK MANAGEMENT

Risk management is an organized method for identifying and measuring risk and for selecting,
developing, and implementing options for the
Plan
(What, when,
how)
Monitor
and Report
Assess
(Identify and
analyze)
(Know whats
happening)
Handle
(Mitigate the
risk)
A Continuous Interlocked ProcessNot an Event
Figure 15-2. Four Elements of Risk Management
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Chapter 15
Risk Management
Planning
How to
Assess
How to
Handle
How to
Monitor/
Report
Assessment
Continuous
Feedback for
Planning
Adjustment
What to
Handle
What to
Monitor/
Report
Handling
Continuous
Feedback for
Reassessment
Risk
Change
Monitoring/
Reporting
Continuous
Feedback for
Management
Figure 15-3. Risk Management Control and Feedback

change. Judgment of the risk impact and the
method of handling the risk must be reassessed
and potentially altered as events unfold. Since these
events are continually changing, the planning
process is a continuous one.
document and disseminate information on a

continuous basis.
In a systems engineering environment risk planning should be:
Risk Assessment
Inherent (imbedded) in systems engineering

planning and other related planning, such as
producibility, supportability, and configuration
management;
Risk assessment consists of identifying and analyzing the risks associated with the life cycle of
the system.
A documented, continuous effort;

Risk Identification Activities
Integrated among all activities;
Risk identification activities establish what risks
are of concern. These activities include:
Integrated with other planning, such as systems

engineering planning, supportability analysis,
production planning, configuration and data
management, etc.;
Identifying risk/uncertainty sources and drivers,

Transforming uncertainty into risk,
Integrated with previous and future phases; and

Quantifying risk,
Selective for each Configuration Baseline.
Establishing probability, and
Risk is altered by time. As we try to control or
alter risk, its probability and/or consequence will
Establishing the priority of risk items.
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Chapter 15
On such a graph risk increases on the diagonal and

provides a method for assessing relative risk. Once
the relative risk is known, a priority list can be
established and risk analysis can begin.
As shown by Figure 15-4 the initial identification

process starts with an identification of potential
risk items in each of the four risk areas. Risks related to the system performance and supporting
products are generally organized by WBS and initially determined by expert assessment of teams
and individuals in the development enterprise.
These risks tend to be those that require follow-up
quantitative assessment. Internal process and external influence risks are also determined by expert assessment within the enterprise, as well as
through the use of risk area templates similar to
those found in DoD 4245.7-M. The DoD 4245.7M templates describe the risk areas associated with
system acquisition management processes, and
provide methods for reducing traditional risks in
each area. These templates should be tailored for
specific program use based on expert feedback.
Risk identification efforts can also include activities that help define the probability or consequences
of a risk item, such as:
Testing and analyzing uncertainty away,
Testing to understand probability and consequences, and
Activities that quantify risk where the qualitative nature of high, moderate, low estimates are
insufficient for adequate understanding.
Risk Analysis Activities
After identifying the risk items, the risk level

should be established. One common method is
through the use of a matrix such as shown in Figure 15-5. Each item is associated with a block in
the matrix to establish relative risk among them.
Risk analysis activities continue the assessment

process by refining the description of identified
risk event through isolation of the cause of risk,
determination of the full impact of risk, and the
Identify and List All Risks
Product
Supporting products
Internal management processes
External influences
Establish a Risk Definition Matrix

and Assign Risks to a Risk Area
P
R
O
B
A
B
I
L
I
T
Y
Hi
Establish Definitions Early in Program Life Cycle

Moderate
High
High
Low
Moderate
High
Low
Low
Moderate
Low
Hi
Consequence
Establish a Risk Priority List

Prioritize risk based on matrix
Establish critical high risk list
Establish a moderate risk list
Figure 15-4. Initial Risk Identificaiton
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Chapter 15
Risk Management
Hi
P
R
O
B
A
B
I
L
I
T
Y
Establish Definitions Early in Program Life Cycle
Moderate
High
High
Low
Moderate
High
Low
Low
Moderate
Low
Hi
Consequence
Figure 15-5. Simple Risk Matrix
How does it affect the overall situation?
determination and choose of alternative courses of

action. They are used to determine what risk should
be tracked, what data is used to track risk, and what
methods are used to handle the risk.
Development of a watch list (prioritized list of

risk items that demand constant attention by
management) and a set of metrics to determine
if risks are steady, increasing, or decreasing.
Risk analysis explores the options, opportunities,

and alternatives associated with the risk. It addresses the questions of how many legitimate ways
the risk could be dealt with and the best way to do
so. It examines sensitivity, and risk interrelationships by analyzing impacts and sensitivity of
related risks and performance variation. It further
analyzes the impact of potential and accomplished,
external and internal changes.
Development of a feedback system to track

metrics and other risk management data.
Development of quantified risk assessment.
Quantified risk assessment is a formal quantification of probabilities of occurrence and consequences using a top-down structured process
following the WBS. For each element, risks are
assessed through analysis, simulation and test to
determine statistical probability and specific
conditions caused by the occurrence of the
consequence.
Risk analysis activities that help define the scope

and sensitivity of the risk item include finding
answers to the following questions:
If something changes, will risk change faster,
slower, or at the same pace?
Cautions in Risk Assessments

If a given risk item occurs, what collateral
effects happen?
Reliance solely on numerical values from simulations and analysis should be avoided. Do not lose
sight of the actual source and consequences of the
risks. Testing does not eliminate risk. It only
How does it affect other risks?
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Chapter 15
provides data to assess and analyze risk. Most of

all, beware of manipulating relative numbers, such
as risk index or risk scales, even when based
on expert opinion, as quantified data. They are
important information, but they are largely subjective and relative; they do not necessarily define
risk accurately. Numbers such as these should
always be the subject of a sensitivity analysis.
Incremental development, such as preplanned

product improvement, to dissociate the design
from high-risk components that can be developed separately,
Technology maturation that allows high-risk
components to be developed separately while
the basic development uses a less risky and
lower-performance temporary substitute,
Risk Handling
Test, analyze and fix that allows understanding
to lead to lower risk design changes. (Test can
be replaced by demonstration, inspection, early
prototyping, reviews, metric tracking, experimentation, models and mock-ups, simulation,
or any other input or set of inputs that gives a
better understanding of the risk),
Once the risks have been categorized and analyzed,

the process of handling those risks is initiated. The
prime purpose of risk handling activities is to mitigate risk. Methods for doing this are numerous,
but all fall into four basic categories:
Risk Avoidance,
Robust design that produces a design with substantial margin such that risk is reduced, and
Risk Control,
Risk Assumption, and
The open system approach that emphasizes use

of generally accepted interface standards that
provide proven solutions to component design
problems.
Risk Transfer.
Avoidance
To avoid risk, remove requirements that represent
uncertainty and high risk (probability or consequence.) Avoidance includes trading off risk for
performance or other capability, and it is a key
activity during requirements analysis. Avoidance
requires understanding of priorities in requirements
and constraints. Are they mission critical, mission
enhancing, nice to have, or bells and whistles?
Acceptance
Acceptance is the deliberate acceptance of the risk
because it is low enough in probability and/or consequence to be reasonably assumed without
impacting the development effort. Key techniques
for handling accepted risk are budget and schedule reserves for unplanned activities and continuous assessment (to assure accepted risks are maintained at acceptance level). The basic objective of
risk management in systems engineering is to
reduce all risk to an acceptable level.
Control
Control is the deliberate use of the design process
to lower the risk to acceptable levels. It requires
the disciplined application of the systems engineering process and detailed knowledge of the
technical area associated with the design. Control
techniques are plentiful and include:
The strong budgetary strain and tight schedules

on DoD programs tends to reduce the program
managers and system engineers capability to provide reserve. By identifying a risk as acceptable,
the worst-case outcome is being declared acceptable. Accordingly, the level of risk considered
acceptable should be chosen very carefully in a
DoD acquisition program.
Multiple concurrent design to provide more

than one design path to a solution,
Alternative low-risk design to minimize the risk
of a design solution by using the lowest-risk
design option,
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Risk Management
Transfer
Transfer can be used to reduce risk by moving the
risk from one area of design to another where a
design solution is less risky. Examples of this include:
Monitoring and Reporting
Assignment to hardware (versus software) or

vice versa; and
Use of functional partitioning to allocate performance based on risk factors.
Transfer is most associated with the act of assigning, delegating, or paying someone to assume the
risk. To some extent transfer always occurs when
contracting or tasking another activity. The contract or tasking document sets up agreements that
can transfer risk from the government to contractor, program office to agency, and vice versa. Typical methods include insurance, warranties, and
incentive clauses. Risk is never truly transferred.
If the risk isnt mitigated by the delegated activity
it still affects your project or program.
Key areas to review before using transfer are:
How well can the delegated activity handle the
risk? Transfer is effective only to the level the
risk taker can handle it.
Risk monitoring is the continuous process of tracking and evaluating the risk management process
by metric reporting, enterprise feedback on watch
list items, and regular enterprise input on potential developing risks. (The metrics, watch lists, and
feedback system are developed and maintained as
an assessment activity.) The output of this process
is then distributed throughout the enterprise, so that
all those involved with the program are aware of
the risks that affect their efforts and the system
development as a whole.
Special Case Integration as Risk
Integration of technologies in a complex system is
a technology in itself! Technology integration during design may be a high-risk item. It is not normally assessed or analyzed as a separately identified risk item. If integration risks are not properly
identified during development of the functional
baseline, they will demonstrate themselves as
serious problems in the development of the product
baseline.
Special Case Software Risk
Based on past history, software development is
often a high-risk area. Among the causes of performance, schedule, and cost deficiencies have
been:
How well will the delegated activity solution

integrate into your project or program? Transfer is effective only if the method is integrated
with the overall effort. For example, is the warranty action coordinated with operators and
maintainers?
Imperfect understanding of operational

requirements and its translation into source
instructions,
Was the method of tasking the delegated activity proper? Transfer is effective only if the transfer mechanism is valid. For example, can incentives be gamed?
Risk tracking and handling,
Who has the most control over the risk? If the

project or program has no or little control over
the risk item, then transfer should be considered to delegate the risk to those most likely to
be able to control it.
Lack of sufficient qualified personnel.
Insufficient comprehension of interface

constraints, and
Risk Awareness
All members of the enterprise developing the
system must understand the need to pay attention to the existence and changing nature of risk.
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Chapter 15
Consequences that are unanticipated can seriously

disrupt a development effort. The uneasy feeling
that something is wrong, despite assurances that
all is fine may be valid. These kinds of intuitions
have allowed humanity to survive the slings and
arrows of outrageous fortune throughout history.
Though generally viewed as non-analytical, these
apprehensions should not be ignored. Experience
indicates those non-specific warnings have validity,
and should be quantified as soon as possible.
Risk management is associated with a clear

understanding of probability.
Risk management is an essential and integral
part of technical program management (systems
engineering).
Risks and uncertainties must be identified,
analyzed, handled, and tracked.
There are four basic ways of handling risk:
avoidance, transfer, acceptance, and control.
15.3 SUMMARY POINTS

Program risks are classified as low, moderate,
or high depending on consequences and
probability of occurrence. Risk classification
should be based on quantified data to the extent
possible.
Risk is inherent in all activities.

Risk is composed of knowledge of two characteristics of a possible negative future event:
probability of occurrence and consequences of
occurrence.
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Risk Management
SUPPLEMENT 15-A
RISK MANAGEMENT
IN DOD ACQUISITION
Policy
Factoring Risk Management into the Process
DoD policy is quite clear in regard to risk

management: it must be done.
Risk management, as an integral part of the overall program planning and management process, is
enhanced by applying a controlled, consistent,
approach to systems engineering and using integrated teams for both product development and
management control. Programs should be transitioned to the next phase only if risk is at the appropriate level. Know the risk drivers behind the estimates. By its nature there are always subjective
aspects to assessing and analyzing risk at the system level, even though they tend to be represented
as quantitative and/or analytically objective.
The PM shall identify the risk areas in the program and integrate risk management within overall
program management. (DoD 5000.2-R.)
In addition, DoDD 5000.4 identifies risk and cost
analysis as a responsibility of the program manager.
Risk Management View
A DSMC study indicates that major programs
which declared moderate risk at Milestone B have
been more successful in terms of meeting cost and
schedule goals than those which declared low risk
(DSMC TR 2-95). This strongly implies that program offices that understand and respect risk management will be more successful. For this reason,
the program office needs to adopt a systems-level
view of risk. The systems engineer provides this
view. Systems Engineering is the cornerstone of
program office risk management program because
it is the connection to realistic assessment of product maturity and development, and the product is,
in the final analysis, what system acquisition is
really about.
Risk and Phases

Risk management begins in the Concept and Technology Development phase. During Concept Exploration initial system level risk assessments are
made. Unknown-unknowns, uncertainty, and some
high-risk elements are normal and expected. When
substantial technical risk exists, the Component
Advanced Development stage is appropriate, and
is included in the life-cycle process specifically as
an opportunity to address and reduce risks to a level
that are consistent with movement into systems
acquisition.
The S&T community has a number of vehicles
available that are appropriate for examining technology in application and for undertaking risk
reduction activities. These include Advanced
Technology Demonstrations, Advanced Concept
Technology Demonstrations, as well as Joint
Warfighting Experiments. The focus of the activities undertaken during these risk reduction stages
include:
However, the program office has external risks to

deal with as well as the internal risks prevalent in
the development process. The Systems Engineer
has to provide the program manager internal risk
data in a manner that aids the handling of the
external risks. In short, the systems engineer must
present bad news such that it is reasonable and
compelling to higher levels of authority. See
Chapter 20 for further discussion on this topic.
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Testing, analyzing, or mitigating system and

subsystem uncertainty and high risk out of the
program.
history indicates that the results will eventually

show the fallacy of speed over common sense. And
to fix the problem in later stages of development
or even after deploymentcan be hugely expensive in terms of both monetary cost and human
lives.
Demonstrating technology sufficient to uncover

system and subsystem unknown-unknowns
(especially for integration).
The prevailing presumption at Milestone B is that

the system is ready for engineering development.
After this, the acquisition community generally
assumes that risk is moderate to low, that the technology is available. There is evidence to support
the assertion that programs often progress into
engineering development with risks that actually
require substantial exploratory and applied research and development to bring them to the moderate levels of risk or lower. One approach that has
proven successful in making objective risk assessments is the use of independent evaluation teams.
Groups that have no pre-determined interest to
protect or axe to grind are often capable of providing excellent advice regarding the extent to which
a system is ready to proceed to the next level of
development and subsequent phases.
Planning for risk management during the

transition to and continuation of systems acquisition during the System Development and
Demonstration phase, especially handling and
tracking of moderate risk.
System Development and Demonstration requires
the application of product and manufacturing
engineering, which can be disrupted if the technology development is not sufficient to support
engineering development. Risk management in
during this phase emphasizes:
Reduction and control of moderate risks,
All risks under management including emerging
ones, and
Risk Classification on the

System (Program) Level
Maintenance of risk levels and reaction to

problems.
Classification definitions should be established

early and remain consistent throughout the program. The program office should assess the risks
of achieving performance, schedule, and cost in
clear and accurate terms of both probability and
consequence. Where there is disagreement about
the risk, assessment efforts should be immediately
increased. Confusion over risk is the worst program risk, because it puts in doubt the validity of
the risk management process, and therefore,
whether program reality is truly understood.
Objective Assessment of Technology

The revised acquisition process has been deliberately structured to encourage and allow programs
to progress through appropriate risk reduction
stages and phases, based on an objective assessment of the maturity levels associated with the
products and systems under development. It is
therefore, particularly important that program
managers and their staffs ensure that the decisions
made regarding recommendations to proceed, and
the paths to be taken, be based on as impartial and
objective opinions as possible. The temptation is
always to move ahead and not to delay to improve
the robustness of a given product or system. When
systems are hurried into engineering development
and production, in spite of the fact that the underlying technologies require further development,
The system level risk assessment requires integration and interpretation of the quantified risk
assessment of the parts. This requires reasonable
judgement. Because integration increases the potential for risk, it is reasonable to assume overall
risk is not better than the sum of objective data for
the parts.
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Risk Management
Reality Versus Expectations
Formal systems engineering with risk management

incorporated can provide the verifiable information. However, the systems engineer also has the
responsibility to adequately explain probability and
consequences such that the program manager can
accept the reality of the risk and override higher
level expectations.
Program managers are burdened with the expectations of superiors and others that have control over
the program offices environment. Pressure to accommodate these expectations is high. If the systems engineer cannot communicate the reality of
risk in terms that are understandable, acceptable,
or sufficiently verifiable to management, then these
pressures may override vertical communication of
actual risk.
Uncertainty is a special case, and very dangerous

in an atmosphere of high level expectations. Presentation of uncertainty issues should strongly emphasize consequences, show probability trends, and
develop most likely alternatives for probability.
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SUPPLEMENT 15-B
MODEL FOR
SYSTEM LEVEL
RISK ASSESSMENT
The following may be used to assist in making preliminary judgments regarding risk classifications:
Low Risk
Moderate Risk
High Risk
Consequences
Insignificant cost,
schedule, or technical
impact
Affects program
objectives, cost, or
schedule; however
cost, schedule,
performance are
achievable
Significant impact,
requiring reserve or
alternate courses of
action to recover
Probability of
Occurrence
Little or no estimated
likelihood
Probability sufficiently
high to be of concern
to management
High likelihood of
occurrence
Extent of
Demonstration
Full-scale, integrated
technology has been
demonstrated
previously
Has been demonstrated

but design changes,
tests in relevant
environments required
Significant design
changes required in
order to achieve
required/desired
results
Existence of
Capability
Capability exists in
known products;
requires integration
into new system
Capability exists, but

not at performance
levels required for
new system
Capability does not

currently exist
Also see Technology Readiness Levels matrix in Chapter 2
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Systems Engineering Planning
PART 4
PLANNING,
ORGANIZING,
AND
MANAGING
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CHAPTER 16
SYSTEMS ENGINEERING
PLANNING
16.1 WHY ENGINEERING PLANS?
Technical/Systems Engineering Planning
Systems engineering planning is an activity that

has direct impact on acquisition planning decisions
and establishes the feasible methods to achieve the
acquisition objectives. Management uses it to:
Technical planning may be documented in a separate engineering management plan or incorporated

into a broad, integrated program management plan.
This plan is first drafted at project or program
inception during the early requirements analysis
effort. Requirements analysis and technical planning are inherently linked, because requirements
analysis establishes an understanding of what must
be provided. This understanding is fundamental
to the development of detailed plans.
Assure that all technical activities are identified

and managed,
Communicate the technical approach to the
broad development team,
To be of utility, systems engineering plans must

be regularly updated. To support management decision making, major updates will usually occur
at least just before major management milestone
decisions. However, updates must be performed
as necessary between management milestones to
keep the plan sufficiently current to achieve its
purpose of information, communication, and
documentation.
Document decisions and technical implementation, and

Establish the criteria to judge how well the
system development effort is meeting customer
and management needs.
Systems engineering planning addresses the scope
of the technical effort required to develop the system. The basic questions of who will do what
and when are addressed. As a minimum, a technical plan describes what must be accomplished,
how systems engineering will be done, how the
effort will be scheduled, what resources are needed,
and how the systems engineering effort will be
monitored and controlled. The planning effort
results in a management-oriented document
covering the implementation of program requirements for system engineering, including technical
management approaches for subsequent phases of
the life cycle. In DoD it is an exercise done on a
systems level by the government, and on a more
detailed level by contractors.
16.2 ELEMENTS OF TECHNICAL PLANS

Technical plans should include sufficient information to document the purpose and method of the
systems engineering effort. Plans should include
the following:
An introduction that states the purpose of the
engineering effort and a description of the
system being developed,
A technical strategy description that ties the
engineering effort to the higher-level management planning,
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A description of how the systems engineering

process will be tailored and structured to
complete the objectives stated in the strategy,
Be a single objective to avoid confusion,
An organization plan that describes the

organizational structure that will achieve the
engineering objectives, and
Have high-level support.
Be stated simply to avoid misinterpretation, and
Purpose: The purpose of the engineering effort

should be described in general terms of the outputs,
both end products and life-cycle enabling products that are required. The stated purpose should
answer the question, What does the engineering
effort have to produce?
A resource plan that identifies the estimated

funding and schedule necessary to achieve the
strategy.
Introduction
Technical Strategy
The introduction should include:
The basic purpose of a technical strategy is to link
the development process with the acquisition or
contract management process. It should include:
Scope: The scope of the plan should provide

information concerning what part of the big picture the plan covers. For example, if the plan were
a DoD program office plan, it would emphasize
control of the higher-level requirements, the system
definition (functional baseline), and all activities
necessary for system development. On the other
hand, a contractors plan would emphasize control
of lower-level requirements, preliminary and detail
designs (allocated and product baselines), and
activities required and limited by the contractual
agreement.
Development phasing and associated baselining,

Key engineering milestones to support risk
management and business management milestones,
Associated parallel developments or product
improvement considerations, and
Other management generated constraints or
high-visibility activities that could affect the
engineering development.
Description: The description of the system should:

Be limited to an executive summary describing
those features that make the system unique,
Phasing and Milestones: The development

phasing and baseline section should describe the
approach to phasing the engineering effort,
including tailoring of the basic process described
in this book and a rationale for the tailoring. The
key milestones should be in general keeping with
the technical review process, but tailored as
appropriate to support business management milestones and the project/programs development
phasing. Strategy considerations should also include discussion of how design and verification
will phase into production and fielding. This area
should identify how production will be phased-in
(including use of limited-rate initial production and
long lead-time purchases), and that initial support
considerations require significant coordination
between the user and acquisition community.
Include a general discussion of the systems

operational functions, and
Answer the question What is it and what will
it do?
Focus: A guiding focus for the effort should be
provided to clarify the management vision for the
development approach. For example, the focus may
be lowest cost to obtain threshold requirements,
superior performance within budget, superior standardization for reduced logistics, maximum use of
the open systems approach to reduce cost, or the
like. A focus statement should:
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Parallel Developments and Product Improvement: Parallel development programs necessary

for the system to achieve its objectives should be
identified and the relationship between the efforts
explained. Any product improvement strategies
should also be identified. Considerations such as
evolutionary development and preplanned product
improvement should be described in sufficient
detail to show how they would phase into the
overall effort.
could cover a wide range of possible issues. In

general, management issues identified as engineering strategy issues are those that impact the ability
to support the management strategy. Examples
would include:
Need to combine developmental phases to
accommodate management driven schedule or
resource limitations,
Risk associated with a tight schedule or limited
budget,
Impacts on Strategy
All conditions or constraints that impact the strategy should be identified and the impact assessed.
Key points to consider are:
Contractual approach that increases technical

risk, and
Others of a similar nature.
Critical technologies development,

Management-dictated technical activitiessuch as
use of M&S, open systems, IPPD, and others
should not be included as a strategy issue unless
they impact the overall systems engineering strategy to meet management expectations. The strategy discussion should lay out the plan, how it
dovetails with the management strategy, and how
management directives impact it.
Cost As an Independent Variable (CAIV), and

Any business management directed constraint
or activity that will have a significant influence
on the strategy.
Critical Technologies: Discussion of critical
technology should include:
Systems Engineering Processes

Risk associated with critical technology
development and its impact on the strategy,
This area of the planning should focus on how the

system engineering processes will be designed to
support the strategy. It should include:
Relationship to baseline development, and

Potential impact on the overall development
effort.
Specific methods and techniques used to

perform the steps and loops of the systems engineering process,
Cost As an Independent Variable: Strategy considerations should include discussion of how

CAIV will be implemented, and how it will impact
the strategy. It should discuss how unit cost, development cost, life cycle cost, total ownership
cost, and their interrelationships apply to the system development. This area should focus on how
these costs will be balanced, how they will be controlled, and what impact they have on the strategy
and design approach.
Specific system analysis and control tools and

how they will be used to support step and loop
activities, and
Special design considerations that must be
integrated into the engineering effort.
Steps and Loops: The discussion of how the
systems engineering process will be done should
show the specific procedures and products that will
ensure:
Management Issues: Management issues that pose

special concerns for the development strategy
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Requirements are understood prior to the flowdown and allocation of requirements,
the overall requirements analysis process and

procedures.
Functional descriptions are established before

designs are formulated,
Analysis and Control: Planning should identify

those analysis tools that will be used to evaluate
alternative approaches, analyze or assess effectiveness, and provide a rigorous quantitative basis for
selecting performance, functional, and design
requirements. These processes can include trade
studies, market surveys, M&S, effectiveness analyses, design analyses, QFD, design of experiments,
and others.
Designs are formulated that are traceable to

requirements,
Methods exist to reconsider previous steps, and
Verification processes are in place to ensure that
design solutions meet needs and requirements.
Planning must identify the method by which

control and feedback will be established and maintained. The key to control is performance-based
measurement guided by an event-based schedule.
Entrance and exit criteria for the event-driven
milestones should be established sufficient to
demonstrate proper development progress has been
completed. Event-based schedules and exit criteria are further discussed later in this chapter.
Methods to maintain feedback and control are
developed to monitor progress toward meeting the
exit criteria. Common methods were discussed
earlier in this book in the chapters on metrics, risk
management, configuration management, and
technical reviews.
This planning area should address each step and

loop for each development phase, include identification of the step-specific tools (Functional Flow
Block Diagrams, Timeline Analysis, etc.) that will
be used, and establish the verification approach.
The verification discussion should identify all
verification activities, the relationship to formal
developmental T&E activities, and independent
testing activities (such as operational testing).
Norms of the particular technical area and the
engineering processes of the command, agency, or
company doing the tasks will greatly influence this
area of planning. However, whatever procedures,
techniques, and analysis products or models used,
they should be compatible with the basic principles
of systems engineering management as described
earlier in this book.
Design Considerations: In every system development there are usually technical activities that
require special attention. These may come from
management concerns, legal or regulatory directives, social issues, or organizational initiatives. For
example, a DoD program office will have to conform to DoDD 5000.2-R, which lists several technical activities that must be incorporated into the
development effort. DoD plans should specifically
address each issue presented in the Program Design
section of DoD 5000.2-R.
An example of the type of issue this area would

address is the requirements analysis during the
system definition phase. Requirements analysis is
more critical and a more central focus during system definition than in later phases. The establishment of the correct set of customer requirements
at the beginning of the development effort is
essential to proper development. Accordingly, the
system definition phase requirements analysis
demands tight control and an early review to verify
the requirements are established well enough to
begin the design effort. This process of control and
verification necessary for the system definition
phase should be specifically described as part of
In the case of a contractor there may be issues delineated in the contract, promised in the proposal,
or established by management that the technical
effort must address. The system engineering planning must describe how each of these issues will
be integrated into the development effort.
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Organization
Financial plan assures resources match the

needs in the tech plan. Conflicts should be
identified early and resolved.
Systems engineering management planning should

identify the basic structure that will develop the
system. Organizational planning should address
how the integration of the different technical disciplines, primary function managers, and other
stakeholders will be achieved to develop the system. This planning area should describe how multidisciplinary teaming would be implemented, that
is, how the teams will be organized, tasked, and
trained. A systems-level team should be established
early to support this effort. Roles, authority, and
basic responsibilities of the system-level design
team should be specifically described. Establishing the design organization should be one of the
initial tasks of the system-level design team. Their
basic approach to organizing the effort should be
described in the plan. Further information on
organizing is contained in a later chapter.
Test and Evaluation Master Plan (TEMP) assures it complements the verification approach.
It should provide an integrated approach to
verify that the design configuration will meet
customer requirements. This approach should
be compatible with the verification approach
delineated in the systems engineering plan.
Configuration management plan assures that the
development process will maintain the system
baselines and control changes to them.
Design plans (e.g., electrical, mechanical, structural, etc.) coordinates identification of IPT
team composition.
Integrated logistics support planning and support analysis coordinates total system support.
Resources
The plan should identify the budget for the technical development. The funds required should be
matrixed against a calendar schedule based on the
event-based schedule and the strategy. This should
establish the basic development timeline with an
associated high-level estimated spending profile.
Shortfalls in funding or schedule should be addressed and resolved by increasing funds, extending schedule, or reducing requirements prior to the
plan preparation. Remember that future analysis
of development progress by management will tend
to be based on this budget promised at plan
inception.
Production/Manufacturing plan to coordinate

activities concerning design producibility, and
follow-on production,
Quality management planning assures that
quality engineering activities and quality management functions are included in system
engineering planning,
Risk management planning establishes and
coordinates technical risk management to
support total program risk management.
Interoperability planning assures interoperability suitability issues are coordinated with system engineering planning. (Where interoperability is an especially critical requirement
such as, communication or information systems,
it should be addressed as a separate issue with
separate integrated teams, monitoring, and
controls).
16.3 INTEGRATION OF PLANS

PROGRAM PLAN INTERFACES
Systems engineering management planning must
be coordinated with interfacing activities such as
these:
Acquisition Strategy assures that technical plans
take into account decisions reflected in the Acquisition Strategy. Conflicts must be identified
early and resolved.
Others such as M&S plan, software development plan, human integration plan, environment, safety and health planning, also interface.
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Things to Watch
How the concerns of the eight primary life cycle

functions will be satisfied,
A well developed technical management plan will

include:
How regulatory and contractual requirements

will be achieved, and
The expected benefit to the user,

The feasibility of the plan, i.e., is the plan
practical and executable from a technical,
schedule, and cost perspective.
How a total systems development will be

achieved using a systems engineering approach,
How the technical plan complements and supports the acquisition or management business
plan,
16.4 SUMMARY POINTS

Systems engineering planning should establish
the organizational structure that will achieve the
engineering objectives.
How incremental reviews will assure that the

development stays on track,
How costs will be reduced and controlled,
Planning must include event-based scheduling

and establish feedback and control methods.
What technical activities are required and who

will perform them,
It should result in important planning and

control documents for carrying out the
engineering effort.
How the technical activities relate to work

accomplishment and calendar dates,
It should identify the estimated funding and

detail schedule necessary to achieve the strategy.
How system configuration and risk will be

controlled,
Systems engineering planning should establish

the proper relationship between the acquisition
and technical processes.
How system integration will be achieved,
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APPENDIX 16-A
SCHEDULES
The event-based schedule, sometimes referred to
as the Systems Engineering Master Schedule
(SEMS) or Integrated Master Schedule (IMS) is a
technical event-driven (not time-driven) plan primarily concerned with product and process
development. It forms the basis for schedule control and progress measurement, and relates
engineering management events and accomplishments to the WBS. These events are identified
either in the format of entry and exit events (e.g.
initiate PDR, complete PDR) or by using entry and
exit criteria for each event. Example exit criteria
shown in Figures 16-1 and 16-2.
System Requirements
Review (SRR)
The program office develops an event-based

schedule that represents the overall development
effort. This schedule is usually high-level and
focused on the completion of events that support
the acquisition milestone decision process. An
event-based schedule is developed by the contractor to include significant accomplishments that
must be completed in order to meet the progress
required prior to contract established events. The
contractor also includes events, accomplishments,
and associated success criteria specifically identified by the contract. DoD program offices can use
the contractors event-based schedule and the
System Functional
Review/Software Spec
Review(SFR/SSR)
Mission Analysis completed
Installed environments defined
Support Strategy defined
Maintenance concept defined
System options decisions

completed
Preliminary design criteria

established
Design usage defined
Preliminary design margins

established
Operational performance
requirement defined
Manpower sensitivities
completed
Operational architecture
available and reviewed
Interfaces defined/preliminary
interface specs completed
Software and software support
requirements completed
Baseline support/resources
requirements defined
Support equipment capability
defined
Preliminary Design
Review (PDR)
Design analyses/definition
completed
Material/parts characterization
completed
Design maintainability analysis
completed/support requirements
defined
Preliminary production plan
completed
Make/buy decisions finalized
Breadboard investigations
completed
Coupon testing completed
Design margins completed
Technical architecture prepared
Preliminary FMECA completed
System defined and requirements

shown to be achievable
Software functions and architecture and support defined

Maintenance tasks trade studies
completed
Support equipment development
specs completed
Figure 16-1. Sample Event-Based Schedule Exit Criteria
153
Critical Design Review

Test Readiness Review
(CDR/TRR)
Parts, materials, processes
selected
Development tests completed
Inspection points/criteria
completed
Component level FMECA
completed
Repair level analysis completed
Chapter 16
System Verfication Review/

(SVR/FCA)
All verification tasks completed
Qualification testing completed
Durability tests completed
All QA provisions finalized
Long lead time items identified
All manufacturing process

requirements and documentation finalized
PME and operational training

completed
Tech manuals completed
Flight test plan approved
Facility requirements defined
Support and training equipment

developed
Software test descriptions

completed
Fielding analysis completed
Hardware and software hazard

analysis completed

(PCA)
Provisioning data verified
Product fabrication specifications finalized

Support and training equipment
qualification completed
All acceptance test requirements completed
Life management plan completed
System support capability
demonstrated
Firmware spt completed

Software programmers manual
completed
Post production support

analysis completed
Durability test completed
Final software description

document and all user manuals
complete
Maintinability analyses completed

Qualification test procedures
approved
Producibility analyses completed
Figure 16-2. Sample Event-Driven Schedule Exit Criteria (continued)
The calendar or detail schedule is a time-based

schedule that shows how work efforts will support
tasks and events identified in the event-based
schedule. It aligns the tasks and calendar dates to
show when each significant accomplishment must
be achieved. It is a key component for developing
Earned Value metrics. The calendar schedule is
commonly referred to as the detail schedule,
systems engineering detail schedule, or SEDS. The
contractor is usually required to maintain the
relationship between the event and calendar
schedules for contract required activities. Figure
16-3 shows the relationship between the system
requirements, the WBS, the contractual requirements, the event-based schedule, and the detail
schedule.
contractors conformance to it for several purposes:

source selection, monitoring contractor progress,
technical and other reviews, readiness for option
award, incentives/awards determination, progress
payments decision, and similar activities.
The event-based schedule establishes the key
parameters for determining the progress of a
development program. To some extent it controls
and interfaces with systems engineering management planning, integrated master schedules and integrated master plans, as well as risk management
planning, system test planning, and other key plans
which govern the details of program management.
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Requirement
System Spec
Air Vehicle
WBS Elements
SOO/SOW Task
31 Aircraft Subsystems (WBS 1600)
1610 Landing Gear Systems
Conduct a development program to

include detailed design, manufacture,
assembly, and test of all aircraft subsystems
Earned
Value Reports
Significant Accomplishments
Events
Accomplishment Criteria
PDR
1. Preliminary Design Complete
1. a. Duty Cycle Defined
b. Preliminary Analysis Complete/Revd

c. Preliminary Drawings Released
Detailed Tasks
Program Events:
19XX
19XY
PDR
CDR
1. Preliminary Design Complete

Duty Cycle Define
Figure 16-3. Event-BasedDetailed Schedule Interrelationships
Schedule Summary
The event-based schedule establishes the key tasks
and results expected. The event-based schedule
establishes the basis for a valid calendar-based
(detail) schedule.
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Product Improvement Strategies
CHAPTER 17
PRODUCT IMPROVEMENT
STRATEGIES
Safety issues requiring replacement of unsafe
components, and
17.1 INTRODUCTION
Complex systems do not usually have stagnant
configurations. A need for a change during a
systems life cycle can come from many sources
and effect the configuration in infinite ways. The
problem with these changes is that, in most cases
it is difficult, if not impossible, to predict the nature and timing of these changes at the beginning
of system development. Accordingly, strategies or
design approaches have been developed to reduce
the risk associated with predicted and unknown
changes.
Service life extension programs that refurbish

and upgrade systems to increase their service life.
In DoD, the 21st century challenge will be improving existing products and designing new ones that
can be easily improved. With the average service
life of a weapons system in the area of 40 or more
years, it is necessary that systems be developed
with an appreciation for future requirements, foreseen and unforeseen. These future requirements
will present themselves as needed upgrades to
safety, performance, supportability, interface compatibility, or interoperability; changes to reduce
cost of ownership; or major rebuild. Providing
these needed improvements or corrections form
the majority of the systems engineers postproduction activities.
Well thought-out improvement strategies can help

control difficult engineering problems related to:
Requirements that are not completely understood at program start,
Technology development that will take longer
than the majority of the system development,
Customer needs (such as the need to combat a
new military threat) that have increased, been
upgraded, are different, or are in flux,
Requirements change due to modified policy,
operational philosophy, logistics support philosophy, or other planning or practices from the
eight primary life cycle function groups,
17.2 PRODUCT IMPROVEMENT

STRATEGIES
As shown by Figure 17-1, these strategies vary
based on where in the life cycle they are applied.
The strategies or design approaches that reflect
these improvement needs can be categorized as
planned improvements, changes in design or
production, and deployed system upgrades.
Planned Improvements
Technology availability that allows the system

to perform better and/or less expensively,
Planned improvements strategies include evolutionary acquisition, preplanned product development, and open systems. These strategies are not
exclusive and can be combined synergistically in
a program development.
Potential reliability and maintainability upgrades that make it less expensive to use,
maintain, or support, including development of
new supply support sources,
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MS
A
Chapter 17
MS
B
MS
C
Deployment
Planned Improvement
Design Changes
Production
Modifications
Upgrades
Integrated Inputs of All Functional Disciplines
Figure 17-1. Types of Product Improvement Strategies
General for the System
Specific for the Core
Customer
Feedback
Managed
by Req
Analysis
Concept of Operations
Preliminary
System
Architecture
Define FUND Develop Operationally Test CORE

Refine and Update
Requirements
Define FUND Develop Operationally Test Block A

continue as required
The lack of specificity

and detail in identifying the final
system capability is what
distinguishes Evolutionary
Acquisition from an
acquisition strategy based
on P3I.
JLC EA Guide
Flexible/Incremental ORD, TEMP, etc.
Figure 17-2. Evolutionary Acquisition
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Chapter 17
rather than in the traditional single grand design

approach. Planning for evolutionary acquisition
also demands that engineering designs be based
on open system, modular design concepts that permit additional increments to be added over time
without having to completely re-design and redevelop those portions of the system already
fielded. Open designs will facilitate access to recent
changes in technologies and will also assist in controlling costs by taking advantage of commercial
competition in the marketplace. This concept is
not new; it has been employed for years in the
C4ISR community, where system are often in
evolution over the entire span of their lifecycles.
Evolutionary Acquisition: Evolutionary acquisition is the preferred approach to systems acquisition in DoD. In an environment where technology
is a fast moving target and the key to military superiority is a technically superior force, the requirement is to transition useful capability from development to the user as quickly as possible, while
laying the foundation for further changes to occur
at later dates. Evolutionary acquisition is an approach that defines requirements for a core capability, with the understanding that the core is to be
augmented and built upon (evolved) until the system meets the full spectrum of user requirements.
The core capability is defined as a function of user
need, technology maturity, threat, and budget. The
core is then expanded as need evolves and the other
factors mentioned permit.
Preplanned Product Improvement (P3I): Often

referred to as P3I, preplanned product improvement is an appropriate strategy when requirements
are known and firm, but where constraints (typically either technology or budget) make some
portion of the system unachievable within the
schedule required. If it is concluded that a militarily
A key to achieving evolutionary acquisition is the

use of time-phased requirements and continuous
communication with the eventual user, so that requirements are staged to be satisfied incrementally,
P3I
Os
PR
Responsive to threat changes

Accommodates future technology
IOC can be earlier
Reduced development risk
Possible subsystem competition
Increased effective operational life
CO
Ns
Acquisition Issues
The P3I acquisition

management challenge is to acquire
systems with interfaces and accessibility
as an integral part of the design so that
the deferred element(s) can be
incorporated in a cost-effective manner
when they become available.
Longer Range Planning

Parallel Efforts
Standards and Interface Capacity
Modular Equipment/Open Systems
Increased initial development cost

Increased technical requirements
complexity
More complex CM
Sensitive to funding streams
Parallel development management
Figure 17-3. Pre-Planned Product Improvement
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useful capability can be fielded as an interim solution while the portion yet to be proceeds through
development, then P3I is appropriate. The approach
generally is to handle the improvement as a separate, parallel development; initially test and deliver
the system without the improvement; and prove
and provide the enhanced capability as it becomes
available. The key to a successful P3I is the establishment of well-defined interface requirements for
the system and the improvement. Use of a P3I will
tend to increase initial cost, configuration
management activity, and technical complexity.
Figure 17-3 shows some of the considerations in
deciding when it is appropriate.
advice on issues related to configuration changes.

Block Change before Deployment: Block changes
represent an attempt to improve configuration
management by having a number of changes
grouped and applied such that they will apply consistently to groups (or blocks) of production items.
This improves the management and configuration
control of similar items substantially in comparison to change that is implemented item by item
and single change order by single change order.
When block changes occur, the life cycle impact
should be carefully addressed. Significant differences in block configurations can lead to different
manuals, supply documentation, training, and
restrictions as to locations or activities where the
system can be assigned.
Open Systems Approach: The open system design

approach uses interface management to build flexible design interfaces that accommodate use of
competitive commercial products and provide
enhanced capacity for future change. It can be used
to prepare for future needs when technology is yet
not available, whether the operational need is
known or unknown. The open systems focus is to
design the system such that it is easy to modify
using standard interfaces, modularity, recognized
interface standards, standard components with
recognized common interfaces, commercial and
nondevelopmental items, and compartmentalized
design. Open system approaches to design are
further discussed at the end of this chapter.
Deployed Systems Upgrades

Major Rebuild: A major rebuild results from the
need for a system that satisfies requirements significantly different or increased from the existing
system, or a need to extend the life of a system
that is reaching the end of its usable life. In both
cases the system will have upgraded requirements
and should be treated as basically a new system
development. A new development process should
be started to establish and control configuration
baselines for the rebuilt system based on the
updated requirements.
Changes in Design or Production

Major rebuilds include remanufacturing, servicelife extension programs, and system developments
where significant parts of a previous system will
be reused. Though rebuilding existing systems can
dramatically reduce the cost of a new system in
some cases, the economies of rebuild can be
deceiving, and the choice of whether to pursue a
rebuild should be done after careful use of trade
studies. The key to engineering such systems is to
remember that they are new systems and require
the full developmental considerations of baselining, the systems engineering process, and life cycle
integration.
Engineering Change Proposals (ECPs): Changes

that are to be implemented during the development
and production of a given system are typically initiated through the use of ECPs. If the proposed
change is approved (usually by a configuration
control board) the changes to the documentation
that describes the system are handled by formal
configuration management, since, by definition,
ECPs, when approved, change an approved baseline. ECPs govern the scope and details of these
changes. ECPs may address a variety of needs,
including correction of deficiencies, cost reduction, and safety. Furthermore, ECPs may been assigned differing levels of priority from routine to
emergency. MIL-HDBK-61, Configuration Management Guidance, offers an excellent source of
Post-Production Improvement: In general, product

improvements become necessary to improve the
system or to maintain the system as its components
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reach obsolescence. These projects generally result in a capability improvement, but for all practical purposes the system still the serves the same
basic need. These improvements are usually characterized by an upgrade to a component or subsystem as opposed to a total system upgrade.
that are not always readily apparent at the outset

of a system upgrade. Upgrade planning should
ensure that the revised components will be compatible at the interfaces. Where interfaces are impacted, broad coordination and agreement is normally required.
Block Upgrades: Post-production block upgrades

are improvements to a specific group of the system
population that provides a consistent configuration within that group. Block upgrades in postproduction serve the same general purpose of
controlling individual system configurations as
production block upgrades, and they require the
same level of life-cycle integration.
Traps in Upgrading Deployed Systems

When upgrading a deployed system pay attention
to the following significant traps:
Modifying an Existing System

Upgrading an existing system is a matter of following the system engineering process, with an
emphasis on configuration and interface management. The following activities should be included
when upgrading a system:
Scheduling to minimize operational impacts: The

users operational commitments will dictate the
availability of the system for modification. If the
schedule conflicts with an existing or emerging
operational need, the system will probably not
become available for modification at the time
agreed to. Planning and contractual arrangements
must be flexible enough to accept unforeseen schedule changes to accommodate users unanticipated
needs.
Configuration and interface management: Configuration management must address three configurations: the actual existing configuration, the modification configuration, and the final system configuration. The key to successful modification is
the level of understanding and control associated
with the interfaces.
Benchmark the modified requirements both for

the upgrade and the system as a whole,
Perform functional analysis and allocation on
the modified requirements,
Assess the actual capability of the pre-upgrade
system,
Logistics compatibility problems: Modification

will change the configuration, which in most cases
will change the supply support and maintenance
considerations. Coordination with the logistics
community is essential to the long-term operational
success of the modification.
Identify cost and risk factors and monitor them,

Develop and evaluate modified system alternatives,
Prototype the chosen improvement alternative,
and
Minimal resources available: Modifications tend

to be viewed as simple changes. As this chapter
has pointed out, they are not; and they should be
carefully planned. That planning should include
an estimate of needed resources. If the resources
are not available, either the project should be
abandoned, or a plan formulated to mitigate and
control the risk of an initial, minimal budget combined with a plan for obtaining additional
resources.
Verify the improvement.

Product improvement requires special attention
to configuration and interface management. It
is not uncommon that the existing systems configuration will not be consistent with the existing
configuration data. Form, fit, and especially function interfaces often represent design constraints
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Funding restrictions ($ color) drive the need to separate

performance increase from supportability changes
If
Fund
development
and test
with
MOD
Increases
Performance
System
In
Production
No
Yes
No
Yes
RDT&E $ $
Procurement $ $
O&M $ $
MOD Kit
Fabricated
Fund mod
kit with
Procurement $ $
Installed
Fund
installation
with
Procurement $ $
Product improvement planning must be driven by

risk management, not by $ color or calendar!
Figure 17-4. Funding Rule for DoD System Upgrades
specific system upgrade will have relationships

established by the conditions surrounding the particular program, government responsibilities would
usually include:
Limited competitors: Older systems may have only

a few suppliers that have a corporate knowledge
of the particular system functions and design. This
is especially problematic if the original system
components were commercial or NDIs that the designer does not have product baseline data for. In
cases such as these, there is a learning process that
must take place before the designer or vendor can
adequately support the modification effort. Depending on the specific system, this could be a
major effort. This issue should be considered very
early in the modification process because it has
serious cost implications.
Providing a clear statement of system requirements,

Planning related to government functions,
Managing external interfaces,
Managing the functional baseline configuration,
and
Government funding rules: As Figure 17-4 shows

the use of government funding to perform system
upgrades has restrictions. The purpose of the upgrade must be clear and justified in the planning
efforts.
Verifying that requirements are satisfied.

Contractor responsibilities are established by the
contract, but would normally include:
Technical planning related to execution,
17.3 ROLES AND RESPONSIBILITIES

Defining the new performance envelope,
Modification management is normally a joint government and contractor responsibility. Though any
Designing and developing modifications, and
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Providing evidence that changes made have

modified the system as required.
Ensuring operations, support activities, and

early field results are considered in planning.
System Engineering Role

17.4 SUMMARY POINTS
The systems engineering role in product improvement includes:
Complex systems do not usually have stagnant

configurations.
Planning for system change,

Planned improvements strategies include
evolutionary acquisition, preplanned product
development, and open systems.
Applying the systems engineering process,

Managing interface changes,
A major rebuild should be treated as a new

system development.
Identifying and using interface standards which

facilitate continuing change,
Upgrading an existing system is a matter of

following the system engineering process, with
an emphasis on configuration and interface
management.
Ensuring life cycle management is implemented,

Monitoring the need for system modifications,
and
Pay attention to the traps. Upgrade projects have

many.
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SUPPLEMENT 17-A
OPEN SYSTEM APPROACH

The open system approach is a business and
technical approach to system development that
results in systems that are easier to change or
upgrade by component replacement. It is a system
development logic that emphasizes flexible
interfaces and maximum interoperability, optimum
use of commercial competitive products, and
enhanced system capacity for future upgrade. The
value of this approach is that open systems have
flexibility, and that flexibility translates into benefits that can be recognized from business,
management, and technical perspectives.
systems engineering, interface control, modular

design, and design for upgrade. As a technical approach it supports the engineering goals of design
flexibility, risk reduction, configuration control,
long-term supportability, and enhanced utility.
Open Systems Initiative
In DoD the open system initiative was begun as a
result of dramatic changes in the computer industry that afforded significant advantages to design
of C4ISR and IT systems. The standardization
achieved by the computer industry allows C4ISR
and IT systems to be designed using interface
standards to select off-the-shelf components to
form the system. This is achieved by using
commercially-supported specifications and
standards for specifying system interfaces (external and internal, functional and physical), products, practices, and tools. An open system is one
From a management and business view, the open

system approach directs resources to a more intensive design effort with the expectation of a life
cycle cost reduction. As a business approach it
supports the DoD policy initiatives of CAIV, increased competition, and use of commercial products. It is a technical approach that emphasizes
Operational
Architecture
Developed
High-Level System
Architecture
Developed
Technical
Architecture
Developed
Complete System
Architecture
Developed
Implementation
Figure 17-5. C4I and IT Development
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API and Compile
Operating System
Drivers and Compiler
Processor
Module Hardware
Module I/O
Backplane
Figure 17-6. Simplified Computer Resource Reference Model
in which interfaces are fully described by open

standards.1 An open system approach extends this
concept further by using modular design and
interface design to enhance the availability of multiple design solutions, especially those reflecting
use of open standards, competitive commercial
components, NDIs, and future upgrade capability.
because of their operational nature, the user must

provide the components of the operational
architecture. It is usually left to the developer to
assemble and structure the information as part of
the system definition requirements analysis. Once
the operational architecture has clearly defined the
operational need, development of a system
architecture2 is begun.
As developed in the C4ISR and IT communities,

the open system approach requires the design of
three architectures: operational, technical, and
system.
The (open) system architecture is a set of descriptions, including graphics, of systems and interconnections supporting the operational functions
described in the operational architecture. Early in
the (open) system architecture development a
technical architecture is prepared to establish a set
of rules, derived from open consensus-based
industry standards, to govern the arrangement,
interaction, and interdependence of the elements
of a reference model. Reference models are a common conceptual framework for the type of system
being designed. (A simple version for computer
resources is shown in Figure 17-6.)
As shown in Figure 17-5, the first one prepared is

an operational architecture that defines the tasks,
operational elements, and information flows
required to accomplish or support an operational
function. The user community generates the
operational concepts that form an operational
architecture. The operational architecture is
allusive. It is not a specific document required to
be developed by the user such as the ORD; but
Open Standards are non-proprietary, consensus-based standards widely accepted by industry. Examples include SAE, IEEE, and ISO
standards.
This system architecture typically describes the end product but not the enabling products. It relies heavily on interface definitions to
describe system components.
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The technical architecture identifies the services,

interfaces, standards, and their relationships; and
provides the technical guidelines upon which
engineering specifications are based, common
building blocks are built, and product lines are
developed. In short, the technical architecture becomes a design requirement for developing the
system. (The purpose, form, and function of the
technical architecture is similar to building codes.)
also requires additional effort to assure life-cycle

conformance to interface requirements.
Open Systems Products and
SE Development Phasing
A system is developed with stepped phases that
allow an understanding of the operational need to
eventually evolve into a design solution. Though
some tailoring of this concept is appropriate, the
basic phasing (based on the operational concept
preceding the system description, which precedes
the preliminary design, which precedes the detailed
design) is necessary to coordinate the overall
design process and control the requirements flowdown. As shown by Figure 17-7 the open system
approach blends well with these development
phases.
The system architecture is then further developed

to eventually specify component performance and
interface requirements. These are then used to
select the specific commercial components that
form the system under development. This process,
called an implementation, envisions the production process as consisting primarily of selecting
components, conformance (to the interface and
performance requirements) management, and
assembly, with little or no need for detailed design
fabrications.
Concept Studies Phase

The initial detailed operational concept, including
operational architectures, should be a user-community output (with some acquisition engineering
assistance) produced during the concept exploration phase that emphasizes operational concepts
associated with various material solutions. The
operational concept is then updated as necessary
for each following phase. Analysis of the initial
operational concept should be a key element of
the operational view output of the system definition phase requirements analysis. An operational
architecture developed for supporting the system
description should be complete, comprehensive,
and clear; and verified to be so at the Alternative
Systems Review. If the operational architecture
cannot be completed, then a core operational
capability must be developed to establish the basis
for further development. Where a core capability
is used, core requirements should be complete and
firm, and the process for adding expanded
requirements should be clear and controlled.
The process described above has allowed significant achievements in computer-related developments. Other technical fields have also used the
open system design approach extensively. (Common examples are the electrical outlets in your
home and the tire-to-wheel interface on your car).
In most cases the process is not as well defined as
it is in the current digital electronics area. A consistent successful use of the open design concept,
in and outside the electronics field, requires an
understanding of how this process relates to the
activities associated with systems engineering
management.
Systems Engineering Management
The open system approach impacts all three
essential elements of systems engineering management: systems engineering phasing, the systems
engineering process, and life cycle considerations.
It requires enhanced interface management in the
systems engineering process, and requires specific
design products be developed prior to engineering-event milestones. The open systems approach
is inherently life-cycle friendly. It favorably
impacts production and support functions, but it
System Definition Phase

System interface definitions, such as the technical
architecture, and high-level (open) system architecture should be complete in initial form at the
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Concept Studies
Detailed Operational Concept (Operational Architecture)

and a High-Level WBS or Reference Model Available
at the Alternative Systems Review
DESIGN DEFINITION
Detailed Operational Concept

(Operational Architecture)
Reviewed and Verified Prior to
the System Requirements Review
System Definition
(Functional Baseline)
System Definition, WBS or Reference Model,

Technical Architecture, and a High-Level
System Architecture Available
at the System Functional Review
DESIGN DEFINITION
Subsystems/CI Definitions, System-Wide

Interface Requirements, and Complete
System Architecture Available at the
Preliminary Design Review
DESIGN DEFINITION
Preliminary Design
(Allocated Baseline)
Detail Design
(Product Baseline)
Implementation
Figure 17-7. Phasing of Open System Development
The preliminary design establishes performancebased descriptions of the system components, as

well as the interface and structure designs that
integrate those components. It is in this phase that
the open system approach has the most impact.
Interface control should be enhanced and focused
on developing modular designs that allow for maximum interchange of competitive commercial products. Review of the technical architecture (or interface definitions) becomes a key element of requirements analysis, open system focused functional partitioning becomes a key element of functional analysis and allocation, iterative analysis of
modular designs becomes a key element of design
synthesis, and conformance management becomes
a key element of verification. Open system related
products, such as the technical architecture, interface management documentation, and conformance management documentation, should be key
data reviewed at the Preliminary Design Review.
Again, the criteria for acceptance should be established in the systems engineering management plan
as phase-exit criteria.
end of the system definition phase (along with other

functional baseline documentation). Successful
completion of these items is required to perform
the preliminary design, and they should be available for the System Functional Review, also
referred to as the System Definition Review or System Design Review. The open system documentation can be separate or incorporated in other functional baseline documentation. The criteria for
acceptance should be established in the systems
engineering management plan as phase-exit
criteria.
Preliminary Design Phase
Along with other allocated baseline documentation, the interface definitions should be updated
and the open-system architecture completed by the
end of the preliminary design effort. This documentation should also identify the proper level of
openness (that is, the level of system decomposition at which the open interfaces are established)
to obtain the maximum cost and logistic advantage
available from industry practice.
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Requirements analysis includes the review and

update of interface standards and other interface
definitions generated as output from previous
systems engineering processes. Functional analysis and allocation focuses on functional partitioning to identify functions that can be performed independent of each other in order to minimize functional interfaces. Design synthesis focuses on
modular design with open interfaces, use of open
standards compliant commercial products, and the
development of performance and interface specifications. The verification processes include conformance testing to validate the interface requirements are appropriate and to verify components
chosen to implement the design meet the interface
requirements. Engineering open designs, then, does
not alter the fundamental practices within systems
engineering, but, rather, provides a specific focus
to the activities within that process.
Detail Design Phase

The detail design phase becomes the implementation for those parts of the system that have achieved
open system status. Conformance management
becomes a significant activity as commercial components are chosen to meet performance and
interface requirements. Conformance and interface
design testing becomes a driving activity during
verification to assure an open system or subsystem
has been achieved and that components selected
meet interface requirements and/or standards.
The systems engineering problem solving process
consists of process steps and loops supported by
system analysis and control tools. The focus of the
open systems engineering process is compartmentalized design, flexible interfaces, recognized interface standards, standard components with
recognized common interfaces, use of commercial
and NDIs, and an increased emphasis on interface
control. As shown by Figure 17-8, the open-system approach complements the systems engineering process to provide an upgradeable design.
System Engineering Control:

Interface Management
The key to the open systems engineering process
is interface management. Interface management
should be done in a more formal and comprehensive manner to rigidly identify all interfaces and
Requirements
Analysis
IPPD
Develop
Produce
Deploy
Support
Operate
Dispose
Test
Train
Interface
Management
Use of Standards
Functional Analysis
and Allocation
Functional Partitioning
Verification
Test of Interfaces
and Interface Standards
Design Synthesis
Open Flexible Designs
Figure 17-8. Open System Approach to the Systems Engineering Process
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control the flowdown and integration of interface

requirements. The interfaces become controlled
elements of the baseline equal to (or considered
part of) the configuration. Open system interface
management emphasizes the correlation of interface requirements between interfacing systems.
(Do those designing the interfacing systems
understand the interface requirements in the same
way?) Computer-Aided System Engineering
(CASE) generated schematic block diagrams can
be used to track interface design activity.
a major program objective, development of

different planes using common building blocks
(which, in essence, serve as the reference model
for the family of aircraft). The open system approach designed segments of a larger system could
have additional openness at a lower level. For example, the Advanced Amphibious Assault Vehicle
(AAAV) engine compartment is an open approach
design allowing for different engine installation
and future upgrade capability. On a lower level
within the compartment the fuel filters, lines, and
connectors are defined by open standard based
interfaces. Other systems will define openness at
other levels. Program objectives (such as interoperability, upgrade capability, cost-effective support, affordability, and risk reduction) and industry
practice (based on market research) drive the
choice of the level of openness that will best assure
optimum utility and availability of the open system
approach.
An open system is also characterized by multiple

design solutions within the interfaces with emphasis on leveraging best commercial practice. The
interface management effort must control interface
design such that interfaces specifically chosen for
an open system approach are designed based on
the following priority:
Open standards that allow competitive products,
Life Cycle Considerations

Open interface design that allows installation
of competitive products with minimal change,
Life cycle integration is established primarily

through the use of integrated teaming that combines the design and life cycle planning. The major impacts on life-cycle activity include:
Open interface design that allows minimal

change installation of commercial or NDI products currently or planned to be in DoD use, and
last,
Time and cost to upgrade a system is reduced.

It is common in defense systems, which have
average life spans in excess of 40 years, that
they will require upgrade in their life due to
obsolescence of original components, threat
increase, and technology push that increases
economy or performance. (Most commercial
products are designed for a significantly shorter
life than military systems, and designs that rely
on these commercial products must expect that
original commercial components will not
necessarily be available throughout the systems
life cycle.) By using an open system approach
the ability to upgrade a system by changing a
single or set of components is greatly enhanced.
In addition, the open system approach eases the
design problem of replacing the component,
thereby reducing the cost and schedule of upgrade, which in turn reduces the operational
impact.
Unique design with interfaces designed with

upgrade issues considered.
Note that these are clear priorities, not options.
Level of Openness
The level at which the interface design should focus
on openness is also a consideration. Each system
may have several levels of openness depending on
the complexity of the system and the differences
in the technology within the system. The level chosen to define the open interfaces should be
supported by industry and be consistent with
program objectives. For example, for most digital
electronics that level is the line-replaceable (LRU)
and shop-replaceable (SRU) level. On the other
hand the Joint Strike Fighter intends to establish
openness at a very high subsystem level to achieve
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An open system approach enhances the use

of competitive products to support the system.
This flexibility tends to reduce the cost associated with supply support, but more importantly
improves component and parts availability.
process that tracks the interface requirements

through the life cycle, and assures that the new
product meets those requirements.
Summary Comments
Conformance management becomes a part of

the life cycle configuration process. Replacement of components in an open system must
be more controlled because the government has
to control the system configuration without
controlling the detail component configuration
(which will come from multiple sources, all
with different detail configurations). The government must expect that commercial suppliers will control the design of their components
without regard to the governments systems.
The government therefore must use performance- and interface-based specifications to
assure the component will provide service
equivalent to that approved through the acquisition process. Conformance management is the
Open system design is not only compatible with

systems engineering; it represents an approach that
enhances the overall systems engineering effort. It
controls interfaces comprehensively, provides interface visibility, reduces risk through multiple
design solutions, and insists on life cycle interface
control. This emphasis on interface identification
and control improves systems engineers capability
to integrate the system, probably one of the hardest jobs they have. It also improves the tracking of
interface requirements flow down, another key job
of the systems engineer. Perhaps most importantly,
this rigorous interface management improves systems engineers ability to correctly determine
where commercial items can be properly used.
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Organizing and Integrating System Development
CHAPTER 18
ORGANIZING AND INTEGRATING

SYSTEM DEVELOPMENT
18.1 INTEGRATED DEVELOPMENT
Benefits
DoD has, for years, required that system designs

be integrated to balance the conflicting pressure
of competing requirements such as performance,
cost, supportability, producibility, and testability.
The use of multi-disciplinary teams is the approach
that both DoD and industry increasing have taken
to achieve integrated designs. Teams have been
found to facilitate meeting cost, performance, and
other objectives from product concept through
disposal.
The expected benefits from team-based integration

include:
The use of multi-disciplinary teams in design is

known as Integrated Product and Process Development, simultaneous engineering, concurrent
engineering, Integrated Product Development,
Design-Build, and other proprietary and non-proprietary names expressing the same concept. (The
DoD use of the term Integrated Product and Process Development (IPPD) is a wider concept that
includes the systems engineering effort as an element. The DoD policy is explained later in this
chapter.) Whatever name is used, the fundamental
idea involves multi-functional, integrated teams
(preferably co-located), that jointly derive requirements and schedules that place equal emphasis on
product and process development. The integration
requires:
Reduced risk,
Inclusion of the eight primary functions in the

team(s) involved in the design process,
Early and continuous life cycle planning,
Reduced rework in design, manufacturing,

planning, tooling, etc.,
Improved first time quality and reduction of
product variability,
Reduced cost and cycle time,
Improved operation and support, and

General improvement in customer satisfaction
and product quality throughout its life cycle.
Characteristics
The key attributes that characterize a well
integrated effort include:
Customer focus,
Concurrent development of products and
processes,
Maximum flexibility for optimization,

Technical process specialties such as quality,
risk management, safety, etc., and
Robust design and improved process capability,
Business processes (usually in an advisory

capacity) such as, finance, legal, contracts, and
other non-technical support.
Event-driven scheduling,
Multi-disciplinary teamwork,
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vertical and horizontal communication during the

development process. Figure 18-1 shows how team
structuring is usually done. At the system level
there is usually a management team and a design
team. The management team would normally consist of the government and contractor program
managers, the deputy program manager(s), possibly the contractor Chief Executive Officer, the
contracting officer, major advisors picked by the
program manager, the system design team leader,
and other key members of the system design team.
The design team usually consists of the first-level
subsystem and life-cycle integrated team leaders.
Empowerment,
Seamless management tools, and
Proactive identification and management of
risk.
Organizing for System Development
Most DoD program offices are part of a Program
Executive Office (PEO) organization that is usually supported by a functional organization, such
as a systems command. Contractors and other government activities provide additional necessary
support. Establishing a system development organization requires a network of teams that draw from
all these organizations. This network, sometimes
referred to as the enterprise, represents the interests of all the stakeholders and provides vertical
and horizontal communications.
The next level of teams is illustrated on Figure 18-1

as either product or process teams. These teams
are responsible for designing system segments
(product teams) or designing the supporting or
enabling products (process teams). At this level
the process teams are coordinating the system level
process development. For example, the support
team will integrate the supportability analysis from
the parts being generated in lower-level design and
These integrated teams are structured using the

WBS and designed to provide the maximum
System Level
Management Team
System Level
Design Team
Product A Team
WBS 1.0
Sub-Product
2.1
Product B Team
WBS 2.0
Sub-Tier Teams
(Sub-Product or
Process Oriented)
Process 1 Team
WBS 3.0
Sub-Product
2.3
Sub-Process
4.3
Sub-Process
4.1
Sub-Product
2.2
Sub-Product
2.2.1
Process 2 Team
WBS 4.0
Sub-Process
4.2
Sub-Product
2.2.2
Sub-Process
4.2.1
Figure 18-1. Integrated Team Structure
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Sub-Process
4.2.2
Chapter 18
decisions incorporate the concerns of lower-level

teams.
support process teams. Teams below this level continue the process at a lower level of decomposition. Teams are formed only to the lowest level
necessary to control the integration. DoD team
structures rarely extend lower than levels three or
four on the WBS, while contractor teams may extend to lower levels, depending on the complexities of the project and the approach favored by
management.
The normal method to obtain horizontal communication is shown in Figure 18-2. At least one team
member from the Product A Team is also a member
of the Integration and Test Team. This member
would have a good general knowledge of both
testing and Product A. The members job would
be to assist the two teams in designing their end or
enabling products, and in making each understand
how their decisions would impact the other team.
Similarly, the member that sits on both Product A
and B teams would have to understand the both
technology and the interface issues associated with
both items.
The team structure shown by Figure 18-1 is a

hierarchy that allows continuous vertical communication. This is achieved primarily by having the
team leaders, and, if appropriate, other key
members of a team, be team members of the next
highest team. In this manner the decisions of the
higher team is immediately distributed and
explained to the next team level, and the decisions
of the lower teams are presented to the higher team
on a regular basis. Through this method decisions
of lower-level teams follow the decision making
of higher teams, and the higher-level teams
The above is an idealized case. Each type of system, each type of contractor organization, and each
level of available resources requires a tailoring of
this structure. With each phase the focus and the
tasks change and so should the structure. As phases
Product A
Team
Integration
and
Test Team
Product B
Team
Figure 18-2. Cross Membership
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Chapter 18
are transited, the enterprise structure and team

membership should be re-evaluated and updated.
You should limit over-uses of cross membership. Limit membership on three or four teams
as a rough rule of thumb for the working level,
and
18.2 INTEGRATED TEAMS

Ensure appropriate representation of government, contractor, and vendors to assure integration across key organizations.
Integrated teams are composed of representatives

from all appropriate primary functional disciplines
working together with a team leader to:
Team Development
Design successful and balanced products,
When teams are formed they go through a series
of phases before a synergistic self-actuating team
is evolved. These phases are commonly referred
to as forming, storming, norming and performing.
The timing and intensity of each phase will depend
on the team size, membership personality, effectiveness of the team building methods employed,
and team leadership. The team leaders and an
enterprise-level facilitator provide leadership
during the team development.
Develop the configuration for successful lifecycle control,

Identify and resolve issues, and
Make sound and timely decisions.
The teams follow the disciplined approach of the
systems engineering process starting with requirements analysis through to the development of configuration baselines as explained earlier in this
book. The system-level design team should be
responsible for systems engineering management
planning and execution. The system-level management team, the highest level program IPT, is
responsible for acquisition planning, resource
allocation, and management. Lower-level teams are
responsible for planning and executing their own
processes.
Forming is the phase where the members are introduced to their responsibilities and other members. During this period members will tend to need
a structured situation with clarity of purpose and
process. If members are directed during this initial phase, their uncertainty and therefore apprehension is reduced. Facilitators controlling the team
building should give the members rules and tasks,
but gradually reduce the level of direction as the
team members begin to relate to each other. As
members become more familiar with other members, the rules, and tasks, they become more comfortable in their environment and begin to interact
at a higher level.
Team Organization
Good teams do not just happen; they are the result
of calculated management decisions and actions.
Concurrent with development of the enterprise
organization discussed above, each team must also
be developed. Basically the following are key
considerations in planning for a team within an
enterprise network:
This starts the storming phase. Storming is the conflict brought about by interaction relating to the
individuals manner of dealing with the team tasks
and personalities. Its outcome is members who
understand the way they have to act with other
members to accomplish team objectives. The dynamics of storming can be very complex and intense, making it the critical phase. Some teams will
go through it quickly without a visible ripple, others will be loud and hot, and some will never
emerge from this phase. The team building facilitators must be alert to dysfunctional activity.
The team must have appropriate representation

from the primary functions, technical specialties, and business support,
There must be links to establish vertical and
horizontal communication in the enterprise,
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Chapter 18
Members may need to be removed or teams

reorganized. Facilitators during this period must
act as coaches, directing but in a personal collaborative way. They should also be alert for members
that are avoiding storming, because the team will
not mature if there are members who are not
personally committed to participate in it.
correctly. Three weeks to a month is reasonable

for this process, if the members are in the same
location. Proximity does matter and the team building and later team performance are typically better
if the teams are co-located.
18.3 TEAM MAINTENANCE

Once the team has learned to interact effectively it
begins to shape its own processes and become more
effective in joint tasks. It is not unusual to see some
reoccurrence of storming, but if the storming phase
was properly transitioned these incidences should
be minor and easily passed. In this phase, norming,
the team building facilitators become a facilitator
to the teamnot directing, but asking penetrating
questions to focus the members. They also monitor
the teams and correct emerging problems.
Teams can be extremely effective, but they can be

fragile. The maintenance of the team structure is
related to empowerment, team membership issues,
and leadership.
Empowerment
The term empowerment relates to how responsibilities and authority is distributed throughout the
enterprise. Maintenance of empowerment is
important to promote member ownership of the
development process. If members do not have
personal ownership of the process, the effectiveness of the team approach is reduced or even
neutralized. The quickest way to destroy participant ownership is to direct, or even worse, overturn solutions that are properly the responsibility
of the team. The team begins to see that the
responsibility for decisions is at a higher level
rather than at their level, and their responsibility is
to follow orders, not solve problems.
As the team continues to work together on their

focused tasks, their performance improves until
they reach a level of self-actuation and quality
decision making. This phase, performing, can take
a while to reach, 18 months to two years for a
system-level design team would not be uncommon.
During the performing stage, the team building
facilitator monitors the teams and corrects
emerging problems.
At the start of a project or program effort, team
building is commonly done on an enterprise basis
with all teams brought together in a team-building
exercise. There are two general approaches to the
exercise:
Empowerment requires:
The flow of authority through the hierarchy of
teams, not through personal direction (irrespective of organizational position). Teams should
have clear tasking and boundaries established
by the higher-level teams.
A team-learning process where individuals are

given short but focused tasks that emphasize
group decision, trust, and the advantages of
diversity.
Responsibility for decision making to be

appropriate for the level of team activity. This
requires management and higher-level teams to
be specific, clear, complete, and comprehensive
in establishing focus and tasking, and in specifying what decisions must be coordinated with
higher levels. They should then avoid imposing
or overturning decisions more properly in the
realm of a lower level.
A group work-related task that is important but

achievable, such as a group determination of
the enterprise processes, including identifying
and removing non-value added traditional
processes.
Usually these exercises allow the enterprise to
pass through most of the storming phase if done
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Chapter 18
Teams at each level be given a clear understanding of their duties and constraints. Within the
bounds of those constraints and assigned duties
members should have autonomy. Higher-level
teams and management either accept their
decisions, or renegotiate the understanding of
the task.
cash awards, while civilians can. Con-sequently,

managers must actively seek ways to reward all
team members appropriately, leaving no group out
at the expense of others.
Leadership
Leadership is provided primarily by the organizational authority responsible for the program, the
enterprise facilitator, and the team leaders. In a
DoD program, the organizational leaders are usually the program manager and contractor senior
manager. These leaders set the tone of the enterprise adherence to empowerment, the focus of the
technical effort, and the team leadership of the
system management team. These leaders are
responsible to see that the team environment is
maintained. They should coordinate their action
closely with the facilitator.
Membership Issues
Another maintenance item of import is team member turnover. Rotation of members is a fact of life,
and a necessary process to avoid teams becoming
too closed. However, if the team has too fast a turnover, or new members are not fully assimilated,
the team performance level will decline and possibly revert to storming. The induction process
should be a team responsibility that includes the
immediate use of the new team member in a jointly
performed, short term, easily achievable, but
important task.
Facilitators
Teams are responsible for their own performance,

and therefore should have significant, say over the
choice of new members. In addition teams should
have the power to remove a member; however, this
should be preceded by identification of the problem and active intervention by the facilitator.
Removal should be a last resort.
Enterprises that have at least one facilitator find

that team and enterprise performance is easier to
maintain. The facilitator guides the enterprise
through the team building process, monitors the
team network through metrics and other feedback, and makes necessary corrections through
facilitation. The facilitator position can be:
Awards for performance should, where possible,

be given to the team rather than individuals (or
equally to all individuals on the team). This
achieves several things: it establishes a team focus,
shows recognition of the team as a cohesive force,
recognizes that the quality of individual effort is
at least in part due to team influence, reinforces
the memberships dedication to team objectives,
and avoids team member segregation due to uneven
awards. Some variation on this theme is appropriate where different members belong to different
organizations, and a common award system does
not exist. The system-level management team
should address this issue, and where possible assure
equitable awards are given team members. A very
real constraint on cash awards in DoD rises in the
case of teams that include both civilian and military members. Military members cannot be given
A separate position in the contractor organization,

Part of the responsibilities of the government
systems engineer or contractor project manager,
or
Any responsible position in the first level below
the above that is related to risk management.
Obviously the most effective position would be one
that allows the facilitator to concentrate on the
teams performance. Enterprise level facilitators
should have advanced facilitator training and
(recommended) at least a year of mentored experience. Facilitators should also have significant
broad experience in the technical area related to
the development.
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Chapter 18
Team Leaders
Teams use several tools to enhance their productivity and improve communication among
enterprise members. Some examples are:
The team leaders are essential for providing and

guiding the team focus, providing vertical communication to the next level, and monitoring the
teams performance. Team leaders must have a
clear picture of what constitutes good performance
for their team. They are not supervisors, though in
some organizations they may have supervisory
administrative duties. The leaders primary purpose
is to assure that the environment is present that
allows the team to perform at its optimum level
not to direct or supervise.
Constructive modeling (CAD/CAE/CAM/

CASE) to enhance design understanding and
control,
Trade-off studies and prioritization,
Event-driven schedules,
Prototyping,
Metrics, and most of all
The team leaders role includes several difficult

responsibilities:
Taking on the role of coach as the team forms,
Integrated membership that represents the life

cycle stakeholders.
Facilitating as the team becomes self-sustaining,
Integrated Team Rules
Sometimes serving as director (only when a

team has failed, needs refocus or correction, and
is done with the facilitator),
The following is a set of general rules that should

guide the activities and priorities of teams in a
system design environment:
Providing education and training for members,
Design results must be communicated clearly,

effectively, and timely.
Facilitating team learning,

Design results must be compatible with initially
defined requirements.
Representing the team to upper management

and the next higher-level team, and
Continuous up-the-line communication must

be institutionalized.
Facilitating team disputes.

Team leaders should be trained in basic facilitator
principles. This training can be done in about a
week, and there are numerous training facilities or
companies that can offer it.
Each member needs to be familiar with all

system requirements.
18.4 TEAM PROCESSES
Only one member of the team has the authority

to make changes to one set of master documentation.
Everyone involved in the team must work from

the same database.
Teams develop their processes from the principles

of system engineering management as presented
earlier in the book. The output of the teams is
the design documentation associated with products identified on the system architecture, including both end product components and enabling
products.
All members have the same level of authority

(one person, one vote).
Team participation is consistent, successoriented, and proactive.
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Team discussions are open with no secrets.

Team member disagreements must be reasoned
disagreement (alternative plan of action versus
unyielding opposition).
Draft meeting summaries should be provided

to members within one working day of the
meeting. A final summary should be issued
within two working days after the draft
comments deadline.
Trade studies and other analysis techniques are

used to resolve issues.
18.5 BARRIERS TO INTEGRATION
Issues are raised and resolved early.
There are numerous barriers to building and maintaining a well functioning team organization, and
they are difficult to overcome. Any one of these
barriers can negate the effectiveness of an integrated development approach. Common barriers
include:
Complaints about the team are not voiced

outside the team. Conflicts must be resolved
internally.
Guidelines for Meeting Management
Lack of top management support,

Even if a team is co-located as a work unit, regular
meetings will be necessary. These meetings and
their proper running become even more important
if the team is not co-located and the meeting is the
primary means of one-on-one contact. A well-run
technical meeting should incorporate the following
considerations:
Team members not empowered,

Lack of access to a common database,
Lack of commitment to a cultural change,
Functional organization not fully integrated into
a team process,
Meetings should be held only for a specific

purpose and a projected duration should be
targeted.
Lack of planning for team effort,
Advance notice of meetings should normally

be at least two weeks to allow preparation and
communication between members.
Staffing requirements conflict with teams,
Agendas, including time allocations for topics

and supportive material should be distributed
no less than three business days before the team
meeting. The objective of the meeting should
be clearly defined.
Insufficient team education and training,
Team members not collocated,
Lessons learned and successful practices not

shared across teams,
Inequality of team members,
Stick to the agenda during the meeting. Then

cover new business. Then review action items.
Lack of commitment based on perceived

uncertainty,
Meeting summaries should record attendance,

document any decision or agreements reached,
document action items and associated duedates, provide a draft agenda for the next
meeting, and frame issues for higher-level
resolution.
Inadequate resources, and

Lack of required expertise on either the part of
the contractor or government.
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Breaking Barriers
Where co-location is not possible have regular

working sessions of several days duration. Telecommunications, video conferencing, and other
technology based techniques can also go far to
alleviate the problems of non-collocation.
Common methods to combat barriers include:

Education and training, and then more education and training: it breaks down the uncertainty
of change, and provides a vision and method
for success.
Summary Comments
Integrating system development is a systems
engineering approach that integrates all
essential primary function activities through the
use of multi-disciplinary teams, to optimize the
design, manufacturing and supportability
processes.
Use a facilitator not only to build and maintain

teams, but also to observe and advise management.
Obtain management support up front. Management must show leadership by managing the
teams environment rather than trying to manage
people.
Team building goes through four phases:

forming, storming, norming, and performing.
Use a common database open to all enterprise

members.
Key leadership positions in a program network

of teams are the program manager, facilitator,
and team leaders.
Establish a network of teams that integrates the

design and provides horizontal and vertical
communication.
A team organization is difficult to build and

maintain. It requires management attention and
commitment over the duration of the teams
involved.
Establish a network that does not over-tax available resources. Where a competence is not available in the associated organizations, hire it
through a support contractor.
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Chapter 18
SUPPLEMENT 18-A
IPPD A DOD
MANAGEMENT PROCESS
participants empowered and authorized, to the
maximum extent possible, to make commitments
for the organization or the functional area they
represent. IPTs are composed of representatives
from all appropriate functional disciplines working together to build successful programs and enabling decision makers to make the right decisions
at the right time.
The DoD policy of Integrated Product and Process

Development (IPPD) is a broad view of integrated
system development which includes not only
systems engineering, but other areas involved in
formal decision making related to system development. DoD policy emphasizes integrated
management at and above the Program Manager
(PM) level. It requires IPPD at the systems
engineering level, but does not direct specific
organizational structures or procedures in recognition of the need to design a tailored IPPD process
to every individual situation.
DoD IPT Structure

The DoD oversight function is accomplished
through a hierarchy of teams that include levels of
management from DoD to the program level. There
are three basic levels of IPTs: the Overaching IPT
(OIPT), the Working IPTs (WIPT), and Program
IPTs with the focus and responsibilities as shown
by Figure 18-3. For each ACAT I program, there
will be an OIPT and at least one WIPT. WIPTs
will be developed for particular functional topics,
e.g., test, cost/performance, contracting, etc. An
Integrating IPT (IIPT) will coordinate WIPT efforts
and cover all topics not otherwise assigned to
another IPT. These teams are structurally organized
as shown on Figure 18-4.
Integrated Product Teams

One of the key IPPD tenets is multi-disciplinary
integration and teamwork achieved through the use
of Integrated Product Teams (IPTs). While IPTs
may not be the best solution for every management situation, the requirement to produce integrated designs that give consideration to a wide
array of technical and business concerns leads most
organizations to conclude that IPTs are the best
organizational approach to systems management.
PMs should remember that the participation of a
contractor or a prospective contractor on a IPT
should be in accordance with statutory requirements, such as procurement integrity rules. The
service components legal advisor must review
prospective contractor involvement on IPTs. To
illustrate issues the government-contractor team
arrangement raises, the text box at the end of this
section lists nine rules developed for government
members of the Advanced Amphibious Assault
Vehicle (AAAV) design IPTs.
Overarching IPT (OIPT)

The OIPT is a DoD level team whose primary responsibility is to advise the Defense Acquisition
Executive on issues related to programs managed
at that level. The OIPT membership is made up of
the principals that are charged with responsibility
for the many functional offices at the Office of the
Secretary of Defense (OSD).
The Secretary of Defense has directed that DoD

perform oversight and review by using IPTs.
These IPTs function in a spirit of teamwork with
The OIPT provides:

Top-level strategic guidance,
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Chapter 18
Organization
Teams
OSD and
Components
OIPT*
WIPTs*
Program
Teams and
System
Contractors
Focus
Program
IPTs**
Participant
Responsibilities
Strategic Guidance
Tailoring
Program Assessment
Resolve Issues Elevated by WIPTs
Program Success
Functional Area Leadership
Independent Assessment
Issue Resolution
Planning for Program Success

Opportunities for Acquisition
Reform (e.g. innovation, streamlining)
Identify/Resolve Program Issues
Program Status
Functional Knowledge and Experience

Empowered Contribution
Recom.s for Program Success
Communicate Status and Unresolved
Issues
Program Execution
Identify and Implement Acquisition
Reform
Manage Complete Scope of Program

Resources, and Risk
Integrate Government and Contractor
Efforts for Report Program Status and
Issues
* Covered in Rules of the Road

** Covered in Guide to Implementation and Management of IPPD in DoD Acquisition
Figure 18-3. Focus and Responsibilities of IPTs
MDA
DAB or MAISRC
Overarching
IPT
Oversight
and
Review
WIPTs
Integrating IPT
Cost/
Performance IPT
Cost/
Performance IPT
Cost/
Performance IPT
Program Management
Environment
Execution
Cost/
Performance IPT
Program IPTs
(System Mgmt Teams)
Extracted from Rules of the Road, A Guide for Leading Successful Integrated Product Teams.
Figure 18-4. IPT Structure
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Chapter 18
Functional area leadership,
Proposing tailored document and milestone

requirements,
Forum for issue resolution,

Independent assessment to the MDA,
Reviewing and providing early input to documents,
Determine decision information for next

milestone review, and
Coordinating WIPT activities with the OIPT

members,
Provide approval of the WIPT structures and

resources.
Resolving or evaluating issues in a timely

manner, and
Working-Level IPT (WIPT)
Obtaining principals concurrence with applicable documents or portions of documents.
The WIPTs may be thought of as teams that link

the PM to the OIPT. WIPTs are typically functionally specialized teams (test, cost-performance,
etc.). The PM is the designated head of the WIPT,
and membership typically includes representation
from various levels from the program to OSD staff.
The principal functions of the WIPT are to advise
the PM is the area of specialization and to advise
the OIPT of program status.
Program IPTs
Program IPTs are teams that perform the program
tasks. The integration of contractors with the government on issues relative to a given program truly
occurs at the program IPT level. The development
teams (product and process teams) described earlier in this chapter would be considered program
IPTs. Program IPTs would also include teams
formed for business reasons, for example teams
established to prepare Planning, Programming, and
Budgeting System (PPBS) documentation, to prepare for Milestone Approval, to develop the RFP,
or the like.
The duties of the WIPT include:

Assisting the PM in developing strategies and
in program planning, as requested by the PM,
Establishing IPT plan of action and milestones,
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SUPPLEMENT 18-B
GOVERNMENT ROLE ON IPTs

The following list was developed by the Advanced
Amphibious Assault Vehicle (AAAV) program to inform its government personnel of their role on contractor/government integrated teams. It addresses
government responsibilities and the realities imposed by contractual and legal constraints. Though
it is specific to the AAAV case, it can be used as
guidance in the development of team planning for
other programs.
customer opinion and what might be

acceptable to the Government but you can only
offer the Government position for items that
have been agreed to by you and your Supervisor. IT IS UP TO YOUR SUPERVISORS TO
EMPOWER EACH OF YOU TO AN APPROPRIATE LEVEL OF AUTHORITY. It is expected that this will start at a minimal level of
authority and be expanded as each individuals
IPT experience and program knowledge
grows. However (see items 5 and 6).
1. The IPTs are contractor-run entities. We do not

lead or manage the IPTs.
5. Government IPT members CAN NOT authorize any changes or deviations to/from the contract SOW or Specifications. Government IPT
members can participate in the deliberations
and discussions that would result in the suggestion of such changes. If/When an IPT concludes that the best course of action is not in
accordance with the contract, and a contract
change is in order, then the contractor must
submit a Contract Change Request (CCR)
through normal channels.
2. We serve as customer representatives on the

IPTs. We are there to REDUCE THE CYCLE
TIME of contractor-Government (customer)
communication. In other words, we facilitate
contractor personnel getting Government
input faster. Government IPT members also
enable us to provide the contractor IPT Status
and issue information up the Government
chain on a daily basis (instead of monthly or
quarterly).
3. WE DO NOT DO the contractors IPT WORK,
or any portion of their work or tasks. The contractor has been contracted to perform the tasks
outlined in the contract SOW; their personnel
and their subcontractors personnel will perform those tasks, not us. But Government IPT
members will be an active part of the deliberations during the development of, and participate in on-the-fly reviews of deliverables
called out in CDRLs.
6. Government IPT members CAN NOT authorize the contractor to perform work that is in
addition to the SOW/contract requirements.
The contractor IPTs can perform work that is
not specifically required by the contract, at
their discretion (provided they stay within the
resources as identified in the Team Operating
Contract (TOC).
7. Government IPT member participation in
contractor IPT activities IS NOT Government
consent that the work is approved by the Government or is chargeable to the contract. If an
IPT is doing something questionable, identify
it to your supervisor or Program Management
Team (PMT) member.
4. When asked by contractor personnel for the

Governments position or interpretation, Government IPT members can offer their personal
opinion, as an IPT member, or offer expert
opinion; you can provide guidance as to our
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Chapter 18
8. Government members of IPTs do not approve

or disapprove of IPT decisions, plans, or
reports. You offer your opinion in their
development, you vote as a member, and you
coordinate issues with your Supervisor and
bring the Government opinion (in the form
of your opinion) back to the IPT, with the goal
of improving the quality of the products; you
dont have veto power.
Conveying to contractor personnel your

knowledge/expertise on Marine Corps
operations and maintenance techniques;
Interfacing with all other Government
organizations (e.g., T&E);
Control/facilitization of government furnished equipment and materials (GFE and
GFM);
9. Government IPT members are still subject to

all the Government laws and regulations regarding directed changes, ethics, and conduct. Your primary function is to perform those
functions that are best done by Government
employees, such as:
Ensuring timely payment of submitted

vouchers; and
Full participation in Risk Management.
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Chapter 19
Contractual Considerations
CHAPTER 19
CONTRACTUAL
CONSIDERATIONS
19.1 INTRODUCTION
The role of technical managers or systems engineers is crucial to satisfying these diverse concerns.
Their primary responsibilities include:
This chapter describes how the systems engineer

supports the development and maintenance of the
agreement between the project office and the contractor that will perform or manage the detail work
to achieve the program objectives. This agreement
has to satisfy several stakeholders and requires
coordination between responsible technical, managerial, financial, contractual, and legal personnel.
It requires a document that conforms to the Federal Acquisition Regulations (and supplements),
program PPBS documentation, and the System
Architecture. As shown by Figure 19-1, it also has
to result in a viable cooperative environment that
allows necessary integrated teaming to take place.
Supporting or initiating the planning effort.

The technical risk drives the schedule and cost
risks which in turn should drive the type of
contractual approach chosen,
Prepares or supports the preparation of the
source selection plan and solicitation clauses
concerning proposal requirements and selection
criteria,
Prepares task statements,
Contract
WBS
Government
SOO/SOW
Industry
CDRL
Performance-Based
SPECs and STDs
Cooperative Systems Engineering Effort
Figure 19-1. Contracting Process
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Chapter 19
Prepares the Contract Data Requirements List

(CDRL),
19.2 SOLICITATION DEVELOPMENT
Forms Integrated Teams and coordinates the

government side of combined government and
industry integrated teams,
As shown by Figure 19-2, the DoD contracting

process begins with planning efforts. Planning includes development of a Request for Proposal
(RFP), specifications, a Statement of Objective
(SOO) or Statement of Work (SOW), a source
selection plan, and the Contract Data Requirements
List (CDRL).
Monitors the contractors progress, and
Request for Proposal (RFP)
Coordinates government action in support of

the contracting officer.
The RFP is the solicitation for proposals. The government distributes it to potential contractors. It
describes the governments need and what the
offeror must do to be considered for the contract.
It establishes the basis for the contract to follow.
Supports negotiation and participates in source

selection evaluations,
This chapter reflects the DoD approach to contracting for system development. It assumes that there
is a government program or project office that is
tasking a prime contractor in a competitive environment. However, in DoD there is variation to
this theme. Some project activities are tasked directly to a government agency or facility, or are
contracted sole source. The processes described
in this chapter should be tailored as appropriate
for these situations.
The key systems engineering documents included

in a solicitation are:
A statement of the work to be performed. In
DoD this is a SOW. A SOO can be used to obtain a SOW or equivalent during the selection
process.
Acquisition Planning
Requirement
Determination
Requirement
Specification
Procurement
Requests (RFP)
Procurement Planning
Source Selection
Solicitation
Evaluation
Negotiation
Selection
of Source
Award
Performance
Measurement
Contract
Modifications
Completion/
Payment/
Closeout
Contract Administration
Assignment
System
Control
Figure 19-2. Contracting Process
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Chapter 19
the SOW. During the solicitation phase the tasks

can be defined in very general way by a SOO.
Specific details concerning SOOs and SOWs are
attached at the end of this chapter.
A definition of the system. Appropriate specifications and any additional baseline information necessary for clarification form this
documentation. This is generated by the systems
engineering process as explained earlier in this
book.
As shown by Figure 19-3, solicitation tasking

approaches can be categorized into four basic options: use of a basic operational need, a SOO, a
SOW, or a detail specification.
A definition of all data required by the customer.

In DoD this accomplished through use of the
Contract Data Requirements List (CDRL).
The task statement prepared for the solicitation will

govern what is actually received by the government, and establish criteria for judging contractor
performance. Task requirements are expressed in
Option 1 maximizes contractor flexibility by submitting the Operational Requirements Document

(ORD) to offerors as a requirements document (e.g.
in place of SOO/SOW), and the offerors are requested to propose a method of developing a
solution to the ORD. The government identifies
its areas of concern in Section M (evaluation factors) of the RFP to provide guidance. Section L
(instructions to the offerors) should require the
bidders write a SOW based on the ORD as part of
their proposal. The offeror proposes the type of
system. The contractor develops the system specification and the Work Breakdown Structure
(WBS). In general this option is appropriate for
early efforts where contractor input is necessary
to expand the understanding of physical solutions
and alternative system approaches.
Government Develops
Contractor Develops
The information required to be in the proposals

responding to the solicitation is also key for the
systems engineer. An engineering team will decide
the technical and technical management merits of
the proposals. If the directions to the offerors are
not clearly and correctly stated, the proposal will
not contain the information needed to evaluate the
offerors. In DoD Sections L and M of the RFP are
those pivotal documents.
Option 4
Option 3
Option 2
Option 1
Task Statement
ORD
Evaluation
Factors
Instructions
to Offerors
Proposed
Concept(s)
System
Spec
WBS
SOW
Contract
Signed
Select
Concept(s)
Draft
Technical
Requirements
and WBS
SOO
Evaluation
Factors
Instructions
to Offerors
SOW
Contract
Signed
Select
Concept(s)
Draft
System
Spec
WBS
SOW
Evaluation
Factors
Instructions
to Offerors
Contract
Signed
Detail Spec
and
Drawings
SOW
Instructions
to Bidders
Contract
Signed
Figure 19-3. Optional Approaches
187
Chapter 19
Option 2 provides moderate contractor flexibility

by submitting a SOO to the offerors as the Section
C task document (e.g., in place of SOW.) The government identifies its areas of concern in Section
M (evaluation factors) to provide guidance. Section L (instructions to the offerors) should require
as part of the proposal that offerors write a SOW
based on the SOO. In this case the government
usually selects the type of system, writes a draft
technical-requirements document or system specification, and writes a draft WBS. This option is
most appropriate when previous efforts have not
defined the system tightly. The effort should not
have any significant design input from the previous phase. This method allows for innovative thinking by the bidders in the proposal stage. It is a
preferred method for design contracts.
the government has detailed specifications or

other product baseline documentation that defines the deliverable item sufficient for production. It is generally used for simple build-to-print
reprocurement.
Data Requirements
As part of the development of an IFB or RFP, the
program office typically issues a letter that describes the planned procurement and asks integrated team leaders and affected functional managers to identify and justify their data requirements
for that contract. The data should be directly associated with a process or task the contractor is
required to perform.
The affected teams or functional offices then
develop a description of each data item needed.
Data Item Descriptions (DIDs), located in the
Acquisition Management Systems and Data
Requirements Control List (AMSDL), can be used
for guidance in developing these descriptions.
Descriptions should be performance based, and
format should be left to the contractor as long as
all pertinent data is included. The descriptions are
then assembled and submitted for inclusion in the
solicitation. The listing of data requirements in the
contract follows an explicit format and is referred
to as the CDRL.
Option 3 lowers contractor flexibility, and increases clarity of contract requirements. In this
option the SOW is provided to the Contractor as
the contractual task requirements document. The
government provides instructions in Section L to
the offerors to describe the information needed by
the government to evaluate the contractors ability
to accomplish the SOW tasks. The government
identifies evaluation factors in Section M to provide guidance for priority of the solicitation requirements. In most cases, the government selects
the type of system, and provides the draft system
spec, as well as the draft WBS. This option is most
appropriate when previous efforts have defined the
system to the lower WBS levels or where the
product baseline defines the system. Specifically
when there is substantial input from the previous
design phase and there is a potential for a different
contractor on the new task, the SOW method is
appropriate.
In some cases the government will relegate the data

call to the contractor. In this case it is important
that the data call be managed by a government/
contractor team, and any disagreements be resolved
prior to formal contract change incorporating data
requirements. When a SOO approach is used, the
contractor should be required by section L to propose data requirements that correspond to their
proposed SOW.
Option 4 minimizes contractor flexibility, and

requires maximum clarity and specificity of contract requirements. This option uses an Invitation
for Bid (IFB) rather than an RFP. It provides bidders with specific detailed specifications or task
statements describing the contract deliverables.
They tell the contractor exactly what is required
and how to do it. Because there is no flexibility in
the contractual task, the contract is awarded based
on the low bid. This option is appropriate when
There is current emphasis on electronic submission of contractually required data. Electronic Data
Interchange (EDI) sets the standards for compatible
data communication formats.
Additional information on data management,
types of data, contractual considerations, and
sources of data are presented in Chapters 10 and
188
Chapter 19
13. Additional information on CDRLs is provided

at the end of this chapter.
personnel. In this environment, even minor

mistakes can cause distortion of proper selection.
Technical Data Package Controversy
The process starts with the development of a

Source Selection Plan (SSP), that relates the organizational and management structure, the evaluation factors, and the method of analyzing the
offerors responses. The evaluation factors and their
priority are transformed into information provided
to the offerors in sections L and M of the RFP. The
offerors proposals are then evaluated with the procedures delineated in the SSP. These evaluations
establish which offerors are conforming, guide
negotiations, and are the major factor in contractor selection. The SSP is further described at the
end of this chapter.
Maintenance of a detailed baseline such as the as

built description of the system, usually referred
to as a Technical Data Package (TDP), can be very
expensive and labor intensive. Because of this,
some acquisition programs may not elect to purchase this product description. If the Government
will not own the TDP the following questions must
be resolved prior to solicitation issue:
What are the pros and cons associated with the
TDP owned by the contractor?
What are the support and reprocurement impacts?
The system engineering area of responsibility

includes support of SSP development by:
What are the product improvement impacts?

Preparing the technical and technical management parts of evaluation factors,
What are the open system impacts?
Organizing technical evaluation team(s), and
In general the government should have sufficient

data rights to address life cycle concerns, such as
maintenance and product upgrade. The extent to
which government control of configurations and
data is necessary will depend on support and
reprocurement strategies. This, in turn, demands
that those strategic decisions be made as early as
possible in the system development to avoid purchasing data rights as a hedge against the possibility
that the data will be required later in the program
life cycle.
Developing methods to evaluate offerors proposals (technical and technical management).
19.3 SUMMARY COMMENTS

Solicitation process planning includes development of a Request for Proposal, specifications,
a Statement of Objective or Statement of Work,
a source selection plan, and the Contract Data
Requirements List.
Source Selection
Source Selection determines which offeror will be
the contractor, so this choice can have profound
impact on program risk. The systems engineer must
approach the source selection with great care
because, unlike many planning decisions made
early in product life cycles, the decisions made
relative to source selection can generally not be
easily changed once the process begins. Laws and
regulations governing the fairness of the process
require that changes be made very carefullyand
often at the expense of considerable time and effort
on the part of program office and contractor
189
There are various options available to program

offices as far as the guidance and constraints
imposed on contractor flexibility. The government, in general, prefers that solicitations be
performance-based.
Data the contractor is required to provide the
government is listed on the CDRL List.
Source Selection is based on the evaluation
criteria outlined in the SSP and reflected in
Sections L and M of the RFP.
Chapter 19
SUPPLEMENT 19-A
STATEMENT OF OBJECTIVES
(SOO)
The SOO is an alternative to a government prepared SOW. A SOO provides the Governments
overall objectives and the offerors required support to achieve the contractual objectives. Offerors
use the SOO as a basis for preparing a SOW which
is then included as an integral part of the proposal
which the government evaluates during the source
selection.
Draft WBS and dictionary.
Purpose
Section L (Instructions to Offerors) of the RFP

must include instructions to the offeror that require
using the SOO to construct and submit a SOW. In
Section M (Evaluation Criteria) the program office
should include the criteria by which the proposals,
including the contractors draft SOW, will be evaluated. Because of its importance, the governments
intention to evaluate the proposed SOW should be
stressed in Sections L and M.
Step 2: Once the program objectives are defined,

the SOO is constructed so that it addresses product-oriented goals and performance-oriented
requirements.
SOO and Proposal Evaluations
SOO expresses the basic, top-level objectives of

the acquisition and is provided in the RFP in lieu
of a government-written SOW. This approach gives
the offerors the flexibility to develop cost effective solutions and the opportunity to propose
innovative alternatives.
Approach
Offeror Development of
the Statement of Work
The government includes a brief (1- to 2-page)

SOO in the RFP and requests that offerors provide
a SOW in their proposal. The SOO is typically
appended to section J of the RFP and does not become part of the contract. Instructions for the contractor prepared SOW would normally be included
in or referenced by Section L.
The offeror should establish and define in clear,

understandable terms:
Non-specification requirements (the tasks that
the contractor must do),
SOO Development
What has to be delivered or provided in order

for him to get paid,
Step 1: The RFP team develops a set of objectives

compatible with the overall program direction
including the following:
What data is necessary to support the effort,

and
User(s) operational requirements,
Information that would show how the offerors

would perform the work that could differentiate between them in proposal evaluation and
contractor selection.
Programmatic direction,
Draft technical requirements, and
190
Chapter 19
SOO Example:
Joint Air-to-Surface Standoff Missile (JASSM)
Statement of Objectives
The Air Force and Navy warfighters need a standoff missile that will destroy the enemies warsustaining capabilities with a launch standoff range outside the range of enemy area defenses.
Offerors shall use the following objectives for the pre-EMD and EMD acquisition phases of the
JASSM program along with other applicable portions of the RFP when preparing proposals and
program plans. IMP events shall be traceable to this statement of objectives:
Pre-EMD Objectives
a. Demonstrate, at the sub-system level as a minimum, end-to-end performance of the system concept. Performance will be at the contractor-developed System Performance Specification requirements level determined during this phase without violation of any key
performance parameters.
b.
Demonstrate the ability to deliver an affordable and producible system at or under the average
unit procurement price (AUPP).
c.
Provide a JASSM system review including final system design, technical accomplishments,
remaining technical risks and major tasks to be accomplished in EMD.
EMD Objectives
a. Demonstrate through test and/or analysis that all requirements as stated in the contractor
generated System Performance Specification, derived from Operational Requirements, are
met, including military utility (operational effectiveness and suitability).
b.
Demonstrate ability to deliver an affordable and producible system at or under the AUPP
requirement.
c.
Demonstrate all production processes.
d. Produce production representative systems for operational test and evaluation, including
combined development/operational test and evaluation.
At contract award the SOW, as changed through

negotiations, becomes part of the contract and the
standard for measuring contractors effectiveness.
191
Chapter 19
SUPPLEMENT 19-B
STATEMENT OF WORK
(SOW)
The SOW is a specific statement of the work to be
performed by the contractor. It is derived from the
Program WBS (System Architecture). It should
contain, at a minimum, a statement of scope and
intent, as well as a logical and clear definition of
all tasks required. The SOW normally consists of
three parts:
Section 3: Requirements States the tasks the

contractor has to perform to provide the
deliverables. Tasks should track with the WBS. The
SOW describes tasks the contractor has to do. The
specifications describe the products.
Statement of Work Preparation
and Evaluation Strategies
Section 1: Scope Defines overall purpose of the

program and to what the SOW applies.
SOWs should be written by an integrated team of

competent and experienced members. The team
should:
Section 2: Applicable Documents Lists the

specifications and standards referenced in Section
3.
Review and use the appropriate WBS for the

SOW framework,
Requirement
WBS Elements
System Spec
Air Vehicle

SOO/SOW
31 Aircraft Subsystems (WBS 1600)

Conduct a development program to
include detailed design, manufacture,
assembly, and test of all aircraft subsystems
Figure 19-4. Requirement-WBS-SOW Flow
192
Chapter 19
Set SOW objectives in accordance with the

Acquisition Plan and systems engineering
planning,
Include data requirements or deliverable

products.
In section 2. Applicable Documents:
Develop a SOW tasking outline and check list,

DO NOT:
Establish schedule and deadlines, and
Include guidance documents that apply only to
Government PMOs (e.g., DoD 5000 series and
service regulations).
Develop a comprehensive SOW from the above.

Performance-based SOW
In section 3. Requirements:
The term performance-based SOW has become a
common expression that relates to a SOW that tasks
the contractor to perform the duties necessary to
provide the required deliverables, but is not specific
as to the process details. Basically, all SOWs should
be performance based, however, past DoD generated SOWs have had the reputation of being overly
directive. A properly developed SOW tasks the
contractor without telling him how to accomplish
the task.
DO NOT:
Define work tasks in terms of data to be delivered.
Order, describe, or discuss CDRL data (OK to
reference).
Express work tasks in data terms.
Evaluating the SOW
Invoke, cite, or discuss a DID.
The WBS facilitates a logical arrangement of the

elements of the SOW and a tracing of work effort
expended under each of the WBS elements. It helps
integrated teams to ensure all requirements have
been included, and provides a foundation for tracking program evolution and controlling the change
process. As shown by Figure 19-4, the WBS serves
as a link between the requirements and the SOW.
Invoke handbooks, service regulations, technical orders, or any other document not specifically written in accordance with MIL-STD-961/
962.
In the past, DoD usually wrote the SOW and, over

time, an informal set of rules had been developed
to assist in drafting them. While the government
today generally does not write the SOW, but, rather,
more often evaluates the contractors proposed SOW,
those same rules can assist in the government role
of evaluator.
Specify technical proposal or performance

criteria or evaluation factors.
Specify how task is to be accomplished.

Use the SOW to amend contract specifications.
Establish delivery schedules.

Over specify.
In section 3. Requirements:
Statement of Work Rules

DO:
In section 1. Scope:
Specify work requirements to be performed
under contract.
DO NOT:
Include directed work statements.
193
Chapter 19
Set SOW objectives to reflect the acquisition

plan and systems engineering planning.
Use WBS as an outline.

List tasks in chronological order.
Provide a priceable set of tasks.

Limit paragraph numbering to 3rd sub-level
(3.3.1.1.) Protect Government interests.
Express work to be accomplished in work

words.
Allow for contractors creative effort.

Use shall whenever a task is mandatory.
Use will only to express a declaration of
purpose or simple futurity.
194
Chapter 19
SUPPLEMENT 19-C
CONTRACT DATA
REQUIREMENTS LIST
The Contract Data Requirements List (CDRL) is
a list of authorized data requirements for a specific
procurement that forms a part of the contract. It is
comprised of a series of DD Forms 1423 (Individual CDRL forms) containing data requirements
and delivery instructions. CDRLs should be linked
directly to SOW tasks and managed by the program
office data manager. A sample CDRL data
requirement is shown in Figure 19-5.
Data requirements can also be identified in the

contract via Special Contract Clauses (Federal
Acquisition Clauses.) Data required by the FAR
clauses are usually required and managed by the
Contracting Officer.
CONTRACT DATA REQUIREMENTS LIST

ATCH NR: 3
TO EXHIBIT:
SYSTEM/ITEM: ATF DEM/VAL PHASE
TO CONTRACT/PR: F33657-86-C-2085
CATEGORY: X
1)
10)
3100
2) SOW 3.1
6)
3)
4)
ASD/TASE
5) SOW 3.1
OT E62011
7)
8)
IT
12)
ONE/R
9)
CONTRACTOR: LOCKHEED
60DAC
11)
13)
SEE 16
16)
BLK 4: SEE APPENDIXES TO CDRL FOR DID.
THIS DID IS TAILORED AS FOLLOWS:
(1) CONTRACTOR FORMAT IS ACCEPTABLE.
(2) CHANGE PARAGRAPH 2a OF DID TO READ: PROGRAM RISK
ANALYSIS. THIS SECTION SHALL DESCRIBE THE PLAN AND
METHODOLOGY FOR A CONTINUING ASSESSMENT OF
TECHNICAL, SUPPORTABILITY, COST, AND SCHEDULE RISKS OF
THE SYSTEM PROGRAM. THIS SECTION SHOULD BE
CONSISTENT WITH AND NOT DUPLICATE THE SYSTEM
INTEGRATION PLAN (REFERENCE DI-S-3563/T); i.e., ONE PLAN
MAY REFERENCE THE OTHER.
BLK 13: REVISIONS SHALL BE SUBMITTED AS REQUIRED BY CHANGE
RESULTING FROM THE SYSTEMS ENGINEERING PROCESS.
NOTE: SCHEDULES ASSOCIATED WITH THIS PLAN SHALL BE
INTEGRATED WITH THE MASTER PROGRAM PLANNING
SCHEDULE SUBMITTED ON MAGNETIC MEDIA IN ACCORDANCE
WITH DI-A-3007/T.
PREPARED BY:
DATE:
14)
ASD/TASE
2/0
ASD/TASM
2/0
ASD/TASL
2/0
ACO
1/0
15)
7/0
APPROVED BY:
86 JUN 11
DD FORM 1423
DATE:
86 JUNE 11
ADPE ADAPTATION SEP 81 (ASD/YYD)
Figure 19-5. CDRL Single Data Item Requirement Example
195
Chapter 19
Data Requirement Sources
Block 9: Distribution Statement Required:
Standard Data Item Descriptions (DID) define data

content, preparation instructions, format, intended
use, and recommended distribution of data required
of the contractor for delivery. The Acquisition
Management Systems and Data Requirements
Control List (AMSDL) identifies acquisition management systems, source documents, and standard
DIDs. With acquisition reform the use of DIDs has
declined, and data item requirements now are either tailored DIDs or a set of requirements specifically written for the particular RFP in formats
agreeable to the contractor and the government.
Category A is unlimited-release to the public.
DD Form 1423 Road Map
Category F is released only as directed and

normally classified.
Category B is limited-release to government

agencies.
Category C limits release to government agencies
and their contractors.
Category D is limited-release to DoD offices and
their contractors.
Category E is for release to DoD components only.
Block 1: Data Item Number represents the CDRL

sequence number.
Block 12: Date of First Submission indicates

year/month/day of first submission and identifies
specific event or milestone data is required.
Block 2: Title of Data Item same as the title

entered in item 1 of the DID (DD Form 1664).
Block 13: Date of Subsequent Submission if data

is submitted more than once, subsequent dates will
be identified.
Block 4: Authority (Data Acquisition Document

Number) same as item 2 of the DID form and
will include a /t to indicate DID has been tailored.
Block 14: Distribution identify each addressee

and identify the number of copies to be received
by each. Use office symbols, format of data to be
delivered, command initials, etc.
Block 5: Contract Reference identifies the DID

authorized in block 4 and the applicable document
and paragraph numbers in the SOW from which
the data flows.
Block 16: Remarks explain only tailored features

of the DID, any additional information for blocks
1-15, and any resubmittal schedule or special conditions for updating data submitted for government
approval.
Block 6: Requiring Office activity responsible

for advising the technical adequacy of the data.
Block 7: Specific Requirements may be needed
for inspection/acceptance of data.
Block 8: Approval Code if A, it is a critical
data item requiring specific, advanced, written
approval prior to distribution of the final data item.
196
Chapter 19
SUPPLEMENT 19-D
THE SOURCE
SELECTION PLAN
Prior to solicitation issuance, a source selection
plan should be prepared by the Program Manager
(PM), reviewed by the Contracting Officer, and
approved by the Source Selection Authority (SSA).
A Source Selection Plan (SSP) generally consists
of three parts:
(SSAC) provides advice to the SSA based on the

Source Selection Evaluation Boards (SSEBs)
findings and the collective experience of SSAC
members. The SSEB generates the information the
SSA needs by performing a comprehensive evaluation of each offerors proposal. A Technical Evaluation Review Team(s) evaluates the technical portion of the proposals to support the SSEB. The
process flow is shown in Figure 19-6.
The first part describes the organization,

membership, and responsibilities of the source
selection team,
The PM is responsible for developing and implementing the acquisition strategy, preparing the SSP,
and obtaining SSA approval of the plan before the
formal solicitation is issued to industry. The System
Engineer or technical manager supports the PMs
efforts. The Contracting Officer is responsible for
preparation of solicitations and contracts, any communications with potential offerors or offerors,
consistency of the SSP with requirements of the
Federal Acquisition Regulation (FAR) and DoD
FAR Supplement (DFARS), and award of the
contract.
The second part identifies the evaluation factors,

and
The last part establishes detailed procedures for
the evaluation of proposals.
Source Selection Organization
The SSA is responsible for selecting the source
whose proposal is most advantageous to the government. The Source Selection Advisory Council
Source Selection
Authority
Source Selection
Advisory Council
Source Selection
Evaluation Board
Other Review
Panels
Technical Evaluation
Review Panel
Figure 19-6. Source Selection Process
197
Chapter 19
SSP Evaluation Factors
Factors to Consider
The evaluation factors are a list, in order of relative importance, of those aspects of a proposal that
will be evaluated quantitatively and qualitatively to
arrive at an integrated assessment as to which proposal can best meet the Governments need as
described in the solicitation. Figure 19-7 shows
an example of one evaluation category, life cycle
cost. The purpose of the SSP evaluation is to
inform offerors of the importance the Government attaches to various aspects of a proposal and
to allow the government to make fair and reasoned
differentiation between proposals.
There is not sufficient space here to attempt to exhaustively list all the factors that might influence
the decision made in a source selection. The
following are indicative of some of the key
consideration, however:
In general the following guidance should be used

in preparing evaluation factors:
Have the performance characteristics been

adequately specified for the items proposed?
Are they meaningful, measurable, and traceable
from the system-level requirements?
Is the suppliers proposal responsive to the

governments needs as specified in the RFP?
Is the suppliers proposal directly supportive of
the system requirements specified in the system
specification and SOO/SOW?
Limit the number of evaluation factors,
Have effectiveness factors been specified

(e.g., reliability, maintainability, supportability,
and availability?) Are they meaningful, measurable, and traceable, from the system-level
requirements?
Tailor the evaluation factors to the Government

requirement (e.g., combined message of the
SOO/SOW, specification, CDRL, etc.), and
Cost is always an evaluation factor. The identification of the cost that is to be used and its
relative importance in rating the proposal should
be clearly identified.
Rating
(Points)
Has the supplier addressed the requirement for

test and evaluation of the proposed system
element?
Evaluation Criteria Life Cycle Cost
9-10
Offeror has included a complete Life Cycle Cost analysis that supports their proposal.
7-8
Offeror did not include a complete Life Cycle Cost analysis but has supported their
design approach on the basis of Life Cycle Cost.
5-6
Offeror plans to complete a Life Cycle Cost analysis as part of the contract effort and
has described the process that will be used.
3-4
Offeror plans to complete a Life Cycle Cost analysis as part of the contract effort but did
not describe the process that will be used.
0-2
Life Cycle Cost was not addressed in the Offerors proposal.
Figure 19-7. Evaluation Factors Example
198
Chapter 19
Have life cycle support requirements been identified (e.g., maintenance resource requirements,
spare/repair parts, test and support equipment,
personnel quantities and skills, etc?) Have these
requirements been minimized to the extent
possible through design?
Does the suppliers proposal address all aspects

of total life cycle cost?
Does the supplier have previous experience in
the design, development, and production of
system elements/components which are similar in nature to the item proposed?
Does the proposed design configuration reflect

growth potential or change flexibility?
Proposal Evaluation
Has the supplier developed a comprehensive

manufacturing and construction plan? Are key
manufacturing processes identified along with
their characteristics?
Proposal evaluation factors can be analyzed with

any reasonable trade study approach. Figure 19-8
shows a common approach. In this approach each
factor is rated based on the evaluation factor matrix established for each criteria, such as that shown
in Figure 19-7. It is then multiplied by a weighting factor based on the perceived priority of each
criteria. All the weighted evaluations are added
together and the highest score wins.
Does the supplier have an adequate quality

assurance and statistical process control
programs?
Does the supplier have a comprehensive
planning effort (e.g., addresses program tasks,
organizational structure and responsibilities, a
WBS, task schedules, program monitoring and
control procedures, etc.)?
Like trade studies the process should be examined

for sensitivity problems; however, in the case of
source selection, the check must be done with
anticipated values prior to release of the RFP.
199
Chapter 19
WT.
Proposal A
Proposal B
Proposal C
Factor
(%) Rating Score Rating Score Rating Score
Evaluation Criteria
A. Technical Requirements:
25
1. Performance Characteristics
24
30
30
2. Effectiveness Factors
12
16
12
3. Design Approach
4. Design Documentation
12
16
5. Test and Evaluation Approach
6. Product Support Requirements
12
B. Production Capability
20
1. Production Layout
40
48
48
2. Manufacturing Process
10
15
20
3. Quality Control Assurance
35
42
28
C. Management
20
1. Planning (Plans/Schedules)
24
30
24
2. Organization Structure
16
12
16
3. Available Personnel Resources
15
20
15
4. Management Controls
15
20
20
D. Total Cost
25
1. Acquisition Price
10
70
50
60
2. Life Cycle Cost
15
135
10
150
120
E. Additional Factors
10
1. Prior Experience
16
12
12
2. Past Performance
30
30
18
Grand Total
100
476
* Select Proposal B
Figure 19-8. Source Evaluation
200
516
450
Chapter 20
Management Considerations and Summary
CHAPTER 20
MANAGEMENT CONSIDERATIONS
AND SUMMARY
fact is that, in too many cases, we are producing
excellent systems, but systems that take too long
to produce, cost too much, and are often outdated
when they are finally produced. The demand for
change has been sounded, and systems engineering management must respond if change is to take
place. The question then becomes how should one
manage to be successful in this environment? We
have a process that produces good systems; how
should we change the process that has served us
well so that it serves us better?
20.1 MANAGEMENT CONSIDERATIONS

The Acquisition Reform Environment
No one involved in systems acquisition, either
within the department or as a supplier, can avoid
considering how to manage acquisition in the
current reform environment. In many ways, rethinking the way we manage the systems engineering process is implicit in reforming acquisition
management. Using performance specifications
(instead of detailed design specifications), leaving
design decisions in the hands of contractors,
delaying government control of configuration
baselinesall are reform measures related directly
to systems engineering management. This text has
already addressed and acknowledged managing the
technical effort in a reform environment.
At the heart of acquisition reform is this idea: we

can improve our ability to provide our users with
highly capable systems at reasonable cost and
schedule. We can if we manage design and development in a way that takes full advantage of the
expertise resident both with the government and
the contractor. This translates into the government
stating its needs in terms of performance outcomes
desired, rather than in terms of specific design
solutions required; and, likewise, in having contractors select detailed design approaches that
deliver the performance demanded, and then
taking responsibility for the performance actually
achieved.
To a significant extent, the systems engineering

processesand systems engineers in generalare
victims of their own successes in this environment.
The systems engineering process was created and
evolved to bring discipline to the business of producing very complex systems. It is intended to
ensure that requirements are carefully analyzed,
and that they flow down to detailed designs. The
process demands that details are understood and
managed. And the process has been successful.
Since the 1960s manufacturers, in concert with
government program offices, have produced a
series of ever-increasingly capable and reliable
systems using the processes described in this text.
The problem is, in too many cases, we have overlaid the process with ever-increasing levels of
controls, reports, and reviews. The result is that
the cycle time required to produce systems has
increased to unacceptable levels, even as technology life cycles have decreased precipitously. The
This approach has been implemented in DoD, and

in other government agencies as well. In its earlier
implementations, several cases occurred where the
government managers, in an attempt to ensure that
the government did not impose design solutions
on contractors, chose to deliberately distance the
government technical staff from contractors. This
presumed that the contractor would step forward
to ensure that necessary engineering disciplines and
functions were covered. In more than one case,
the evidence after the fact was that, as the
government stepped back to a less directive role
201
Chapter 20
in design and development, the contractor did not

take a corresponding step forward to ensure that
normal engineering management disciplines were
included. In several cases where problems arose,
after-the-fact investigation showed important elements of the systems engineering process were
either deliberately ignored or overlooked.
rudimentary understanding that communication

involves two elementsa transmitter and a
receiver. Even if we have a valid message and the
capacity for expressing our positions in terms that
enable others to understand what we are saying,
true communication may not take place if the
intended receiver chooses not to receive our message. What can we do, as engineering managers to
help our own cause as far as ensuring that our
communications are received and understood?
The problem in each case seems to have been

failure to communicate expectations between the
government and the contractor, compounded by a
failure on the part of the government to ensure that
normal engineering management disciplines were
exercised. One of the more important lessons
learned has been that while the systems engineering process canand should betailored to the
specific needs of the program, there is substantial
risk ignoring elements of the process. Before one
decides to skip phases, eliminate reviews, or take
other actions that appear to deliver shortened
schedules and less cost, one must ensure that
those decisions are appropriate for the risks that
characterize the program.
Much can be done to condition others to listen and

give serious consideration to what one says, and,
of course, the opposite is equally trueone can
condition others to ignore what he/she says. It is
primarily a matter of establishing credibility based
on integrity and trust.
First, however, it is appropriate to discuss the
systems engineers role as a member of the management team. Systems engineering, as practiced
in DoD, is fundamentally the practice of engineering management. The systems engineer is expected
to integrate not only the technical disciplines in
reaching recommendations, but also to integrate
traditional management concerns such as cost,
schedule, and policy into the technical management equation. In this role, senior levels of management expect the systems engineer to understand
the policies that govern the program, and to appreciate the imperatives of cost and schedule. Furthermore, in the absence of compelling reasons to
the contrary, they expect support of the policies
enunciated and they expect the senior engineer to
balance technical performance objectives with cost
and schedule constraints.
Arbitrary engineering management decisions yield

poor technical results. One of the primary requirements inherent in systems engineering is to assess
the engineering management program for its consistency with the technical realities and risks confronted, and to communicate his/her findings and
recommendations to management. DoD policy is
quite clear on this issue. The government is not, in
most cases, expected to take the lead in the development of design solutions. That, however, does
not relieve the government of its responsibilities
to the taxpayers to ensure that sound technical and
management processes are in place. The systems
engineer must take the lead role in establishing the
technical management requirements for the program and seeing that those requirements are communicated clearly to program managers and to the
contractor.
Does this mean that the engineer should place his

obligation to be a supportive team member above
his ethical obligation to provide honest engineering judgment? Absolutely not! But it does mean
that, if one is to gain a fair hearing for expression
of reservations based on engineering judgment, one
must be viewed as a member of the team. The individual who always fights the system, always objects to established policy, and, in general, refuses
to try to see other points of view will eventually
become isolated. When others cease listening, the
Communication Trust and Integrity

Clearly, one of the fundamental requirements for
an effective systems engineer is the ability to communicate. Key to effective communication is the
202
Chapter 20
communication stops and even valid points of view

are lost because the intended audience is no longer
receiving the messagevalid or not.
watch works, but many times communication is

enhanced and time saved by providing a confident
and concise answer.
In addition to being team players, engineering

managers can further condition others to be receptive to their views by establishing a reputation for
making reasoned judgments. A primary requirement for establishing such a reputation is that managers must have technical expertise. They must be
able to make technical judgments grounded in a
sound understanding of the principles that govern
science and technology. Systems engineers must
have the education and the experience that justifies confidence in their technical judgments. In the
absence of that kind of expertise, it is unlikely that
engineering managers will be able to gain the respect of those with whom they must work. And
yet, systems engineers cannot be expert in all the
areas that must be integrated in order to create a
successful system. Consequently, systems engineers must recognize the limits of their expertise
and seek advice when those limits are reached.
And, of course, systems engineers must have built
a reputation for integrity. They must have demonstrated a willingness to make the principled stand
when that is required and to make the tough call,
even when there are substantial pressures to do
otherwise.
When systems engineers show themselves to be

strong and knowledgeable, able to operate effectively in a team environment, then communication
problems are unlikely to stand in the way of effective engineering management.
20.2 ETHICAL CONSIDERATIONS

The practice of engineering exists in an environment of many competing interests. Cost and schedule pressures; changes in operational threats,
requirements, technology, laws, and policies; and
changes in the emphasis on tailoring policies in a
common-sense way are a few examples. These
competing interests are exposed on a daily basis
as organizations embrace the integrated product
and process development approach. The communication techniques described earlier in this chapter, and the systems engineering tools described in
earlier chapters of this book, provide guidance for
engineers in effectively advocating the importance
of the technical aspects of the product in this environment of competing interests.
But, what do engineers do when, in their opinion,
the integrated team or its leadership are not putting adequate emphasis on the technical issues?
This question becomes especially difficult in the
cases of product safety or when human life is at
stake. There is no explicit set of rules that directs
the individual in handling issues of ethical integrity. Ethics is the responsibility of everyone on the
integrated team. Engineers, while clearly the advocate for the technical aspects of the intgrated
solution, do not have a special role as ethical
watchdogs because of their technical knowledge.
Another, perhaps small way, that engineers can

improve communication with other members of
their teams (especially those without an engineering background) is to have confidence in the position being articulated and to articulate the position
concisely. The natural tendency of many engineers
is to put forward their position on a subject along
with all the facts, figures, data and required proofs
that resulted in the position being taken. This sometimes results in explaining how a watch works
when all that was asked was What time is it?
Unless demonstrated otherwise, team members
will generally trust the engineers judgment and
will assume that all the required rationale is in
place, without having to see it. There are some
times when it is appropriate to describe how the
Richard T. De George in his article entitled Ethical

Responsibilities of Engineers in Large Organizations: The Pinto Case1 makes the following case:
The myth that ethics has no place in engineering
Ethical Issues in Engineering, Johnson, Ch 15.
203
Chapter 20
has been attacked, and at least in some corners of

the engineering profession been put to rest. Another
myth, however, is emerging to take its placethe
myth of the engineer as moral hero.
5. There must be strong evidence that making the

information public will in fact prevent the
threatened serious harm.
Most ethical dilemmas in engineering management
can be traced to different objectives and expectations in the vertical chain of command. Higher
authority knows the external pressures that impact
programs and tends to focus on them. System
engineers know the realities of the on-going
development process and tend to focus on the
internal technical process. Unless there is communication between the two, misunderstandings and
late information can generate reactive decisions and
potential ethical dilemmas. The challenge for system engineers is to improve communication to help
unify objectives and expectations. Divisive ethical issues can be avoided where communication is
respected and maintained.
This emphasis, De George believes, is misplaced.

The zeal of some preachers, however, has gone
too far, piling moral responsibility upon moral responsibility on the shoulders of the engineer.
Though engineers are members of a profession that
holds public safety paramount, we cannot reasonably expect engineers to be willing to sacrifice their
jobs each day for principle and to have a whistle
ever by their sides ready to blow if their firm strays
from what they perceive to be the morally right
course of action.
What then is the responsibility of engineers to
speak out? De George suggests as a rule of thumb
that engineers and others in a large organization
are morally permitted to go public with information about the safety of a product if the following
conditions are met:
20.3 SUMMARY
The material presented in this book is focused on
the details of the classic systems engineering
process and the role of the systems engineer as the
primary practitioner where the activities included
in that process are concerned. The systems engineering process described has been used successfully in both DoD and commercial product development for decades. In that sense, little new or revolutionary material has been introduced in this text.
Rather, we have tried to describe this time-proven
process at a level of detail that makes it logical
and understandable as a tool to use to plan, design,
and develop products that must meet a defined set
of requirements.
1. If the harm that will be done by the product to

the public is serious and considerable.
2. If they make their concerns known to their
superiors.
3. If, getting no satisfaction from their immediate supervisors, they exhaust the channels
available within the operation, including going
to the board of directors (or equivalent).
De George believes if they still get no action at
this point, engineers or others are morally permitted to make their concerns public but not morally
obligated to do so. To have a moral obligation to
go public he adds two additional conditions to those
above:
In DoD, systems engineers must assume roles of

engineering managers on the program or project
assigned. They must understand that the role of
the systems engineer is necessarily different from
that normal to the narrowly specialized functional
engineer, yet it is also different from the role played
by the program manager. In a sense, the role of the
systems engineer is a delicate one, striving to balance technical concerns with the real management
4. The person must have documented evidence

that would convince a reasonable, impartial
observer that his/her view of the situation is
correct and the company policy wrong.
204
Chapter 20
pressures deriving from cost, schedule, and policy.

The systems engineer is often the person in the
middle; it is seldom a comfortable position. This
text has been aimed at that individual.
of the role of the systems engineer is to evaluate

progress, consider alternatives, and ensure the product remains consistent and true to the requirements
upon which the design is based. The tools and techniques presented in Part 3 are the primary means
by which a good engineering management effort
accomplishes these tasks.
The first two parts of the text were intended to first

give the reader a comprehensive overview of systems engineering as a practice and to demonstrate
the role that systems engineering plays within the
DoD acquisition management process. Part 2, in
particular, was intended to provide relatively detailed insights into the specific activities that make
up the process. The government systems engineer
may find him/herself deeply involved in some of
the detailed activities that are included in the process, while less involved in others. For example,
government systems engineers may find themselves very involved in requirements definition and
analysis, but less directly involved in design synthesis. However, the fact that government engineers
do not directly synthesize designs does not relieve
them from a responsibility to understand the
process and to ensure that sound practices are
pursued in reaching design decisions. It is for this
reason that understanding details of the process
are critical.
Finally, in Part 4, we presented some of the

considerations beyond the implementation of a
disciplined systems engineering process that the
engineering manager must consider in order to be
successful. Particularly in todays environment
where new starts are few and resources often limited, the planning function and the issues associated with product improvement and integrated team
management must move to the forefront of the
systems engineers thinking from the very early
stages of work on any system.
This book has attempted to summarize the primary
activities and issues associated with the conduct
and management of technical activities on DoD
programs and projects. It was written to supplement the material presented courses at the Defense
Systems Management College. The disciplined
application of the principles associated with
systems engineering has been recognized as one
indicator of likely success in complex programs.
As always, however, the key is for the practitioner
to be able to absorb these fundamental principles
and then to tailor them to the specific circumstances
confronted. We hope that the book will prove useful in the future challenges that readers will face
as engineering managers.
Part 3 of the book is perhaps the heart of the text

from an engineering management perspective. In
Part 3, we have presented discussions on a series
of topics under the general heading of Systems
Analysis and Control. The engine that translates
requirements into designs is defined by the requirements analysis, functional analysis and allocation,
and design synthesis sequence of activities. Much
205
Chapter 20
206
Glossary
GLOSSARY
207
Glossary
208
Glossary
GLOSSARY
SYSTEMS ENGINEERING
FUNDAMENTALS
AAAV Advanced Amphibious Assault Vehicle
ACAT Acquisition Category
ACR Alternative Concept Review
AMSDL Acquisition Management Systems Data List
ASR Alternative Systems Review
AUPP Average Unit Procurement Price
AWP Awaiting Parts
BL Baseline
BLRIP Beyond Low Rate Initial Production
C4ISR Command, ontrol, Communications, Computers, Intelligence,

and Reconnaissance
CAD Computer-Aided Design
CAE Computer-Aided Engineering
CAIV Cost As an Independent Variable
CALS Continuous Acquisition and Life Cycle Support
CAM Computer-Aided Manufacturing
CASE Computer-Aided Systems Engineering
CATIA Computer-Aided Three-Dimensional Interactive Application
CCB Configuration Control Board
CCR Contract Change Request
CDR Critical Design Review
CDRL Contract Data Requirement List
CDS Concept Design Sheet
CE Concept Exploration
209
Glossary
CEO Chief Executive Officer

CI Configuration Item
Circular A-109 Major Systems Acquisitions
CM Configuration Management
CM Control Manager
COTS Commercial Off-The-Shelf
CSCI Computer Software Configuration Item
CWI Continuous Wave Illumination
DAU Defense Acquisition University

DCMC Defense Contract Management Command
DDR Detail Design Review
DFARS Defense Supplement to the Federal Acquisition Regulation
DID Data Item Description
DoD Department of Defense
DoD 5000.2-R Mandatory Procedures for Major Defense Acquisition Programs (MDAPs), and
Major Automated Information System Acquisition Programs (MAIS)
DoDISS DoD Index of Specifications and Standards
DSMC Defense Systems Management College
DT Developmental Testing
DTC Design To Cost
DT&E Developmental Test and Evaluation
EC Engineering Change
ECP Engineering Change Proposal
EDI Electronic Data Interchange
EIA Electronic Industries Alliance
EIA IS 632 Electronic Industries Association Interim Standard 632, on Systems Engineering
EIA IS-649 Electronic Industries Association Interim Standard 649, on Configuration
Management
EOA Early Operational Assessments
210
Glossary
FAR Federal Acquisition Regulation

FCA Functional Configuration Audit
FEO Field Engineering Order
FFBD Functional Flow Block Diagram
FIPS Federal Information Processing Standard
FMECA Failure Modes, Effects, and Criticality Analysis
FOT&E Follow-On Operational Test and Evaluation
FQR Formal Qualification Review
GFE Government Furnished Equipment

GFM Government Furnished Material
ICD Interface Control Documentation

ICWG Interface Control Working Group
IDE Integrated Digital Environment
IDEF Integration Definition Function
IDEF0 Integrated Definition for Function Modeling
IDEF1x Integration Definition for Information Modeling
IEEE Institute of Electrical and Electronics Engineers
IEEE/EIA 12207 IEEE/EIA Standard 12207, Software Life Cycle Processes
IEEE P1220 IEEE Draft Standard 1220, Application and Management of the Systems
Engineering Process
IFB Invitation for Bid
IIPT Integrating Integrated Product Teams
IMS Integrated Master Schedule
IOC Initial Operational Capability
IOT&E Initial Operational Test and Evaluation
IPPD Integrated Product and Process Development
IPR In-Progress/Process Review
IPT Integrated Product Teams
211
Glossary
JASSM Joint Air-to-Surface Standoff Missile

JROC Joint Requirements Oversight Council
JTA Joint Technical Architecture
KPPs Key Performance Parameters
LFT&E Live Fire Test and Evaluation

LRU Line-Replaceable Unit
LRIP Low Rate Initial Production
M&S Modeling and Stimulation

MAIS Major Automated Information System
MAISRC Major Automated Information Systems Review Council
MBTF Mean Time Between Failure
MDA Milestone Decision Authority
MDAP Major Defense Acquisition Program
MIL-HDBK-61 Military Handbook 61, on Configuration Management
MIL-HDBK-881 Military Handbook 881, on Work Breakdown Structure
MIL-STD 499A Military Standard 499A, on Engineering Management
MIL-STD-961D Military Standard 961D, on Standard Practice for Defense Specifications
MIL-STD 962 Military Standard 962, on Format and Content of Defense Standards
MIL-STD-973 Military Standard 973, on Configuration Management
MNS Mission Need Statement
MOE Measure of Effectiveness
MOP Measure of Performance
MOS Measure of Suitability
MRP II Manufacturing Resource Planning II
MS Milestone
MTTR Mean Time To Repair
NDI Non-Developmental Item

NIST National Institute of Standards and Technology
212
Glossary
NRTS Not Repairable This Station
OA Operational Assessment
OIPT Overarching Integrated Product Teams
OMB Office of Management and Budget
OPS Operations
ORD Operational Requirements Document
OSD Office of the Secretary of Defense
OT&E Operational Test and Evaluation
P3I Preplanned Product Improvement

PAR Production Approval Reviews
PCA Physical Configuration Audit
PDR Preliminary Design Review
PDRR Program Definition and Risk Reduction
PEO Program Executive Office
PM Program Manager
PME Program/Project Manager Electronics
PMO Program Management Office
PMT Program Management Team
PPBS Planning, Programming and Budgeting System
PRR Production Readiness Review
QA Quality Assurance
QFD Quality Function Deployment
R&D Research and Development

RAS Requirements Allocation Sheets
RCS Radar Cross Section
RDT&E Research, Development, Test and Evaluation
RFP Request for Proposal
213
Glossary
S&T Science and Technology

SBA Simulation Based Acquisition
SBD Schematic Block Diagram
SD&E System Development and Demonstration
SDefR System Definition Review (as referred to in IEEE P1220)
SDR System Design Review
SE Systems Engineering
Section L Instructions to Offerors (Portion of Uniform Contract Format)
Section M Evaluation Criteria (Portion of Uniform Contract Format)
SEDS Systems Engineering Detail Schedule
SEMS Systems Engineering Master Schedule
SEP Systems Engineering Process
SFR System Functional Review
SI Software Item
SI&T System Integration and Test
SOO Statement of Objectives
SOW Statement of Work
SPEC Specification
SSA Source Selection Authority
SSAC Source Selection Advisory Council
SSEB Source Selection Evaluation Board
SSP Source Selection Plan
SSR Software Specification Review
SRR System Requirements Review
SRU Shop-Replaceable Unit
STD Standard
SVR System Verification Review
S/W Software
214
Glossary
T&E Test and Evaluation

TDP Technical Data Package
TEMP Test and Evaluation Master Plan
TLS Timeline Analysis Sheet
TOC Team Operating Contract
TPM Technical Performance Measurement
TPWG Test Planning Work Group
TRR Test Readiness Review
VV&A Verfication, Validation, and Accreditation
WIPT Working-Level Integrated Product Team
215
Glossary
216
Glossary
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Systems Engineering
Fundamentals FUNDAMENTALS 2001
SYSTEMS
ENGINEERING
Glossary
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What are the main parts and chapters covered in the document?

What are the main parts and chapters covered in the document?

How is the systems engineering process described in the document?

How is the systems engineering process described in the document?

Introduction

Systems Engineering Fundamentals

Systems Engineering Fundamentals

Systems Engineering Fundamentals

Introduction to Systems Engineering Management ............................................. 3

Systems Engineering Management in DoD Acquisition .................................... 11

PART 2. THE SYSTEMS ENGINEERING PROCESS

Systems Engineering Process Overview ............................................................ 31

Requirements Analysis ....................................................................................... 35

Functional Analysis and Allocation .................................................................... 45

Design Synthesis ................................................................................................ 57

Systems Engineering Process Outputs ............................................................... 73

PART 3. SYSTEM ANALYSIS AND CONTROL

Work Breakdown Structure ................................................................................ 85

Chapter 10. Configuration Management ................................................................................ 91

Systems Engineering Fundamentals

Introduction to Systems Engineering

Systems Engineering Fundamentals

Introduction to Systems Engineering

499A, Engineering Management, 1 May 1974.

The overall organization of this text is described

An interdisciplinary approach that encompasses

In summary, systems engineering is an interdisciplinary engineering management process that

Systems Engineering Management Is

Three commonly used definitions of systems

Development phasing that controls the design

A logical sequence of activities and decisions

A systems engineering process that provides

Systems Engineering Fundamentals

Figure 1-1. Three Activities of Systems Engineering Management

tracking requirements flow through the design

Life cycle integration is necessary to ensure that

1.3 DEVELOPMENT PHASING

Introduction to Systems Engineering

Concept level, which produces a system concept

Levels of Development Considerations

Subsystem/Component level, which produces

Significant development at any given level in the

The systems engineering process is applied to each

1.4 THE SYSTEMS ENGINEERING

The systems engineering process is a top-down

Figure 1-2. Development Phasing

Systems Engineering Fundamentals

solving process, applied sequentially through all

Transform needs and requirements into a set of

Figure 1-3. The Systems Engineering Process

Introduction to Systems Engineering

system product by showing how it is broken down

Technical specialty areas, such as safety, risk

Life Cycle Integration

The customers of the systems engineer perform

The objective of an Integrated Product Team is to:

Primary Function Definitions

Place balanced emphasis on product and process

Manufacturing/Production/Construction includes the fabrication of engineering test models