Continuous Competition as an Approach to Maximize Performance

Research shows that continuing competitive pressure applied during development and production leads to better industry performance, often at reduced cost. However, the entrenched practice of one-time competition for an entire program life-cycle often endows the winner with a very strong monopolistic...

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Bibliographic Details
Main Authors: Wydler, Ginny, Chang, Su, Schultz, Erin M
Format: Report
Language:English
Subjects:
ACQUISITION
COMMERCE
COMPETITION
CONTRACTS
DOWN-SELECT
Economics and Cost Analysis
PRODUCTION
SOURCE SELECTION
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Summary:Research shows that continuing competitive pressure applied during development and production leads to better industry performance, often at reduced cost. However, the entrenched practice of one-time competition for an entire program life-cycle often endows the winner with a very strong monopolistic power that lasts for decades. This paper describes continuous competition as leverage to acquire more effective results. It offers an alternative method for continuous competition-Multi-sourcing with Distributed Awards-under an applicable set of conditions and an appropriate business case. The Limits of Competition in Defense Acquisition Defense Acquisition University Research Symposium, September 2012