Controlling the Cost of C4i Upgrades on Naval Ships

THE ARTS This PDF document was made available CHILD POLICY from www.rand.org as a public service of CIVIL JUSTICE the RAND Corporation. EDUCATION ENERGY AND ENVIRONMENT Jump down to document6 HEALTH AND HEALTH CARE INTERNATIONAL AFFAIRS The RAND Corporation is a nonprofit NATIONAL SECURITY research organization providing POPULATION AND AGING PUBLIC SAFETY objective analysis and effective SCIENCE AND TECHNOLOGY solutions that address the challenges SUBSTANCE ABUSE facing the public and private sectors TERRORISM AND HOMELAND SECURITY around the world. TRANSPORTATION AND INFRASTRUCTURE Support RAND WORKFORCE AND WORKPLACE Purchase this document Browse Books & Publications Make a charitable contribution For More Information Visit RAND at www.rand.org Explore the RAND National Defense Research Institute View document details Limited Electronic Distribution Rights This document and trademark(s) contained herein are protected by law as indicated in a notice appearing later in this work. This electronic representation of RAND intellectual property is provided for non-commercial use only. Unauthorized posting of RAND PDFs to a non-RAND Web site is prohibited. RAND PDFs are protected under copyright law. Permission is required from RAND to reproduce, or reuse in another form, any of our research documents for commercial use. For information on reprint and linking permissions, please see RAND Permissions. This product is part of the RAND Corporation monograph series. RAND monographs present major research findings that address the challenges facing the public and private sectors. All RAND monographs undergo rigorous peer review to ensure high standards for research quality and objectivity. CONTROLLING THE COST Of C4I UPGRADES ON NAVAL SHIPS John F. Schank • chriStopher G. pernin Mark V. arena • carter c. price • SuSan k. WoodWard Prepared for the United States Navy Approved for public release; distribution unlimited NATIONAL DEFENSE RESEARCH INSTITUTE The research described in this report was prepared for the United States Navy. The research was conducted in the RAND National Defense Research Institute, a federally funded research and development center sponsored by the Office of the Secretary of Defense, the Joint Staff, the Unified Combatant Commands, the Department of the Navy, the Marine Corps, the defense agencies, and the defense Intelligence Community under Contract W74V8H-06-C-0002. Library of Congress Cataloging-in-Publication Data is available for this publication. 978-0-8330-4775-5 The RAND Corporation is a nonprofit research organization providing objective analysis and effective solutions that address the challenges facing the public and private sectors around the world. RAND’s publications do not necessarily reflect the opinions of its research clients and sponsors. R® is a registered trademark. Cover design by Carol Earnest © Copyright 2009 RAND Corporation Permission is given to duplicate this document for personal use only, as long as it is unaltered and complete. Copies may not be duplicated for commercial purposes. Unauthorized posting of RAND documents to a non-RAND Web site is prohibited. RAND documents are protected under copyright law. For information on reprint and linking permissions, please visit the RAND permissions page (http://www.rand.org/publications/permissions.html). Published 2009 by the RAND Corporation 1776 Main Street, P.O. Box 2138, Santa Monica, CA 90407-2138 1200 South Hayes Street, Arlington, VA 22202-5050 4570 Fifth Avenue, Suite 600, Pittsburgh, PA 15213-2665 RAND URL: http://www.rand.org To order RAND documents or to obtain additional information, contact Distribution Services: Telephone: (310) 451-7002; Fax: (310) 451-6915; Email: [email protected] Preface Command, control, communications, computers, and intelligence (C4I) systems are the lifeblood of naval ships. Various sensors, receiv- ers, computers, and networks gather, process, and disseminate information that both describes the status of the battlefield and the operating condition of the ship and provides sailors the ability to communicate with family and friends. The C4I capabilities and the architectures that provide those capabilities on naval ships have grown and evolved at a rapid pace over the last few decades, mirroring the technology evolution that has swept the commercial and personal-computing worlds. To keep pace with technology and to take advantage of improvements nurtured in the commercial world, the U.S. Navy extensively uses commercial-off-the-shelf (COTS) hardware and software for its C4I systems; however, COTS products for C4I systems refresh at a fast rate, and the labor cost of just installing new C4I hardware and software on ships amounts to more than $100 million annually. Recognizing the need to control and reduce the costs of C4I system upgrades, the Program Executive Officer for C4I (PEO C4I) asked the RAND Corporation to examine the factors that influence C4I-upgrade costs and identify what might be done during the design and construction of naval ships to help reduce these costs. This monograph provides the findings and recommendations resulting from RAND’s research. The research was sponsored by PEO C4I and conducted within the Acquisition and Technology Policy Center of the RAND National Defense Research Institute, a federally funded research and develop- iii iv Controlling the Cost of C4I Upgrades on Naval Ships ment center sponsored by the Office of the Secretary of Defense, the Joint Staff, the Unified Combat Commands, the Department of the Navy, the Marine Corps, the defense agencies, and the defense Intel- ligence Community. For more information on RAND’s Acquisition and Technology Policy Center, contact the Director, Philip Antón. He can be reached by email at [email protected]; by phone at 310-393-0411, exten- sion 7798; or by mail at the RAND Corporation, 1776 Main Street, P.O. Box 2138, Santa Monica, California 90407-2138. More information about RAND is available at www.rand.org. Contents Preface ............................................................................. iii Figures ............................................................................. ix Tables .............................................................................. xi Summary .........................................................................xiii Acknowledgments ............................................................xxvii Abbreviations ...................................................................xxix CHAPTER ONE Introduction ....................................................................... 1 The Problem: Controlling and Reducing the Costs of C4I Upgrades ....... 1 Research Objectives and Approach .............................................. 2 Organization of the Report ....................................................... 4 CHAPTER TWO Background on Navy C4I Systems ............................................ 5 Sea Power 21 and FORCEnet .................................................... 5 Responsibility for C4I ............................................................. 6 Navy C4I Systems .................................................................. 7 C2 Systems........................................................................ 8 Networks and Communication Systems .....................................11 C4I Upgrades and In-Service and New-Construction Timelines ...........14 v vi Controlling the Cost of C4I Upgrades on Naval Ships CHAPTER THREE C4I Upgrades: Issues and Options ...........................................17 C4I-Upgrade Issues During Ship Design and Construction ................17 Adapting Commercially Available Systems and Technologies to Shipboard Environments ..............................................18 Deciding on GFE Versus CFE Systems ..................................... 20 Ensuring the Currency of C4I Systems at Delivery ........................21 Incorporating Adequate Design Margins ................................... 23 C4I-Upgrade Issues for In-Service Ships ...................................... 24 Various Ship Configurations Make the Planning of Upgrades Difficult .................................................................... 24 Navigating the SHIPMAIN Process ........................................ 26 C4I System Upgrade Issues Common to New-Ship Construction and In-Service Ships ............................................................. 27 Integration and Testing ....................................................... 28 Hot Work and Changes to Ship Services ....................................29 Topside Integration .............................................................31 Summary ...........................................................................31 CHAPTER FOUR Analysis of C4I Installation Costs ............................................35 Methodology ..................................................................... 36 Cost Normalization.............................................................39 Analytic Approach ..............................................................39 C4I System Upgrades Display a High Degree of Installation-Cost Variability .................................................................... 40 Factors That Influence Installation-Labor Costs ............................. 42 Influence of Ship Type on Installation-Labor Cost ........................ 42 Variations Within Ship Type ..................................................47 Cost Improvement Occurred

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