Case Studies - Defence

The Problem

The Ministry of Defence is responsible for accepting equipment into service against user requirements. The user requirements are in terms of the military missions that the Royal Navy, Army and Royal Air Force are expected to carry out now and in the future. In many cases the user requirements have changed since the contract was written and the acceptance involves two stages, the first is against the contract and the second is against the new requirements.

The MOD has to show that they are procuring systems that meet the users' requirements and that the procurement is value for money. Often there are potential trade-offs for increased capability against additional time and cost. The decision of whether these enhancements represent good value for money and improve military capability requires understanding of the cost, performance, schedule and risk aspects of the procurement.

The Solution

QinetiQ provides the information needed to make informed decisions. This includes the results of the cost benefit analysis, the capability roadmap and assessments of the risk associated with the capability in service, the cost of procurement and the schedule of delivery.

The Approach

The first stage is to understand the requirements (user, schedule and cost) and how these have changed since the contract was written.

The second stage is to understand the road map of capability required (understanding when particular requirements are needed and why).

The third stage is to understand the decision space (understanding which requirements are essential and which are desirable).

The fourth stage is to analyse the decision space and to offer solutions, to look at ways to reduce risk in projects and to understand how decisions will influence the project now and in the longer term.

We use Monte Carlo simulation, optimisation techniques and cost benefit analysis to support most procurements. We use other methods as required. To support decisions, a fast, flexible approach is required and the decision support is often iterative in nature. Early analysis is often broad in scope but not detailed, at later stages it may be worthwhile to take a more detailed look into certain areas.

The support is often driven by the time that the customer has to make a decision, the decision cycles can vary between 1 day and several months depending upon the type of decision and project stage. We draw on the technical experts within QinetiQ to understand the available technology and whether new technology can offer more cost effective solutions to the users requirements.

The Benefits

We provide timely information to support acceptance decisions and this means that projects are more likely to deliver the user requirements and the project will deliver to time and cost. QinetiQ's support has reduced the schedule slippage and cost overruns on a number of major equipment procurements. The earlier we are brought in, the more we can do.

For further information contact

For further information contact the Capability Support helpline on 08703 332 668