|
8,522 page views
|
Primary Functional Area : Life Cycle Logistics
The term modification is defined in a number of ways by various DoD organizations. A few of those definitions include:
- A configuration change to a produced Configuration Item (CI). Any modification that is of sufficient cost and complexity that it could itself qualify as an Acquisition Category (ACAT) I or ACAT IA program will be considered as a separate acquisition effort for management purposes. (DAU Glossary of Defense Acqusition Acronyms and Terms)
- The alteration, conversion, or modernization of an end item or component of investment equipment that changes or improves the original purpose or operational capacity in relation to effectiveness, efficiency, reliability, or safety of that item. (Army Regulation 750-10 Army Modification Program)
- A change to the form, fit, function, or interface (F3I) of an in-service, configuration-managed Air Force asset. A Configuration Item is a hardware, firmware, or software component, or combination thereof, that satisfies an end use function and is designated for separate configuration management. (Air Force Instruction 63-101)
- Any configuration change to a produced configuration item regardless of cost or test requirements, e.g., engineering change proposals, pre-planned product improvements, upgrades, or technology enhancements… A modification to a program or system that is no longer an active ACAT program (i.e., a program that has achieved at least 90 per cent of total deliveries or has expended 90 per cent of total cost) should be treated as a separate program with its own assigned ACAT or AAP designation. (SECNAVINST 5000.2E)
- A major modification is defined as a change to a weapon system or component to correct known safety issue or deficiency, or extends a service life, changes original design parameters, or expands system performance (DOD 7000.14-R Financial Management Regulation, Volume 2A, Chapter 1, Para 0102 Funding Policies)
- The alteration, conversion, or modernization of an end item of investment equipment which changes or improves the original purpose or operational capacity in relation to effectiveness, efficiency, reliability or safety of that item. (DOD 7000.14-R Financial Management Regulation, Volume 2A, Chapter 1, Para 010224, Glossary of Terms, Procurement)
DoD Components will…initiate system modifications, as necessary, to improve performance and reduce ownership costs, as constrained by 10 U.S.C. 2244a. (Source: DoDI 5000.02, Enclosure 6)
Title 10 US Code, Subtitle A, Part IV, Chapter 146, Subchapter § 2460 "Definition of depot-level maintenance and repair" states that "depot-level maintenance and repair means material maintenance or repair requiring the overhaul, upgrading, or rebuilding of parts, assemblies, or subassemblies, and the testing and reclamation of equipment as necessary, regardless of the source of funds for the maintenance or repair or the location at which the maintenance or repair is performed. The term includes all aspects of software maintenance classified by the Department of Defense as of July 1, 1995, as depot-level maintenance and repair, and interim contractor support or contractor logistics support (or any similar contractor support), to the extent that such support is for the performance of services described in the preceding sentence." The statute, however, goes on to list two major exceptions, namely that "the term (depot level maintenance and repair) does not include the procurement of major modifications or upgrades of weapon systems that are designed to improve program performance or the nuclear refueling of an aircraft carrier. A major upgrade program covered by this exception could continue to be performed by private or public sector activities. The term also does not include the procurement of parts for safety modifications. However, the term does include the installation of parts for that purpose."
How are modifications funded? According to Volume 2A, Chapter 1, Para 0102 "Funding Policies", of the DoD 7000.14-R Financial Management Regulation, "the costs of modification kits, assemblies, equipment, and material for modernization programs, ship conversions, major reactivations, major remanufacture programs, major service life extension programs, and the labor associated with incorporating these efforts into or as part of the end item are considered investments. All items included in the modification kit are considered investment even though some of the individual items may otherwise be considered as an expense. Components that were not part of the modification content at the outset and which are subsequently needed for repair are expenses. The cost of labor for the installation of modification kits and assemblies is an investment."
In addition,DoD 7000.14-R goes on to differentiate between technology refreshment/ insertion and modifications, and how they are funded, stating that "continuous technology refreshment is the intentional, incremental insertion of newer technology to improve reliability, improve maintainability, reduce cost, and/or add minor performance enhancement, typically in conjunction with depot or field level maintenance. The insertion of such technology into end items as part of maintenance is funded by the operation and maintenance appropriations. However, technology refreshment that significantly changes the performance envelope of the end item is considered a modification and, therefore, an investment."
Defense Acquisition Guidebook, Policies, Directives, Regulations,
Laws
[Suggest Change]
- DoDD 5000.01, The Defense Acquisition System
- DoDI 5000.02, Operation of the Defense Acquisition System)
- Defense Acquisition Guidebook (DAG) (Chapters 2, 5, and 11)
- Life Cycle Sustainment Plan (LCSP) Outline
- MIL-HDBK-896 Manufacturing and Quality Program
- AR 750-10 The Army Modification Program
- Air Force Instruction 63-101 Acquisition and Sustainment Life Cycle Management (Para 3.21)
- Air Force Instruction 63-131, Modification Program Management
- DOD 7000.14-R Financial Management Regulation (Volume 2A, Chapter 1 - Appropriations and Funding Policies)
- SECNAVINST 5000.2E Implementation and Operation of the Defense Acquisition Systems and the Joint Capabilities Integration and Development System
- Title 10 US Code, Subtitle A, Part IV, Chapter 134, Subchapter § 2244a. Equipment scheduled for retirement or disposal: limitation on expenditures for modifications
- Title 10 US Code, Subtitle A, Part IV, Chapter 146, Subchapter § 2460 Definition of depot-level maintenance and repair
- DAU Glossary: Defense Acquisition Acronyms and Terms
Best Practices, Lessons Learned, Stories, Guides,
Handbooks, Templates, Examples, Tools
[Suggest Change]
Guides and Handbooks
Tools and Templates
DAU Continuous Learning Site under the CLL (logistics) tab Life Cycle Logistics Career Field Certification & Core Plus Development Guides. A variety of DAU courses identified at all three levels of Defense Acquisition Workforce Improvement Act (DAWIA) certification address related topics such as maintenance planning, sustainment, product support and sustainment, modernization, and modification management
In addition, several related continuous learning modules are also available, including:
|
Page Information
Page Views
|
8,522
|
Created on
|
12/30/2010
|
Modified on
|
1/15/2016
|
Last Reviewed
|
1/13/2016
|
|