2/10/2024 0 Comments F35 current us main battle tankA companion deal, for repairs and other nonmaterial sustainment support and services not covered by the PBL contract, would also be awarded at the same time. The JPO said it is on track to award the five-year deal to Lockheed by the end of this year, if a study using data from the Pentagon’s Cost Assessment and Program Evaluation office verifies to Congress that a PBL deal would either reduce cost or improve readiness. The military’s F-35 Joint Program Office told Defense News it opted to scale back the deal’s scope to one “that incentivizes to take risks in areas they have full control over.” Lockheed’s original tip to tail pitch would have also covered support and sustainment activities, and judged the company on overall mission-capable rates, but the Pentagon balked. The PBL contract now in negotiations, referred to as a “demand reduction” deal, would be a more limited version of the “tip to tail” agreement Lockheed first proposed in 2019, and would cover only the spare parts needed to repair the fighter. Instead of the traditional transactional model in place today, in which a contractor is paid for specific parts or services, a PBL deal pays the contractor based on how well it meets expected performance outcomes. Lockheed has for years sought a performance-based logistics, or PBL, contract for the F-35, albeit in a different form.
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