Implementing And Evaluating an Innovative Approach to Simulation Training Acquisitions

by Paul, Christopher; Thie, Harry J.; Reardon, Elaine; Prine, Deanna Weber; Smallman, Laurence

• ISBN13: 9780833039033
• ISBN10: 0833039032
• Format: Paperback
• Copyright: 2006-03-15
• Publisher: RAND Corporation

Summary

This report describes an alternative business model for buying simulations and simulation training. This model hopes to align the financial incentives of industry participants with positive training and technology development outcomes by turning the acquisition of training simulators into a service acquisition with a private sector 'tool vendor' marketplace to support it. The report examines the model in light of economic theory and related business models.

Table of Contents

Preface	iii
Figures	ix
Tables	xi
Summary	xiii
Acknowledgments	xxv
Acronyms	xxvii
CHAPTER ONE Introduction: The Legacy of JSIMS	1	(12)
The Policy Problem	2	(1)
Definitions	3	(4)
Acquiring Simulations and Training Support	7	(1)
The Training Capabilities Analysis of Alternatives and the Alt#4 Solution	7	(1)
The Transformation Envisioned Through Alt#4	8	(2)
RAND's Tasking	10	(1)
Findings in Brief	10	(2)
Organization of the Report	12	(1)
CHAPTER TWO The Alt#4 Solution	13	(12)
Problems with the Old Business Model That Alt#4 Seeks to Address	14	(3)
DoD Ownership of Tools	14	(1)
Cost-Plus Contracts	15	(2)
Key Elements of the Alt#4 Business Model	17	(1)
Buying Only Training Support	17	(1)
Buying Training Support with Firm-Fixed-Price Contracts	18	(1)
Ensuring Competition and Promoting Innovation in the Simulation Tool Market	19	(2)
Summary of Alt#4	21	(4)
CHAPTER THREE Other Approaches to Buying Simulation Training: Case Examples	25	(32)
There Are Many Ways to Buy Training and Simulations	25	(1)
Selected Case Examples	26	(27)
Joint Simulation Systems	26	(1)
JSIMS Business Model	27	(1)
Lessons Learned from JSIMS	28	(1)
Special Operations Forces Air Ground Interface Simulator	28	(1)
SAGIS Business Model	29	(2)
Lessons Learned from SAGIS	31	(1)
Virtual Convoy Combat Trainer	31	(3)
VCCT Business Model	34	(1)
Lessons Learned from VCCT	34	(1)
Distributed Mission Operations	35	(1)
DMO Business Model	36	(1)
Lessons Learned from DMO	37	(2)
United Kingdom Ministry of Defence Naval Recruiting and Training Agency	39	(3)
Fire-Fighting Training Unit	42	(3)
FFTU Business Model	45	(1)
Lessons Learned from FFTU	46	(1)
Maritime Composite Training System	47	(1)
MCTS Business Model	48	(1)
Lessons Learned from MCTS	49	(1)
Central Intelligence Agency's n-Q- Tel	49	(2)
In-Q-Tel Business Model	51	(2)
Lessons Learned from In-Q-Tel	53	(1)
The Alt#4 Model Has Points in Common with Other Approaches but Also Some Distinctive Characteristics	53	(4)
CHAPTER FOUR The Economic Underpinnings of Alt#4: Relevant Theory and Literature	57	(18)
Ownership of Tools: Contract Length and Investment Incentives	57	(5)
Cost-Plus Versus Firm-Fixed-Price Contracts	62	(4)
Untying Tools and Training Markets	66	(3)
Competition and Innovation	69	(2)
Summary	71	(1)
Implications for Alt#4	72	(3)
CHAPTER FIVE Challenges Facing the Prototype	75	(16)
Standards Setting	75	(2)
Mitigating the Risks of Poor Standards	77	(1)
How to Legally and Effectively Invest in a Venture-Capital-Like Fashion	77	(5)
Approaches to the Investment of Seed Money	79	(2)
Venture-Capital-Like Activities Beyond the Money	81	(1)
Identifying Emerging Needs	82	(1)
Soliciting Requirements Versus "Desirements"	83	(1)
Solicitation Solutions	83	(1)
Performance Measurement in Firm-Fixed-Price Contracts	84	(1)
Risk	85	(6)
Market Risk	86	(1)
Unfair Competition from Government Furnished Equipment	87	(1)
Risk That Prototype Will Not Really Be Alt#4	88	(3)
CHAPTER SIX Critical Elements of a Prototype Implementation Plan	91	(18)
Choosing a Learning Objective and a Prototype Executor	92	(4)
Components/Entities and Their Responsibilities	96	(9)
Governance/Oversight	96	(2)
Governance Roles and Responsibilities	98	(1)
The Catalog Conductor	98	(1)
Catalog Conductor Roles and Responsibilities	99	(1)
Advisory Board	100	(2)
Advisory Board Roles and Responsibilities	102	(1)
Contracting/Grants Support	102	(1)
Contracting/Grants Support Roles and Responsibilities	103	(1)
Other Participants	104	(1)
Training User Roles and Responsibilities	104	(1)
Budgeting the Prototype Implementation	105	(1)
In What Order Should Activities Commence?	106	(3)
CHAPTER SEVEN How Will We Know If It Worked? Evaluating Alt#4	109	(10)
The Hierarchy of Evaluation	110	(1)
Implementation Evaluation	111	(2)
Outcomes Evaluation	113	(2)
Evidence of Competition	114	(1)
Evidence of Innovation	115	(1)
Evaluation of Efficiency	115	(1)
Doing Evaluation	116	(3)
CHAPTER EIGHT Conclusions: The Challenges of Expanding Use of Alt#4 Beyond the Prototype	119	(6)
Findings	119	(1)
Conclusion	120	(1)
Recommendations	120	(1)
Learning from the Prototype	121	(4)
If the Prototype Fails	121	(1)
If the Prototype Succeeds	122	(1)
Finding the Best Way to Handle Venture-Capital-Like Investment Over a Broader Market	123	(1)
Domains in Which the Alt#4 Model Might Not Be Appropriate	123	(2)
Bibliography	125