Use of Incentives in Performance-Based Logistics Contracting
Use of Incentives in Performance-Based Logistics Contracting

Author: Gregory Sanders

Publisher: Rowman & Littlefield

Published: 2018-04-19

Total Pages: 74

ISBN-13: 1442280662

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Traditional contracting is primarily transactional, rewarding contractors when deliveries are made or certain process milestones are met. Performance-Based Logistic (PBL) contracting seeks to base contractor incentives on ongoing performance measures to achieve reliability and cost savings. Key to the success of these arrangements are the incentives that align the interests of the customer and the vendor. This report describes the incentives used in PBL contracts, identifies best practices, and provides recommendations for effective incentives going forward. The study team interviewed PBL practitioners including defense-unique contractors, defense-commercial contractors, and experts who are knowledgeable in the government perspective in the United States and abroad. The team supplemented these interviews by analyzing a PBL dataset of U.S. Department of Defense contracts. Of the four identified categories of incentives—time-based, financial, scope, and other—interviews found that time-based incentives stood out for their reliable appeal and relative underuse in the United States.

Guide to Performance-Based Road Maintenance Contracts
Guide to Performance-Based Road Maintenance Contracts

Author: Asian Development Bank

Publisher: Asian Development Bank

Published: 2018-04-01

Total Pages: 165

ISBN-13: 9292611097

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Road asset management is one of the top priorities of the Central Asia Regional Economic Cooperation (CAREC) Transport and Trade Facilitation Strategy 2020. The implementation of performance-based road maintenance contracts (PBCs)—an essential element of road asset management—promotes effective and efficient maintenance of road networks. Well-designed PBCs keep roads in predefined good condition at relatively low cost. This guide aims to help policy makers in CAREC member countries understand and implement PBCs. After a brief history of the development of PBCs, it discusses the various types of PBCs and their relative advantages and disadvantages. It highlights PBC implementation in selected developed, developing, and transitional countries, including CAREC member countries, to illustrate best practices.

Acquisition Trends, 2018
Acquisition Trends, 2018

Author: Rhys McCormick

Publisher: Rowman & Littlefield

Published: 2019-09-16

Total Pages: 232

ISBN-13: 1442281065

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This report analyzes the current state of affairs in defense acquisition by combining detailed policy and data analysis to provide a comprehensive overview of the current and future outlook for defense acquisition. This analysis will provide critical insights into what DoD is buying, how DoD is buying it, from whom is DoD buying, and what are the defense components buying using data from the Federal Procurement Data System (FPDS). This analysis provides critical insights into understanding the current trends in the defense industrial base and the implications of those trends on acquisition policy.

Mastering the Risky Business of Public-Private Partnerships in Infrastructure
Mastering the Risky Business of Public-Private Partnerships in Infrastructure

Author: Manal Fouad

Publisher: International Monetary Fund

Published: 2021-05-10

Total Pages: 61

ISBN-13: 1513576569

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Investment in infrastructure can be a driving force of the economic recovery in the aftermath of the COVID-19 pandemic in the context of shrinking fiscal space. Public-private partnerships (PPP) bring a promise of efficiency when carefully designed and managed, to avoid creating unnecessary fiscal risks. But fiscal illusions prevent an understanding the sources of fiscal risks, which arise in all infrastructure projects, and that in PPPs present specific characteristics that need to be addressed. PPP contracts are also affected by implicit fiscal risks when they are poorly designed, particularly when a government signs a PPP contract for a project with no financial sustainability. This paper reviews the advantages and inconveniences of PPPs, discusses the fiscal illusions affecting them, identifies a diversity of fiscal risks, and presents the essentials of PPP fiscal risk management.

Performance Based Logistics: A Program Manager's Product Support Guide
Performance Based Logistics: A Program Manager's Product Support Guide

Author:

Publisher: DIANE Publishing

Published: 2005

Total Pages: 75

ISBN-13: 1428980083

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Performance Based Logistics (PBL) is the preferred Department of Defense (DoD) product Support strategy to improve weapons system readiness by procuring performance, which capitalizes on integrated logistics chains and public/private partnerships. The cornerstone of PBL is the purchase of weapons system sustainment as an affordable, integrated package based on output measures such as weapons system availability, rather than input measures, such as parts and technical services. The Quadrennial Defense Review (QDR) and /the Defense Planning Guidance (DPG) directed the application of PBL to new and legacy weapons systems. PBL Implementation is also mandated by DoD Directive 5000.1, The Defense Acquisition System, May 12, 2003. This guide is a tool for Program Managers (PMs) and Product Support Managers (PSMs) as they design product support strategies for new programs or major modifications, or as they re-engineer product support strategies for existing fielded systems. It presents a method for implementing a PBL product support strategy. PBL delineates outcome performance goals of systems, ensures that responsibilities are assigned, provides incentives for attaining these goals, and facilitates the overall life cycle management of system reliability, supportability, and total owner ship costs. It is an integrated acquisition and logistics process for providing weapons system capability.

Transport Logistics Shared Solutions to Common Challenges
Transport Logistics Shared Solutions to Common Challenges

Author: OECD

Publisher: OECD Publishing

Published: 2002-08-05

Total Pages: 53

ISBN-13: 9264171193

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This report identifies constraints addresses issues and suggests possible solutions and approaches that could facilitate the development of policies to promote efficient and sustainable international transport logistics.