APB Breaches

The following learning objectives are covered in this Lesson:

• Identify when program deviations occur and the actions that should be taken by the acquisition manager.
• Relate the Acquisition Program Baseline (APB) to planning, control, and risk management in attaining cost, schedule and performance goals.

1. A program deviation occurs when the Program Manager has reason to believe that the current estimate for a given cost, schedule or performance parameter does not meet the threshold value specified for that parameter in the Acquisition Program Baseline. The PM must follow certain procedures whenever this occurs:

• The PM must immediately inform the Milestone Decision Authority (MDA) when a program deviation occurs.
• Within 30 days of the deviation, the PM must explain to the MDA the reason for the deviation and what steps need to be taken to bring the program back on track.
• Within 90 days of the deviation, one of the following scenarios must take place:
• The program is brought back on track; or
• A new APB is approved, changing only the parameters that were deviated; or
• An OIPT-level review is conducted to evaluate the PM's proposed baseline revisions, and feedback is given to the MDA, or in the case of a major program, to the Defense Acquisition Executive; or
• If it's not possible for at least one of these actions to take place within 90 days, then the MDA should hold a formal program review to determine the status of the program.

2. Cost, schedule, and performance parameters are interrelated, and a change in one parameter can affect the others. For example, the materials needed for a lighter aircraft may cost more and take longer to design and manufacture than materials in a heavier aircraft. In that case, performance would affect both cost and schedule parameters. Therefore it is important to involve all the key stakeholders when considering changes to the APB.