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 <subject>Army procurement</subject>
 <subject>Cost analysis</subject>
 <subject>Defense capabilities</subject>
 <subject>Military cost control</subject>
 <subject>Military research and development</subject>
 <subject>Procurement planning</subject>
 <subject>Program evaluation</subject>
 <subject>Risk assessment</subject>
 <subject>Weapons systems</subject>
 <subject>Business planning</subject>
 <subject>Cost estimates</subject>
 <subject>Program costs</subject>
 <subject>Army Future Combat Systems</subject>
 <type>Testimony</type>
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<titleInfo>
 <title>Defense Acquisitions: Business Case and Business Arrangements Key for Future Combat System&apos;s Success</title>
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<abstract>The Future Combat System (FCS) is a networked family of weapons
and other systems in the forefront of efforts by the Army to	 
become a lighter, more agile, and more capable combat force. When
considering complementary programs, projected investment costs	 
for FCS are estimated to be on the order of $200 billion. FCS&apos;s  
cost is of concern given that developing and producing new weapon
systems is among the largest investments the government makes,	 
and FCS adds significantly to that total. Over the last five	 
years, the Department of Defense (DOD) doubled its planned	 
investments in such systems from $700 billion in 2001 to $1.4	 
trillion in 2006. At the same time, research and development	 
costs on new weapons continue to grow on the order of 30 to 40	 
percent. FCS will be competing for significant funds at a time	 
when Federal fiscal imbalances are exerting great pressures on	 
discretionary spending. In the absence of more money being	 
available, FCS and other programs must be executable within	 
projected resources. Today, I would like to discuss (1) the	 
business case needed for FCS to be successful and (2) related	 
business arrangements that support that case.</abstract>
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<identifier type="preferred citation">GAO-06-478T</identifier>
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<note>Testimony</note>
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 <searchTitle>GAO-06-478T; Defense Acquisitions: Business Case and Business Arrangements Key for Future Combat System&apos;s Success;
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 <topic>Army procurement</topic>
 <topic>Cost analysis</topic>
 <topic>Defense capabilities</topic>
 <topic>Military cost control</topic>
 <topic>Military research and development</topic>
 <topic>Procurement planning</topic>
 <topic>Program evaluation</topic>
 <topic>Risk assessment</topic>
 <topic>Weapons systems</topic>
 <topic>Business planning</topic>
 <topic>Cost estimates</topic>
 <topic>Program costs</topic>
 <topic>Army Future Combat Systems</topic>
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