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<classification authority="sudocs">GA 1.13:NSIAD-00-75</classification>
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 <subject>Defense capabilities</subject>
 <subject>Schedule slippages</subject>
 <subject>Weapons research and development</subject>
 <subject>Missiles</subject>
 <subject>Cost overruns</subject>
 <subject>Air Force procurement</subject>
 <subject>Naval procurement</subject>
 <subject>Procurement planning</subject>
 <identifier>Joint Air-to-Surface Standoff Missile</identifier>
 <type>Letter Report</type>
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 <title>Defense Acquisitions: Need to Revise Acquisition Strategy</title>
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<abstract>Pursuant to a congressional request, GAO reviewed the Air Force&apos;s and
the Navy&apos;s development of the Joint Air-to-Surface Standoff Missile
(JASSM) and the recent extension of the program&apos;s development schedule,
focusing on: (1) what the program&apos;s status is and what the causes of the
schedule slip and cost increase were; and (2) whether the Air Force is
following the most effective acquisition strategy to reduce the risk of
cost growth and schedule delays.&lt;p/&gt;GAO noted that: (1) since the program&apos;s inception, the development
schedule has lengthened from 56 months to 78 months, and total program
costs have increased from $1.6 billion to $2.1 billion; (2) in the most
recent extension, approved in October 1999, the Air Force added 10
months to the missile&apos;s development schedule and increased estimated
program costs by about $90.1 million; (3) factors leading to the
schedule delay varied and included prime and subcontractor changes to
missile design to: (a) correct problems discovered during testing; (b)
decrease production costs; or (c) improve performance; (4) program
officials stated that contractors underestimated the time and personnel
required to design the missile and prepare for production; (5) the Air
Force employed acquisition reform strategies, such as using technologies
already proven in other systems and establishing a cost goal as an
independent requirement, which helped reduce overall development time
and costs; (6) as a result, the 78-month development program timeframe
is substantially less than the historical average of 118 months for
other missile programs; (7) also, the missile&apos;s production unit cost is
projected to be well under the price limit; (8) however, the program is
still vulnerable to significant cost increases and schedule delays
because the design of some components is not yet stable; (9) further,
the missile production prices within the JASSM contract are based on
starting production by a specific date but without the adequate
assurance that the missile will be ready for production by that date;
(10) the Air Force will not have specific, detailed knowledge of the
missile&apos;s ability to meet its performance requirements until after
production is scheduled to start; and (11) also, there is much
engineering and development work to be done to obtain full assurance
that the production processes are under control and that the production
line is producing the quality and volume of needed missiles.</abstract>
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<identifier type="preferred citation">GAO/NSIAD-00-75</identifier>
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<note>Letter Report</note>
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<subject>
 <topic>Defense capabilities</topic>
 <topic>Schedule slippages</topic>
 <topic>Weapons research and development</topic>
 <topic>Missiles</topic>
 <topic>Cost overruns</topic>
 <topic>Air Force procurement</topic>
 <topic>Naval procurement</topic>
 <topic>Procurement planning</topic>
 <topic>Joint Air-to-Surface Standoff Missile</topic>
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