Business Case Outline and Commodity Material Standardization Process (2004-357)
- General Dynamics Bath Iron Works
NSRP ASE Investment: $63K
Industry Investment: $17K
The intent of this project was to create a consistent, verifiable business case outline and process that can be applied to any specific situation that requires analyses for cost benefit and investment. Shipyards need a standard detailed business case outline and a repeatable process that can calculate the costs and benefits of making changes. This project utilized current data and situations as the basis for creating a standard business case outline and process by addressing the problem that vendors of raw stock part numbers (e.g. shapes and pipe) must address – carrying a wide variety of slightly different, but functionally equivalent parts required for shipyard construction projects. Shipyards have cases in which near-duplicate and substitutable parts are used, specified and carried through the supply chain. The study found that typically 20% of commodity parts represent 80% of all commodity usage.
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