Abstract:
Large Scale Complex Engineering
Systems (LSCES), or Complex systems, and their
development comprise many factors of influence, of which
some are currently known, others not yet known, and some
may never be fully understood. Given the very nature of, and
operating difficulties in developing complex systems, often
there are inconsistencies associated with providing an
objective business case and in establishing a realistic
(acquisition) program. The inconsistencies arise as a result of
measurement difiiculties in determining overall value in the
presence of both “hard” and “soft” factors. The traditional
approach and continued practice of allocating subjective
weightings to each factor of interest also contributes to the
problem of inconsistency.
This paper provides a structural framework that
establishes a measure of value through the application of
Discrete Choice Methods. The methods are widely used to
identify the decision making behaviour of individuals and
organizations. This is achieved through considering relevant
qualitative and quantitative factors or attributes that as a
whole provide a measure of utility, and therefore value.
Whilst there has been considerable success in the use of these
models within the marketing and transportation domains,
there has been little application toward their use in
evaluating and assessing Competitively Tendered Contracts
(CTC) for the acquisition of Complex Systems.
