ACQ 101 Module 14 Performance Based Logistics Exam Graded A+

In transactional arrangement, a commercial provider incentivized to reduce workload and equipment failure - ANSWER false, in a transaction based arrangement, a commercial provider is incentivized to increase workload in order to increase revenue NOT reduce workload and equipment failure. the opposite is true in PBL arrangements, whereby the provider is incentivized to reduce the number of repairs and the cost of labor used in the repair process in order to increase profit. Which of the following is considered a universal top-level outcome-based metric? - ANSWER reliability, availability, mean down time Performance metrics are vital to the success of a PBL arrangement? - ANSWER true Best practice PBL contracts often use some combination of "carrots and sticks" strategies that are tightly aligned, promoting behaviors and outcomes that benefit both customer and supplier? - ANSWER true One of the biggest benefits to PBL is funding instability and budget stability? - ANSWER false, one of the biggest CHALLENGES to PBL is funding stability and budget instability. Which of the following statements are true regarding PBL contracts? - ANSWER PBL contracts are used for the purchase of sustainment in an integrated, affordable product support package; can cover weapon systems, subsystems or components, contain core attributes necessary to deliver improved reliability and availability performance at lower cost. Non-financial incentives are differentiated from financial incentives because the benefits may not be immediately measurable in revenue or cash flow terms? - ANSWER true Which of the following are incentives that could be used with a PBL contract? - ANSWER positive past performance ratings; encouraging investment in training, certification, education; award additional periods of performance based on contractor performance; investment by the industry prime in technical infrastructure. It's a process to identify all of the information known about the system to include performance, support, reliability, maintainability and cost data: - ANSWER What is baselining the system? It is collaborative working body comprising key program staff and stakeholders whose purpose is to develop a product support solution: - ANSWER What is the integrated product team?