ABSTRACT

High-dollar acquisition programs that suffer productivity impediments can lead to enormous cost escalations. A case example (Carey, 2012) is the 2012 revelation by the U.S. Government Accountability Ofce (GAO) that the U.S. Air Force would spend $9.7 billion

20.1 Introduction ......................................................................................................................403 20.2 Furlough programs impacts on acquisition systems ..................................................404 20.3 Logistics and acquisition disaggregation .....................................................................405 20.4 Furloughs and loss of productivity ...............................................................................405 20.5 Link between productivity and operational cost ........................................................408 20.6 Work rate computations .................................................................................................. 410 20.7 Employee work rate examples ........................................................................................ 412 20.8 Furlough-induced work rate and productivity ............................................................ 413 20.9 Better management of furlough programs ................................................................... 416 20.10 Implementation strategy ................................................................................................. 416 20.11 Conclusion and recommendations ................................................................................ 418 References ..................................................................................................................................... 418

over 20 years to upgrade the capabilities of F-22A Raptor as a result of the failure to anticipate the plane’s long-term need for technology modernization. In high-cost and time-sensitive programs such as the F-22A Raptor, any additional slowdown and work rate decline in the acquisition process can result in adverse impacts on the overall readiness of the nation. Workforce work rate has a direct impact on overall organizational productivity. The very premise of the defense acquisition program is to ensure timely acquisition and deployment of critical technology to aid the warghter. The purpose of this chapter is to provide thought-provoking research methodologies to analyze the management of furlough programs with respect to work productivity. Furlough-induced work slowdown in one segment of a defense organization can lead to overall work rate decline with a resulting decline in overall productivity and cost escalation. A furlough program takes both leadership and employees away from productive work because planning spans multiple weeks. Although the hypothesis of the chapter is anecdotal, it does present the basis for further empirical studies. It is intended to provoke more data-driven research on employee work rate analysis. Because 100% of the work cannot be done by fewer human resources working at the normal work rate during a furlough, a research study is needed to guide future decisions. The recommendations offered include the following:

• Ensuring that furloughs, if needed at all, be implemented in smaller manageable timelines. While changes are essential for organizational improvement, they should be implemented in incremental cost-cutting measures rather than one big furlough period.