Business Case Studies & Business Publications

Nuclear-Powered Aircraft Carrier Life-Cy...

Cross, Tom, Sack, ...

Case

Nuclear-Powered Aircraft Carrier Life-Cycle Cost Analysis

Cross, Tom; Sack, Robert J.; Pottinger, Jeff

C-2282 | Published March 25, 2008 | 11 pages Case

Collection: Darden School of Business

Product Details

In 1996, to find ways to reduce operating costs as well as the costs of future acquisitions, the Navy began to assess various design concepts for a new class of aircraft carriers and to analyze life-cycle costs, not just the acquisition costs, as life-cycle cost implications were complex and would significantly impact current and future budgets. The acquisition decisions for the next-generation aircraft carrier, CVX, would largely be determined on the basis of a life-cycle cost review of the current class of nuclear-powered carriers. Students will apply their understanding of the key elements of life-cycle costing to review the basic life-cycle costs associated with nuclear-powered aircraft carriers.