This research focuses on Italy, Brazil and the Republic of Korea, how each purchased the US Marine Corps' Advanced Amphibious Vehicle (AAV), and how each supports the AAV through the life-cycle requirements. The thesis provides insights through an in-depth analysis of each country's political, economic and defense aspects. A predictive model determines the support requirements on future FMS sales by studying the past. Thus, the Marine Corps can estimate the future requests for spare parts in...
Topic: FOREIGN MILITARY SALES.
Naval Postgraduate School
14
14
May 5, 2019
05/19
by
Cote, Martina; LaFontaine, Thomas; McGarvey, Michael
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This project is a review of historical foreign military sales (FMS) within U.S. Army acquisition programs. The data analysis is used to produce background data, which is then compared to active acquisition programs, acquisition statues, processes and pressures placed upon the acquisition community to bring in a program under budget and ahead of schedule. A comparative analysis of the two Army acquisition programs is conducted in an effort to verify if statutes, processes or personalities are...
Topics: foreign military sales, Army acquisition programs
The purpose of this thesis is to discuss existing U.S. arms sales to the Gulf Cooperation Council states (GCC) and to propose an appropriate strategy for future arms trades. The GCC states' existing strategy for acquiring weapon systems has not been sufficient for the defense needs of the six countries. Each country has its own strategy and its main arms source. The reduction of the GCC states' resources due to a gradual reduction in oil price makes it necessary to consolidate their arms...
Topics: Gulf Cooperation Sales, Foreign Military Sales, M1A2 Main Battle Tank
Naval Postgraduate School
53
53
May 3, 2019
05/19
by
Allen, James P.; Bailey, Scott A.; Pye, Brandon A.
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This project identifies current sources of cost savings and cost avoidance generated through Army foreign military sales (FMS). Using a comparative high-low case-study approach, a high-demand volume case and a low-demand volume case were selected in major weapons categories. The cases were analyzed on an internal basis to determine cost savings, cost avoidance, and public value. Once the cases were analyzed and compared against each other, advantages or trends in cost savings, cost avoidance,...
Topics: foreign military sales, learning curve, economic order quantity, cost avoidance
This study concerns the examination of the program of Foreign Military Sales from the perspective of a field activity. It attempts to identify through a historical view the evolution of the foreign military sales management process and analyze some of the observations made in the context of a bureaucratic structural framework. It concludes that the problems facing field activities managing a foreign military sales program can be best characterized by a budget-based bureaucratic structure, that...
Topics: Management, foreign military sales, FMS management, arms export, weapons sales management
The rapid expansion of the Foreign Military Sales (FMS) program during the 1970's dramatized the need for adequate measures to recoup the costs of sales of defense stocked material. In implementing FMS cases the U.S. Navy utilizes the same resources and support organizations that are employed to manage and implement U.S. Navy support programs. To reimburse the O&MN appropriated funds used to finance the FMS transactions, a universal language must be utilized to transmit expenditure...
Topics: Management, foreign military sales, FMS, accessorial costs, PCH&T cost reimbursement
This study addresses a request by the Defense Security Cooperation Agency (DSCA) to assess the Foreign Military Sales (FMS) administrative surcharge rate and identify relevant cost drivers. The DSCA operates on a no-profit, no-loss basis and recovers full costs by charging a surcharge rate against FMS values. In 2006, the DSCA increased the rate from 2.5% to 3.8% based on an internal Fees Study Group analysis. While their analysis was well-founded, FMS has more than doubled—inflating the...
Topics: DSCA, Administrative Surcharge Rate, DSCA trust fund, Foreign Military Sales, FMS
Security assistance encompasses a broad assortment of tools to include the sale or transfer of military equipment, grant funds, and education and training, all of which aim to build partner nation capacity. This project examines trends among the U.S. Foreign Military Sales, Foreign Military Financing, and Russia’s Military-Technical Cooperation Programs. Regional program trends are examined and further analysis is provided on the ground-level operational impact and the implications of...
Topics: security assistance, foreign military sales, foreign military financing, military-technical...
In this project, I examine the current security cooperation and assistance efforts in the U.S. Africa Command area of responsibility with a particular focus on training of foreign military forces under 10 U.S. Code § 2282. Specifically, I analyze whether the cost of such training programs is cheaper using contracted personnel versus uniformed military personnel. The costs of contractor-provided training come from the Defense Security Cooperation Agency. Using the Department of Defense’s...
Topics: foreign military sales, FMS, international military education and training, cost savings,...
The transfer of arms from the U.S. to other countries under the Security Assistance Program is done in two basic ways: government-to-government Foreign Military Sales (FMS), and contractor-to-government Direct Commercial Sales (DCS). These methods help to increase standardization and interoperability between the U.S. and its Allies. This study examines the U.S. arms sales policies and procedures for FMS and DCS. It is aimed at identifying the advantages and weaknesses of these methods and to...
Topics: Foreign Military Sales, Direct Commercial Sales, Turkish Navy, Arms Sales, Security Assistance
Naval Postgraduate School
17
17
May 4, 2019
05/19
by
Evans, Frederick, Jr.; McConnell, Scott
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Leveraging current and future International Cooperation opportunities, such as Foreign Military Sales and Cooperative Programs throughout the entire Department of Defense System Acquisition Framework could contribute to and enhance the systems acquired domestically and create additional Foreign Military Sales opportunities. Historically, International Cooperation is not considered in the acquisition process until sometime around initial operational capability or full operational capability....
Topics: International Cooperation, Cooperative Programs/Development, Foreign Military Sales (FMS), Defense...
Department of Defense project managers are increasing the scope of their operations to include consideration of foreign defense articles in acquisition strategies. This action has been motivated primarily by NATO Rationalization, Standardization and Interoperability (RSI) requirements. This thesis addresses the problems, real and perceived, in implementing \"two-way street\" transactions with allied nations. Members of U.S. Navy project offices were interviewed to determine the impact...
Topics: Management, NATO Rationalization, Standardization and Interoperability, Foreign Acquisition,...
This report provides unclassified background data from U.S. government sources on transfers of conventional arms to developing nations by major suppliers for the period 1997 through 2004. It also includes some data on world-wide supplier transactions. It updates and revises the report entitled Conventional Arms Transfers to Developing Nations, 1996-2003, published by the Congressional Research Service (CRS) on August 26, 2004 (CRS Report RL32547). The data in the report illustrate how global...
Topics: DTIC Archive, Grimmett, Richard F, LIBRARY OF CONGRESS WASHINGTON DC CONGRESSIONAL RESEARCH...
In this project, I examine the current security cooperation and assistance efforts in the U.S. Africa Command area of responsibility with a particular focus on training of foreign military forces under 10 U.S. Code 2282. Specifically, I analyze whether the cost of such training programs is cheaper using contracted personnel versus uniformed military personnel. The costs of contractor-provided training come from the Defense Security Cooperation Agency. Using the Department of Defense's Financial...
Topics: DTIC Archive, NAVAL POSTGRADUATE SCHOOL MONTEREY CA, *FOREIGN MILITARY SALES, CONTRACTS, COSTS,...
Historically, the acquisition of a weapon systems in the Republic of Peru has been made on the basis of system effectiveness and initial acquisition cost, with little or no consideration being given to operating and support costs that will be incurred after the system is deployed in the field. Peru acquires most of its sophisticated weapon systems from foreign countries. Under this situation, broad understanding of Life Cycle Cost (LCC) concept and techniques are needed. This thesis introduces...
Topics: Management, Cost, Weapons systems., Peruvian Weapon Systems Acquisition Process, Life Cycle Cost...
This thesis includes an analysis of United States Foreign Military Sales (FMS) Policy, U.S. Agencies concerned with FMS, and the documents that are used in the process. In the meantime, a specific Turkish FMS acquisition which is the conversion of the M48A1 tank to an M48A5 upgrade is explained in the thesis. It concludes with the problems facing field activities managing a Foreign Military Sales program. The objective of this thesis is to improve the effectiveness of the Turkish Armed Forces...
Topics: DTIC Archive, Saruhan, Ozcan, NAVAL POSTGRADUATE SCHOOL MONTEREY CA, *ACQUISITION, FOREIGN MILITARY...
Reimbursable foreign military sales (FMS) transactions are expenditures for which the U.S. Government has made a monetary investment in the sale before the FMS customer makes payment. Reimbursable transactions include stock issues from DoD inventories and contractual depot maintenance expenditures for the repair and return of Defense articles. From October 1, 1986, to September 30, 1991, 3,711 FMS cases had reimbursable transactions amounting to $2.7 billion. We reviewed 187 high-dollar value...
Topics: DTIC Archive, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *FOREIGN MILITARY SALES, *AUDITING,...
Naval Postgraduate School
41
41
May 4, 2019
05/19
by
Person, Lester B.; Thomas, Terrance L.
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DOD Instruction 7000.14-R, paragraph 0716, prescribes the methods that will be used to determine the price of DOD publications when they are sold to foreign military sales (FMS) customers. The Instruction includes publication pricing factors that shall be included in the development of FMS prices for paper publications. When technical data was maintained and distributed primarily by paper form, pricing the product to recover the associated costs was a relatively reasonable and reliable process....
Topics: Arms transfer, United States, Foreign military sales, Commercial pricing, Software cost analysis,...
This MBA professional report explains how the overall Foreign Military Sales (FMS) program, its Direct Requisitioning Procedures, Repair of Repairables Procedures, and as well as its Supply Discrepancy Reports processes work. Then, this research statistically analyzes the transaction records of the United States’ FMS program to Turkish Navy (U.S./TN FMS) procedures while exploring its history and existing state. Although the findings are encouraging, more research is required to provide...
Topics: Republic of Turkey, Security Assistance, Foreign Military Sales, Direct Requisitioning Procedures,...
This report covers the facts and Graphs on foreign military sales, foreign military construction sales and military assistance.
Topics: DTIC Archive, DEFENSE SECURITY ASSISTANCE AGENCY WASHINGTON DC, *MILITARY ASSISTANCE, *FOREIGN...
The audit addressed the pricing and billing of F-l6 aircraft sold to foreign military sales (FNS) customers other than European Participating Governments (which coproduce F-16 aircraft). Eleven foreign customers had ordered 790 aircraft and received 437 aircraft. As of April 1991, aircraft and other articles costing $8.5 billion had been delivered against orders totaling $18.9 billion.
Topics: DTIC Archive, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *FOREIGN MILITARY SALES, *AUDITING,...
Security assistance is a key element in the formulation of foreign policy in the United States. The Department of State, the Department of Defense, and other agencies are involved in planning and managing the programs. This paper aims at evaluating security assistance programs in theUnited States and the mechanisms the government can use to leverage the programs and build upon the existing capabilities. Consequently, this paper examines the roles of the agencies and departments involved in the...
Topics: United States Security Assistance, export law reforms, excess defense articles, U.S. Army Security...
Topics: DTIC Archive, DEFENSE SECURITY ASSISTANCE AGENCY WASHINGTON DC, *MILITARY ASSISTANCE, *FOREIGN...
THE DATA IN THIS PUBLICATION REGARDING FOREIGN MILITARY SALES AGREEMENTS AND DELIVERIES PORTRAYS ONLY SALES AND DELIVERIES OF DEFENSE ARTICLES AND DEFENSE SERVICES. IN ACCORDANCE WITH SECTION 29 OF THE ARMS EXPORT CONTROL ACT, FOREIGN MILITARY CONSTRUCTION SALES AGREEMENTS AND DELIVERIES HAVE BEEN EXTRACTED AND ARE SHOWN SEPARATELY IN TABLES
Topics: DTIC Archive, DEFENSE SECURITY ASSISTANCE AGENCY WASHINGTON DC, *MILITARY ASSISTANCE, *FOREIGN...
The following represents extracts from an unclassified report of conventional arms transfers published under the above title by the Library of Congress on June 19, 1990. The selections included herein begin with a discussion of major research findings regarding the dollar value of both arms transfer agreements and arms deliveries to the Third World from 1982 through 1989. These findings are all cross-referenced to comparative data tables which are presented following the textual material....
Topics: DTIC Archive, LIBRARY OF CONGRESS WASHINGTON DC CONGRESSIONAL RESEARCH SERVICE, *DEVELOPING...
We are providing this final report on the Audit of Recoupment of Transportation Costs Incurred on Foreign Military Sales (FMS) Cases for your review and comment. The audit was made during the period December 1988 through March 1989. The primary objectives of the audit were to determine whether transportation commands, including the Navy's QUICKTRANS and the Air Force's LOGAIR air operations, were properly reimbursed for all FMS transportation costs, and to evaluate the adequacy of the methods...
Topics: DTIC Archive, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *MANAGEMENT PLANNING AND CONTROL,...
This is our report on the Survey of Foreign Military Sales (FMS) Trust Fund (the Trust Fund) Disbursement Reporting. We made the survey from May to August 1989.
Topics: DTIC Archive, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *FOREIGN MILITARY SALES, *AUDITING,...
This report-in-progress is part of a joint project on export control and technology which involves collaboration efforts between teams of researchers at the Naval Postgraduate School and the Defence Academy of the United Kingdom, Cranfield University. As the U.S. group, we are reporting on our case study of the F/A-18 Hornet--with a view to gleaning insights into contemporary issues pertaining to export control and technology transfer regimes.
Topics: DTIC Archive, NAVAL POSTGRADUATE SCHOOL MONTEREY CA, *FOREIGN MILITARY SALES, *FIGHTER AIRCRAFT,...
The following represents extracts from an unclassified report of conventional arms transfers as published under the above title by the Library of Congress on August 2, 1991. The selections included herein begin with a discussion of major research findings regarding the dollar value of both arms transfer agreements and arms deliveries to the Third World from 1983 through 1990. These findings are all cross-referenced to comparative data tables which are presented following the textual material....
Topics: DTIC Archive, LIBRARY OF CONGRESS WASHINGTON DC CONGRESSIONAL RESEARCH SERVICE, *DEVELOPING...
Over the past decade, increased congressional and public attention has been focused on the rather dramatic increases in the volume of the U.S. foreign military sales (FMS) program--from $1 billion in fiscal year 1967 to almost $10 billion in 1975. This rapid growth, due partly to a reduction in military assistance, has sparked considerable controversy over the program's operation and direction. Although the executive branch has continuously given the Congress details of the program's operation...
Topics: DTIC Archive, GENERAL ACCOUNTING OFFICE WASHINGTON DC INTERNATIONAL DIV, *FOREIGN MILITARY SALES,...
Topics: DTIC Archive, Kerr,Paul K, LIBRARY OF CONGRESS WASHINGTON DC WASHINGTON DC United States, foreign...
We determined whether the Defense Security Cooperation Agency (DSCA) properly managed funds appropriated for assistance to Afghanistan and Iraq that it processed through the Foreign Military Sales (FMS) network. Specifically, we reviewed whether DSCA properly accounted for these funds, used the funds for their intended purpose, and properly reported the funds in DOD financial reports. This report is the second in a series that addresses management of funds appropriated for Afghanistan and Iraq...
Topics: DTIC Archive, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *FINANCIAL MANAGEMENT, *FOREIGN...
From the latter 1970s until perhaps as late as 1984, the trend in arms imports by developing nations was sharply up in almost all years, fueled by ambitious force improvement programs financed, in most cases, by rising oil prices and easy credit.[1] At the zenith of that period, in 1980, total arms contracts[2] made by developing or Third World countries[3] reached levels in excess of about $50 billion in current (or then-year) U.S. dollars. In recent years, however, arms sales to the Third...
Topics: DTIC Archive, DEFENSE INST OF SECURITY ASSISTANCE MANAGEMENT WRIGHT-PATTERSON AFB OH,...
Topics: DTIC Archive, DEFENSE SECURITY ASSISTANCE AGENCY WASHINGTON DC, *MILITARY ASSISTANCE, *FOREIGN...
The overall objective of the audit was to determine whether adequate contract administration controls existed over direct commercial purchases funded under the FMS Financing Program. To meet the objective, we reviewed procedures and internal controls at the DSAA, the Military Departments, and the Defense Logistics Agency as they related to contract administration and support for direct commercial sales contracts. We reviewed DSAA approvals for funding such contracts, contract pricing,...
Topics: DTIC Archive, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *FINANCIAL MANAGEMENT, *COMMERCIAL...
This MBA professional report explains how the overall Foreign Military Sales (FMS) program, its Direct Requisitioning Procedures, Repair of Repairables Procedures, and as well as its Supply Discrepancy Reports processes work. Then, this research statistically analyzes the transaction records of the United States FMS program to Turkish Navy (U.S./TN FMS) procedures while exploring its history and existing state. Although the findings are encouraging, more research is required to provide...
Topics: DTIC Archive, Uysal,Deniz C, Naval Postgraduate School Monterey United States, FOREIGN MILITARY...
This report, updated as warranted, discusses U.S. security assistance to Taiwan, or Republic of China (ROC), including policy issues for Congress and legislation. Congress has oversight of the Taiwan Relations Act (TRA), P.L. 96-8, which has governed arms sales to Taiwan since 1979, when the United States recognized the People's Republic of China (PRC) instead of the ROC. Two other relevant parts of the one China policy are the August 17, 1982, U.S.-PRC Joint Communique and the Six Assurances...
Topics: DTIC Archive, LIBRARY OF CONGRESS WASHINGTON DC CONGRESSIONAL RESEARCH SERVICE, *ARMS CONTROL,...
This report provides background data on United States arms sales agreements with and deliveries to its major purchasers during calendar years 1998-2005. In a series of data tables, it lists the total dollar values of U.S. arms sales agreements with its top five purchasers in five specific regions of the world for three specific periods: 1998-2001, 2002-2005, and 2005 alone, and the total dollar values of U.S. arms deliveries to its top five purchasers in those same regions for the periods...
Topics: DTIC Archive, Grimmet, Richard F, LIBRARY OF CONGRESS WASHINGTON DC CONGRESSIONAL RESEARCH SERVICE,...
"Offsets" is the term used to designate the providing company's obligations to use some portion of payments received for foreign arms sales in ways presumed to benefit the purchasing nation. They are a well-established part of international arms and commercial trade, and seem destined to remain so well into the future. Although they may have significant economic, political and military impacts, offsets are rarely discussed and mostly unknown outside the international trade community....
Topics: DTIC Archive, Petty, Frank S., ARMY WAR COLL CARLISLE BARRACKS PA, *COMMERCE, *FOREIGN MILITARY...
This project is a review of historical foreign military sales (FMS) within U.S. Army acquisition programs. The data analysis is used to produce background data, which is then compared to active acquisition programs, acquisition statues, processes and pressures placed upon the acquisition community to bring in a program under budget and ahead of schedule. A comparative analysis of the two Army acquisition programs is conducted in an effort to verify if statutes, processes or personalities are...
Topics: DTIC Archive, Cote,Martina, Naval Postgraduate School Monterey United States, foreign military...
Foreign military sales are made on a case by case basis. The cases are initiated by a foreign country sending a letter of request to DOD asking for various information, such as precise price data. After the country obtains and reviews this information and decides that it wants to do business with the U.S. government, DOD prepares a Letter of Offer and Acceptance (LOA) stating the terms of the sale for the goods and services being provided. If accepted by the country, the LOA becomes the formal...
Topics: DTIC Archive, GENERAL ACCOUNTING OFFICE WASHINGTON DC ACCOUNTING AND INFORMATION MANAGEMENT DIV,...
This thesis analyzes major aspects of Sino-Russian relations during the first decade of the twenty-first century. It has two main objectives. First, it provides a more detailed understanding of Sino-Russian relations as they pertain to the dynamics affecting the relationship in the Russian Far East (RFE), the formation and evolution of the Shanghai Cooperation Organization (SCO), and Sino-Russian trends and dynamics regarding arms sales. This endeavor is accomplished by a detailed historical...
Topics: DTIC Archive, NAVAL POSTGRADUATE SCHOOL MONTEREY CA, *INTERNATIONAL RELATIONS, *CHINA, *USSR, FAR...
The objective of the audit was to determine whether the Military Departments had an adequate system for reporting shipments of material to the DFAS Denver Center for billing FMS customers. We also reviewed the procedures used by the Military Departments and the Defense Logistics Agency for researching and resolving reports of discrepancy associated with those shipments. Finally, we reviewed the management control program established within the Military Departments to ensure that FMS customers...
Topics: DTIC Archive, Rau, Russell A, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *MANAGEMENT PLANNING...
We have reviewed available information relating to allegations reported in the media that foreign suppliers did not fully cooperate in supplying items needed by the U.S. industry to support the Persian Gulf War effort. The media reported allegations that during the Persian Gulf crisis (1) foreign suppliers said they could not delay work on their commercial contracts and, therefore, refused to expedite their efforts to supply U.S. defense contractors with parts and components urgently needed for...
Topics: DTIC Archive, GENERAL ACCOUNTING OFFICE WASHINGTON DC NATIONAL SECURITY AND INTERNATIONAL AFFAIRS...
The following are extracts from an unclassified report of conventional arms transfers to developing nations (and developed nations as well) as published under the above title by the Library of Congress on 15 August 1996. The selections included herein begin with a discussion of major research findings regarding the dollar value of both arms transfer agreements and arms deliveries to the developing countries from 1988 through 1995. These findings are all cross-referenced to comparative data...
Topics: DTIC Archive, LIBRARY OF CONGRESS WASHINGTON DC CONGRESSIONAL RESEARCH SERVICE, *DEVELOPING...
The primary objective of the audit was to determine whether the FMS Trust Fund Consolidating Statements for FY 1992 were presented fairly in accordance with generally accepted accounting principles for Federal entities. We evaluated the internal control structure established for the Fund and assessed compliance with laws and regulations that could have a material effect on the financial statements. We also determined the reliability and usefulness of financial information reported to the Office...
Topics: DTIC Archive, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *FINANCIAL MANAGEMENT, *AUDITING,...
Until recently, evaluation of the foreign military sales (FMS) program has depended chiefly on security and foreign policy judgments. The program's goal has been assumed to be promotion of these policies, and its success measured by how well they are served. Recent debate has, however, extended to the economic consequences of foreign sales-particularly their secondary effects in reducing U.S. weapons costs and requirements. These savings have been considered as a valuable attribute of the FMS...
Topics: DTIC Archive, CONGRESSIONAL BUDGET OFFICE (U S CONGRESS) WASHINGTON DC, *FOREIGN MILITARY SALES,...
Topics: DTIC Archive, DEFENSE SECURITY COOPERATION AGENCY WASHINGTON DC, *MILITARY ASSISTANCE, *FOREIGN...
Topics: DTIC Archive, DEFENSE SECURITY ASSISTANCE AGENCY WASHINGTON DC, *FOREIGN MILITARY SALES, DEPARTMENT...
The objectives of this audit were to determine whether the Military Departments accurately charged FMS customers for depot maintenance transactions for repair and overhaul of major end items. The announced objective was to review contractual transactions; however, we also included organic transactions (the maintenance work done at the Military Departments' depots) in our review because FMS cases had billings that included both contractual and organic charges. Also, we reviewed the procedures...
Topics: DTIC Archive, Hendricks, Nancy L, INSPECTOR GENERAL DEPT OF DEFENSE ARLINGTON VA, *FOREIGN MILITARY...
