Methodical approach to account of life cycle cost of capabilities of Armed forces of Ukraine (organizational structures and governing bodies)

Keywords: life cycle, costs, capacity, resources, planning

Abstract

Changes in the character of modern military conflicts, increasing external threats, changes in economic and military-technical conditions of Ukraine's development affect the range and content of tasks in which the Armed Forces (AF) of Ukraine are involved. This determines the search for new approaches to planning the development of the Armed Forces of Ukraine and creates the preconditions for the need to improve the existing system of defense planning in Ukraine in general. One of the ways to ensure the effective functioning of the modern defense planning system of Ukraine is the introduction of a method of planning based on capabilities and justification of costs using the concept of life cycle cost. In the article the authors propose a methodical approach to substantiating the cost of the life cycle of carriers of capabilities of the Armed Forces of Ukraine (organizational structures and governing bodies). Substantiation of the cost of organizational structures and governing bodies of the Armed Forces of Ukraine on the application of the concept of cost of their life cycle will increase the reliability of calculations on the expected result of measures to develop the capabilities of the Armed Forces of Ukraine and the necessary financial resources for their development. Specialists of the Ministry of Defense of Ukraine and the General Staff of the Armed Forces of Ukraine are invited to apply this approach when making decisions on forming options for the list of organizational structures and governing bodies of the Armed Forces of Ukraine and determining the duration of their existence. The proposed methodological approach to substantiate the value of the life cycle of carriers of capabilities of the Armed Forces of Ukraine can be the basis for solving problems of defense planning and management of defense resources to: determine the cost of a single carrier of capabilities of the Armed Forces of Ukraine; determining the cost of the stages of the life cycle of the carrier of the capability of the Armed Forces of Ukraine; determination of the full projected cost of the life cycle of the carrier of the Armed Forces of Ukraine in order to assess the feasibility of their creation, further development, disbandment or reformulation.

Downloads

Download data is not yet available.

References

Nakaz Ministerstva rozvytku ekonomiky, torhivli ta silʹsʹkoho hospodarstva Ukrayiny № 1894 vid 28. 09. 2020 roku “Pro zatverdzhennya Prymirnoyi metodyky vyznachennya vartosti zhyttyevoho tsyklu” [Order of the Ministry of Development of Economy, Trade and Agriculture of Ukraine № 1894 of September 28, 2020 “On approval of the Model methodology for determining the value of the life cycle”] Available from: https://me.gov.ua/legislativeacts/Detail?lang=uk-UA&id=32140d03-d5eb-4988-8790-6d60d1c84a93

Dyrektyva 2014/24 /YES Yevropeysʹkoho Parlamentu ta Rady Yevropeysʹkoho Soyuzu vid 26 lyutoho 2014 roku pro derzhavni zakupivli [Directive 2014/24 / EU of the European Parliament and of the Council of 26 February 2014 on public procurement] Available from: https://eur-lex.europa.eu/eli/dir/2014/24/2018-01-01

Metodychni rekomendatsiyi z finansovo-ekonomichnoho obgruntuvannya vartosti povnoho zhyttyevoho tsyklu spromozhnostey z urakhuvannyam pryntsypiv ta standartiv NATO zatverdzheni Ministrom oborony Ukrayiny vid 02.06.2020 [Methodical recommendations on financial and economic substantiation of the cost of the full life cycle of capabilities, taking into account NATO principles and standards, were approved by the Minister of Defense of Ukraine on 02.06.2020] Available from: https://www.mil.gov.ua/content/oboron_plans/metod_recom_z_fin_ekon_life_ciklu_nato.pdf

Nakaz Ministerstva oborony Ukrayiny № 484 vid 22.12.2020 “Pro zatverdzhennya Poryadku orhanizatsiyi ta zdiysnennya oboronnoho planuvannya v Ministerstvi oborony Ukrayiny, Zbroynykh Sylakh Ukrayiny ta inshykh skladovykh syl oborony” [Order of the Ministry of Defense of Ukraine № 484 of 22.12.2020 “On approval of the Procedure for organization and implementation of defense planning in the Ministry of Defense of Ukraine, the Armed Forces of Ukraine and other components of the Defense Forces”] Available from: https://zakon.rada.gov.ua/laws/show/z0196-21#n12

Yedynyy perelik (kataloh) spromozhnostey Ministerstva oborony Ukrayiny ta Zbroynykh Syl Ukrayiny : zatv. Min. oborony Ukrayiny 28.11.2017 . 356 p. [Unified list (catalog) of capabilities of the Ministry of Defense of Ukraine and the Armed Forces of Ukraine: approved. Min. of Defense of Ukraine 11/28/2017]

Rekomendatsiyi z oboronnoho planuvannya na osnovi spromozhnostey v Ministerstvi oborony Ukrayiny ta Zbroynykh Sylakh Ukrayiny : zatv. Ministrom oborony Ukrayiny 12.06.2017 y. 49 p. [Recommendations on capability-based defense planning in the Ministry of Defense of Ukraine and the Armed Forces of Ukraine: approved. Minister of Defense of Ukraine 06/12/2017]

Rekomendatsiyi z poryadku orhanizatsiyi provedennya otsinyuvannya spromozhnostey u Zbroynykh Sylakh Ukrayiny: zatv. Ministrom oborony Ukrayiny 07.12.2017 y. 29 с. [Recommendations on the organization of capability assessment in the Armed Forces of Ukraine: approved. Minister of Defense of Ukraine 12/07/2017]

Metodychni rekomendatsiyi shchodo upravlinnya proektamy: zatverd. Ministr oborony Ukrayiny 20 lyutoho 2019 y. 52 с. [Methodical recommendations for project management: approved. Minister of Defense of Ukraine on February 20, 2019]

Metodychni rekomendatsiyi z provedennya oboronnoho ohlyadu : zatv. Ministrom oborony Ukrayiny 07.06.2019 y. 84 p. [Methodical recommendations for conducting a defense review: approved. Minister of Defense of Ukraine 06/07/2019]

Doktryna z oboronnoho planuvannya u Zbroynykh Sylakh Ukrayiny, zatverdzhena Holovnokomanduvachem Zbroynykh Syl Ukrayiny 13.11.2020 [Doctrine on defense planning in the Armed Forces of Ukraine, approved by the Commander-in-Chief of the Armed Forces of Ukraine 11/13/2020]

Code of Practice for Life Cycle Costing, RTO-TR-SAS-069 // NATO Research Technology Organisation, System Analysis and Studies Panel, Task Group 069. September 2009. Р. 64

Methods and Models for Life Cycle Costing, RTO-SAS-054 // Final Report of Task Group Technical Report SAS-054. June 2007. Р. 226

Cost Structure and Life Cycle Costs for Military Systems / RTO TR-058 SAS-028 // Task Group Technical Report. September 2003. Р. 104.

NATO Standard AAP-20 / NATO Programme Management Framework (NATO Life Cycle Model) // Edition C Version 1 October 2015. Р. 78.

NATO Standard AAP-48 / NATO System Life Cycle Processes // Edition B Version 1 Mars 2013. Р. 68.

Zvarich A. O., Chernyshova І. M., Seredyuk S. A. Udoskonalena metodyka vyznachennya vartosti pidtrymannya ta rozvytku nosiyiv spromozhnosti (viysʹkovykh orhanizatsiynykh struktur) [Improved methodology for determining the cost of maintaining and developing capacity carriers (military organizational structures)] // Collection of scientific works of the Central Research Institute of the Armed Forces of Ukraine. Kiev: 2020. № 3 (94). P. 119–131.


Abstract views: 306
PDF Downloads: 247
Published
2021-08-31
How to Cite
Semenenkо O., Chernyshova, I., Onofriychuk , P., Motrunych , I., Kharitonov , K., & Demchuk , R. (2021). Methodical approach to account of life cycle cost of capabilities of Armed forces of Ukraine (organizational structures and governing bodies). Social Development and Security, 11(4), 14-30. https://doi.org/10.33445/sds.2021.11.4.2
Section
Articles

Most read articles by the same author(s)

1 2 > >>