Report
Investigating Optimal Replacement of Aging Air Force Systems
Jan 1, 2003
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Fiscal constraints have compelled the Air Force to keep some of its aircraft fleets in service for decades longer than originally intended. The cost of maintaining aging aircraft is substantial. Previous research by RAND Project AIR FORCE (PAF) has shown that maintenance costs rise and availability for missions decreases as aircraft grow older. Experience has also shown that aging aircraft can develop unforeseen problems such as wiring corrosion and other types of material degradation. The Air Force has addressed these problems through frequent inspections and service and through special renovation programs as needed. However, it now faces a longterm planning dilemma that centers on when to replace aging aircraft rather than to repair them.
PAF developed a model that compares the annual cost of repairing an older platform and the annualized cost of purchasing a new one to determine when replacement is optimal. Applying this model to two aging systems, the C-21A transport aircraft and the KC-135 tanker aircraft, the research team reached two principal conclusions:
This model should help the Air Force make long-term plans for the repair and replacement of its cargo, tanker, and transport aircraft.
This research brief summarizes the findings of RAND Project AIR FORCE.
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