CBA for Decision Making

Professor Mort Anvari

Teaches project management, operating systems, systems analysis, and cost management as an adjunct professor at local universities in Washington DC where he has taught over 20 years. He also taught manufacturing and industrial systems engineering courses at the University of Michigan. As the senior Army coster and acquisition costing director, he is responsible for independent cost, risk, economic, and environmental analyses of major defense acquisition programs.

Peter Kim

Chairs the Army Cost Benefit Analysis Review Board and ensures resourced informed decisions by the Army leadership. Responsibilities include Army policies and guidance for the for Deputy Assistant Secretary of the Army for Cost and Economics. Other responsibilities include economic analyses, organizational integration, and reviews of cost benefit analysis.

Science of Resource Informed Decisions

Text Box: CBA Registration: (571) 327-0222 Tuition for 16 hours CBA Course: $2,000

Class Location: George Mason University, Arlington Campus

CBA Course Duration: 4 Saturdays from 9:00 am to 1:00 pm

CBA Courses Start: The 1st Saturday of every months @ 9:00

CBA Courses End: The 4th Saturday of the months @ 1:00 pm

Registration for each Course Ends: 7 days prior to the first class

Text Box: Why do we need to do CBAs?
To support resource-informed decision making. DoD has issued a policy that calls for a CBA to accompany any request to the senior leaders for new or expanded resources. Many other federal agencies also have adopted the policy at their respective levels and are requiring CBAs. The CBA is a tool to help leaders make better decisions by providing clear choices that carefully weigh costs, tradeoffs, and benefits. When do we need to do CBAs?
A CBA is needed to support a decision for new or expanded resources. To allow for review of the CBA, one should plan ample time for its review in the decision making process. Who does CBAs?
Any organization can be asked to prepare a CBA. A decision-making body will ask for a CBA in order to support resource-informed decision making. What needs to be included in a CBA?
An effective CBA will include a clear problem statement and will present feasible alternative courses of action (COA) that address the problem or opportunity. Every CBA must clearly define the assumptions, facts, and constraints that bear on the problem or opportunity; explain how the COAs were identified and evaluated; and include supporting documentation that shows how the cost estimate for each COA was developed. If the recommended COA includes an unfunded requirement, the CBA must also identify the proposed billpayer. Our CBA guide provides a step-by-step process that explains each of these requirements.

Text Box: Cost Benefit Analysis (CBA) Frequently Asked Questions

Text Box: for CBA class availability in your area or to register for next CBA class, please submit above information

helping organizations achieve process improvement and cost saving

Cloud Callout: for acquisition professionals, financial mangers, analysts, and all those with profit and loss responsibility

His experiences include operations research, program management, and business development roles. He served in the US Army as an aviation officer upon graduation from West Point. As an active duty officer, he piloted CH-47 Chinook helicopters.

He has taught several cost benefit analysis classes and serves as the Army focal for cost policy. CBAfaculty.org@gmail.com

Experiences include operations research and systems analyst at the Army Cost and Economic Analysis Center, a think tank in Washington DC as well as production engineering at General Motors.

He has published numerous articles on cost, risk, and systems analysis. His many awards include the 2006 DoD modeling and simulation award. info@anvari.net

Mela Emam

Teaches Generally Accepted Accounting Principles (GAAP) . As the CEO of the Mela Accounting Inc, she provides accounting services to small, midsize and non-profit organizations. Her expertise includes bookkeeping, receivable, payroll, banking, acquisition, merger, forensic accounting. She is an independent consultant with extensive experience in accounting systems setup and conversion, job costing, acquisition, contract data reporting, and COR interface.

anvari.net

	Cost Benefit Analysis
1	Introduction to Cost-Benefit Analysis
2	Conceptual Foundations of Cost-Benefit Analysis
3	Microeconomic Foundations of Cost-Benefit Analysis
4	Valuing Benefits and Costs in Primary Markets
5	Valuing Benefits and Costs in Secondary Markets
6	Discounting Benefits and Costs in Future Time Periods
7	Dealing with Uncertainty: Expected Values, and Sensitivity Analysis
8	Option Price and Option Value
9	Existence Value
10	The Social Discount Rate
11	Predicting and Monetizing Impacts
12	Valuing Impacts from Observed Behavior: Experiments & Quasi Experiments
13	Valuing Impacts from Observed Behavior: Estimation of Demand Curves
14	Valuing Impacts from Observed Behavior: Indirect Market Methods
15	Contingent Valuation: Using Surveys for Information on Costs and Benefits
16	Shadow Prices from Secondary Sources
17	Shadow Prices: Applications to Developing Countries
18	Cost-Effectiveness Analysis
19	Distributionally Weighted Cost-Benefit Analysis
20	How Accurate Is CBA?