Journal of Korean Society for Quality Management (품질경영학회지)

Korean Society for Quality Management (한국품질경영학회)
권호 표지
DOI QR코드

DOI QR Code

Extracting Priorities of Price Reduction for Military Supplies using AHP Analysis

AHP 분석을 통한 군수품 장비류 감액 중요도 산출

  • Seo, Sangwon (Department of Quality Management Operation, Defense Agency for Technology and Quality(DTaQ)) ;
  • Heo, Hwaman (Equipment Standard Team, Programming & Support Department, Defense Acquisition Program Administration(DAPA)) ;
  • Jang, Bongki (Department of Quality Management Operation, Defense Agency for Technology and Quality(DTaQ)) ;
  • Hwang, Wooyull (Department of Quality Management Operation, Defense Agency for Technology and Quality(DTaQ)) ;
  • Jung, Ilho (Department of Quality Management Operation, Defense Agency for Technology and Quality(DTaQ))
  • 서상원 (국방기술품질원 품질경영운영실) ;
  • 허화만 (방위사업청 계획지원부 장비규격팀) ;
  • 장봉기 (국방기술품질원 품질경영운영실) ;
  • 황우열 (국방기술품질원 품질경영운영실) ;
  • 정일호 (국방기술품질원 품질경영운영실)
  • Received : 2016.07.26
  • Accepted : 2016.09.01
  • Published : 2016.09.30
Download PDF
⟨ Previous Next ⟩

Abstract

Purpose: Although the price reduction policy is established for military supplies, it is more focused on general military items. Therefore, it is hard to apply the current price reduction policy directly to the major weapon system. The purpose of this study is to develop an evaluation model which generates appropriate outputs for price reduction of military supplies. Methods: To improve the current policy, we first analyze the relevant policies of price reduction of similar organizations. We gather the opinions of related organization through survey including DAPA, Logistics Command, DTaQ and Defense industry companies. Then, we develop a price reduction model based on the analytic hierarchical process(AHP) method to find out important factors for price reduction. Results: The results of AHP analysis show that the important factors when applying price reduction of military supplies. From the analysis, the proposed method effectively generates the amounts of price reduction for the nonconformance items. Conclusion: The results of this research will be used as guidelines to improve military supplies policy of price reduction.

Keywords

References

  1. Ahn, Namsu, Jeong, Jisun, Jeong, Woonkwon, Hawng, Wooyull, and Park, Sangwon. 2012. "Sampling Procedures Enhancement in Government Defense Quality Assurance Procedures: Case Studies in Combat Force Support Material & Ammunition Areas." Journal of the Korean Society for Quality Management 40:245-258. https://doi.org/10.7469/JKSQM.2012.40.3.245
  2. Defense Acquisition Program Administration. 2016. Defense Acquisition Program Administration. http://dapa.go.kr. Accessed July 11.
  3. Defense Acquisition Administration Regulation. 2016. Defense Acquisition Program Administration Regulation, Article 419. http://www.lawnb.com/data/Focuslawdata/lawnbfocusB00028635423.pdf. Accessed July 15.
  4. Defense Acquisition Administration Regulation. 2016. Defense Acquisition Program Administration Regulation, Article 614. http://www.lawnb.com/data/Focuslawdata/lawnbfocusB00028635423.pdf. Accessed July 15.
  5. Federal Acquisition Regulation. 2016. Subpart 46.4—Government Contract Quality Assurance. https://www.acquisition.gov/far/html/Subpart%2046_4.html. Accessed July 13.
  6. Harker, T. Patrick, and Vargas, L. Luis. 1980. "The Theory of Ratio Scale Estimation: Saaty's Analytic Hierarchy Process." Management Science 33(11):1383-1403. https://doi.org/10.1287/mnsc.33.11.1383
  7. Improvement and Analysis of Configuration Management and Price Reduction, Korea Research Institute of Military Affairs. Defense Acquisition Program Administration Research Paper 2012:1-299.
  8. Kwon, Se Min, Choi, Seck Goo, Cho, Kyung Ho, Baek Seung Ho, and Kim Yong Seop. 2012. "A Study on Development of Quality Satisfaction Index Model for Military Goods." Journal of the Korean Society for Quality Management 40:234-244. https://doi.org/10.7469/JKSQM.2012.40.3.234
  9. Lee Soo Bin. 2010. "(A) Study on buyer's remedy of reduction of price under CISG." Master diss., Graduate School of Sungkyunkwan University.
  10. Public Procurement Service. 2016. "Public Procurement Service Regulation." http://www.pps.go.kr/kor/jsp/government/procure_law.pps. Accessed July 11.
  11. Reduction of Price Policy. 2016. Public Procurement Service, Instruction 1554.
  12. Saaty, L. Thomas. 1980. The Analytic Hierarchy Process. New York: McGraw-Hill.
  13. Shin, Byung Cheol, Hwang, Woo Yull, Ahn, Nam Su, Kim, Deck Hwan, Lee, Gye Lim, and Jang, Bong Ki, and Byun, Jai Hyun. 2016. "Suggestion on Enhancing the Effectiveness of Government Quality Assurance Activities for Military Supplies in Production Stage." Journal of the Korean Society for Quality Management 44:153-166. https://doi.org/10.7469/JKSQM.2016.44.1.153