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SAE ARP4176

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SAE ARP4176 2013 Edition, February 1, 2013 Determination of Costs and Benefits from Implementing an Engine Health Management System
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Description / Abstract: This ARP provides an insight into how to approach a cost benefit analysis (CBA) to determine the return on investment (ROI) that would result from implementing a propulsion Prognostics and Health Management (PHM) system on an air vehicle. It describes the complexity of features that can be considered in the analysis, the different tools and approaches for conducting a CBA and differentiates between military and commercial applications. This document is intended to help those who might not necessarily have a deep technical understanding or familiarity with PHM systems but want to either quantify or understand the economic benefits (i.e., the value proposition) that a PHM system could provide.

Purpose

This ARP is not intended to be used as a standard or legal document but is compiled to help the increasing number of people who want to compute a PHM Cost Benefit Analysis prior to implementing such a system on a platform.

Approach

The approach taken was to identify the parameters that were relevant for consideration in a cost benefit analysis so that the boundaries of a specific problem could be defined from the outset. Several recent and worthy papers presented at conferences on the subject matter were studied and as much information as possible was obtained from the aerospace engine manufacturers and the U.S. Department of Defense (DoD) to identify effective tools and techniques. The various methods were assessed by an E-32 team for their application to specific scenarios (e.g., military or commercial operation, legacy or new engines) and the parameters utilized by each scenario. The end result is a document that offers the reader various solution paths so that the one most appropriate to the specific situation can be used or adapted.