Key Decision Point(KDP)
A formal review gate in the acquisition process where senior leadership decides whether a program may proceed to the next phase, requires changes, or should be terminated.
Overview
Key Decision Points (KDPs) are formal milestones in the defense and major acquisition life cycle where designated authorities — often the Milestone Decision Authority (MDA) — review program status, risk, and affordability before allowing a program to advance. Proceeding past a KDP typically requires documentation that technical, schedule, and cost baselines are executable.
Why It Matters in GovCon
Contractors on major programs must meet KDP exit criteria to avoid program delays or restructuring. Understanding where your project sits in relation to upcoming KDPs helps you prioritize deliverables, manage stakeholder expectations, and anticipate contract modifications or recompetes tied to milestone decisions.
Key Details
- Phased Gate Reviews: Common in DoD 5000-series; programs proceed through Milestones A, B, and C.
- Decision Options: Approve to proceed, conditional approval with specific actions, or no-go (restructure or terminate).
- Documentation: Program managers submit acquisition strategy, risk assessment, and independent cost estimates.
- Industry Role: Contractors provide technical data, test results, and cost proposals to support KDP packages.
Related Terms
- Milestone Decision Authority (MDA)
- Major Defense Acquisition Program (MDAP)
- Acquisition Program Baseline (APB)
- Defense Acquisition System
More Acquisition Terms
A payment method where the government transfers funds electronically to contractor bank accounts.
A 1994 law that simplified federal procurement by raising thresholds, reducing paperwork, and promoting commercial item acquisition.
The predecessor to SAM.gov; the legacy system where federal solicitations were posted (replaced by beta.SAM.gov).
Written narrative responses that describe a candidate or contractor capability in specific areas, historically used in federal hiring and some proposal evaluations.
Goods and services used to maintain, repair, and operate facilities and equipment — a major category of government procurement.
A non-binding agreement between parties that outlines intentions, roles, and expectations for collaboration or coordination.
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