PBL Roadshow by maclaren1

VIEWS: 30 PAGES: 15

									TSSR Concept
            Northrop
             Northrop
           Grumman
            Grumman                     Joint STARS
                                       Joint STARS
             System
              System                        JPO
                                           JPO
           Integrator
            Integrator
                                                           Mods/
                                                           Mods/
                                      Northrop Grumman   Upgrades
             Northrop Grumman
            Northrop Grumman                              Upgrades
                Sustainment
               Sustainment             Production
                                        Production                    Block
                                                                       Block
                                                                        30
                                                                         30
                Flight
               Flight
                                                          Block
                                                           Block
                Crew      Mission
                           Mission                                                Block
                                                                                   Block
 Organic       Crew
               Training    Crew         PME/ICS             10
                                                             10
Organic       Training      Crew
                          Training       PME/ICS                     Block          40
                                                                                     40
                           Training                                   Block
                                                      FOFSD            20
                                                                        20
                 Trainers
                  Trainers                             FOFSD
                                         S/W
                                          S/W        Closeout
                                                      Closeout
           Flight
          Flight                         CLS
    PDM Proficiency
   PDM Proficiency                        CLS
          Aircraft
         Aircraft

  Contractor Integrates Sustainment w/Production & Mods
  Contractor Integrates Sustainment w/Production & Mods
                                                                               AGS&BMS-PR-03-43
                                 JSTARS Workload
                                Breakdown Structure
 GC                                                    • Contracting                    TSSR
        GOVERNMENT CORE                                                         AUTHORITY & OVERSIGHT
                                                       • Budgets
  G     GOVERNMENT
                                                       • Requirements                     G
                                                       • Engineering
                                                         Authority/Accountability                                     Public/Private
  P     PRIME CONTRACTOR
                                                                                                                       Partnering
  S     PRIME WITH COMPETITION AT 2ND TIER                                    PRIME INTEGRATOR
                                                                                      P
        PRIME CONTRACTOR VIA SLA

GSS - Ground Support System
                                                             Partnership                                Partnership                       Combine Best
MCTS - Mission Crew Training System                        COMMON SPARES                                ENGINES
AMT - Aircraft Maintenance Trainer
                                                                                                                                          Public/Private
MSS - Mission Support Subsystem                                   G                                        GC                              Capabilities
TMSS - Transportable Mission Support Subsystem
FCTS - Flight Crew Training System
SMS - Software Maintenance Subsystem


                                                  Partnership                                                                                      Partnership
      AIRCRAFT PDM        FIELD SVC REPS         SOFTWARE *           SUSTAINING ENG           E-8C SPARES                TECH DATA           PME MAINTENANCE
        P       S                P               GC    P     S          G       P                P         S              G       P            GC    P     S




               FCTS                PME MTS            IN FLIGHT TRAINER                GSS                                  AMT
                S                     S                       S                                                              S

          MISSION CREW TRAINING                                  MCTS                  SMS                     MSS/TMSS               * Includes OFP Mx and GSS Software
                    S                                             G                     G                         G                    Merge, Block 10 Baseline


 Prime Contractor Integrates Government/Industry Resources                                                                                            TSSR
                            Defense & Space… Tailored Logistics Support Solutions

               Navy APU Total Logistics Support
Key Contract Characteristics:                              Total Logistic Support (TLS)
                                                           Total Logistic Support (TLS)
•   10 year, firm fixed-price, Power-by-the-Hour
•   Performance-based, commercial logistics
    contract with exit language and gain-sharing
•   Honeywell Auxiliary Power Units (APUs) across
    C-2, F/A-18, S-3, P-3, KC-130 platforms
•   Partnership with NADEP Cherry Point



Performance Commitments:                            Special Features:
•   Honeywell responsible for 90%On-Time Delivery   • “Storefront” concept for material
      – In US stock replenishment     = 5 days        management
      – In US Priority (MICAP)        = 2 days      • Government furnished material draw down
      – Outside US (all requisitions) = 4 days      • Restore configuration stability for material
    (to any of 30 worldwide operating locations       management
•   Navy responsible for 90% retrograde return      • Real time, accurate information availability
    performance                                     • Supply chain / retrograde management
•   Guaranteed reliability improvements             • Interfaces with US Navy systems
•   Payment adjustments if metrics not met
             Public-Private Partnerships
                                Auxiliary Power Unit (APU)
                             Partners for Total Logistics Support


• Supports 4 different APUs used on C-2, F/A-18,                     Title 10
  S-3 and P-3 aircraft.                                             Compliant!
• Public / Private Partnership
  – Honeywell... Program Management
  – NADEP Cherry Point... Touch Labor
• 10-Yr Performance Based, Firm Fixed Price (5
  year base & 5 one-year options)
• 25% - 200+% Reliability Improvement Guarantees
• FY-02 Results:
  −   Average Delivery Time 6.5 Days Compared to 35 Days
  −   98% of Requisitions Filled Within Contractural Rqmts
  −   Supply Material Availability at Depots Increased to 95%
  −   Zero Repairs Awaiting Parts                                      On-Line Shipping
                                                                         & Inv Mgmt

               Surged to meet all operational requirements for
                       Operation Enduring Freedom!
Performance Based Logistics Scope

 PBL Includes:
 ■ Distribution

 ■ Inventory

 ■ Component Repair and Overhaul

 ■ Component Reliability Management              Guaranteed
 ■ Availability Guaranteed                         Service
                                                    Level
 ■ Program Management

 ■ Training/Information Management Options

 ■ Predictable Price and Performance




  Best Commercial Practices in Tailored DOD Customer Solutions


                                             Source: Rockwell-Collins
                                                        Performance Examples
                                                                Commercial Customers
•    CRJ Dispatch 100 Program:
      –     Mission readiness 99+%
      –     Reliability improved 16%
      –     Total supply chain time reduced 36%
      –     Repair turn around time reduced 30%


•    Commercial Contracts:
    Commercial                   Owned       Target   Actual
    Platforms  Customers         Spares     Dispatch Dispatch
    CRJ           5 Operators    Collins     95-98%    99%
    SAAB          3 Operators    Collins     95-98%    99%
    Fractionals   3 Operators    Collins      95%      99%
    B737          1 Major        Collins      94%      99%
    B747          3 Majors       Collins      98%      99%
    B757          1 Major       Customer      98%      99%
    B767          3 Majors       Collins     95-99%    99%
    B777          4 Majors       Collins     98.5%     99%
                  Various       Customer/
    Other         Small          Collins      95%      99%
                                         Performance Examples
                                   Military/Government Customers
• USCG PBL Program:
  – Mission readiness improved to 99+%
  – Reliability improved by 30%
  – Total supply chain cycle time reduced by 85%
  – Administrative costs reduced by $320,000/year

• USN ARC-210 PBL Program:
  – Mission readiness improved to 97%+
  – Total cost savings expressed by US Navy
    in first year is $5.4 million
  – More than 30 Platforms and 1800 Aircraft

• UK Royal Air Force E-3D AWACS:
  – Prime integrator for new airborne HF
  – Deployed extensively around the globe
  – 10 Year PBL – repairs, logistics, performance
    guarantee

               Applying Best Commercial Practices
Challenges facing
  the PEO/PM                                                                                                    Organic
                                                                                                              Management
                             Integrated Data Environment                                                       Processes
                                                                                                          Mat’l Release & Fielding
                             Weapon System IPT Grid              Mission Area
                                                                 integration
Responsiveness
                                                                 provides matrix                          Readiness/Metrics
                             Integrated Logistics                TLCSM support
 Deployability
                                Support Manager                                                           Integrate Supply Chains
  Versatility




                                                                         Knowledge Management Center
                                                                                                          Business Case Analyses
Sustainability
                                                                                                          Policy/Guidance
  Lethality
                     PBA
                                                    Product                                               Budget Development
                                                    Support
 Trainability                                       Integrator
                                                                                                          Support Strategy
 Survivability
                                       Supportability
                                         IPT Grid
    Agility


                                                                                                       Lessons learned, exchanged and
                                                                                                       integrated across all programs!
     The PBA is                      Associate Contractor Agreements:
                                             Sub-Tier Vendors
     the Agreement     LOG XXI           Other DoD Components
     to meet the       web site            OEM Organic Depot
                                                                                                               PERFORMANCE
     warfighter’s                                                                                                 BASED
     demands!          Virtual Acquisition Planning for Industry                                                SOLUTIONS!
     Common Ground Station
Organic Product Support Integration
                   • PM CGS is life cycle manager
                   • Government led PBL strategy
                   • Tobyhanna is product support
                     integrator
                       •First organic PSI within DoD
                   • Deployed 51 CGS to support OIF
                   • Streamlined maintenance flow
                   • Achieved 99% Ao during OIF
                   • Forward-located repair activity at
                     Baghdad International Airport
                   • Achieved real-time fleet
                     management/asset visibility
Objectives – Commander’s
        Guidance
■   Improve operational availability of fleets
■   Ensure on-time delivery
■   Provide total asset visibility
■   Provide enhanced value for money → Goal:
    15%
■   Complete the transition in 2 years (31 Dec 05)
■   Incorporate operationally focused performance
    standards and measures
■   Energize the workforce

                                                     22
             Migration to End State
             FIELDED                     CURRENT                       FUTURE


                       F-18 C/D                     F-18 E/F                       JSF




                        DDG                         LPD-17
                                                                                   DDX




                       BRADLEY                      Stryker                        FCS


       • Transaction-based         • Performance-Based            • Capability-Based
       • Fractured Supply Chains   • Integrated Chains            • Industrial Integration
       • Random Failures           • Fleet Management             • Autonomic Logistics
       • Batch Process orders      • Integrated Systems           • End-to-End Solutions
       • Limited Accountability    • PM Accountability            • Single-Line Accounting


Response                       2000                            2010
  Time:     16 days                      5-8 days                       1-5 days
                Weapon System Sustainment
                        Roadmap                  • PM accountable for life
                                                   cycle                                                               Number of Partnerships
                                                                                                                          (1998 & 2002)
                                                 • JROC established                                      45
                                                   sustainment requirements                              40
                                                                                                         35
                                                 • Enabling Depot                                        30




                                                                                                Number
                                                   Partnerships                                          25
                                                                                                         20
                                                 • Revised Maintenance                                   15
                                                   Policy                                                10
                                                                                                         5
                                                 • Industry Supply Chains                                0
                                                 • Reengineered Training                                        Army       Navy      Air Force   Marines   • Joint Strike
                                                                                                                             1998   2002                     Fighter
                                                                                                                                                           • Future Combat
            Today                                                                                                                                            System
•   Suppressed Readiness                                                                                                                                   • DDX             • Warfighter-driven
•   Marginal reliability                                                                                                                                                       readiness
•   Fractionated Accountability                                                                                                                                              • Ultra-reliability
•   $67B/year
                                                                                                                                                                             • Clear PM
•   Huge footprint
                                                                                                                                                                               accountability
                                                                                                                                                                             • Minimal
                                                    PBL Implementations                                                                                                        Footprint
                                           100
                                            90
                                                                                                                                  • Financial Reform (PR05)
                 Cumulative PBL Programs




                                            80
                                                                                          85
                                                                                                               92                 • Single-line Accounting
                                            70
                                            60                          71                                                        • Life Cycle Cost
                                            50
                                                      57                                                                            Management
                                            40
                                            30                                                                                    • Operational requirements
                                            20                                                                                      synchronized with PBBS
                                            10
                                             0
                                                    2002              2003*             2004*                 2005*
                                            * Projected PBLs Based on Approved Service Plans

2000                                                                                                                      2005                                                          2015
                           Evolutionary Customer Service Programs

                                                                             iral                        Total
                                                                        h Sp                            Customer
                                                                 E ac                                     Care
                                                         w ith              Dispatch 100
                                                 ase s                        or PBL                  •Guaranteed System

                                        Incr e                                                        Availability
                                                                                                      •Spares Ownership
                                 e                                          •Guaranteed Spare
                              alu                Maintenance                Availability                •On-Platform
                            rV                                              •Reduced spares             •Off-Platform
Value




                      e                           Rate/Hour
                    om                                                      ownership costs             •Logistics Mgmt

                Cust Fixed Rate                   •TAT guarantees
                                                                            •Streamlined logistics
                                                                            •High cost
                                                                                                      •Maintenance
                                                                                                        •Level I, II and III
                                                  •High cost                predictability for
                        Service                   predictability            maintenance and             •On-Board1
                                                  (constant rate            spares ownership            •Reliability Mgmt
                           •Fixed rate for        multiplied by flt hrs.)   (constant rate            •Free Reliability
        Time &             repairs and NFFs
                           •Some cost
                                                  •Single monthly
                                                  invoice
                                                                            multiplied by flt hrs.)
                                                                            •Single monthly
                                                                                                      Service Bulletins
                                                                                                      •Single Monthly
        Materials          predictability (if     •Free of charge           invoice                   Invoice for Rate Per
                           removals are           reliability service       •Free reliability         Flying Hour
        •OEM reliability   predictable)           bulletins                 service bulletins
                                                                                                      •Total System
        •Fixed labor       •Collins               •Collins pro-active       •Collins pro-active
                                                                                                      Performance
        and material       responsibility for     reliability               reliability
                                                                                                      Guarantees
        rate               cost control           improvements              improvement

                  Customer Risk Declines with Performance Guarantees
DAU PBL & Partnering Training




                Available November 2003


        LOG 235 (PBL) Available December 2003
     LOG 102 (Sustainment) Available February 2004
All LOG portfolio courses emphasize PBL and Partnering
                    Logistics Management
                 Community of Practice (LOG CoP)
Where YOU can ….

Find Great Tools & Templates
•   Access Latest PBL Resources
•   Supportability Best Practices
•   Contracting Lessons Learned

Get Ahead In YOUR Career
•   Logistics Training & Education
•   Latest OSD Policy and Direction
•   Logistics Conferences/Events
•   Link to Top DoD Web sites

Connect With Professionals
•   Share Experiences & Ideas
•   Start and Join Discussions
•   Locate DoD & Industry Experts




                                      http://pmcop.dau.mil
                                               or
                                      http://log.dau.mil

								
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