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Performance Based Logistics

Performance Based Logistics. Performance-Based Logistics. Program Manager is responsible for life cycle support PM manages integrated logistics chain DoD sustainment commands foster transparency and interoperability Performance agreements negotiated with operational customers

norman-baird
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Performance Based Logistics

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  1. Performance Based Logistics

  2. Performance-Based Logistics • Program Manager is responsible for life cycle support • PM manages integrated logistics chain • DoD sustainment commands foster transparency and interoperability • Performance agreements negotiated with operational customers • PM builds performance agreements with industry and organic providers • National ownership of material and services to the point of consumption • Logistics and financial transactions transparent at the operational level • Outcome performance measured throughout the process

  3. Performance-Based Logistics JACG DoD 5000 Policy A joint, disciplined program to successfully implement PBL! Oversight via DAB/DAES Oversight via R-TOC Forum New program implementation 30 Pilot Programs • F/A-18 E/F • JSTARS Quadrennial Defense Review Reengineer Product Support • Performance-Based Logistics • Legacy Systems • FY03 DPG • Service Implementation Schedules Lessons Learned Operational Demonstrations Adjustments • CY02/03 PEO/SYSCOM • PM Roundtable • AIA Product Support

  4. QDR Direction • Project and sustain the force with minimal footprint • Implement performance-based logistics to improve readiness for major weapon systems and availability of commodities • Reduce cycle times to industry standards Logistics Transformation to support Military Transformation 03pm42-4

  5. Performance-Based LogisticsDoD Directive 5000.1 “The Defense Acquisition System” May 12, 2003 Performance-Based Logistics. PMs shall develop and implement performance based logistics strategies that optimize total system availability while minimizing cost and logistics footprint. Trade-off decisions involving cost, useful service, and effectiveness shall consider corrosion prevention and mitigation. Sustainment strategies shall include the best use of public and private sector capabilities through government/industry partnering initiatives, in accordance with statutory requirements. Total Systems Approach. The PM shall be the single point of accountability for accomplishing program objectives for total life cycle systems management, including sustainment

  6. Spectrum of PBL Strategies More Organic More Commercial ORGANIC CONTRACTOR Contractor Support Organic Support MIX Contractor Responsible For Majority of Support Public/Private Partnering Opportunities Traditional Organic Support Environment • Examples: • Total System Performance • Responsibility (TSPR) • Industry Partnering • Service Level Agreements • Performance-based Agile • Logistics Support (PALS) • Prime Vendor Support (PVS) • Contractor Delivery System (CDS) • Performance Plans • MOU with Warfighter PBL strategies will vary along this spectrum depending on: • Age of System (Phase in Life Cycle) • Existing Support Infrastructure • Organic & Commercial Capabilities • Legislative and Regulatory Constraints

  7. PBL Migration FIELDED CURRENT FUTURE JSF F-18 E/F F-18 C/D DDG LPD-17 DDX FCS BRADLEY Stryker • Transaction-based • Fractured Supply Chains • Random Failures • Batch Process orders • Limited Accountability • Performance-Based • Integrated Chains • Fleet Management • Integrated Systems • PM Accountability • Capability-Based • Industrial Integration • Autonomic Logistics • End-to-End Solutions • Single-Line Accounting Response Time: 2000 2010 5-8 days 16 days 1-5 days

  8. Programs Contributing to GWOT C-17 F-117 Common Ground Station AWACS JSTARS B-2 F/A-18 E/F Delivering Capability

  9. Joint Surveillance Targeting SystemTotal Systems Support Responsibility Results: • Aircraft Availability • Provided 199 additional aircraft days • 99% Ground Trainer Availability to Warfighter • 50 additional training positions at no additional cost • FY-01 and FY-02 Program Savings of $30.8M • Flew 100% of Scheduled Missions in Support of Operation Enduring Freedom (249) Higher Combat Effectiveness at Lower Cost!

  10. F/A-18 E/F USN/Industry Partnership • Material Management • E/F Unique Reparables • All E/F Consumables • Transportation • Retail and NADEP Support • Reliability Improvement • Configuration Management • Component Repair • Obsolescence Management • Design Engineering • Technical Data • Program Management • Systems Engineering • Information Systems • Fleet Support • Life Cycle Management • Support Planning • Teaming • Configuration Control • System Safety • Organizational andIntermediateMaintenance (Ashore/Afloat) • GFE and E/F, C/D Common Spares • GFE Support Equipment • Component Repair • Deployed 6 months early to meet OEF/OIF requirements • 99% Range and Depth of Spares Deployed to OIF • 70%-89% of demands met in 48 hours • 97.1% successful launch rate • Industry/Gov’t distribution • Seamless support to warfighter • Web-based asset visibility Leverage commercial and DoD best practices

  11. AWACSTotal Life Cycle Systems Management Recent Results Exceeding ACC availability Improved depot on-time delivery by 60% Increased reliability of key subsystems Exceeded 83% MC rate during OIF Program Management Fielded System PM as Life Cycle Manager Managed to ACC performance expectations Synchronized modernization, R-TOC, and PDM Invested $170M in R&M improvements Performance Management Performance based on ACC requirements Organic maintenance and supply support managed through Service-level agreements Industry partners incentivized to reduce lead times SPD provides program management, configuration control, sustaining engineering

  12. Common Ground Station • PM is life cycle manager • Government led PBL strategy • Tobyhanna is product support integrator • Deployed 30 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

  13. GWOT PBL Results Availability on Demand

  14. Summary • Program Managers are Total Life Cycle Systems Managers • PBL is the preferred sustainment strategy • Applied based upon business case • Recent results confirm operational and cost benefits of PBL • Structural enablers continue to be addressed • We need your input to improve implementation process

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