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PBL Background The Support Spectrum

PBL Background The Support Spectrum. PBL Support Spectrum. Traditional. MSP. PBL-O. PBL-C. Full PBL. CLS. ORGANIC SUPPORT. Increasing supplier responsibilities. COMMERCIAL SUPPORT. Mini-stock point. Commercial Off-the-shelf. “Full Service”. Contractor Logistics Support.

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PBL Background The Support Spectrum

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  1. PBL BackgroundThe Support Spectrum PBL Support Spectrum Traditional MSP PBL-O PBL-C Full PBL CLS ORGANIC SUPPORT Increasing supplier responsibilities COMMERCIAL SUPPORT Mini-stock point Commercial Off-the-shelf “Full Service” Contractor Logistics Support • Warehousing • Rqmts Determination • Wholesale Ownership • Config Mgmt • Some Obsolescence Mgmt • Some Repair / Overhaul / Replace • Warehousing • Rqmts Determination • Some Level of Repair • Warehousing • Rqmts Determination • Wholesale Ownership • Config Mgmt • Obsolescence Mgmt • Reliability Guarantees • Eng / Tech Support • Govt / Industry Partnership • Repair / Overhaul / Replace • Vendor Manages ILS Elements

  2. Acquisition Process PBLs: One Size Does NOT fit All …Each is Unique! • Contract Type: • Fixed, Cost, Both, …Hybrid • Requirements, IDIQ • Length: • 5–15 Years; Base & Option(s) • Metrics: • Cost, Availability, Reliability, Availability • Incentive: • Profit (Monetary, Non-Monetary, Gain Sharing • Risk Sharing: • Ramp-up Periods • Exit Provisions • Cultivate Long Term Partnerships: • Promote Supplier Investment • Technology Infusion • Enable Supplier ROI • Leverage Best Business Practices • Supply Chain Management • Warehousing • Forecasting • Other? • Obsolescence Management • Reward Performance • Metrics: Meaningful and Measurable • Joint Review Boards • Manage Supplier NOT Supplies Procuring the Performance End-State …NOT the How To

  3. Acquisition Process Candidate Selection FLEET • New ItemsCommercial for LifeObsolescence ChallengesLow ReliabilityPoor AvailabilityHigh Cost/High Demand NAVICP Targets SYSCOM (Program Office) OSD (ACAT I, II, and New Start Programs) DON APR 02 MEMO Industry

  4. Acquisition Process Systems… earlier is better Mission Need Identified HSC Selects OEM Full Rate Production E&MD IOC MSD Traditional Ideal RINU/AHRS NGS ALR-67 (V)3 SCADC

  5. Acquisition Process Targeting Legacy Systems Cost-Performance Matrix - Top 200 Aviation Systems Median = 0.033 AAS-38 F-18 FLIR High H-53 MRH AWG-9 F-14 Radar APG-65 F-18 Radar P-3 Prop APG-73 F-18 Radar H-53 Xmission ASN-92 INS (Common) APU AAR-50 F-18 Infrared APG-71 F-14 Radar F-18 MLG F-18 Arresting Gear Cost Index = DCI Cost APS-120 E-2 Radar Median = 0.79 AWG-9 Ctrls and Displays EA-6B Longitudinal Pitch Ctrl Surface E-2 Signal Processor 0 0 Low Performance Index = RI + SI Performance Good Poor

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