AFMC Aviation Supply Chain Update Air Force Materiel Command AFMC Aviation Supply Chain Update Col Sid Banks Vice Director 448th Supply Chain Management Wing 8 Apr 08 Integrity  Service  Excellence

Air Force Materiel Command Mission Deliver war-winning… --Technology -- Acquisition Support -- Test -- Sustainment …expeditionary capabilities to the warfighter Vision War-winning capabilities…on time, on cost Guiding Principles One Command…One Enterprise

AFMC Span of Operations Technology Acquisition Testing 4 core mission areas 10 bases – many sites 79,000 AF members Manage 37% of AF $$$ Sustainment We deliver & sustain the Nation’s dominance in air, space, & cyberspace! 3 3

The Case for Change Provide Better Support to the Warfighter Logistics must evolve with the new global expeditionary doctrine Leverage Recent Advances in Technology & Processes Current processes are NOT broken, but we can do significantly better Prepare for an Impending Loss of Intellectual Capital Large portion of workforce eligible to retire by the end of 2009 We must increase the skills and flexibility of our remaining workforce Remain Competitive with Private Industry Achieve Savings Mandate In FY06, the AF supply budget was reduced by $27M Through FY11, the cumulative reduction will exceed $800M

eLog21 Campaign Initiatives Vision Enablers Focused Process Initiatives eLog21 Capabilities eLog21 Effects eLog21 Goals Expeditionary Combat Support System LogEA detail review Right Place, Right Time, Every Time eLog21 tenets & LogEA initial review Change Mgmt Anticipatory Management Centralized Enterprise Planning Execute to Plan APS Pathfinder RBS HH-60 CAM Requirements AFGLSC Dynamic C2 & Performance Mgmt Goals linked to warfighter and cascaded throughout enterprise SC-COP Integrated Technology Integrated Processes 20% Increase Equipment Availability Balanced Scorecard Decision Support GCSS Data Services WFHQ/ACS = AFSO21 CBP OSS&E PLM Pathfinder Improved TLCSM End to End LC Mgmt Acq/Log/OEM Integration Condition-Based Mx Asset Marking & Tracking Demand Reduction PFM Product Support Campaign 10% Reduction O&S Costs Optimized Resources Enterprise View RE21 Lean Processes MRO Procurement Acquisition Order Mgmt DMT Strategic Sourcing Requirements Strategic Distribution Workforce Lean Mx Commodity Councils PSCM 5

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A Glimpse of Future Logistics

Future AF Supply Chain Total Asset Visibility Automated Data Entry A Global Network Big Picture Planning Decision Support Tools Predictive Mgmt Centralized Financial Mgmt Optimized Repair LEAN Practices eLOG21 Enabling Key Effects Enterprise View Integrated Processes Optimized Resources Integrated Technology Reach Forward vs. Reach Back = Future AF Logistics

SECAF Memo SECAF Memo, 6 Jun 07 established Integrated Life Cycle Management Frame Work MEMORANDUM FOR ALMAJCOM-FOA-DRU/CC SUBJECT: Codifying Service Acquisition Executive (SAE) and AFMC/CC Roles in Integrated Life Cycle Management References: (a) SECAF and AFMC Memo dated 29 Jun 05, Program Executive Officer Realignment-Phase Il-Roles and Responsibilities Clarification (b) CSAF Memo dated 23 Jul 03, Organization for Acquisition With weapon systems remaining longer in our inventory and the recognized need for an increased focus on planned block changes, our priorities in acquisition strategy planning must include establishing valid requirements and realistic acquisition logistics and technology planning early in our programs. Developing processes that avoid requirements creep, technology overreach, produce realistic sustainment plans and life cycle cost estimates requires us to adjust our processes and take an Integrated Life Cycle Management view. The Commander, Air Force Materiel Command (AFMC/CC) is the process owner for the Develop and Sustain Warfighting Systems (D&SWS) process under AFSO21. Working with the Assistant Secretary of Air Force (Acquisition), they have developed the D&SWS vision of streamlined and integrated life cycle management and conceptualized an executive forum to ensure all key stakeholders can provide advice when a life cycle decision is being made. In support of that vision, this memorandum provides guidance on ILCM responsibilities and directs the establishment of new operating concepts targeted at improving our life cycle management of our weapon system programs. Our intent is to drive an enterprise focus on comprehensive Life Cycle Management, from capability planning through technology development, acquisition, test, and all sustainment activities. In order to achieve this vision, I am revising roles to add the following to those that currently exist. AFMC/CC will: - Support the CSAF and MAJCOM/CCs by recommending phasing and adjustment of requirements to ensure operationally acceptable increments or blocks of capability are fielded in a timely manner. - Support the SAE, CSAF, and MAJCOM/CCs, by monitoring and controlling weapon system requirements baselines from Milestone A to fielding, and will attest to requirements feasibility prior to all Milestone decisions - Support the SAE by reviewing acquisition strategies, Life Cycle Management Plans, Test and Evaluation Master Plans, Technology Readiness Assessments and Programmatic Environment Safety and Occupational Health Evaluation plans to ensure robust enterprise-sensitive planning, and will make recommendations supporting all milestone decisions as required throughout the life cycle. Service Acquisition Executive will: Assume integrating leadership role of life cycle management executive forums being proposed through AFSO21 and/or D&SWS efforts. This authority may be delegated as appropriate. The integrated life cycle management vision and forums do not alter existing legislated responsibilities and authorities (i.e. USC Title 10, DoDD 5000, etc.) that I have previously delegated. For example, the SAE, Senior Procurement Executive (SPE), and Head of Contracting Activity (HCA) responsibilities of the Assistant Secretary of the Air Force for Acquisition remain as codified in law. The SAE is the single civilian official with full-time responsibility for all non-space Service acquisition functions with the authority, responsibility, and accountability for acquisition program execution and management. For purposes of defining SAE responsibilities, this includes lifecycle acquisition of systems and services processes from pre-Milestone A to weapon systems retirement. This includes research, development, test, evaluation, production and delivery of new systems, or significant modifications to existing systems. Management responsibility flows directly, without intervention, from the SAE and Milestone Decision Authority to the Program Executive Officers (PEOs) to System Program Managers (SPMs). PEO, ALC/CC, System Program Manager, Development System Manager and System Sustainment Manager responsibilities will be established to support this vision. Supported and supporting command relationships will be developed to best support management of each weapon system at all points in the lifecycle. AFMC/CC, as the D&SWS process owner, has full authority to recommend adjustments to processes across the entire life cycle which should be coordinated with all stakeholders with any disconnects arbitrated at the AFSO21 Process Council. A tighter integration between SAF/AQ, SAF/IE, AF/A4/7 and AFMC will ensure both the requirements/acquisition strategy mix and processes are congruent throughout the life cycle of our weapon systems. The Assistant Secretary of Air Force (Acquisition), working with Air Force Materiel Command, SAF/IE and AF/A4/7, will establish the details of new operating philosophy targeted at improving our life cycle management of weapon systems. …our priorities in acquisition strategy planning must include establishing valid requirements and realistic acquisition logistics and technology planning early in our programs. …our priorities in acquisition strategy planning must include establishing valid requirements and realistic acquisition logistics and technology planning early in our programs.

Life Cycle Focus Concept Refinement Technology Development System Development & Demonstration Production & Deployment A B C Operations & Support Retire eLog21: AFGLSC (ECSS, CAM, RE21), AFSO21…Execution Integrated Life Cycle Management “ility” Requirements, Acq-Log Product Support Strategy 11

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