1. Defense Supply Center Richmond
SEPRT 12
Aviation Supply Chain Update
Brig Gen Andrew E. Busch, USAF
Commander
Defense Supply Center Richmond

2. Overview DLA Director’s FY08 Priorities My Priorities Top Tier Metrics
Focus Areas

3. DLA Director’s FY08 Priorities
Warfighter Support…CENTCOM
Base Realignment & Closure (BRAC) 2005 Implementation
Joint Regional Inventory & Materiel Management (JRIMM)
Defense Transportation Coordination Initiative (DTCI)
Integrated Data Environment / Global Transportation Network (IDE/GTN) Convergence (IGC)

4. My Priorities Restore DSCR’s Supply Chain Excellence
BRAC Implementation
Extend the Enterprise

5. BRAC Impacts to DLA Aviation Support
TACOM –
DLR 12/09
Naval Inv Control Pt
Phil DLR – 11/08
Ogden ALC
3rd Qtr FY 08
Ogden ALC
DLR – 06/08
Susquehanna
Cherry Point FRC
PH 1 – 10/08
PH 2 – 10/09
San Joaquin
Warner Robins
10/07
Dates are subject to change. Actual dates will depend on negotiations and agreements with the Services.
The Name of each of the DLR Sites are represented in the following colors (Green = Army, Blue = AF, Rust = MC, and Dark Blue = Navy).
Depot Level Reparable (DLR) Provisional Detachment Stand-up dates are as follows:
WR-ALC - OCT 07
OO-ALC - 15 NOV 07
OC-ALC DEC 07
AMCOM - 1 OCT 07
TACOM - 1ST QTR FY 08
NAVICP PHILLY - 31 JAN 08
North Island FRC
PH 1 -10/08
PH 2 – 10/09
Oklahoma City
2nd Qtr FY 08
Warner Robins ALC
DLR – 11/08
AMCOM
DLR – FY 09
OK City ALC
DLR – 06/08
SS&D
DLR
SDP
FDP/SDP
USMC Albany
DLR -1st Qtr FY 08
CCAD
Est. FY 09
Jacksonville FRC
PH 1 – 10/08
PH 2 – 10/09
DLR- Depot Level Reparable
SDP – Strategic Distribution Platform
SS&D – Supply Storage & Distribution
FDP – Forward Distribution Point

6. DSCR Forward Presence End State
OO ALC -15
Hill AFB, UT
OC ALC - 16
Tinker AFB, OK
HQ GLSC & Mobility
Grp -3 Scott AFB, IL
Combat Group (GLSC) -3
WPAFB, OH
WR ALC - 14
Warner Robins, GA
NAVICP - 1
Philadelphia PA
FRC WEST - 3
LeMoore, CA
CNAL - 2
Norfolk, VA
Naval Aviation Forces -2
San Diego, CA
FRC MIDLANT - 3
Oceana, VA
FRC EAST - 5
Cherry Point, NC
FRC SOUTHWEST - 7
North Island, CA
CCAD - 7
Corpus Christi, TX
FRC SOUTHEAST - 7
Jacksonville, FL
= BRAC
AMCOM - 7
Redstone, AL
FT RUCKER - 2 AL
Air Force
Army
Navy 51 16 30
= Air Force
Legacy
Today
End State 8 51 97
= Navy
= Army

7. Restore DSCR’s Supply Chain Excellence - Case For Change
Awards (Mar 07-Feb 08)
Avn SC Awd
Avn SC Auto Awd
Avn SC Manual Awd
Goal
(000)
BB UFO & HF BB UFO
(Mar 07-Feb 08)
Awards (Mar 07 – Feb 08)
BB UFO & HF BB UFO (Mar 07 – Feb 08)
ASC Actual BB UFO
ASC Actual HF BB UFO

8. Restore DSCR’s Supply Chain Excellence - Case For Change
* Hi Freq population was tracked for this Metric beginning September 2007
*HF PR> ALT
(Sep 07-Feb 08)
HF PRs > ALT - Actual
HF MA Cum and Monthly
(Mar 07-Feb 08)
HF PR>ALT (Sep 07 – Feb 08) *PRs > ALT – Hi Freq population was tracked beginning September 2007
HF MA Cum and Monthly (Mar 07 – Feb 08)
ASC HF MA Cum FYTD
ASC HF MA Monthly

9. Improvement Team Focus Areas
Collaborative Forecasting
Customer Engagement
Forward Looking
Long Term Contracts
Advance Release
Incentives
High Frequency Items
Pricing Strategies
One Pass Pricing
TINA Impact
LEAN
Planned
Scheduled
Collaborative Forecasting:
Customer Engagement – we have a number of our suppliers and customers working together DLA. Parker Hannifin, DLA, and the AF hold quarterly forecast meetings. Rolls-Royce, DLA and the Navy hold quarterly parts forecasting model reviews (PFMs) for theF402 engine. Rolls-Royce, DLA, and the AF collaborate on the quarterly T56 engine global IPT. GE is working with DLA on approximately 36 F110/F101 high frequency NSNs as a pilot to determine the best population for customer, supplier and DLA collaboration . We have a brief tomorrow morning on “collaborative forecasting” that will go into more detail on some of our current initiatives
Forward Looking - pulling data
Long Term Contracts:
Advance Release – Honeywell participated in Company Sponsored Sales Orders (CSSOs) last year, issuing approx. 20 million dollars worth of CSSOs that reduced lead time by an average of 60 days lead time from PLT. As of April 2008, approx. 10 million CSS
Incentives –
High Frequency Items -
Pricing Strategies:
One Pass Pricing – utilized and pioneered within the Honeywell relationship, it has allowed growth to 10,900 NSNs on corporate contract; Rolls-Royce (Bristol) Article Parts List (APL) in process. The APL is used for pricing and delivery for Rolls-Royce Bristol F402 engine parts. DLA and Rolls-Royce are currently working to put the DLA/ Rolls-Royce APL in place; DLA and Pratt & Whitney have agreed to terms on an updated MOU for pricing and delivery. This MOU is used for pricing and delivery for Pratt & Whitney sole source parts used on the TF33 and J52 engines. We have a panel tomorrow that will address pricing that will certainly go into detail on current pricing issues.
TINA Impact -
LEAN:
Completed or Planned: Completed DLA/ AF/ Pratt & Whitney Deep Look supportability analysis mapping; Rolls-Royce has completed a Lean Event on order process United Kingdom orders. We have a brief later today that will address two of our completed events in detail.
Scheduled - CCC has planned - A "Just Do It" for Streamlining the Pricing Analysis of LTCs; Parker Hannifin - AF Contract quarterly forecast meetings; Northrop Grumman, Administrative Lead Time

10. Relationship Scale Relationship Growth Strategic Supplier Alliance
Supplier Relationship Scale
Strategic Supplier
Alliance
Partners
Relationship Growth
Partnering Relationship
Personal Relationship
Transactional Relationship
We show this relationship pyramid to our supplier partners. The goal, of course, is to reach the top where we are mutually dependent upon one another for each one’s success.
New Relationship
No Relationship

11. You Are Our Key Supply Chain Partners
Acquire, develop, and retain world-class supply chain expertise through a comprehensive talent management program.
Attain and sustain a corporate culture that meets the needs of the warfighter through logistics excellence.
Provide a quality work environment that optimizes employee performance
You Are Our Key Supply Chain Partners

12. Defense Supply Center Richmond
SEPRT 12
Aviation Supply Chain Update
BACKUP

13. Long Term Contracts
Rolls-Royce LTC: DLA (DSCR taking the lead) and Rolls-Royce are currently in process of adding remaining sole source items from detachments to the existing long term contract to reduce ALT and errors in delivery order processing (related to Lean Event of February 2008)
Pratt & Whitney LTC: DLA and Pratt & Whitney currently working to modify the existing corporate contract to place selected items under "inventory sustainment" in order to maintain a higher level of material availability.