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1 2005 Fall Product Support Conference Hilton Head, SC November 7-9, 2005 Session #2: PBL Success Stories and Challenges Speaker Name: Steve Blessing,

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Presentation on theme: "1 2005 Fall Product Support Conference Hilton Head, SC November 7-9, 2005 Session #2: PBL Success Stories and Challenges Speaker Name: Steve Blessing,"— Presentation transcript:

1 1 2005 Fall Product Support Conference Hilton Head, SC November 7-9, 2005 Session #2: PBL Success Stories and Challenges Speaker Name: Steve Blessing, CPL Title: Sentinel Life Cycle Contractor Support (LCCS) Organization: ThalesRaytheon Systems AEROSPACE INDUSTRIES ASSOCIATION

2 2 System Description

3 3 Life Cycle Contractor Support (LCCS) LCCS Coverage

4 4 Sentinel/LCCS History Production Contracts Services Contracts Production PM FRB Reliability Maintainability SE, SO, ME CCB / SCCB CM/DM Retrofit Forest Repair Quality UPN Analysis FRACAS NET Fielding PM FMS CFE Eng’g Task On-Call Tech LCCS 24/7 Technical Assistance Float Maintenance & Storage Unscheduled Maintenance & Overhaul 2002 - 2007 1990-20052001-2004 TYAD Repair SFW Distribution LOGSA Update 90% Readiness P3I 2004 – 2008 Supply Chain Manufacturing Support IETM Vendor Repair SA/LMI Provisioning Training Devices Contingency OP Training & PMCS eCommerce Transportation Inv Mgm Warehousing Safety 24/7 TA CFE Marine Corp 2003 NCSRTSC TRS

5 5 DELTA COST % -31.2% -33.2% -34.3% -20.1% STOCK AVAILABILITY 44 421 SUPPORT COST REDUCTION44 430 FIRM FIXED PRICE43 411 COMPETITION03 133 SYSTEM IMPROVEMENTS/MTS42 411 SINGLE LOGISTICIAN42 4 10 ENHANCED UNIT TECH SUPPORT42 4 11 PROACTIVE COST AVOIDANCE31 300 FACTORY-USER CONNECTION41 41 1 UNIFIED CONFIGURATION MGMT44 40 0 TOTAL INVENTORY VISIBILITY44 400 BEST PRACTICES23 311 TOTAL 41 33 43 149 STOCK AVAILABILITY 44 421 SUPPORT COST REDUCTION44 430 FIRM FIXED PRICE43 411 COMPETITION03 133 SYSTEM IMPROVEMENTS/MTS42 411 SINGLE LOGISTICIAN42 4 10 ENHANCED UNIT TECH SUPPORT42 4 11 PROACTIVE COST AVOIDANCE31 300 FACTORY-USER CONNECTION41 41 1 UNIFIED CONFIGURATION MGMT44 40 0 TOTAL INVENTORY VISIBILITY44 400 BEST PRACTICES23 311 TOTAL 41 33 43 149 LEGEND 4 - high probability of significant improvement 3 - high probability of moderate improvement 2 - moderate probability of significant improvement 1 - moderate probability of moderate improvement 0 - little or no probability of any improvement LEGEND 4 - high probability of significant improvement 3 - high probability of moderate improvement 2 - moderate probability of significant improvement 1 - moderate probability of moderate improvement 0 - little or no probability of any improvement LCCSLCCSLCCSBASE BASE SYSTEM WITHSYSTEM WITH CASE CASE GOVERNMENT GOVERNMENTWITHORGANIC DEPOT DEPOT AS SUB-PREMIUM SUPPORT CONTRACTORSERVICE LCCSLCCSLCCSBASE BASE SYSTEM WITHSYSTEM WITH CASE CASE GOVERNMENT GOVERNMENTWITHORGANIC DEPOT DEPOT AS SUB-PREMIUM SUPPORT CONTRACTORSERVICE BCA

6 6 Contract Structure n Process - “Crawl – Walk – Run“ Approach –Crawl n US Army Provided Interim Contractor Support (Cost Contract) to TRS for 5 Years, Conducted 1 Year Study, Limited User Implementation with 1 US Army Unit (1998 – 2002) –Walk n US Army Expanded Program to all Active and National Guard Battalions, Negotiated a Firm Fixed Award Fee 3 Year Contract with TRS - 2003-2005 –Run n TRS Implemented the Program, Supported Simultaneous Wartime Missions and Homeland Defense Missions and Currently Negotiating for a 2-year Extension from 2006 – 2007 n In Addition to the Fixed Price Award, Contract Contains Some Cost Plus CLINS –These CLINS are for Contingency Activities – Support Troops in Hostile Areas, etc.

7 7 Metrics n Unit and Fleet Readiness (A o ): –Maintain Unit and Fleet Equipment Readiness Rate Greater Than 90% n Incentive Fee: –20% NMCS Unit 15% NMCM Unit –20% NMCS Fleet 15% NMCM Fleet –15% Priority 2 CONUS Delivery –15% Priority 2 OCONUS Delivery –Fee is weighted toward supply n 70% Supply n 30% Maintenance –Priority 2 CONUS Delivery (48 Hours) –Priority 2 OCONUS Delivery (96 Hours) n Data Source: –LOGSA Monthly Readiness Data –RepairData ™ TAV COTS SW Package

8 8 Adjusted Readiness Reported at Both the Unit and Fleet Level Average Adjusted Readiness Scoring 94.8% - 2003 97.0% - 2004 95.3% - 2005 FMC = fully mission capable NMCS = non-mission capable due to supply NMCM = non-mission capable due to lack of maintenance

9 9 Emerging Results n Successfully Supported Offline Requisitions When Corp Theater ADP Service Center (CTASC) was Down –Units Order Parts for Repairs Through CTASC n Provided 10 Times Unit’s Prior Two Years of B-64 (AMCOM Sentinel Unique) Managed Parts During 4 Month Period to Satisfy Surge Requirements at the Beginning of the War n Provided Tailored Contingency Packages to Augment Unit’s Diagnostic Spares Package n 24 Hour / 7 Days a Week on Call Technical Support Hotline Highly Successful n Consistent Readiness Scoring of GREATER THAN 94% reflects Program Success of Supporting Sentinel Radars Worldwide

10 10 Emerging Results - AOR Parts Delivery nOver a 3-Month Period (May – July 05), 30 Priority 2 Requisitions Processed From the Field (OCONUS) –Requisitions Required an Average of 8 Calendar Days From Receipt of Order to Delivery in Country nUnits required an additional 2 Days on Average to Retrieve the Parts nTotal 10 Calendar Days from Receipt of order to Parts in Hand

11 11 Program Risks n Spares and Repairs –Demand and Use Requirements n Local Models n Compass Models n Demand History –Parts Obsolescence n Cost to Produce n Advances in Technology n Environmental / Safety Issues –Changes in the Vendor / Industrial Base n Mergers and Acquisitions n Change in Product Focus n Company Closures n Lack of Total Control –Organic Military Performance


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