Mr. Ric Sylvester Deputy Director, Acquisition Workforce and Career Management

1. Human Capital Strategic Planningfor the DoD-wide AT&L WorkforceInterim Progress ReviewSummaryJuly 1, 2003 Mr. Ric Sylvester Deputy Director, Acquisition Workforce and Career Management Defense Procurement and Acquisition Policy; OUSD(AT&L) Extract of slides briefed

2. Human Capital Strategic PlanningWhy the AT&L Workforce? • Need human capital strategic planning to answer the following: • What does our future workforce need to look like? • Where are the gaps? • What are the needed critical skills? • What do we need to do to get there? • We are doing more than just planning • Recruiting & hiring • Central referral system • Flexibility in career management • Transition to Best Practices

3. Human Capital Strategic PlanningWhat We Asked For… • Conduct workforce planning on these two disciplines: • Life Cycle Logistics • Systems Engineering • Use FY 2008 as planning horizon • Report the following: • Current inventory • Future desired inventory and the strategic basis used • Future inventory and assumptions used --desired • Gaps (between desired and future inventories) --desired • Plans to close gaps –desired *Reference: Email to DACMs/Defense Agencies, 9 Feb 03, Subj: Guidance for 2003 Human Capital Strategic Planning; 26 Feb 2003 Guidance Meeting (LMI) and March 11-12, 2003 Workshop (RAND)

4. Life Cycle LogisticsIssues • Department moving to Life Cycle Logistics Managers from Acquisition Logistics and Systems Sustainment Managers – new skills required • Good News: • Future logistics workforce being reshaped by key logistics transformation initiatives • New Logistics business model provides the strategic direction for workforce planning • Concerns: • Up to 49,000 possible sustainment logisticians who could be added to DAWIA workforce • Assimilation process to identify these not yet complete (planned to be complete in Sep 03) We need to know how many Life Cycle Logisticians are in the current workforce to identify the steps needed to get to future workforce

5. Total Life Cycle Systems Management Industry/Government Buys Performance as a Package Force Provider Partnerships • Project and sustain the force with minimal footprint Program Manager • Implement performance-based logistics to compress supply chains and improve readiness • Reduce cycle times to industry standards Acquisition Sustainment Life Cycle Logisticians Logistics Business Model

6. TLCSM/ PBL I L S ILS Shifting Logistics Workforce Skill-set NEW Life Cycle Logistics Manager OLD Integrated Logistics Support (ILS) Manager • Overwhelming Logistics Dogma • “ilities” zealots • Support element cults • Forgot the “integrated” • Transactional Logistics • Drove PM’s crazy • Networked E2E for Warfighters • Systems engineering driven • Commercial practices enablers • Product support integrators • Outcome (readiness) oriented • Service to the PM’s

7. Third Cycle Results - DAWIA Life Cycle Logistics Y G G Y Y 1Data as of September 30, 2002 2Reflects “planning numbers” 3Includes military and civilian 4Based on current PB-23 exhibit; does not reflect on-going “assimilation” or downsizing 5Based on AFMC Life Cycle Logistics; includes military and civilian 6Based on Logistics Management Specialists only

8. Third Cycle Assessment “Good News” • We’ve seen the value of Functional Advisor involvement in human capital strategic planning • Can act as translators of strategic transformation initiatives into business models for their community • Can be the critical link in understanding which future workforce skills are needed • We learned some useful lessons for the future • Need more involvement with the functional community to better understand their business models • Process is maturing quicker in the smaller “business units” where workforce planners are used • Modeling and forecasting tools and “good data” continue to be barriers to maturing the process

9. Human Capital Strategic PlanningWhat Actions Are Needed to Improve • More business models that translate strategic guidance into needed skills (Action: Functional Advisors) • Data system that captures competencies and skills, as well as modeling and forecasting tools (Action: P&R and AT&L) • Dedicated workforce planners with the right competencies and with continuity (Action: Services and Agencies) We need your direction to make these things happen!

10. Plans for Next Cycle • Work closely with P&R to ensure complementary strategic planning efforts • Expand third cycle reporting to focus on two additional career fields • Contracting • Program Management • Continue refinement of Life Cycle Logistics and Systems Engineering toward resolving the identified issues • Work with P&R on data system and improving modeling and forecasting tools

11. IPR After ActionAT&L Guidance Memo (Draft) Actions • Assign dedicated workforce planners – SAEs • Capture top-line total of future desired AT&L workforce, including DAWIA and non-DAWIA segments – Services, Agencies • Determine competitive sourcing impact on top-lines, considering both DAWIA and non-DAWIA segments – Services, Agencies • Create business models that translate strategic guidance into needed workforce skills – FAs • Develop a data system that captures competencies/skills, and modeling/forecasting tools – DPAP; DUSD(CPP)