Sustained materiel readiness
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Sustained Materiel Readiness. David Pauling, ADUSD (MR&MP) MRO Conferences. Systems Supported by DoD Maintenance. 100,000+ Ground Combat/Tactical Vehicles.  900 Strategic Missiles. Maintained by: 681,000 DoD personnel Private sector companies.  300 Ships.

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Sustained materiel readiness

Sustained Materiel Readiness

David Pauling, ADUSD (MR&MP)

MRO Conferences


Sustained materiel readiness

Systems Supported

by DoD Maintenance

100,000+ Ground

Combat/Tactical Vehicles

 900 Strategic Missiles

  • Maintained by:

  • 681,000 DoD personnel

  • Private sector companies

 300 Ships

 15,000 Aircraft/Helicopters

Maintenance cost:

~$59B per year

+ 250K+ Wheeled Vehicles

+ Comm/Electronics Equipment

+ Support Equipment

+ ...

National Defense PP&E is valued at  $600 Billion

1

1

Source: LMI


Dod field and depot level maintainers distribution by service in 000s

DoD Field- and Depot-Level MaintainersDistribution by Service (in 000s)

Marine Corps Field

Marine Corps Depot

Maintainers

Maintainers

49.9 (7%)

0.9 (<1%)

Navy Depot

Maintainers

Army Field

20.9 (3%)

Maintainers

220.8 (33%)

Totals

Navy Field

Field

-

Level Maintainers

631.1

~93%

Maintainers

Depot Maintainers

44.1

~7%

173.6 (26%)

Army Depot

Maintainers

7.2 (1%)

Air Force Depot

Air Force Field

Maintainers

Maintainers

15.1 (2%)

186.8 (28%)

2


Major dod intermediate level activities

Army

21 Aviation Intermediate Maintenance (AVIM) companies

31 Direct Support/General Support (DS/GS) companies

Navy

15 shore-based Aircraft Intermediate Maintenance Detachments (AIMDs)

12 carrier-based AIMDs

6 Shore Intermediate Maintenance Activities (SIMAs)

2 Trident Refit Facilities (TRFs)

Air Force

65 aviation maintenance groups

Marine Corps

12 Marine Aviation Logistics Squadrons (MALS)

11 Amphibious assault ship-based AIMDs

3 Force Service Support Groups

Major DoD Intermediate-Level Activities

4


Sustained materiel readiness

Organic–Commercial Distribution

of DoD Depot Maintenance

DoD-wide: 54% Organic; 46% Commercial

46%

48%

FY03 $ (in billions)

Commercial

Organic

44%

52%

54%

56%

85% Organic

Air Force

Army

Navy

USMC

Source: USD(AT&L) report Distribution of DoD Depot Maintenance Workloads: Fiscal Years 2002 and 2003, February 2004

5


Dod commercial maintenance structure comparison

Field Maintenance

Depot Maintenance

DoD/Commercial Maintenance Structure Comparison

Depot (Centralized) vs. Field LevelPercentage of Personnel

  • Field maintenance key to both DoD and commercial maintenance structures

  • Maintenance structure drivers include . . .

    • DoD deployable maintenance capabilities

    • Equipment differences (e.g., age, complexity, role)

    • Available commercial infrastructure

    • Life-cycle status (i.e., position in life cycle)

    • Business support concept (e.g., run to optimum age and dispose vs. continuous rebuild)

Approximate Total Number of Maintainers

Trucking maintenance

40K

DoD maintenance

681K

Low cost air carrier

13K

Parcel trucking

15K

Railway

8.7K

Legacy airline

125K

0%

20%

40%

60%

80%

100%

6

Note: Commercial percentages are estimated based on available data


Sustained materiel readiness

Sustained Materiel Readiness

ISSUE:

  • Concentrate on achieving/sustaining SPG/CPG readiness

    • Balance safety, reliability, and maintenance activities to achieve readiness at best cost.

    • Optimize “TIME-ON-WING” and repair “TURN AROUND TIME”

  • Promote End-to-End (E2E) materiel readiness value chain perspective across DoD

  • Optimize materiel condition reliability sustainment

  • Optimize maintenance cost, cycle time

7


Sustained materiel readiness

Sustained Materiel Readiness

WAY AHEAD:

  • Translate SPG/CPG capabilities to weapon system/materiel requirements

  • Develop cause and effect predictive models

  • Foster and promote continuous process improvements

    • Reliability

      • Condition Based Maintenance (CBM)/Reliability Centered Maintenance (RCM)

    • Cycle process discipline

      • Lean, Six Sigma, Theory of Constraints, etc

  • Institute integrated budgets (engineering, logistics, industrial)

8


Sustained materiel readiness

VISION - Focus Areas

Materiel Readiness E2E Planning and Process(es) Improvement

  • Update/execute policy (E2E)

  • Improve System Life Cycle Management Prediction Capabilities

    • Expertise, Tools and T&E Facilities

    • Cause and effect predictive modeling

  • Optimize Materiel Reliability

    • Implement CBM+/RCM

      • Preventive Maintenance Addresses Failure Characteristics

      • Optimize Repair/build specs

  • Optimize Materiel Cycle Time

    • Employ CPI (Lean, 6Sigma, Theory of Constraints)

    • Integrate Depot and Intermediate Level Best Practices and Processes

    • Parts forecasting

  • Integrate Materiel Readiness Budgets

    • Balance Engineering, Logistics, Industrial Accounts

9


Sustained materiel readiness

Building the Optimum Materiel

Readiness Sustainment Plan/Budget

mission-based operational

readiness requirement

mission-based materiel

readiness requirement

START

SPG/CPG

Seek to

reduce

sustainment

costs

“WAR PLAN”

Required Amount of

RFI Materiel

(installed + uninstalled)

Required Number of

RFI Weapons

INTEGRATED

BUDGET

INTEGRATED

MANAGEMENT PLAN

R&D

YES

S&T

SAFETY STANDARDS

Technical PLAN

Design

READINESS

BASED

MATERIEL

REQUIREMENTS

MODEL

EQUIPMENT RELIABILITY

PROCUREMENT

INTEGRATED REPAIR/BUILD

CYCLE TIME PLAN

MAINT/RCM STRATEGY

MATERIEL

READINESS

GOALS

ACHIEVED?

O&M

PIPELINE

COMMON METRICS

In Svc

Eng/Log

SPARES FORECASTING

& PROCUREMENT PLAN

PLANNING

FACTORS

DEPOT

MATERIEL TRANSPORTATION

DISTRIBUTION PLAN

  • DLR

NO

WCF

Seek to increase

sustainment performance

10


Materiel readiness responsibilities

Materiel Readiness Responsibilities

11


Sustained materiel readiness

VISION - Focus Areas

Materiel Readiness E2E Planning and Process(es) Improvement

  • Update/execute policy (E2E)

  • Improve System Life Cycle Management Prediction Capabilities

    • Expertise, Tools and T&E Facilities

    • Cause and effect predictive modeling

  • Optimize Materiel Reliability

    • Implement CBM+/RCM

      • Preventive Maintenance Addresses Failure Characteristics

      • Optimize Repair/build specs

  • Optimize Materiel Cycle Time

    • Employ CPI (Lean, 6Sigma, Theory of Constraints)

    • Integrate Depot and Intermediate Level Best Practices and Processes

    • Parts forecasting

  • Integrate Materiel Readiness Budgets

    • Balance Engineering, Logistics, Industrial Accounts

12


Policy mr mp mission 1

A.DoD Materiel Readiness Sustainment Outcomes

Achieve and sustain inherent performance, safety, reliability

Invest/employ technologies

Meet readiness and sustainability objectives

Minimize total life cycle cost

Optimize reliability & cycle time

B. Condition Based Reliability Centered Processes

Provide materiel design improvement data/needs as necessary

Allocate reliability centered, FMECA-based tasks

Utilize diagnostics and prognostics techniques

Employ serialized item management (SIM) techniques

Policy: MR&MP Mission (1)

DoDD 4151.18: Maintenance of Military Materiel

13


Policy mr mp mission 2

C. E2E Materiel Value Chain Agility/Continuous Process

Improvement

Employ Lean, Six Sigma, Theory of Constraints

Identify consolidation, partnership, opportunities

Maintain core capabilities

D. Resources/Operations Information Systems

Scheduling, production control, financial management

Personnel & materiel performance and QA

Integrated budgets

Policy: MR&MP Mission (2)

DoDD 4151.18: Maintenance of Military Materiel

14


Sustained materiel readiness

VISION - Focus Areas

Materiel Readiness E2E Planning and Process(es) Improvement

  • Update/execute policy (E2E)

  • Improve System Life Cycle Management Prediction Capabilities

    • Expertise, Tools and T&E Facilities

    • Cause and effect predictive modeling

  • Optimize Materiel Reliability

    • Implement CBM+/RCM

      • Preventive Maintenance Addresses Failure Characteristics

      • Optimize Repair/build specs

  • Optimize Materiel Cycle Time

    • Employ CPI (Lean, 6Sigma, Theory of Constraints)

    • Integrate Depot and Intermediate Level Best Practices and Processes

    • Parts forecasting

  • Integrate Materiel Readiness Budgets

    • Balance Engineering, Logistics, Industrial Accounts

15


Materiel readiness modeling

Materiel Readiness Modeling

Why?:

  • Prescribe policies/procedures and monitor/review/assess materiel readiness E2E Value Chain operations relative to the ability of the Department’s major weapon systems to meet mission requirements.

    How?:

  • Develop DoD-wide predictive modeling/analyses capability to determine cause and effect relationship to materiel readiness-based outcomes, e.g.,:

    • Reliability improvement initiatives

    • Cycle Time Process improvements for Supply/Maintenance/Transportation/Distribution

    • Alternative resource strategies (short-term/long-term)

    • Determining life-cycle costs from an integrated budget perspective when materiel readiness issues are addressed

      Status:

  • Assessing current DoD and commercial models

  • Submitted cross-cutting proposal – enhance best of breed model

  • Working with Services to convert status models to predictive models

  • 16


    Sustained materiel readiness

    Materiel Readiness Integrated Management (E2E)

    17


    Sustained materiel readiness

    VISION - Focus Areas

    Materiel Readiness E2E Planning and Process(es) Improvement

    • Update/execute policy (E2E)

    • Improve System Life Cycle Management Prediction Capabilities

      • Expertise, Tools and T&E Facilities

      • Cause and effect predictive modeling

    • Optimize Materiel Reliability

      • Implement CBM+/RCM

        • Preventive Maintenance Addresses Failure Characteristics

        • Optimize Repair/build specs

    • Optimize Materiel Cycle Time

      • Employ CPI (Lean, 6Sigma, Theory of Constraints)

      • Integrate Depot and Intermediate Level Best Practices and Processes

      • Parts forecasting

    • Integrate Materiel Readiness Budgets

      • Balance Engineering, Logistics, Industrial Accounts

    18


    Condition based maintenance plus

    Condition-Based Maintenance Plus

    Why?:

    • To improve reliability centered maintenance effectiveness and efficiency through application of technology initiatives and process improvements

    • Sustain inherent performance, safety, reliability of materiel

      How?:

      • Utilize interactive electronic technical manuals, portable maintenance aids and other enabling tools and technologies

      • Implement diagnostics, sensors and prognostic algorithms and techniques

      • Employ reliability-centered maintenance concepts and practices

      • Enable statistical and engineering analysis processes

      • Develop condition-driven maintenance plans

      • Integrate maintenance and logistics processes and reporting systems

        Status?:

    • Completed survey of Service CBM+ Select Programs

    • Establishing the DoD CBM+ baseline

    • CBM+ website on-line and regularly updated

    • OSD/Service CBM+ Advisory Group meets weekly

    19


    Sustained materiel readiness

    • Repair Only What

    • Is Broken

    • Repair Not Only What Is Broken but What Will Likely Fail Before a Defined Time on Wing

    No Requirement to

    Build for Time on Wing

    Build to Achieve Inherent

    Reliability

    OCM vs RCM

    On-condition Maintenance vsReliability-centered Maintenance

    OCM

    RCM

    Maintenance Is

    Unplanned

    Focus is Planned Maintenance

    Facilitates Resource

    Requirements Predications

    Maintenance Based on

    LCC & Value

    Maintenance Driven by

    Equipment Conditioner

    or Lowest $/Shop Visit

    (What's Best for the Long Term)

    (What's Easiest Today)

    20


    Sustained materiel readiness

    Engine Life RecoveredAfter Repair

    RCM =

    Reliability

    Centered

    Maintenance

    21


    Engine repair time on wing tradeoffs

    Engine Repair/Time on Wing Tradeoffs

    $297K/repair

    $380/flt hr

    $240K/repair

    $700/flt hr

    $165K/repair

    22


    Sustained materiel readiness

    Cost Per RFI System Sensitivity

    Reliability Investment

    Optimal Reliability Invest

    23


    Sustained materiel readiness

    VISION - Focus Areas

    Materiel Readiness E2E Planning and Process(es) Improvement

    • Update/execute policy (E2E)

    • Improve System Life Cycle Management Prediction Capabilities

      • Expertise, Tools and T&E Facilities

      • Cause and effect predictive modeling

    • Optimize Materiel Reliability

      • Implement CBM+/RCM

        • Preventive Maintenance AddressesFailure Characteristics

        • Optimize Repair/build specs

    • Optimize Materiel Cycle Time

      • Employ CPI (Lean, 6Sigma, Theory of Constraints)

      • Integrate Depot and Intermediate Level Best Practices and Processes

      • Parts forecasting

    • Integrate Materiel Readiness Budgets

      • Balance Engineering, Logistics, Industrial Accounts

    24


    Continuous process improvement

    Why?:

    Maximize weapon system readiness while minimizing materiel flows and in-process inventories

    Goal – Optimize reliability and cycle time while striking a reasonable balance with costs across the total life cycle value chain

    How?:

    Employ:

    Lean for eliminating all types of waste

    Six Sigma (6σ ) for minimizing process variation

    Theory of Constraints (TOC) for alleviating process “bottlenecks

    CBM+ (Condition Based Maintenance Plus)

    Status?:

    DOD CPI Transformation Review initiated

    DOD CPI Policy in coordination

    OSD-led CPI Working Group (O-6 level) meets weekly, updates OSD-led GO/SES Group monthly

    Continuous Process Improvement

    25


    Sustained materiel readiness

    Focus on Continuous Improvement(Maintenance Cycle Time)

    Oct-03

    Apr-04

    Apr-03

    Oct-02

    Apr-02

    Oct-01

    AIMD Lemoore Power Plants Shop Engine Repair Cycle Time

    26


    Sustained materiel readiness

    CCAD Engine Turn Around Time Run Chart

    Reduction in Mean & Variation Continue In 2004!

    27


    Sustained materiel readiness

    Initial Lean Results Encouraging

    Employment of techniques fragmented, incomplete – needs policy)

    28


    When should we partner

    More Organic

    More Commercial

    ORGANIC

    Contractor Support

    Organic Support

    CLS

    MAJORITY

    CONTRACT

    SUPPORT

    MAJORITY

    ORGANIC

    SUPPORT

    Public/Private

    Partnering

    Opportunities

    When Should We Partner?

    MIX

    GOAL: Leverage Innovative Concepts of the Private and Public Sectors to Support the Warfighter at the Best Value for the Department of Defense and the Taxpayer

    29


    Sustained materiel readiness

    Growth Trend in

    Public-Private Partnerships

    30

    Source: DoD reports, Public-Private Partnerships for Depot Maintenance, July 2003 and July 2004


    Benefits are being realized from depot maintenance partnerships

    47 Partnerships Have Identified More Than One Type of Benefit

    Benefits Are Being Realized fromDepot Maintenance Partnerships

    31


    Sustained materiel readiness

    VISION - Focus Areas

    Materiel Readiness E2E Planning and Process(es) Improvement

    • Update/execute policy (E2E)

    • Improve System Life Cycle Management Prediction Capabilities

      • Expertise, Tools and T&E Facilities

      • Cause and effect predictive modeling

    • Optimize Materiel Reliability

      • Implement CBM+/RCM

        • Preventive Maintenance AddressesFailure Characteristics

        • Optimize Repair/build specs

    • Optimize Materiel Cycle Time

      • Employ CPI (Lean, 6Sigma, Theory of Constraints)

      • Integrate Depot and Intermediate Level Best Practices and Processes

      • Parts forecasting

    • Integrate Materiel Readiness Budgets

      • Balance Engineering, Logistics, Industrial Accounts

    32


    Improving materiel readiness reliability cycle time cost

    Improving Materiel ReadinessReliability, Cycle-Time, Cost

    Life-cycle cost

    (acquisition + O&S)

    more

    Drive reliability

    up to

    optimum level

    reliability

    Sustainment cycle-time

    less

    Drive

    sustainment

    cycle time

    down to

    optimum level

    Cost of Readiness

    Lower $

    Higher $

    (O&S only)

    R&D/ACQ Only

    Higher $

    Lower $

    33

    R&D/ACQ/O&S

    Lowest $

    Higher $

    Higher $


    Sustained materiel readiness

    Engine Integrated RecoveryApproach

    34


    Sustained materiel readiness

    VISION - Focus Areas

    Materiel Readiness E2E Planning and Process(es) Improvement

    • Update/execute policy (E2E)

    • Improve System Life Cycle Management Prediction Capabilities

      • Expertise, Tools and T&E Facilities

      • Cause and effect predictive modeling

    • Optimize Materiel Reliability

      • Implement CBM+/RCM

        • Preventive Maintenance Addresses Failure Characteristics

        • Optimize Repair/build specs

    • Optimize Materiel Cycle Time

      • Employ CPI (Lean, 6Sigma, Theory of Constraints)

      • Integrate Depot and Intermediate Level Best Practices and Processes

      • Parts forecasting

    • Integrate Materiel Readiness Budgets

      • Balance Engineering, Logistics, Industrial Accounts

    35


    Sustained materiel readiness

    Responsibility

    • Warfighter Combat Capability

    • Ensure a ready and controlled source capable of providing combat ready weapon systems anytime and anywhere efficiently and effectively.

    Program Manager

    Partnering

    Government Team (Engr, Log, Ind)

    Private Sector

    36


    Sustained materiel readiness

    2004 Maintenance Award Winners

    Awarded to the Most Outstanding

    Field-Level Units in the DoD

    • Marine Heavy Helicopter Squadron 462Marine Corps Air Station Miramar, California, USMC

    • 509th Munitions SquadronWhiteman Air Force Base, Missouri, USAF

    • 3rd Military Intelligence Battalion (Aerial Exploitation)Camp Humphreys, Republic of Korea, USA

    • Combat Service Support Battalion 10Marine Corps Air Ground Combat Center, Twentynine Palms, California, USMC

    • USS ABRAHAM LINCOLN (CVN 72)Naval Station Everett, Washington, USN

    • 27th Maintenance GroupCannon Air Force Base, New Mexico, USAF

    37


    2005 dod maintenance symposium exhibition birmingham alabama

    2005DoD Maintenance Symposium & ExhibitionBirmingham, Alabama

    • Lean, Theory of Constraints, Six Sigma in Maintenance

    • Cycle Time Optimization

    • Responsive Logistics Support

    • Reliability-centered Maintenance

    • Prognostics/Diagnostics

    • Integrated Information

    • Common Logistics Operating Environment

    • UID/Serialized Item Management

    Operations

    Technology

    Sustaining Weapon System Readiness through Reliability, Cycle Time, and Continuous Process Improvements

    Management

    Special Events

    • Transformation Initiatives

    • Maintenance-centric Readiness Roadmap

    • Public/private-sector Integration

    • Materiel Readiness Modeling

    • . . .

    • Senior Logisticians’ Roundtable

    • SecDef Maintenance Awards

    • Industry Tours

    • Over 180 Exhibits

    • Lessons learned

    • Knowledge sharing

    • Training opportunities

    October 24 - 27, 2005

    More info: Chuck Field, (703) [email protected] or www.sae.org/dod


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