Скачать презентацию Transforming Logistics An AT L Perspective 3 March 2004 Скачать презентацию Transforming Logistics An AT L Perspective 3 March 2004

4d67911528b787f1e6fe5ff4c20e52e8.ppt

  • Количество слайдов: 31

Transforming Logistics An AT&L Perspective 3 March 2004 04 pm 12 -1 Transforming Logistics An AT&L Perspective 3 March 2004 04 pm 12 -1

“Amateurs talk about strategy; Professionals talk about logistics. ” former General R. H. Barrows “Amateurs talk about strategy; Professionals talk about logistics. ” former General R. H. Barrows Commandant, USMC 04 pm 12 -2

Our History • Unparalleled industrial capabilities • Highly trained and motivated workforce • First Our History • Unparalleled industrial capabilities • Highly trained and motivated workforce • First fully automated logistics system • Envied by our allies; Feared by our adversaries World class in mass logistics. 04 pm 12 -3

Post Cold War • • $109 B in inventory (1989) 60 -day response time Post Cold War • • $109 B in inventory (1989) 60 -day response time 42 Maintenance Depots 788 M cubic feet of storage space • $67 B in inventory • 32 -day response time • 20 Maintenance Depots • 323 M cubic feet of storage space Ready to Project and Sustain a Smaller “Cold War” 04 pm 12 -4

The Changing Game • Immediately Employable Force Option • Preemptive Capability • Net-Centric Warfare The Changing Game • Immediately Employable Force Option • Preemptive Capability • Net-Centric Warfare • Focused Joint Logistics 04 pm 12 -5

The Logistics Challenge “On my signal … unleash hell…. ” Ubiquitous, cost-effective capability to The Logistics Challenge “On my signal … unleash hell…. ” Ubiquitous, cost-effective capability to project and sustain power. 04 pm 12 -6

Words of Wisdom “The dogmas of the quiet past are inadequate to the stormy Words of Wisdom “The dogmas of the quiet past are inadequate to the stormy present. . . As our case is new, so we must think anew, and act anew. We must disenthrall ourselves, and then we shall save our country. ” 04 pm 12 -7

Our Complex Web Combatant Commanders • Integrated Priority List • Joint Lessons Learned • Our Complex Web Combatant Commanders • Integrated Priority List • Joint Lessons Learned • Ongoing Operations Quadrennial Defense Review • Project and sustain the force with minimal footprint • Implement performance-based logistics • Achieve industry performance standards External Influences Do. D Logistics • • $90 B+/year Over 1 million people 16 -day customer wait time Over 600 disparate systems Related Do. D Initiatives Public Perceptions • Financial Reform • Business Improvement Council • Defense Business Board Service Initiatives (over 500) • Product support • Footprint reduction • Customer wait time 04 pm 12 -8 • Congressional Oversight • GAO • Inspector General End Game • Freedom is Free • Conflict is quick • Government should be accountable

04 pm 12 -9 Lt. Gen. Chesty Puller 04 pm 12 -9 Lt. Gen. Chesty Puller

QDR Direction • Project and sustain the force with minimal footprint • Implement performance-based QDR Direction • Project and sustain the force with minimal footprint • Implement performance-based logistics to improve readiness for major weapon systems and availability of commodities • Reduce cycle times to industry standards 04 pm 12 -10

Logistics Transformation Immediate: Meet Immediate Readiness Requirements – Increase spare parts availability – Accelerate Logistics Transformation Immediate: Meet Immediate Readiness Requirements – Increase spare parts availability – Accelerate reduction in ownership costs – Focus on LD/HD assets Near-Term: Reengineer to World-Class Standards Long Term: – – Accelerate Modernization of Highly Reliable Systems – – 04 pm 12 -11 Achieve end-to-end global distribution Implement commercial business solutions Implement integrated supply chains for weapon systems Infuse accountability and performance measurement Reduce footprint as a military requirement Streamline acquisition process Achieve Focused Logistics Achieve net-centric operations

Cost of Aging Flying Hour Program Costs Actuals Projections Problem: We are eating our Cost of Aging Flying Hour Program Costs Actuals Projections Problem: We are eating our young! 04 pm 12 -12

Aircraft Procurement Commitment FY 02 FY 03 FY 04 FY 05 PB 00 163 Aircraft Procurement Commitment FY 02 FY 03 FY 04 FY 05 PB 00 163 187 201 PB 01 130 173 177 187 PB 02 88 92 115 90 PB 03 BES 04 FY 06 FY 07 119 143 155 85 105 147 193 100 110 144 199 We must break this trend! 04 pm 12 -13 Source: Joint Council on Aging Aircraft FY 08 254

Reduction in Total Ownership Costs Reported FY 05 & Life Cycle Savings/Benefits FY 05 Reduction in Total Ownership Costs Reported FY 05 & Life Cycle Savings/Benefits FY 05 % Savings FY 05 Goal 60. 0% 50. 0% 40. 0% 30. 0% 20. 0% 10. 0% Reducing Costs Through Improved Reliability and Readiness 04 pm 12 -14 LCC % Savings No Report • Projected FY 05 cost reduction (26 Pilot Programs) exceeds $1. 5 B, $75 B over the LC of all 29 Pilot Programs Reported Savings/Avoidances • 46% of the eligible 26 Pilot Programs project FY 05 cost reductions of 18% or greater.

Expanding Reduction in Total Ownership Costs • Low Density/High Demand • Mature Programs • Expanding Reduction in Total Ownership Costs • Low Density/High Demand • Mature Programs • DAES Reporting • Special Interest AT&L Selection • Defense Systems • ARA • DUSD(L&MR) Mature Programs Service Nominations Potential Candidate Programs Leverage Point Model (supply chain model) • F-16 • F-18 • M-1 A 1 Value Engineering Potential 04 pm 12 -15 Program Assessment Using Leverage Point Model • Promising Programs • Prioritized Investment • Projected Economic Benefits • Validated Investment Model (Standard for future BCAs)

Focus on LD/HD Assets: B-2 Program Management • Fielded System • Maintenance Officer as Focus on LD/HD Assets: B-2 Program Management • Fielded System • Maintenance Officer as PM • Managed to ACC performance expectations • 7 -year management goals; 10 -year roadmap • Synchronized modernization, R-TOC, and PDM • Aggressively managed DMS program Recent Results Government/Industry Partnership • Exceeding ACC availability • 50% reduction in MMH/FH (projected) • Exceeded OIF forward operating base requirements • Eliminated all LO backlogs • Accelerated tactical radio secure SATCOM capability • Achieved 72% MC rate (historical high) • Northrop-Grumman PBL awarded in FY 03 04 pm 12 -16 • Organic maintenance and supply support (DLA) • SPD provides program management, configuration control, sustaining engineering

Near-Term: Reengineer to World-Class Standards • Achieve end-to-end global distribution • Implement commercial business Near-Term: Reengineer to World-Class Standards • Achieve end-to-end global distribution • Implement commercial business solutions • Implement integrated supply chains for weapon systems • Infuse accountability and performance measurements 04 pm 12 -17

“An Epic Logistics Mess”* Never Again! * The Plain Dealer, 02/08/04, Cleveland Ohio 04 “An Epic Logistics Mess”* Never Again! * The Plain Dealer, 02/08/04, Cleveland Ohio 04 pm 12 -18

Commercial Business Solutions: Distribution USTRANSCOM Designated Distribution Process Owner Sources of Supply Demand Supply Commercial Business Solutions: Distribution USTRANSCOM Designated Distribution Process Owner Sources of Supply Demand Supply Planning Rules and Tools guide Planning Customer-Supplier relationship Direct Source Collaboration Customer Places Orders (seconds/minutes) Order confirmation number (Order Status by Exception) Next Day Order Processing System Supply Center (source, pick, configure, pack, label) Fulfillment Agents Performance: Hours/Days Shipment arrives (Time definite delivery) Carrier (AMC, UPS, Fed. Ex, APL etc. ) Next Day 04 pm 12 -19 Simple, Responsive, Reliable, Visible Collaboration

Enterprise Integration Logistics Balanced Scorecard Synchronized to Do. D BSC Warfighting Perspective Provide optimum Enterprise Integration Logistics Balanced Scorecard Synchronized to Do. D BSC Warfighting Perspective Provide optimum responsive logistics support to the joint warfighter to ensure: • An immediately employable force option • A rapidly deployable capability • A sustainable total force Innovation & Learning Perspective Ensure a capable workforce responsible for meeting the warfighter logistics support requirements to include: • Introduction of leading edge advanced concepts • Organization adaptability • Workforce shaping Logistics Process Perspective Vision and Strategy Provide effective logistics chain performance and capacity while reducing the logistics footprint to include: • R&M, Leveraging Global Industry, IT Improvements, and Commercial Advances Resource Planning Perspective Enterprise Architecture Ensure affordable logistics support through resources and choices that enable effective joint warfighter capability to include: • Accurately forecast and identify logistics requirements • Identify and understand the risks associated with logistics resource allocation Portfolio Management DUSD(L&MR) Memo DUSD (L&MR) Guidance & Oversight/Integration • Achieve FLE • Streamlined Systems • Efficient Systems • Integrated Knowledge Base July 2002 • Interoperable Systems Component Execution Plans • Milestones • Schedules/Brown Out Component Strategies • • • Management Approach CIO Interface Evaluation Criteria Process Methodology Metrics POM Considerations • Critical System/ Database Information (IT meta data) January 2003 Execution And Modernization FLE • Evaluate Logistics AISs and Databases • Identify Systems to be: Ø Eliminated Ø Sustained Ø Integrated August 2002 Leading Do. D Enterprise Integration 04 pm 12 -20 Streamlined Portfolio Management

Enterprise Integration TODAY! • Unique Identifiers • Radio Frequency Identification • Regional Material Handling Enterprise Integration TODAY! • Unique Identifiers • Radio Frequency Identification • Regional Material Handling • Technical Manuals Leading logistics transformation through international standards. 04 pm 12 -21

Infusing Accountability Warfighter Perspective Level 1: Force Closure Level 2: % Transportation Closure by Infusing Accountability Warfighter Perspective Level 1: Force Closure Level 2: % Transportation Closure by ULN Level 2. % Closed by RDD Level 1: Force Readiness Level 2: Oper. Availability for Critical Systems Level 2. % of Critical Systems Equip. on hand Innovation and Learning Perspective Logistics Process Perspective Level 1: Force Sustainment Level 1: Logistics Chain Reliability Level 1: Logistics Chain Effectiveness Level 2: Perfect Order Fulfillment (On time Delivery) Level 2: Order Fulfillment /Total Pipeline Time Resource Planning Perspective Level 1: Logistics Chain Predictability Level 2: Production/Delivery Flexibility Level 2: Planning & Re-planning Cycle Time Level 1: Logistics Chain Affordability 04 pm 12 -22 Level 2: Logistics Chain Expense Detailed Process Metrics Under Development

Long-Term: Accelerate Modernization • Reduce footprint as a military requirement • Streamline the acquisition Long-Term: Accelerate Modernization • Reduce footprint as a military requirement • Streamline the acquisition process • Achieve net-centric operations • Achieve Focused Logistics 04 pm 12 -23

JROC: Focusing on Capability • Capability based • Net-centric driven • Mobility/footprint are military JROC: Focusing on Capability • Capability based • Net-centric driven • Mobility/footprint are military capabilities • Reliability/maintainability are military performance parameters 04 pm 12 -24

The “Future” is being determined NOW! JSF DDX 04 pm 12 -25 Designing OUT The “Future” is being determined NOW! JSF DDX 04 pm 12 -25 Designing OUT Logistics FCS

Focused Logistics End-to-end communications Total asset visibility Information fusion Logistics decision superiority Rapid delivery Focused Logistics End-to-end communications Total asset visibility Information fusion Logistics decision superiority Rapid delivery of mission-ready forces Reduced inventory, smaller footprint, faster response Rapid distribution of tailored support packages Bottom line: 04 pm 12 -26 Forces in theater — whether forward-stationed or deployed — deliver more capability, require less support

Logistics Transformation Mass-Based Just-in-Time Sense and Respond FSB l More is better l Precision Logistics Transformation Mass-Based Just-in-Time Sense and Respond FSB l More is better l Precision is better l Agile is better l Mountains of stuff measured in days of supply l Reduce Inventory to a minimum and keep moving l Dynamically positioned Inventory throughout l Uses massive inventory to hedge against uncertainty in demand supply l Use precise demand prediction and optimization to reduce uncertainty l Use transportation flexibility and robust IT to handle uncertainty l Mass begets mass and slows everything down l Works great, except when it doesn’t l Supports adaptive operations Prime Metric: Days of supply 04 pm 12 -27 Prime Metric: Flow Time Prime Metric: Effects Migrating to the Force-centric Logistics Enterprise

Sense and Respond Logistics Concept • Supply network is dynamic – Supply doctrine anticipates Sense and Respond Logistics Concept • Supply network is dynamic – Supply doctrine anticipates reconfigurable supply nets – Emphasizes transportation flexibility over large inventories • Negotiation-based relationships – All entities use commander’s intent and detailed situation awareness to negotiate and synchronize – Roles and commitments of entities are dynamically defined within a specific context – All entities are described in terms of current capabilities, not as static forces • Networks are difficult to analyze and attack – More robust to node failure – Adapts to real-time demand driven by unit signals • Supports a more logistically agile force – Network adaptivity allows logistics decisions to be made later – Emphasis on information and transportation allows a greater degree of operational flexibility 04 pm 12 -28

Near-Term Priorities • Support Current Operations • Distribution Process Owner • Performance Metrics and Near-Term Priorities • Support Current Operations • Distribution Process Owner • Performance Metrics and Balanced Scorecard • Enterprise Integration • Performance-Based Logistics • Maintenance Excellence • Streamline Material Flows • Logistics Transformation Roadmap 04 pm 12 -29

We Need Your Help • Appropriate risk/reward sharing on PBL programs • Control and We Need Your Help • Appropriate risk/reward sharing on PBL programs • Control and visibility of industrial supply chains − Critical safety items • Rapid adoption of industry and international standards 04 pm 12 -30

The End Game Ubiquitous, cost-effective capability to project and sustain power. 04 pm 12 The End Game Ubiquitous, cost-effective capability to project and sustain power. 04 pm 12 -31