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About Me

Currently Director of Supply Chain at Geokinetics Lean Six Sigma Black Belt 6 Years US Army 16 Years in Supply Chain & IT Supply Chain (all functions) Affiliated with APICS, ISM, SC Council, Next Level Purchasing

UPSTREAM/DRILLNG SC SC SERVICES SC REFINING

SC OTHER

Geokinetics is one of the largest independent, international land and shallow water geophysical service companies offering a broad range of specialized geophysical solutions to the petroleum and mining industries, worldwide.

www.Geokinetics.com

Considerations

What do you consider in your Supply Chain?

What do you consider in your Logistics?

Global Logistics

Largest Single Logistical Event in the History of the World?

Invasion of Normandy – 6 June 1944

Desert Storm – 2 August 1990

One Million Soldiers148,000 Vehicles570,000 Tons of Supplies8 Different Navies

6,939 Vessels1,213 Warships4,126 Transport Vessels736 Ancillary Crafts864 Merchant Vessels

PRINCIPLE DEFINITION

Mass Concentrate combat power at the decisive place and time

Objective Direct every military operation towards a clearly defined, decisive, and attainable objective

Offensive Seize, retain, and exploit the initiative

Surprise Strike the enemy at a time, at a place, or in a manner for which he is unprepared

Economy of force Allocate minimum essential combat power to secondary efforts

Maneuver Place the enemy in a position of disadvantage through the flexible application of combat power

Unity of Command

For every objective, ensure unity of effort under one responsible commander

Security Never permit the enemy to acquire an unexpected advantage

Simplicity Prepare clear, uncomplicated plans and clear, concise orders to ensure thorough understanding

Principles of War

Definitions

What Is Supply Chain

What Is Logistics

- Dynamic flow of Information, Products, and Funds

- From Manufacturing, Source, Distribution, Delivery,

Customer Service

- Includes Transporters, Warehouses, Suppliers, and

even Accounting

- Detailed Coordination of complex operation involving

many people, facilities, or suppliers.

- Includes Transportation & Movement

Desert Storm Duration2 August 1990 – 28 February 1991(6 months, 3 weeks and 5 days)

Desert Storm - Logistics

Logistics Commander: William Pagonis• United States Army • Bachelor's degree in Transportation and Traffic Management • Master's degree in Business Administration • Called "the logistical wizard behind the Allied success in Operation

Desert Storm",

The average age of soldiers: about 22 From 28 Countries 12 Different Languages 8 Different Foreign Commanders

Desert Storm – Situation

Coordinate and Mobilize all Troops, Equipment, and Support Supplies from

28 Different Countries65 Ports of Departure Into 2 Ports of Entry with limited space - Damman and Jubayl

Materials Management

• 170,000 Transport Vehicles

• 12,000 Armored Vehicles

• 12,575 Aircraft

• 2,000 Helicopters

• 3,100 Artillery Pieces

38,000 tons of mail

1.3 billion gallons of fuel

7 million tons of general supplies

52 million miles driven 700,000 soldiers from 28 Countries

95 million meals OVER 600 Mile Radius in Theatre

Peripheral Challenges

Because VII Corps’ tracked vehicles from Germany - painted forest green

Needed to be painted desert tan, a chore accomplished by the 593rd Area Support Group, first at the ports of Damman and Jubayl and later at two other desert outposts.

More than 10,000 vehicles were painted, including some 8,600 of the VII Corps, using more than 30,000 gallons of paint, which had to be purchased commercially.

• Repairs & Maintenance• Materials Management• Ownership• Safety• Conditions of Weather /

Environment

Relevant to OUR Operations

Withdrawal

Withdrawal completed by January 1992, six months ahead of schedule. Tens of thousands of tons of ammunition – originally brought in case of a prolonged war –had to be loaded and shipped out.

Pagonis said he focused on accountability, and he arranged to pay Bedouins, or desert nomads, to scour the desert for lost equipment. “We didn’t leave anything there,” he claimed, although he can never be sure.

Lessons Learned - Positives

War Time Civilian Operations

Forward Intelligence of Infrastructure Lane Analysis

Combat Unit Oriented Operations Oriented

Execution & Timeline Driven Just-in-Time, Prioritize, Coordination

Standardize Systems, Process, Automation

Simplify Policy and Procedure

Single Logistics Commander Centrally Led – but field executed

Drawing it Out! Simplicity

Lane Analysis – Map out your NetworkFREIGHT FORWARDER

Primary Freight Forwarders

Contract in Place

# of Freight Forwarders in Lane

Shipments per FF

Tracking Capability

to Freight Forwarder

to Final Destination

EDI

Classification Capability

Scan Capability

Certified Receiving

Audit Procedure

OSD / Non Conformance Procedure

Criticality Information

LANE INFORMATION

Primary Outbound

Primary Inbound

Primary Ship To Locations

Number of Lanes

Primary Owner of Lane

Government Control

Lane Dominance

TIME

Average Lane Time

Average Customs Time

Average FF Tim

Time Line

Supplier

Warehouse

Freight Forwarder

Customs

End User

COSTS

Actual Delivery Costs

Lane Rates

MOT Rates / Costs

Lessons Learned – Operations Oriented ALWAYS

• Understand Operations (Challenges, Constraints, Needs, and Victories)• Mobilization Package, On Going Packages, and Demobilization• What are their ‘discrete objectives’ both financially and operationally• M-E-T-T: Mission, Equipment, Time, Terrain

ADVANCE WARNING OF OPERATIONSWARNING ORDER

1. Situation 2. Mission, Who, What, When, Why and Where (coordinates). 3. Execution.

4. Service Support. a) Supply.

1) Rations. 2) Uniforms and Equipment. 3) Arms and Ammunition. 4) Captured Materiel. b) Transportation. c) Medical Evacuation. d) Personnel. e) Prisoners of War.

5. Command and Signal.

5 PARAGRAPH OPORD

Execution

• Quartermaster or Supply Chain was part of the Operations Planning• Timeline was shared• All Orders or Plans were written in a 5th Grade Level • Everyone was focused on their field of expertise• Everyone is held accountable• Discipline to the Plan, the Procedures, and structure• Communication, Contingencies, & Escalations Plan

• Distributed operations

• Contractors accompanying the force

• Pre-positioned stocks

• Civil support

• Reconstitution

• Theater distribution

• Supply chain management

• Outsourcing

• Reverse logistics

Intensive Repetitive Training

Failure Point Cause or Result

Lack of Visibility of In Transit Non Standard Behavior – Hoarding, Duplicate Requisitions, work around the system

Repair Parts Back Log No forecasted MTTF, MTTR Lack of Inventory to Excess

Lack of Customer Feedback No Confirmations of Shipments or method of transport

Proper Shipping Materials Damaged Equipment or unprotected environmental packaging.

Other Lessons Learned

Freight Forwarders & Execution

Utilize your Freight Forwards & Carriers to do the work for you!

Obtain Logistics Intelligence – Make them give you lane times and intelligence

Last Mile - Make them do the ‘Last Mile’ distribution plan

Integrate through EDI and Establish In-Transit Routings

Unity of Command

Operate under one unified Logistics Control and SOP’s

Top 10 Keys to Logistics Excellence

Total Delivered Cost Management

Global Logistics Process Automated

End to End Visibility

Supplier Portals & Advanced Ship Notices (ASN)

Total Produce Identification and Regulator Compliance

Dynamic Routing

Variability Management

Integrated International and Domestic Workflow

Integrated Planning and Execution Platform

Financial Supply Chain Management

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