sustained materiel readiness

Sustained Materiel Readiness

David Pauling, ADUSD (MR&MP)

MRO Conferences

300 Ships

100,000+ GroundCombat/Tactical Vehicles 900 Strategic Missiles

15,000 Aircraft/Helicopters

+ 250K+ Wheeled Vehicles+ Comm/Electronics Equipment+ Support Equipment+ ...

Maintained by:• 681,000 DoD personnel• Private sector companies

Maintenance cost:~$59B per year

National Defense PP&E is valued at $600 Billion

Systems Supportedby DoD Maintenance

Source: LMI

11

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

Totals

Field-Level Maintainers 631.1 ~93%

Depot Maintainers 44.1 ~7%

Army Field Maintainers

220.8 (33%)

Army Depot

Maintainers

7.2 (1%)

Air Force Field Maintainers

186.8 (28%)

Air Force Depot

Maintainers

15.1 (2%)

Navy Field Maintainers

173.6 (26%)

Navy Depot

Maintainers

20.9 (3%)

Marine Corps Field Maintainers

49.9 (7%)

Marine Corps Depot

Maintainers

0.9 (<1%)

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

4

Organic–Commercial Distributionof DoD Depot Maintenance

0

1

2

3

4

5

6

7

8

9

10

11

12

Army NavyAir Force

FY

03 $

(in

bil

lio

ns)

USMC

85% Organic

52%

56%

54%

48%

44%

46%

DoD-wide: 54% Organic; 46% Commercial

Commercial

Organic

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

5

• 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)

Depot (Centralized) vs.

Field Level Percentage of Personnel

Note: Commercial percentages are estimated based on available data

Field MaintenanceDepot Maintenance

0% 20% 40% 60% 80% 100%

Legacy airline

Railway

Parcel trucking

Low cost air carrier

DoD maintenance

Trucking maintenance

125K

8.7K

15K

13K

681K

40K

Approximate Total Number of Maintainers

DoD/Commercial Maintenance Structure Comparison

6


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


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

• 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

VISION - Focus AreasMateriel Readiness E2E

Planning and Process(es) Improvement

9

INTEGRATED REPAIR/BUILDCYCLE TIME PLAN

R&D

•S&T

•DesignSAFETY STANDARDS Technical PLAN

MATERIELREADINESS

GOALSACHIEVED?

Building the Optimum MaterielReadiness Sustainment Plan/Budget

MAINT/RCM STRATEGY

COMMON METRICS

PIPELINE

SPARES FORECASTING& PROCUREMENT PLAN

PROCUREMENT

O&M

• In Svc Eng/Log

DEPOT•

•DLRWCF

INTEGRATEDBUDGET

Required Amount of RFI Materiel

(installed + uninstalled)

READINESSBASED

MATERIELREQUIREMENTS

MODEL

SPG/CPG

INTEGRATEDMANAGEMENT PLAN

PLANNINGFACTORS

START

“WAR PLAN”

MATERIEL TRANSPORTATIONDISTRIBUTION PLAN

EQUIPMENT RELIABILITY

mission-based operationalreadiness requirement

Required Number ofRFI Weapons

mission-based materielreadiness requirement

YES

NO

Seek toreduce

sustainmentcosts

Seek to increasesustainment performance

10

Materiel Readiness Responsibilities

Strategic Planning Guidance/Contingency Planning Guidance

Materiel Availability Requirement

Materiel Readiness Policy

Acc

ompl

ish

Mat

erie

l Acq

uisi

tion

Acc

ompl

ish

Mat

erie

l Dis

trib

utio

n

Acc

ompl

ish

Supp

ly S

uppo

rt

Acc

ompl

ish

Mat

erie

l Mai

nten

ance

Acc

ompl

ish

In-S

ervi

ce E

ngin

eeri

ng

Materiel Readiness Metrics and Performance Standards

Sustainment Functions Integrated to Produce Materiel Readiness

SustainedMateriel Readiness Materiel

ReadinessData

Collection

DataAnalysis:

Does ValueChain Performance

MeetPlan?

Y

N

ADUSD (MR&MP)

(Process Integrator)

UndertakeCoordinated

ProcessImprovements

“Should Be”(Plan)

“As Is”(Actual)

AcquisitionPolicy & Metrics

DistributionPolicy & Metrics

ISEPolicy & Metrics

MaintenancePolicy & Metrics

SupplyPolicy & Metrics

Strategic Planning Guidance/Contingency Planning Guidance

Materiel Availability Requirement

Materiel Readiness Policy

Acc

ompl

ish

Mat

erie

l Acq

uisi

tion

Acc

ompl

ish

Mat

erie

l Dis

trib

utio

n

Acc

ompl

ish

Supp

ly S

uppo

rt

Acc

ompl

ish

Mat

erie

l Mai

nten

ance

Acc

ompl

ish

In-S

ervi

ce E

ngin

eeri

ng

Materiel Readiness Metrics and Performance Standards

Sustainment Functions Integrated to Produce Materiel Readiness

SustainedMateriel Readiness Materiel

ReadinessData

Collection

DataAnalysis:

Does ValueChain Performance

MeetPlan?

Y

N

ADUSD (MR&MP)

(Process Integrator)

UndertakeCoordinated

ProcessImprovements

“Should Be”(Plan)

“As Is”(Actual)

AcquisitionPolicy & Metrics

DistributionPolicy & Metrics

ISEPolicy & Metrics

MaintenancePolicy & Metrics

SupplyPolicy & Metrics

11









• Preventive Maintenance Addresses Failure Characteristics

• Optimize Repair/build specs






• 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

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

DoDD 4151.18: Maintenance of Military Materiel

14

















15

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

Materiel Readiness Integrated Management (E2E)

Safety/Readiness

Integrated Budget

LogisticsRCMPRL

Inventory

TechnicalS&TCIPWeb

IndustrialDepotI LevelPFM

Integrated Approach Achieves Readiness Goals at Reduced Cost

Industrial Repair

Hardw

are Condition

FeedbackH

ardw

are

Con

ditio

n

Feed

back

Repair Execution• D/I/O Level Repair • Incorporate Config Changes• Incorporate Qualified Repairs• Repair to Build Spec/Processes

SustainingEngineering

Technical Integrity

• Analysis/ Test /Fix

• Predict/Prevent Fleet Technical Problems

• Solve Fleet Revealed Technical Problems

Config

Change/

Qualified R

epair

Config Change/Tech Data LOGISTICS

Fleet Support• Engineering

Investigations

• Reliability Centered Maintenance

• Maintenance plan / processes

• Supply/Transportation

Fleet Issue

Build

Spe

c / P

roce

sses

Safety/Readiness

Integrated Budget

LogisticsRCMPRL

Inventory

TechnicalS&TCIPWeb



Industrial Repair

Hardw

are Condition

FeedbackH

ardw

are

Con

ditio

n

Feed

back


Hardw

are Condition

FeedbackH

ardw

are

Con

ditio

n

Feed

back



Technical Integrity




Config

Change/

Qualified R

epair

Config Change/Tech Data

Technical Integrity




Config

Change/

Qualified R

epair



Investigations




Fleet Issue

Build

Spe

c / P

roce

sses


Investigations




Fleet Issue

Build

Spe

c / P

roce

sses

Safety/Readiness

Integrated Budget

LogisticsRCMPRL

Inventory

TechnicalS&TCIPWeb



Industrial Repair

Hardw

are Condition

FeedbackH

ardw

are

Con

ditio

n

Feed

back


Hardw

are Condition

FeedbackH

ardw

are

Con

ditio

n

Feed

back



Technical Integrity




Config

Change/

Qualified R

epair


Technical Integrity




Config

Change/

Qualified R

epair



Investigations




Fleet Issue

Build

Spe

c / P

roce

sses


Investigations




Fleet Issue

Build

Spe

c / P

roce

sses

Safety/Readiness

Integrated Budget

LogisticsRCMPRL

Inventory

TechnicalS&TCIPWeb



Industrial Repair

Hardw

are Condition

FeedbackH

ardw

are

Con

ditio

n

Feed

back


Hardw

are Condition

FeedbackH

ardw

are

Con

ditio

n

Feed

back



Technical Integrity




Config

Change/

Qualified R

epair


Technical Integrity




Config

Change/

Qualified R

epair



Investigations




Fleet Issue

Build

Spe

c / P

roce

sses


Investigations




Fleet Issue

Build

Spe

c / P

roce

sses


Investigations




Fleet Issue

Build

Spe

c / P

roce

sses


Investigations




Fleet Issue

Build

Spe

c / P

roce

sses

17
















• Balance Engineering, Logistics, Industrial Accounts 18

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

No Requirement to Build for Time on Wing

Build to Achieve Inherent Reliability

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

Repair Only What Is Broken

Maintenance IsUnplanned

Focus is Planned Maintenance Facilitates Resource Requirements Predications

Maintenance Driven byEquipment Conditioneror Lowest $/Shop Visit

Maintenance Based on LCC & Value

(What's Easiest Today)(What's Easiest Today) (What's Best for the Long Term)(What's Best for the Long Term)

OCM vs RCMOn-condition Maintenance vs

Reliability-centered Maintenance

RCMRCM

20

Fitz (LJM)/prop syst readiness.ppt/082800/11

New2nd

3rd4th

5th6th

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

US Army

Commercial

US Coast Guard

Full RCMTime on Wing

Growth

Full RCMTime on Wing

Growth

Partial RCMTime on WingDeteriorates

Partial RCMTime on WingDeteriorates

Current PracticesTime on WingDeteriorates

Current PracticesTime on WingDeteriorates

Engine Life Recovered After Repair

% N

ew

En

gin

e L

ife R

eco

vere

d

Reliability Centered Maintenance vs. Current On-Condition Practices

3X+ improvement in Time on Wing (TOW) with Comprehensive Reliability Centered Maintenance vs. Current On-Condition Practices

3X+ improvement in Time on Wing (TOW) with Comprehensive Reliability Centered Maintenance vs. Current On-Condition Practices

Engine Life RecoveredAfter Repair

RCM =ReliabilityCenteredMaintenance

21

0

100

200

300

400

500

600

700

800

900

1,000

1,100

1,200

1,300

1970 1975 1980 1985 1990 1995 2000 2010 2015

MT

BR

Ho

urs

Navy H-46D/H-3

Commercial V107

VH-3D

Engine Repair/Time on Wing Tradeoffs

$297K/repair

$240K/repair

$165K/repair

$380/flt hr

$700/flt hr

22

Cost Per RFI System Sensitivity

Optimal Reliability Invest

Reliability Investment

23

















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 monthly25

83

40

1411 10

5

AIMD Lemoore Power Plants Shop Engine Repair Cycle Time

Apr-04Oct-02 Apr-03 Oct-03Oct-01 Apr-02

Focus on Continuous Improvement

(Maintenance Cycle Time)

26

CCAD Engine Turn Around Time Run Chart

Reduction in Mean & Variation Continue In 2004!Reduction in Mean & Variation Continue In 2004! 27

Initial Lean Results Encouraging

Military InstallationEarly LeanLean

USS Truman



USS TrumanUSS Truman

Employment of techniques fragmented, incomplete – needs policy)

28

When Should We Partner?

Contractor Support

Organic Support

CLSORGANIC

More Organic More Commercial

MAJORITYORGANICSUPPORT

MAJORITYCONTRACTSUPPORT

Public/PrivatePartnering

Opportunities

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

Growth Trend inPublic-Private Partnerships

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

30

0

20

40

60

80

100

120

140

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

Fiscal Year

Nu

mb

er

of

Pa

rtn

ers

hip

s

New Partnerships Total In Being

Benefits Are Being Realized from

Depot Maintenance Partnerships

0

10

20

30

40

50

60

70

Nu

mb

er o

f P

artn

ersh

ips

Product SupportImprovement

Increased FacilityUtilization

Improved BusinessProcesses orTechnology

Identifiable CostAvoidance

Type of Benefit47 Partnerships Have Identified More Than One Type of Benefit 31

















32

Improving Materiel ReadinessReliability, Cycle-Time, Cost

Drive reliabilityup to

optimum level

Drivesustainmentcycle timedown to

optimum level

(O&S only)Higher $Lower $

more

less

reliability

Sustainment cycle-time

Life-cycle cost(acquisition + O&S)

Cost of Readiness

Higher $

Higher $

R&D/ACQ Only

R&D/ACQ/O&SLowest $

Lower $

Higher $33

Engine Integrated RecoveryApproach

300 EnginesRepaired per year

600 Eng req’d tomeet CNO goals

400 hour MTBR

$700/Flight Hour

$165K/Repair



1000 hour MTBR

$380/Flight Hour

$250K/Repair

T58TEAM

Industrial•Industrial Process•Depot/I-Level (IA5A, FHP)•Facilities/Capital Equipment (IA5A)•Parts Forecasting (NWCF)•Depot/I-Level Production (IA5A, FHP)

Technical

•Life Management

•Reliability Centered Maintenance (RCM)

•Design Changes •Engineering Investigations•Failure Modes/Effects

Logistics•Publications•Parts Forecasting•Inventory Tracking•Build Specs•Configuration Tracking

Integrated Approach is HARMONY!

Current Process isout of TUNE

Integrated Approach is Harmony.

COMMERICALSPEC

VH SPEC

Optimized Repair Spec



400 hour MTBR

$700/Flight Hour

$165K/Repair



1000 hour MTBR

$380/Flight Hour

$250K/Repair

T58TEAMT58

TEAM

Industrial•Industrial Process•Depot/I-Level (IA5A, FHP)•Facilities/Capital Equipment (IA5A)•Parts Forecasting (NWCF)•Depot/I-Level Production (IA5A, FHP)

Technical

•Life Management

•Reliability Centered Maintenance (RCM)

•Design Changes •Engineering Investigations•Failure Modes/Effects

Logistics•Publications•Parts Forecasting•Inventory Tracking•Build Specs•Configuration Tracking

Integrated Approach is HARMONY!

Current Process isout of TUNE

Integrated Approach is Harmony.

COMMERICALSPEC

COMMERICALSPEC

VH SPEC

Optimized Repair Spec

34

















35

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

Private SectorGovernment Team (Engr,

Log, Ind)

Partnering

36

2004 Maintenance Award WinnersAwarded 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

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

Management

Operations Technology

Special Events

• Prognostics/Diagnostics

• Integrated Information

• Common Logistics Operating Environment

• UID/Serialized Item Management

• Senior Logisticians’ Roundtable

• SecDef Maintenance Awards

• Industry Tours

• Over 180 Exhibits

• Transformation Initiatives

• Maintenance-centric Readiness Roadmap

• Public/private-sector Integration

• Materiel Readiness Modeling

• . . .

• Lean, Theory of Constraints, Six Sigma in Maintenance

• Cycle Time Optimization

• Responsive Logistics Support

• Reliability-centered Maintenance

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

2005DoD Maintenance Symposium &

ExhibitionBirmingham, Alabama

• Lessons learned• Knowledge sharing• Training opportunities

sustained materiel readiness

Documents

maintenance cbmreliability

lmi11dod field

air force depot maintainers15

navy depot maintainers20

army depot maintainers7

air force field maintainers186

navy field maintainers173

army field maintainers220