Defense Supply Center Richmond

Customer Requirements Analyzer And Forecast Tool (CRAFT)

Information Briefing

April 16, 2003

Teresa W. Smith

Chief, Information Management Division

Teresa.Smith@dla.mil

Balancing Of Two Tasks

Improved SupportImproved Support

To The War FighterTo The War Fighter

ImplementImplement

TransformationTransformation

Change Culture:Reactive Proactive

• Reactive• Unexpected Demand Spike• Breach ROP – Must Perform Within ALT• Unbalanced Workload – Crisis Management

• Proactive• Forecast• Collaboration with Suppliers and Customers• Shared Metrics

• BSM Collaboration In Concept DemoManually IntensiveNot Worth It For 3-4% Of NSNsWhat About The Other 97+%?Take My Forecast As My Demand And Do

Order Fulfillment – “I Want My Part!”•Confusing What’s In Or Not In BSM•SPR Process Is Cumbersome•DLA Metrics Are Interesting, BUT Irrelevant

Customer Perspective

CRAFT

CRM Tool Developed To:• Electronically Obtain, Analyze, Collaborate and Expedite

Service-Level Logistics Information and Needs• Determine Readiness Impactors – Capability To Peel Back

The Onion To Determine Specific Drivers• Respond To The Unique Needs Of Our Major Customers –

Connect Directly With Depot Production and Operational Requirements

• Leverage Portal Capability When Possible

We DO NOT Plan To Perform Forecasting FOR The Customer

CRAFT

Focus:• Proactive: Collaborate on Customer’s Demand, Ensuring

Execution and Tracking For Within Lead-time and Outside Of Lead-time Customer Needs and Supportability Issues• Include Metrics To Measure Effectiveness• Supports BSM Demand Planning Concept

• Reactive: Heightened, Timely Visibility Of Current Readiness Drivers

CRAFT

Proposal (Proactive):

Partner With A Single Customer To Prototype Capability

•Proposed Customer Is Hill AFB, A10

•Quarterly Forecasts, Up To 2 Years Out•Source: EPM, D035K

•Analyze Customer Demand Plans vs. Past Demands and DLA Supportability Posture

•Recommend Action Based On Logic/Levels•Conduct Supportability Analysis, Forecast As Surge

•Collaborate With Customers on an Exception Basis And Respond Accordingly (Forecast Adjustment (positive/negative))

CRAFTProactive

Process & Report2. Additional

Requirements3. Negative Reqs4. No Impact

Legacy

Customer’s Demand

Plan

BSM

Receive Electronically from Customer

DLA Take

Action

DLA & Customer

Collaborate

Monitor Performance

Metrics

Customer

DLA

Customer

DLA

• Process is Recommended Quarterly• Dotted Line Box Indicates Components are Electronically Processed

Set Agreements / Determine

Methodologies

Within

Set Limits

OutsideSet Limits

Forward for Action

SAM

•Model To Assess Overall Supportability of a NSN/Group of NSNs

•Projects Assets, Demands, And Inventory Over A Two Year Period

•30 Day Increments For The First 6 Months

•90 Day Increments For The Next 18 Months

•Projections On NSO And Replenishment Items Only•Input - NSNs Supplied By The User•Capability To Include Surges By Start/End Date – Qty Or Percentage•Datasource – DSS•Output – Excel

•Summary And Detail Data

SAM

Assumptions:

•Future dues in will adhere to the lead time of record

•Current Contracts > 90 Days Past Due Will Be Cancelled

•Current Contracts 0 – 90 Days Past Due Will Deliver Within 45 Days Of The Current Date

•Current Purchase Requests Which Are Delinquent (For Award) Will Deliver (Today+45+PLT)

•Header Data From Source Remains Unchanged Over The Two-Year Projection Period

•Item Managers Will Take Action ROP Breaches

•SPRs/ONRRs Rqn’d At Support Date

•Forecasted Demand Based On Current Demand Rates

•SSC Used As Basis For Stockage Method

CRAFT

Proposal (Reactive):

Identify and Electronically Connect To Service Data Sources To Gather Timely Information On DLA Parts That Are Current Readiness Impact Drivers

•Obtain WSMIS-RAM Data On A Recurring Basis (AF EDW)

•Analyze Data To Identify MICAP Requisitions For Increased Focus

•Provide Online Capability For Customer Teams, ESOC and Business Operations To Review, Segregate and Focus On Impactors

CRAFTReactive

Check for DLA Managed Parts That

Are Impactors Due to AWP

DLAProcessing

DLA Take Action on

AWP Impactors

Air ForceData

MICAP and AWP

Data

DLA Take

Action

Identify• Single Downers• Double• Triple• Multiple (>3)

Monitor Performance

• File Can Be Received and Processed Daily• Dotted Line Box Indicates Components are Electronically Processed• DLA Action Requires Establishing Business AND Manual Processing to Expedite, Etc.

MICAPsAFManaged

Monitor Performance

MICAPsDLAManaged

Electronic

Transfer

CRAFT

Benefits:

Proactive:• DLA Will Gain Customer Knowledge That Will Be Of Immediate

Benefit In the Legacy Environment and Can Be Capitalized Into BSM

• Information On Customer’s Total Demand Plan Will Enhance DLA’s Performance and Supportability

• Feedback On Customer Forecast Will Mature Forecasting

Reactive:• Information Will Result In Reduced MICAP Hours and Increased

Readiness• Eliminate Costly and Time-Consuming Manual Identification

Processes• Utilize Information To Automatically Report On DLA’s Impact

On Readiness By Weapon System

CRAFT

CRAFT (Reactive)

•Includes:

• Link to WEBCATS And Detail Requisition Status

•PR and Contract Data

•Future Link to Supplier Team Tool (Identify Suppliers Impacting Readiness)

•Pursuing Connection To AF EDW Or MASS For Reactive Data Feed, Would Like To Expand To Navy And Army Systems

•Completed First Test EOM February 03

•Completed User-Requested Changes

•Final Test Underway, Production Target EOM April 2003

CRAFT

CRAFT (Proactive)

•Continuing Development – Using Prototype Data, Still Working With Hill to Refine Datafeed

•Phase 1 Logic Development Complete- March 2003

•Test With CT And Hill AFB –April 2003

•Continue Development Efforts On Reports, Metrics, History, Additional User Requirements During Test Period

•Pursue Additional Service Adds (CCAD, NADEP NI)

•Meet With DSCC/DSCP (Visit Planned)

Next Steps

April – August 2003

• Test With CT And Hill

•Implement Any Customer or User Identified Changes Or Additional Functionality’

•Analyze Results, Present Findings To DLA J3/J6/J8

CRAFT Expansion

•Add Additional Customers

•Provide Customer Request, Justification And Cost/Benefit Estimate to DLA HQ

Future Options For CRAFT—Post BSM Implementation

• Capture Lessons Learned and Throw Away,

• Use As Extension/Add-On For Aviation Segment, or

• Enterprise Solution

Summary

CRAFT Could Be :

• A Pathfinder for CRM

• A Maturation of Forecasting & Collaboration

• A Tool to ease BSM Rollout for Customers

• A Readiness Enhancer during Transition

Backup Charts – Screen Shots

CRAFT