Performance Base Logistics for the Ground / Air Task Oriented Radar, 5 February 2004 Presented by John Sells, Product Support Manager - [email protected]

Performance Base Logistics for the Ground / Air Task Oriented Radar, 5 February 2004

Presented by John Sells, Product Support Manager -

[email protected] DSN 795-7585 Comm. 570-895-7485

Discussion Points

• DOD Acquisition Management Framework• The beginnings of PBL• IPT Roles & Responsibilities• Business Case Analysis• PBA Notional Approach• PBA development• Recommendations• Questions & Ideas

New DoD Acquisition Management Framework – Five Phase Overview

Pre-Systems Acquisition Systems Acquisition Sustainment

Concept Technology Systems Development Production & Operations & Development Demonstration Deployment Support Concept Component System System Low-Rate Full-Rate Sustain DisposalExploration Advanced Integration Demonstration Initial Production Demonstration Production

A B C

IOC FOC

PerformanceBased

LogisticsPrinciples

Decision to EnterConcept Refinement

Phase

FRP Decision Review

Design Readiness Review

ICD CDD CPD

Funding

Early and Continuous Testing

RDT&E RDT&E SDD Procurement Operations & SupportBA3 BA4 BA5 APN WPN MILCON OPN O&M,N

Initial Capabilities Document Capabilities Development Document Capabilities Production

Validated Requirements … Minimum KPPs Set

DT&E OT&E FOT&E

Combined DT&E and OT&E

Evolutionary Acquisition• End-State Requirement• Incremental AcquisitionSpiral Development• Desired Capability Known • End -State Not Known• Technology Maturation & User Feedback Drive Future increments

Block UpgradesBlock Upgrades

Block Upgrades

Product Support Planning Develop Product Support Concept Identify Product Support Integrator Update periodically Design the Support Develop Support for the Design Establish PBA

Document

Program Initiation & Decision to Enter System

Development & Demo Phase

ConceptExploration

TechnologyDevelopment

Decision to Enter Technology

Development Phase



SupportStrategyConcepts

AcquisitionStrategy

Readiness &Total Ownership Cost Objectives

R&D

SystemDesign for Operational

Effectiveness

Goal #1: Designfor Supportability

Goal #2: Design& Develop Support

System

ProduceSupport System

Goal #3: Acquire & DeploySupportable System

DemonstrateSupportability& Life CycleAffordability

DemonstrateSupportability& Life CycleAffordability

Support Concept

Inputs:• ICD• AOA• TEMP

User Needs

S&T Activity• ATD•ACTD•Joint Warfighting Experiments

Inputs:• ICD• AOA Plan• CONOPS Inputs:

• Acquisition - Strategy

- Program Baseline • CDD• AOA• TEMP• SDD RFP

DevelopKPPs for

CDD

Develop Key Logistics Parameters (KLPs)

DevelopSupport Metrics

Establish PBA

New DoD Acquisition Management

Framework – Documentation & Decisions

Pre-Systems Acquisition Systems Acquisition Sustainment

Concept Technology Systems Development Production & Operations & Development Demonstration Deployment Support Concept Component System System Low-Rate Full-Rate Sustain DisposalExploration Advanced Integration Demonstration Initial Production Demonstration Production

A B C

IOC FOC

Decision to EnterConcept Refinement

Phase

FRP Decision Review

Design Readiness Review



ConceptExploration


Decision to Enter Technology

Development Phase



Concept Refinement: - Validated ICD - Approved AOA PlanCompleted in Phase: - Conduct AOA, Refine Concept - Develop Tech Development Strategy

• Milestone A: - Initial Capabilities Document (ICD) validated & approved - Milestone Decision Authority (MDA):

Approves Tech Development Phase Tech Development Strategy (TDS) Exit Criteria for SDD Phase Acquisition Decision Memo (ADM)

Completed in Phase: - Development of System Architecture - Demo of Technologies - Risk Reduction on Subsystems - Form Decision Making IPTs - Capabilities Development Document

(CDD) Prepared by IPT - Conduct Cost Performance Trade-offs - Develop Acquisition Strategy (ASR) - Set Acquisition Program Baseline (APB) - Complete TEMP - Prepare C4ISR (if required) - Prepare Life-Cycle Cost Estimates - Prepare RFP for SDD

• Milestone B: - Entrance Criteria

Validated CDD Validated requirements … Minimum Key Performance Parameters (KPP) set Mature Technology APB Affordability Determination Full Funding in FYDP

- Formally initiates Acquisition Program• MDA approves: - Entry into SDD Phase - Acquisition Program Initiation - ASR & APB - Exit Criteria for Production Phase - Acquisition Decision Memo (ADM)• Completed in Phase: - Architecture validated thru integration demo of sub-systems - Design Readiness Review - Testing and Demonstration - Prepare RFP for LRIP - Capabilities Production Document (CPD)

• Milestone C: - Entrance Criteria

Technology Maturity Approved CPD Fully Funded Acceptable:

Performance in DT&E Manufacturing Risks Interoperability Operational Supportability Affordability

- Authorize entry into LRIP

• MDA Approves: - CPD

- ADM - Acquisition Strategy & APB - LRIP & Later FRP• Completed in Phase:

- Testing ( DT, IOT&E) - Support & Deployment Plans - Prepare RFP for FRP

- Prepare for FRP Decision

• All support elements in place to sustain system at acceptable performance levels identified in CPD and Performance Based Agreement (PBA) with war fighter• Evolutionary acquisition of product support elements continues to sustain systems upgraded through spiral development of systems in reaching Full Operational Capability (FOC) over life cycle

New DoD Acquisition Management

Framework – TLCSM & PBL Template

Pre-Systems Acquisition Systems Acquisition

Concept Technology Systems Development Development Demonstration Production &Deployment

A B C

ConceptExploration


Consider Key Logistics Criteria:• Forecast Operational Environment• Assess:- Functional Characteristics

- Impact of System on MaintenanceCapabilities Planned

- Preliminary Manpower/Pers Requirements(Quantity, Skills, Uniform or Contractor)

• Compilation of Info and Requirements• Initiate Development of Operating & Support Reliability Objectives, Benefits & Resource Requirements

• Assess Concepts & Technology in using:- Embedded Diagnostics- Prognostics

- Other Maintenance Enablers• Compile & Assess Data on Projected:

- Sustainment Demand- Standardization - Required Support Equipment (SE)

• Develop ROM Life Cycle Costs (LCC)Key Logistics Info Compiled: AOA Performance-Based Support Options Identify Support Parameters for CDD Market Analysis Identify Risks/Risk Mitigation PlanningKey Logistics Activities Completed: Sustainment Parameters for CDD Product Support Strategy for ASR Logistics Metrics Criteria/Funding for APB Logistics Considerations for TEMP

Consider Key Logistics Criteria:• More Discrete Requirements to Support Required Mission Operational Capabilities

- Metrics to Drive Performance Outcomes (Reliability, Maintainability, & Availability - RMA)

• Manpower/Pers Requirements• Refinement of LCC• Support-Related Performance/Acceptance Criteria to be Demo during Testing

• Collection, Analysis & Eval of System RMA Performance Data to Determine Need for Design Changes (SDOE)

• Logistics Support Considerations• Verify Support-Related Design Characteristics• Identify Product Support Integrator (PSI)• ISOR and Workload Assessment• Develop Initial PBL BCA• Set PSI Performance Outcomes/Requirements• Develop PBL Product Support Concept w/PBAKey Logistics Info Compiled:• Updated Support Strategy, Funding Required,

Key Logistics Parameters (KLPs)• PBL BCA• Auditable ISOR Core Capability & Workload AssessmentKey Logistics Activities Completed:• Updated ASR, APB, CPD, & TEMP• Acceptable Performance in DT&E• Life Cycle Affordability Demonstrated

Consider Key Logistics Criteria:• Ability of Sustainment Strategy to Meet MissionCapability Requirements

• RMA Meets Performance Objectives• Goals for Manpower/Pers Validated• Final LCC Validated • Product Support:

- Completed BCA on PBL Approach Selected- Completed, Approved & Funded Product Support/Sustainment

Approach to Include:› Documented PBA Between: - PM, PSI and Force Provider Defining System Operational Performance Requirements - PM, PSI and Support Providers which Include Required Support Metrics Necessary to Meet System Performance Requirements. Note: Support Providers may be Public, Private or Partnerships. Public providers can include depots, DLA, NAVICP, & DLA Distribution Depots

- Comprehensive Review of Support-Related Performance & Acceptance Criteria for Pre-IOC Supportability Assessment:

› Verify Implementation & Execution of PBA› Verify Funding of O&S to Required Levels

Key Logistics Info Compiled:• Updated Support Strategy within ASR• Updated Logistics Parameters in APB• Updated Logistics & Sustainment Criteria & Test Points• PBA Signed (PM, PSI, Warfighter; PM, PSI and Providers) Key Logistics Activities Completed:• Satisfaction of sustainment criteria in IOT&E• PBAs • Fully Funded Sustainment Program• Pre-Initial IOC Review

ICD

MS-A

CPDCDD

MS-CMS-B

TDK

ProdK

SDDK


System Development& Demonstration

Production &Deployment

Operations &Support

ConceptRefinement

PSSPBA

PBACPD

K PP K PPK PP K PP K PP K PP

K PP K PPK PP K PP K PPK PP

K PP K PPK PP

• User requirements (KPPs) are set in the CDD and CPD

• PA translates KPPs into product support metrics and available resources

• The PM translates the PA into contractual requirements to be levied upon the manufacturer

Logistics Metrics Criteria

Support ParametersProduct Support Strategy (PSS)

Logistics Considerations for TEMP

Updated Support StrategyAssign PSI

Finalize PSSSign PBAs

ISOR Core AssessmentSupportability Demo

Life Cycle Affordability Demo

Establish PBAs

Introduce Key Performance

Parameters (KPP)

From all of this, PBL Emerges…

COMMON RELEVANT OPERATING PICTURE

The interaction at the grid points establishes the linkage of the Life Cycle Logistics elements.

PBL is the Enabler for Force-centric Logistics PBL is the Enabler for Force-centric Logistics EnterpriseEnterprise

PBL is the Enabler for Force-centric Logistics PBL is the Enabler for Force-centric Logistics EnterpriseEnterprise

Public Private Partnerships

Executive Agents

Enterprise Integration

Product Support IntegratorTotal Life Cycle Systems

Management

Condition-Based Maintenance +

End-to-End Distribution

Performance Based Logistics grid

Force Provider

IPT Challenges IPT Challenges

What should an IPT be able to do?

Ability to haveAbility to havecomplete, accurate,complete, accurate,

real-time totalreal-time totalasset visibilityasset visibility

Ability toAbility tocollect accurate,collect accurate,

near real time datanear real time data

Ability to assess the Ability to assess the data and make data and make

informed decisionsinformed decisions

Funds FlowFunds FlowAbility to fundAbility to fund

effectivelyeffectivelyand manage execution and manage execution

Organize IPT’s around program requirements!

Focus on Focus on Total Life Total Life

Cycle Cycle Systems Systems

ManagemenManagement!t!

DoD Logistics Value:

MARSYSCOM Manages::

COMMON SUPPORT ACROSS WEAPONS SYSTEMS

WEA

PO

N S

YSTEM

-SPEC

IFIC

SU

PPO

RT

ENTERPRISE SOLUTIONS

EFFECTIVE METRICS

2-LEVEL MAINTENANCE T

PS

-59

CL

AW

S

TP

S-6

3

TP

S-7

3

MP

Q-6

2

TP

Q-4

6A

G/A

TO

R

Operational A

vailabilit

y

END TO END CUSTOMER SUPPORT

PUBLIC PRIVATE PARTNERSHIPS

Organizational/Unit Measure:

The IPT Challenge:Integrating ALL of the Solutions

MDA USD(AT&L) or ASD(C3I)

OverarchingIPT

Integrating IPTCOST/

PERFORMANCEIPT

OTHERIPTS

(as needed)CONTRACTING

IPT

TESTIPT

Program IPT

Oversight& Review

Execution

WIPTs

For each program, there will be an OIPT and at least one WIPT. WIPTs will focus on a particular topic,such as test, cost/performance, contracting, etc. An Integrating IPT will coordinate WIPT efforts andcover all topics not otherwise assigned to another IPT.

Under Secretary of Defense forAcquisition, Technology and Logistics

Assistant Secretary of Defense for

Command, Control, Communications& Intelligence (C3I)

RULES OF THE ROAD: A GUIDE FOR LEADING SUCCESSFUL INTEGRATED PRODUCT TEAMS,Revision 1,October 1999

DoD IPT Operational Structure

GATOR Overarching IPT (OIPT)

GATORProject Management

IPT(PM IPT)

Funding andContracts

IPT

Integrated

Test IPT

SoftwareIntegration IPT

Design andEngineering

IPT

LogisticIPT

Production

IPT

Transition toProduction

IPT

FieldingIPT

COMMSub-IPT

SoftwareSub-IPT

Processors

DisplaysSub-IPT

OPFACSub-IPT

Rqmts/InteroIPT

G/ATOR Integrated Product Teams Structure

Integrated Product and Process Development (IPPD) for the

G/ATOR Program*

* IPT structure from the SUPPORTABILITY PLAN FOR THE GROUND AIR TASK ORIENTED RADAR, Draft, 6 Jan 04

If this was a fight, Could the G/ATOR Program Management IPT defend themselves?

Some of these IPT’s are requirements-driven (good), some are based on functions (not so good)

IPPD is not easy – Managers MUST shift paradigms!

Should be direct line from OIPT

A lot of IPT requirements identified, but it may be a bit Chaotic…

Radar Systems (PM112)

Battlespace and Air Defense Systems Product

Group (PG11)

Overarching IPT

Working IPT’s:SupportabilityCost & PerformanceDesign & engineering

Set goals for each IPT

Focus on TLCSM

Choose Integrated Solutions

Benchmark & Build through experience

Measure Performance

for Continuous Improvement

Be willing to change!

MA

RC

OR

SYSCO

M Integrated D

ata E nvironment

GATOR Integrating IPT

Understand what you are

currently doing.

Integrated Product and Process Development Objectives

* ILS Elements from the SUPPORTABILITY PLAN FOR THE GROUND AIR TASK ORIENTED RADAR, Draft, 6 Jan 04

Performance-Based Business Environment

Evolving G/ATOR ILS Elements*

Maintenance Planning

Manpower and Personnel

Supply Support

Support Equipment

Technical Data

Training and Training Support

PHS&T

Naval Integration and Transportability

Facilities

NOTIONAL CONCEPT ON BUILDING IPT’S

The Business Case Analysis (BCA)The Business Case Analysis (BCA)

The BCA links performance levels and resource requirements which enables a much more intelligent budgeting process.

The BCA is a toolset for identifying Total Ownership Costs

The BCA has the goal of identifying the BEST VALUE

It is the BCA that helps determine the best choice for Product Support Integrators, and the parameters of the Performance Based Agreements!

Bottomline – Senior leaders need all appropriate information to make good decisions. They will not stake their reputations simply on a good “story”.

What is a BCA ?

Until recently, BCA was not a common term in DoD

Formerly known by the terms: “economic analysis; cost/benefit analysis; cost of ownership analysis; analysis of alternatives; feasibility study; staff study”

“The Business Case Guide”; by Dr. Marty J. Schmidt, Solution Matrix, Ltd; 2002 www.solutionmatrix.com

“BCA is an extended form of cost/benefit analysis where the alternatives’ total costs for satisfying a business need are weighed against the alternatives’ total benefits to determine an optimum solution. BCA goes one step further than cost/benefit analysis and links each alternative to fulfilling the strategic objectives of the organization, compliance with performance measures and impact on stakeholders. BCA identifies which alternative allows an organization to optimize mission performance given cost and other constraints. It not only includes analysis of cost, but also addresses qualitative and subjective factors directly impacting the decision-making process, along with risk and sensitivity analysis. The output of a BCA is an analysis of all viable alternative business strategies, along with recommendations for proceeding with the best value alternative.”

“A Business Case is a decision support tool that projects the likely financial results and other business consequences of an action. It shows the cash flow consequences, over time, and – most important – includes the methods and rationale used for quantifying benefits and costs.”

Dr. Jacques Gansler,

Why Go Through with a BCA ?

•BCA’s required by Statute for all proposed “Prime Vendor” support arrangements; and by USD/ATL

•Section 346, 1999 NDAA, as amended by Section 336, 2000 NDA•13 Feb 2002 USD/ATL Memo to Services re: PBL Implementation Schedule

•There is no current standard OSD format (in work)•BCA’s have several uses in implimenting PBL

•Assesing viability of overall strategy, workload allocation, and cost comparisons

BCA’s are a toolset of PBL, useful in many circumstances.

BCA StructureA. Introduction Defines what the case is about (the subject) and why (its purpose). Presents

the objectives addressed by the subject of the case.

B. Methods and Assumptions Design elements analysis methods and rationale that fix the boundaries of the case (whose

costs and whose benefits examined over what time period). Outlines the rules for deciding what belongs in the case and what does not, along with the important assumptions.

C. Business Impacts The main business case results – financial and non-financial business impacts expected in

one or more scenarios.

D. Sensitivity and Risks Shows how results depend on important assumptions (“what if”), as well as the likelihood for other results to surface

E. Conclusions and Recommendations Recommends specific actions based on business objectives and the results of the analysis.

From: “The Business Case Guide”; by Dr. Marty J. Schmidt, Solution Matrix, Ltd; 2002

Sample BCA Format

Executive Summary

Introduction/OverviewSubject, Purpose and ObjectivesBackgroundOrganization

Major Assumptions and ConstraintsScope of AnalysisFinancial Metrics Used and DefinedAnalysis MethodologyThe Cost and Benefit Model Used (Explanation of Cost Types and Categories)

Description of AlternativesCosts and Benefits Over TimeFinancial AnalysisNon-quantitative Factors, Criteria, and Rationale for Their Use

Comparison of Alternatives (quantitative and qualitative)

Sensitivity AnalysisRisk Analysis

Conclusions and RecommendationsResults RationaleChoice of Scenarios for ImplementationStrategy and Tactics to Optimize Results

Introduction

Methods and Assumptions

Business Impacts

Sensitivity and Risks

Conclusions & Recommendations

Developing a

Performance Based

Agreement (PBA)

Notional/Sustainment

Field

Strategic

ProductSupport

Integrator(PSI)

ForceProvider

ProgramManager

(PM)

Performance-BasedPerformance-BasedAgreements (PBA)Agreements (PBA)Notional ApproachNotional Approach

Agree to provide the funds for products and services rendered Agrees to perform all field level operations in accordance with established Field Manuals and Technical Manuals Agrees to perform all field level maintenance in accordance with established Technical Manuals, Lube Orders, etc. Agrees to using trained operators/maintainers, and/or that operators/maintainers receive proper training Agrees to perform all supply chain operations in accordance with established policy Agrees to perform other logistics transactions in accordance with established policy

Agree to provide the negotiated Operational Availability, Mission Capability, Operational Readiness Agree to provide the Force Provider a voice on the Supportability IPT (SIPT) Agree to provide funding to the PSI commensurate with the defined requirements Agree to provide the PSI a voice on the Supportability IPT (SIPT)

Agrees to perform the duties of the PSI as identified in the PBA Agree to serve on the SIPT Agree to comply with Contractors on the Battlefield policy Agree to maintain a transparent supply chain with the field level Agree to provide access to all performance data Agree to integrate the supply chain activities of all Product Support Providers (PSPs) Agree to search for increases in reliability

BARRIERS AND METRICS

Contract Types:

BCA:

Metrics:

Firm Fixed Price Cost Plus Incentive Fee

Economic Analysis (EA) Best Value Analysis (BVA) Business Case Analysis (BCA)

Barriers:

Funding Flow Stability of Funding Funding for Long Term Contracts PBL Becomes “Must Pay” Bill Business Risks Working Capital Fund (WCF) Guidance Not Evolving Rapidly Enough Incentivizing/Disincentivizing Organic Sources Statutory Rules Contractor Limitation on Unit Level Performance Contractors on the Battlefield Policy Lack of PBL Training Lack of or cost of Data Collection System

Non-Mission Capable Supply (NMCS) Mission Capable Deliveries Non-Mission Capable Maintenance (NMCM) Supply Availability 10% Reduction in O&S Costs Customer Wait Time (CWT) Mean Time To Repair (MTTR) Days Fill Rate Operational Availability (Ao) Operational Readiness Rate (ORR) In-Flight Abort Rates Cost of Flight Hour Turn-Around-Time (TAT) Logistics Maintenance Ratio (LMR) Training Equipment Availability Rate (TEAR) Built In Test (BIT) Accuracy Cost Per Mile to Operate Operational Effectiveness Contractor Performance Factor (CPF) Non-Chargeable Down Time (NCDT)

Developing a PBAOverview

• Purpose• Document, in terms of performance, the relevant support requirements

• Document what that specified level of performance will cost.

• Background• Brief description of program and decision criteria in choosing this solution.

• Metrics• Used to measure how well a program is meeting the objectives

• Identification of realistic, quantifiable, and measurable metrics

• May change as requirements of the program evolve

• Methodology:• Use of warfighter performance requirements to influence the design• Identification of all stakeholders roles and responsibilities (IPT’s) , for the collection,

processing, analysis and reporting of performance data• Identification of the source and data to be collected• Formal performance review & dispute resolution process

Fightin’ words: “Where does PBL fit in with how we are doing business today?

Developing a PBAOverview (continued)

• Roles and Responsibilities• Includes Program Office, warfighter, Product Support Integrator Lead, Product

Support Integrator Team.

• Schedule• Major milestones and criteria for demonstrating successful accomplishments

• Period of Performance• Not a one-time event.

• Formally establishes an ongoing relationship between Government/Industry and the Warfighter throughout the weapon system life cycle.

• Will require continual management throughout the weapon system life cycle • System evolution may lead to requirements change

• Approving Officials• Should include:

• Program Executive Office• Warfighter/User• Product Support Lead Integrator• Program Manager

Developing a PBATemplate

• Performance Based Agreement Sections• Objective and Scope• Content• Roles & Responsibilities• Performance Measures• Revisions and Flexibility• Accountability and Oversight• Existing Agreements• Contingency Agreements• Execution of Agreement

Performance Based Agreements

• Preface• Provides a common framework, a ‘checklist’ to consider, that may

involve one or more organizations• Guidance, not direction…as the PBA matures, “best practices” will

evolve and define the necessary PBA agreement restructuring.

• Consider the following elements when developing a Performance Based Agreement:• Objective and Scope• Content• Roles and Responsibilities• Performance Measures• Revisions and Flexibility• Accountability and Oversight• Contingency Agreements• Execution of Agreement

PBA Objective and Scope

• Objective: Establish realistic, quantifiable, and measurable metrics between MARCORSYSCOM and Product Support Providers

• Scope: PBA will address a basic set of criteria:• Document customer requirements and establish a set of mutual

expectations.• Shall document the intent of the parties to review specific period of

performance for the purpose of measuring the effectiveness of the product support providers.

• Ideally expressed in contract-like terms which outline the desired outcome.

• Incentives and Penalities

PBA Intent

• MARCORSYSCOM and the customer sign the agreement to participate in the collaborative effort to design, build, field, and support G/ATOR

• Clear identification of the customer performance and support requirements that will be applied

• The program requirements will be quantified as metrics

PBA Roles & Responsibilities

• Should be clearly delineated in each individual PBA so that each stakeholder clearly understands the performance level to which they’ve subscribed.

• Key aspects include:• Signature authority and the ultimate responsibility for monitoring, managing and

executing all portions of the PBA agreement lies with the individuals designated therein.

• Responsibility for executing the portions of the agreement specific to the PBA and setting the detailed arrangements for accomplishing the execution of each portion of the agreement, documenting performance targets, and monitoring through measurements lies with the signatories to the agreement.

PBA Performance Measures

• Should be carefully evaluated and selected to measure the specific outcome that have meaningful impact on acquisition strategy.

• Potential performance measures:

• Operational Availability (Ao)• Operational Readiness Rate (ORR)• Turn-Around-Time (TAT)• Logistics Maintenance Ratio (LMR)• Built In Test (BIT) Accuracy

• Should establish timelines for the performance reviews. • identification of metrics

• data collectio/validation

• base lining processes

• Should include procedures for reconciliation of differences

• Bring in your legal staff at this point!

• Feedback mechanism(s) should include Notification and Resolution procedures as well as Escalation Procedures.

PBA Revisions and

Flexibility

• Unanticipated changes may necessitate a renegotiation• Flexibility enablers:

• Envision and document a range for each metric to accommodate for fluctuating resources

• PBA’s are long term(7-10 years):review periodically!• Synchronize the PBA review with the planning and budgeting process

(POM)• Subsequent reviews should not require a “clean sheet negotiation”

effort

• Defining the resource level required to support specific performance thresholds is a significant step towards reducing Total Ownership Cost

PBA Accountability and

Oversight

• PBAs provide for equitable and consistent expectations and enforcement for all parties

• Guidelines:• Do you have adequate resources (i.e. funding, manpower support)

necessary to achieve the required support levels?• Are incentives for performance by organic providers considered and

clearly defined within scope of PBA?

• Contingency Agreements• PBAs should include provisions for modification for agreed-upon

periods of time under contingency situations • This including clauses that would be activated as a result of mission-

related contingencies.

PBA Summary

• Performance Based Agreements are a critical element in implementing PBL

• Define Expectations of Force Provider

• Define range of support requirements

• Basis for negotiating support contracts

• Ensure accountability in meeting Warfighter requirements

• Getting them right is critical!

RECOMMENDATIONSRECOMMENDATIONS

• Organize IPT’s around things that are core to your business, not around functions. • Set goals for each IPT.

• Benchmark, stay current, be willing to change, keep improving• Execute with excellence.

• Understand what you are currently doing • Focus on Total Life Cycle Systems

Management.• Choose integrated solutions.

• Measure performance for continuous improvement.

• Get the right information to the right people.• Build through experience.

Acknowledgments & thanks!

•Randy Fowler, Director, Center for Logistics and Sustainment Curriculum Development, Defense Acquisition University

•Kathie McGuire, Headquarters DLA Action Officer for USMC/Army Weapon Systems

•Resource Consultants, Inc.2650 Park Tower Drive, Suite 800Vienna, VA 22180

• John L. Tyler, Lead Logistician, MARCORSYSCOM, BMADS, PM-Radar Systems

•George Perise, Log.Sec Corporation

4150 Weeks Drive, Warrenton, VA 20187

Documents

Performance Base Logistics for the Ground / Air Task Oriented Radar, 5 February 2004 Presented by John Sells, Product Support Manager - [email protected]