‘ Parts Management in Systems Engineering’

1. ‘Parts Management in Systems Engineering’ DOD Standardization ConferenceParts Management Initiatives Panel Chet Bracuto Systems and Software Engineering (Enterprise Development) Office of the Deputy Under Secretary of Defense (A&T) 5 March 2008

2. OUSD (AT&L) Organization USD, Acquisition Technology & Logistics DUSD, Acquisition & Technology Dir, Joint Advanced Concepts Dir, Systems and Software Engineering Dir, Portfolio Systems Acquisition Defense Acquisition University Defense Procurement and Acquisition Policy Industrial Programs Small Business Programs Defense Contract Management Agency

3. Director, Systems & Software Engineering Kristen Baldwin (Acting) SES Deputy Director Enterprise Development Deputy Director Developmental Test & Evaluation Deputy Director Software Engineering & System Assurance Deputy Director Assessments & Support Col Rich Hoeferkamp (Acting) Chris DiPetto SES Kristen Baldwin SES Glyn James (Acting) CORE COMPETENCIES CORE COMPETENCIES CORE COMPETENCIES CORE COMPETENCIES • SE Policy • SE Guidance • SE in Defense Acquisition Guidebook • Technical Planning • Risk Management • Reliability & Maintainability • Contracting for SE • SoS SE Guide • SE Education and Training • DAU SE Curriculum • SPRDE Certification Rqmt • Corrosion • R-TOC • Value Engineering • DT&E Policy • DT&E Guidance • T&E in Defense Acquisition Guidebook • TEMP Development Process • DT&E Education and Training • DAU DT&E Curriculum • DT&E Certification Rqmt • Joint Testing, Capabilities & Infrastructure • Targets Oversight • Acq Modeling & Simulation • Energy • DSOC/Acq Tech Task Force • SWE and SA Policy • SWE and SA Guidance • SoS, SA Guides • SWE and SA Education and Training • DAU SW Acq Curriculum • Continuous Learning Modules for SWE, SoS, SA • Software Engineering • Acquisition Support • Software Engineering Institute (SEI) • Process Improvement • CMMI Sponsor • DoD/National Software Investment Strategy • Support of ACAT I and Other Special Interest Programs (MDAP, MAIS) • Assessment Methodology (Program Support Reviews - PSRs) • T&E Oversight and Assessment of Operational Test Readiness (AOTR) • Systems Engineering and Developmental Test Planning and Support • Lean/6-Sigma Training/Cert Acquisition program excellence through sound systems and software engineering Systems and Software EngineeringOrganizational Core Competencies

4. Assessment DAPS Tech Review Checklist E&T resources SPRDE Courses Supplemental Guides (select topics e.g., SEP, Risk, SoS) CLE CLMs Related Industry Standards Elements of SE Policy, E&T, Guidance and Assessment Policy DoDD 5000.1 DoDI 5000.2 Guidance DAG (Ch 4)

5. PMR IPT Findings “Acquisition environment lacks adequate emphasis on parts management/standardization at the DoD level” “Systems Engineering discipline currently lacks parts management/standardization focus” “Most DoD programs do not address DoD level parts management/standardization” Parts Management Reengineering Implementation Process Team (PMRIPT)

6. SSE Views on Parts Management To be effective, Parts Management must be • Part of the program’s technical planning and included in the Systems Engineering Plan (SEP) • A design consideration as part of the SE process - a derived requirement • Properly staffed and involved in the SE process • Part of the technical baseline definition (functional, allocated, and product baselines) • Included as technical review risk assessment and exit criteria

7. SSE Views on Parts Management Parts Management Techniques in Systems Engineering • Upfront logistics considerations should include R&M, standardization, quality and DMSMS: • Anticipate Diminishing Manufacturing Sources and Material Shortages • Avoid material that could wind up to be in short supply; use trusted sources • Avoid manufacturers that could possibly go out of business • Strongly consider common support equipment • Provide incentive to primes and lower tiers through the contract to use parts already in DoD system that meet requirements (i.e. reliability, affordability) • Include production engineers up front • Establish metrics (e.g., minimize # of unique parts) to encourage use of standard parts • Use SE trade studies to balance life cycle cost, availability, reliability and other design considerations

8. Program Technical Reviews Part Management is an important design consideration

9. Related SSE Initiatives and Contributions • Defense Acquisition Guidebook (DAG), Chapter 4 (Systems Engineering) (http:www.acq.osd.mil/se/publications.htm) • Update will include Parts Management as a ‘Design Consideration’ • Draft of proposed changes was written by PMRIPT SE Working Group • Design Considerations Discussion in Technical Planning (SEP Prep Guide) (http://www.acq.osd.mil/sse/guidance.html) • Captured under Requirements, Staffing, Technical Reviews • Risk Assessment Checklists (refer to Technical Review CLE003 at (https://learn.dau.mil/html/clc/Clc.jsp) • PSMC to review for Parts Management considerations • SSE Participation on: • MIL-STD-3018 • Parts Management DID (DI-SDMP-81748) • Parts Management CLM • PMRIPT • SD-19 Update

10. Proposed DAG Ch 4 Changes to Address Parts Management • An overview of the goals of Part Management • Reduce logistics footprint and lower total life cycle costs • Mitigate parts obsolescence due to DMSMS • What a part is and its relationship to other system elements and configuration items • Discussion of parts management strategy • Consideration over the entire life cycle of a system • Based on the fundamental SE technical and technical management processes • Configuration management, technical assessment, decision analysis, design solution, implementation, verification and evaluation at technical reviews • A Parts Management Plan should be documented in the Systems Engineering Plan • Parts selection should be based on trade-offs and cost-benefit analysis • References MIL-STD-3018, SD-19 and industry guides for additional implementation details

11. Summary • ODUSD (A&T)/SSE working with DSPO to ensure Parts Management becomes properly integrated with systems engineering and acquisition program oversight • Incorporation into Systems Engineering chapter of Defense Acquisition Guide • Incorporation as consideration in Technical Planning • Participation on various documents to assist the acquisition community to better address Parts Management (i.e. Risk Checklists, MIL-STD-3018, CLM, SD-19)

12. Backup

13. System Engineering Revitalization Effort * New/Updated Courses Career Field Training Fundamentals of Systems Engineering Course Systems Planning, Research, Development and Engineering Course (Intermediate A&B and Advanced) Test & Evaluation Courses Course updates to address Safety Continuous Learning Courses System Safety Modeling and Simulation Technical Planning Reliability and Maintainability Technical Reviews Modular Open Systems Trade Studies Outreach Over 25 conferences, engagements per year SE UARC SE-PEO Panel DT&E Revitalization DSB Defense SW Strategy Summit SE-PEO Panel Energy DSB NDIA Top 5 SE Issues Update NDIA Top 7 SW Issues CSIS SE Effectiveness Study SSE Established/Elevated SSA Directorate System Assurance Guide SEP Prep Guide CMMI Integrity Workshop System of Systems SE Guide DSOC – ATP Task Force CMMI for Acquirers Guide New SE Career Path SE Town Hall System of Systems SE Guide 0.9 Joint Weapon Safety Review Guidebook Contracting for SE guide M&S Roadmap T&E Certification Requirements Risk Management Guide IMP/IMS Guide RAM Guide Monthly Service/Agency SE Forums SE Education & Training Summit SEP Prep Guide DAG System-Level Program Support Assessments NDIA Top 5 SE Issues PM Guide to MOSA SE Policy Addendum Corrosion SE Policy Letter NDIA Annual SE Conference & Bi-Monthly SE Division Meetings 2003 2004 2005 2006 2007 2008

14. SE Policy in Draft DoDI 5000.2Enclosure 12: Systems Engineering E12.1. Systems Engineering Across the Acquisition Lifecycle. E12.2. Systems Engineering Plan (SEP). E12.2.1. “Program managers shall prepare a SEP for each milestone review, beginning with A.” E12.2.2. “The MDA shall be the approval authority for the SEP.” E12.3. Systems Engineering Leadership. Each Program Executive Officer shall have a lead or chief systems engineer on his or her staff responsible to the PEO for systems engineering across the PEO’s portfolio of programs and shall: E12.3.1. Review assigned programs’ SEPs and oversee their implementation. E12.3.2. Assess performance of subordinate lead or chief system engineers. E12.4. Technical Reviews. Technical reviews shall be event driven, conducted when documented entrance criteria are met, and include participation by subject matter experts who are independent of the program. E12.5. Configuration Management. Documented in the SEP, the configuration management approach shall identify, document, audit, and control the functional and physical characteristics of the system design, track any changes, and provide an audit trail of program design decisions and design modifications. 5

15. SE Policy in Draft DoDI 5000.2 E12.6. Environment, Safety, and Occupational Health (ESOH). The PM shall use the methodology in MIL-STD-882D to assess ESOH risk, eliminate ESOH hazards where possible, manage the risks that cannot be eliminated, and report on the status of ESOH risk at technical reviews. E12.7. Corrosion Prevention and Control. Each ACAT I program shall document its strategy in a Corrosion Prevention Control Plan at Milestones B and C. E12.8. Modular Open Systems Approach (MOSA). Program managers shall employ MOSA. E12.9. Data Management and Technical Data Rights. Program managers for all ACAT I and II programs shall assess their long-term technical data needs and document them in a Data Management Strategy which shall be approved in the context of the acquisition strategy prior to issuing a contract solicitation. 6