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Presented By: Mr. David Fair 973-724-3078 Davefair@pica.army.mil

PEO Ammo & Industrial Base Management. Presented By: Mr. David Fair 973-724-3078 Davefair@pica.army.mil. 28 October 2002. Objectives. Appointment of Kristin Jasinkiewicz to be the Army Chairperson Overview of the PEO Ammo Discussion of the Base Planning Process. PEO Ammo.

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Presented By: Mr. David Fair 973-724-3078 Davefair@pica.army.mil

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  1. PEO Ammo & Industrial Base Management Presented By: Mr. David Fair 973-724-3078 Davefair@pica.army.mil 28 October 2002

  2. Objectives • Appointment of Kristin Jasinkiewicz to be the Army Chairperson • Overview of the PEO Ammo • Discussion of the Base Planning Process

  3. PEO Ammo Committed to providing superior ammunition to the soldier

  4. PEO Ammo Objectives • Integrate Ammunition Life Cycle Management Under a Single Chain of Command • Execute a Consistent Munitions Acquisition Strategy Independent of: • ACAT Level • Acquisition Agency • Munition Type • Optimize Key Business Processes • Develop an Industrial Preparedness Planning Strategy (Organic and Commercial)

  5. PEO Ammo Mission • Execute the Life Cycle Acquisition Management of Ammunition • Manage DoD’s Ammunition Industrial Base • Single Appropriation Manage

  6. Excalibur Conventional Mortar Ammo Wide Area Munition (Hornet) 5.56mm Armor Piercing Bullet Precision Guided Mortar Munition M829A2 APFSDS-T M795/M795E1 Non-Lethal Capability Set 40mm Crowd Control Cartridge Modular Crowd Control Munition Conventional Ammunition Precision Munitions Non-Lethal Systems

  7. Mid-Range Munition Fire Control Electronics Multi-Role Ammunition Systems • Centralized management of DoD’s organic and commercial munitions production base Abrams Electronic Muzzle Reference System Integration into IBCT Mortar Carrier Munitions Industrial Base Objective Force Ammunition Weapon Systems

  8. PEO Ammunition SFAE-AMO, Building 171 Picatinny Arsenal, NJ 07806-5000 APEOs Pete Vauter Business Mgmt APEO 724-7121 Rene Kiebler System Mgmt APEO 724-4908 Matt Zimmerman Industrial Base APEO 724-7626 PEO OSC Integration Cell Willie Smith Comm 309-782-2687 (DSN793) Bobbie Russell Comm 309-782-3006 (DSN793) (973) 724 – xxxx DSN: 880 - xxxx Fax: (973) 724-7127 ASA(ALT) DASCs COL Michael McChesney SAAL-SM Dir 703-601-0466 LTC Jim Ashworth DASC Chief 703-604-7221 PEO Ammo Organization PEO Ammunition COL (P) Paul Izzo PEO 724-7101 Mr. Kevin Fahey DPEO 724-7102 Patti Banta Sec’y 724-7116 LTC Tim Prendergast XO 724-7133 Ev Elko Admin 724-7112 Maneuver Ammo System - Direct Fire Mr. Bill Sanville PM x5307 Fred Steinberg Act’gDPM x5964 Babs Smith Sec’y x4622 Bruce Potter BusMgr x4173 Close Combat Systems Mr. Jim Sutton PM x7041 Patti Felth DPM x7921 Justine Horchor Sec’y x7977 George Firrincili BusMgr x6922 Joint Services COL Jeff Gwilliam PM x5257 Combat Ammo Systems - Indirect Fire COL Nate Sledge PM x2003 Pat Serao DPM x2110 Sonny List Sec’y x2573 Joe Gormley BusMgr x5891 Mortars LTC Larry Hollingsworth PM x3636 Dave Super DPM x4209 Large Caliber LTC Dave Rice PM x4935 Pete Cardell DPM x4375 Industrial Base Matt Zimmerman APEO x7626 DEMIL LTC Kevin Jennings PM x5276 Excalibur LTC Jeff Wilson PM x3152 Chris Grassano DPM x5246 Medium & Small Cal TBD PM x Ron Brown DPM x4853 Oct 1,’02

  9. FY 03 Procurement, OPA, WTCV Total (9%) (12%) (34%) Total: $1,116.2M Source: FY04-09 BES (45%) • PM Maneuver Ammunition Systems • Large Caliber • Medium Caliber • Small Caliber • PM Combat Ammunition Systems • Artillery Ammunition • Artillery Fuze • Mortar • PM Joint Services • Industrial Base ($73.5M) • Ammo Peculiar Equip/Demil ($23.4M) • PM Close Combat Systems • Mines, Countermines & Demolition

  10. PM Combat Ammunition Systems PM Joint Services /Industrial Base PM Maneuver Ammunition Systems PM Close Combat Systems FY 03 RDTE Total Total: $321.1M (3%) (42%) (50%) (5%) Source: FY04-09 BES

  11. PEO Ammo Industrial Base Management Customers Mission PM Maneuver Ammo Systems PM Close Combat Systems PM Combat Ammo Systems USMC, USAF, USN SOCOM & USCG PEOs Industry • Provide Centralized Management of the Munitions Industrial Base • Optimize Planning, Coordination & Decision Making that Affects the Preparedness of the National Technology & Industrial Base Suppliers FY03 GOCOs GOGOs • RDTE 665805 • Munitions $8.5M PAA Prod Base Support: Lake City Lone Star Iowa Milan Kansas Holston Radford Scranton Riverbank Louisiana Mississippi • IF $42.7M • MIF $9.1M • LIF $7.0 M • ARMS $4.7M • LAP/Rad $10.0M • $73.5M Crane McAlester Pine Bluff IF-Industrial Facilities; ARMS-Armament Retooling & Manufacturing Support; MIF-Maintenance of Inactive Facilities; LIF-Layaway of Inactive Facilities Commercial: 70+ Companies

  12. Industrial Base Challenges • Current Munitions Portfolio • 14 Major Families • 200+ End Items • 350 Components • Munitions Production Base Capacity • Down 68% Last 10 Years • Currently Underutilized • Replenishment Driving Size Of Base • Single Sources • 71 Components • Minimal Incentives for Contractor Capital Investment • Manufacturing Capability • Currently Focused on Legacy Systems • Marginal Future Munitions Capacity

  13. PEO Ammo Industrial Base Management • Status: • Formed Multi-Service/Multi-Organizational Strategic Planning IPT • Formulating Industrial Base Strategic Plan & Processes to: • Modernize & Transform the Industrial Base • Optimize Coordination, Communication & Decision Making • Draft Nov ’02; Updated Draft Jan ’03; Completed May ‘03 • Managing: • PAA Activity 2 • Production Base Support (IF, MIF, LIF) Programs • Armament Retooling & Manufacturing Support (ARMS) Program • RDT&E 665805 Munitions Standardization/Effectiveness Program • Preparing for Sec 806 Authority to Effectively Posture the Industrial Base • Formulating “Critical Risk Products” Management Schemes • Supporting AMC’s PBD 407 Implementation Plan Development

  14. Industrial Base Vision “A Responsive, Innovative, Efficient Manufacturing Base, Capable of Meeting National Security Requirements While Preserving Critical Core Competencies and Relying to the Maximum Practical Extent on Competition & Private Ownership”

  15. Industrial Base Strategic Objectives • Transform to Meet Legacy, Interim, & Objective Force Warfighter Requirements • Modernize • Balance Industrial Base & Acquisition Management Risk • Increase Operating Efficiencies & Affordability • Incentivize Commercial Investment • Preserve Critical Core Competencies Let Acquisition Drive the Industrial Base

  16. Industrial Base Strategic Plan What is it? • A Dynamic Planning Document that: • Captures Overarching Industrial Base Vision, Goals & Strategies (5 Yrs., 10 Yrs.) • Baselines the Industrial Base State • Identifies Industrial Base : • Deficiencies • Critical Items, Capabilities & Technologies • Contains Implementation Plans that Outline How Strategic Goals Will be Met • Establishes Basis for Resource Planning & Allocations • Positions the Industrial Base for Responding to Acquisition Plans, Strategies and Objectives • Transform & Modernize the Industrial Base to Meet Legacy, Interim, & Objective Force Warfighter Requirements

  17. Matt Zimmerman DSN 880-7626 PEO Ammo Industrial Base Staff 50% 33% David Fair TACOM-ARDEC DSN 880-2941 NH-IV (TBD) Steve Rosenberg TACOM-ARDEC DSN 880-7580 • Strategies • Plans • Policies • Sec 806 • Production Base Support • IF, MIF, LIF, PBS • Congressional • Tech Base Linkage • Pilot Prototyping • MANTECH • Industrial Base • Modernization • PM & OSC Liaison • Planning Coordination OSC ARDEC 1 Industrial Assessment Div ARDEC 2 ARMS office = Matrix Support, OMA Funded = PEO Core

  18. Matt Zimmerman DSN 880-7626 PM CAS Bob Goldberg (Art) Rene Medina (Mor) PM MAS Carl Roller Greg O’Conner PEO Ammo Industrial Base Planning Team David Fair TACOM-ARDEC DSN 880-2941 Steve Rosenberg TACOM-ARDEC DSN 880-7580 Al beuster Gary Budelier OSC NH-IV AFMO EDCA PM CCS George Firincilli Ariel Macalalad PEO Tactical Missiles/PM ARMS SBCCOM DCMA TACOM-ARDEC USAF AMC G-3 IB USMC Navy OUSD(AT&L) HQDA G-8, G-4, G-3 ASA(ALT)

  19. Strategic Planning Approach Establish Team & Mission Establish Where We Want to be Establish Where We Are • Baseline • DPG/Total • Requirements • ICAPP • OSC PBP • Capacity • Capabilities • Deficiencies • Critical Items • Technology • Cost • IB Assessments • PMs • OSC • DCMA • AMC • PEOs • SBCCOM • G-8 • ASA(ALT) • OSD • TACOM-ARDEC • EDCA • Other Services • Vision • Goals • Objectives • Metrics Objectives & Metrics Realistic? No • G3, G4 Yes Establish How We Get there Implement Staff for Approval • Strategies to Meet Objectives • Implementation Plans • Decision & Risk Analyses • Harmonization • Prioritization Apply 6 Sigma Principals Review & Adjust

  20. Industrial Base Hot topics •  71 of 302 Ammo Components Are Single Source. • 26 Are Fuzes or Power Sources. • LAP Competition Deferred • Radford Competition ongoing • Sec Army Tasker: PBD 407 Rand Study: “A Strategy for Managing Army’s Arsenals and Ammo Plants” • Implement Rand Recommendations to Extent Possible • AMC Lead for Plan Development & Implementation • ASA(ALT): • Assist w/ Plan Development • Identify Facilities for Gov. Retention As Exception • Receive AMC Plan 29 Nov 02 • Salient Cross Family Items: • Lead Azide, VAAR: No Producers • Black Powder: Single Source, Future Availability Suspect • HASC Requested Industrial Base Report By 15 Jan 02 • Sec Army Directed to Assess Industrial Base Capacity to Meet Army Requirements

  21. Summary • PEO Leading Development of Industrial Base Strategic Plan • Focused on All Munitions • Strategic Plan Will: • Capture Overarching Industrial Base Vision, Goals & Strategies • Optimize Industrial Base Preparedness • Position the Industrial Base for Responding to Acquisition Strategies, Plans and Objectives • Transition of Production Base Support Management Initiated • Working w/ AMC on PBD 407 Privatization Initiative

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