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15 July 2011

Office of the Deputy Assistant Secretary of Defense (DASD) Materiel Readiness (MR) Accomplishments & Activity Update. Mr. John Baranowski Acting DASD(MR) Office of the Deputy Assistant Secretary of Defense - Materiel Readiness. 15 July 2011. Overview.

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15 July 2011

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  1. Office of the Deputy Assistant Secretary of Defense (DASD) Materiel Readiness (MR) Accomplishments & Activity Update Mr. John Baranowski Acting DASD(MR) Office of the Deputy Assistant Secretary of Defense - Materiel Readiness 15 July 2011

  2. Overview • Acquisition Efficiency Guidance Roadmap • MR Operating and Support (O&S) Status • O&S Cost in Affordability • Rapid Acquisition Overview • Rapid Sustainment Quad Chart • PSAT Implementation Overview • CY2011 Implementation Timeline • PSAT Highlight Summary • Summary

  3. Acquisition Efficiency Guidance Roadmap 2

  4. MR Operating & Support (O&S) Status • 1.1.4.1 Update Ownership Costs Key System Attribute (KSA) • JCIDS Working Group incorporated full O&S KSA Nov 2010 • KSA now includes all O&S costs elements • Programs currently reporting full O&S in DAES/SAR and Sustainment Quad Charts • 1.1.4.2 Standardize O&S Cost estimation methods and tracking • O&S team includes L&MR, CAPE, Service 4s/Secretariats, J-4, Industry • Standardize and establish traceability of costs from initial data sources through metrics used for O&S and Life Cycle Cost management decision making • Evolve the life cycle management framework to incorporate credible and consistently determined metrics for better buying power decisions • Inform Product Support Managers (PSM) how to develop and manage cost metrics • O&S Cost team deliverable – suite of products under development • Standardization of terminology through “O&S Glossary” (July ‘11) • “Rosetta Stone” translation guide for Integrated Product Support Elements into CAPE O&S Cost Elements into Appropriations (Summer ‘11) • Update 2007 CAPE O&S Cost Estimating Guide (Fall ‘11) “Will Cost” • Complete O&S Cost Management Guidebook (Fall‘11) “Should Cost” • (PM/PSM decision making)

  5. Rapid Acquisition Overview- MR Influence • Rapid Acquisition was established to accelerate fielding timelines by improving acquisition processes • Rapid Acquisition provides the Warfighter with mission critical equipment required to perform operations • The Joint Rapid Acquisition Cell (JRAC) is leading this effort: • Tracks rapid fielding initiatives, assigns sponsors and obtains funding • Building affordability into rapid acquisition processes – support better buying power initiatives and outcomes MR is supporting this Departmental effort through the Rapid Sustainment Plan Pilots • Goal: Develop a streamlined sustainment plan to cover basic logistics, inform portfolio reviews and facilitate collaboration across L&MR Efforts are being coordinated across key organizations and working groups throughout the Department.

  6. Rapid Sustainment Quad Chart-- Notional -- ABC Program NOTIONAL – not real data

  7. PSAT Implementation Overview Industrial Integration Partnering Guidance Title 10 Changes Criteria & Baseline Improved Readiness Product Support Business Model PSBM PM Guide Log Cost Memo Revised Policy Supply Chain Operational Strategy JSCA Op Strat Enterprise Architecture SCM BOK Metrics Automated RAM Metrics Enterprise Dashboards O&S Legacy System Reporting O&S Cost Definition & Granularity Memo Affordability Language Analytic Tools Post-IOC Review Analysis “Toolbox” Analytical Tools Guidance Governance LA Guide Sustainment Chart & Implementation Guide Human Capital Better Cost Control FIPT Guidance Competencies Identified Career Fields Targeted Training Outreach SSG & PSEC Office Calls Magazine Articles Congressional Briefings AIA, NDIA, & Logistics Conferences Industry Meetings 6

  8. CY 2011 Implementation Timeline PSEC Mtg Newsletter PSEC Mtg Newsletter All Hands All Hands All Hands Product Support Business Model PSM Guidebook Rev 0 PSM Guidebook Website IndustrialIntegration Survey Report Complete Data Review Supply Chain Operational Strategy Metrics Institutionalized Roadmap DoD Enterprise Supply Chain Opportunity MGMT JSF Baseline BCA and Analytic Tools BCA Guidebook Rev 0 BCA Guidebook Website Analytical Tools Published Metrics Quad Chart Guidance Revision Metrics Refinement Institutionalization Governance IPT Stakeholder Meetings MTVR LA Report LA Guidebook Institutionalization Product Support Executive Council (PSEC) Update Operations & Support Cost Metrics Deliverable Matrix Deliverable Glossary Deliverable O&S Cost Analysis Guidebook (Rev 0) Human Capital Revised Log 103 RAM, LOG 206 Courses IPS Element Guidebook LOG 340 Course DoD Product Support Wall Chart Operational Strategy Draft Long Term Operational Strategy 7

  9. PSAT Summary Highlights • Sustainment Quad Chart fielded. • Product Support Manager & Business Case Analysis Guidebooks staffing completed, released April 15, 2011 accessible - http://www.dau.mil/PubsCats/Pages/Guidebooks.aspx. • Logistic Assessment Guidebook comments adjudicated - June release planned. • Post-IOC Review guidance is being incorporated into the Defense Acquisition Guidebook (DAG). • DTM 10-015 Requirements for Life Cycle Management and Product Support issued- Services working implementation. • - PSM Rapid Deployment Training posted. • Industrial Integration activities ongoing - multiple fronts. • O&S Cost Team – Partnered with CAPE, O&S Nomenclature staffing complete, adjudicating comments, O&S Cost Management Guide in development (Dec 11 completion). • Joint Supply Chain Architecture (JSCA) metrics developed; WSD diagnostics ongoing. • Human Capital training/course development in parallel with PSAT execution.

  10. Summary • Life Cycle Management Enables Effective/Affordable Weapons Systems – DASD(MR) INTEGRATION AGENT • Greater Commitment for Product Life Cycle Support ( Enterprise Vision) • Developing tools/processes to equip the Product Support Manager and Program Teams • Alignment with Better Buying Power Initiatives THANK YOU FOR YOUR COMMITMENT AND CONTINUED SUPPORT.

  11. Back Up Slides

  12. MR Policy Engagement DoDI 5000.02 DASD (MR) engagement model DoDI 5000.02 Enclosure 13 – Life-Cycle Sustainment Policy Life-Cycle Sustainment Plan (LCSP) Template Evolving Document throughout the Lifecycle • PSAT Guidebooks • PSM • BCA • IPS • LA Defense Acquisition Guidebook (Chapter 5), Dtd 4/29/11 Guidance Post IOC • Action Officer/Program Collaboration • IIPT, OIPT, DAB decision support • DAES, DAMIR, SARs Oversight Operations and Sustainment Acquisition Program Manager Product Support Manager MS A MS B MS C FRP/ IOC Continual review cycle Acquisition Strategy and other Acquisition Management Docs Life-Cycle Sustainment Plan, BCA, Log Assessments/Reviews Planned Sustainment Performance Actual Sustainment Performance 11

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