American Society of Naval Engineers ( ASNE ) Brief

1. American Society of Naval Engineers (ASNE) Brief RDML Jeff Harley President, Board of Inspection and Survey 31 July 2014

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3. Legal Authority And Mission U.S. Code Title 10 Section 7304. Examination by Board (a) The Secretary of the Navy shall designate Boards of Naval Officers to examine Naval vessels … Each vessel shall be examined at least once every three years, if practicable. (b) A Board designated under subsection (a) shall submit to the Secretary in writing its recommendations as to which vessels, if any, among those it examined should be stricken from the Naval Vessel Register. Mission Inspect the Fleet’s in-service and new construction ships, determine their material readiness, and report this assessment to Congress and Navy Leadership. 3

4. Why Do We Exist? • Inspect Naval Vessels and recommend to SECNAV which to strike from the Naval Vessel Register. • Inspect ships to determine fitness for service, through trials, material inspections, and surveys. • Identify performance capabilities and material conditions which limit mission capability. • Compile statistical information on material deficiencies. • Develop and maintain Fleet-wide standardized assessment procedures … and metrics. 4

5. Inspection Findings MATERIAL INSPECTIONS (MI): 35 so far this fiscal year: 25 surface ships, 8 submarines, and 2 CVNs. - Surface MI trends: Of the 20 surface functional areas inspected, none are significantly down although Aviation and Habitability are trending toward “degraded.” Aviation was degraded primarily by JP-5 fuel system problems, and habitability was degraded due to emergency egress panels, electrical safety, and leakage from fuel tank coverings into berthing spaces. - Submarines continue to score well in all areas except Information Systems. - CVN scores were at or above historical averages in all areas except Information Systems. TRIALS: 7 trials conducted year to date. There are 6 trials scheduled for the 4th quarter including a one-day Special Trial on LCS 2. This past quarter included the first ever Final Contract Trial on an LCS 2 variant, the USS CORONADO LCS 4.

6. 5-Year Fleet IFOM Average Fleet: 43 Surface: 27 CVN: 2 Sub: 14 Fleet: 43 Surface: 25 CVN: 3 Sub: 15 Fleet: 30 Surface: 19 CVN: 1 Sub: 10 Fleet: 39 Surface: 30 CVN: 0 Sub: 9 Fleet: 35 Surface: 25 CVN: 2 Sub: 8 *No CVN MIs conducted in 2013.

7. Fleet 5-Year IFOM Trends

8. INSURV Readiness Measures Design Standard (Ship Specs) 100 Resourced Level 80 Acceptable Readiness Below Acceptable Readiness 0 • Ships historical IFOM (and other resourcing levels) is approx 80% • Above 80% is thus not resourced • Scoring attributes above 80% skew ship’s force performance • Two actions: (1) as a separate INSURV score, adjust 80% as the resourced norm • (2) normalize scoring matrix for “ship’s force capable” • and Program of Record shortfalls

9. Audits • OPNAVINST 4700.7L directs INSURV to audit and validate material condition metrics. To this end, INSURV conducts maintenance process audits. Summary highlights below: • Class Maintenance Plan (CMP) accomplishment: • Surface force remains steady at 92% as recorded by the technical community for FY14, up from 72% in 2010. • Submarine and CVN compliance remains strong and is only spot-checked. • Surface Ship Tank & Void assessments reveal that the material condition of 92% of T&Vs is known, up from 87% last year. • Surface Ship Hull Structure assessments reveal that the material condition of 66% of Hull Structures is known, up from 61% last year. • Modernization audits reveal both fewer temporary alterations remaining onboard past scheduled removal date and fewer alteration installations that were reported complete with missing items than last year. • Manpower and Training audit commenced this year and reveals that ships are manned to 93% with 82% of required NECs onboard.

10. Surface EOC Scores Definitions: 0.00 – 0.03: STEADY 0.04 – 0.08: UP/ DOWN >0.08: SIGNIFICANTLYUP / DOWN * INSURV began an enhanced inspection of Information Systems in 2013. 3 of 20 Functional Area scores have IMPROVED over 2013, while 6 DECLINED.

11. Surface Demos Definitions: 0.00 – 0.03: STEADY 0.04 – 0.08: UP/ DOWN >0.08: SIGNIFICANTLYUP / DOWN 3 of 12 demos scores have IMPROVED over 2013; 4 have DECLINED.

12. Surface Worst 10 For 2014 Worst 10 of 184 sub-systems. Ranked by lowest % of SAT/green. (Numbers in bars indicate ships inspected) 12

13. Submarine EOC Scores Definitions: 0.00 – 0.03: STEADY 0.04 – 0.08: UP/ DOWN >0.08: SIGNIFICANTLYUP / DOWN * INSURV began an enhanced inspection of Information Systems in 2014. 13 of 16 EOC scores have remained STEADY from 2013; 3 have DECLINED.

14. Submarine Demos Definitions: 0.00 – 0.03: STEADY 0.04 – 0.08: UP/ DOWN >0.08: SIGNIFICANTLYUP / DOWN 2 of 7 demos scores have IMPROVED over 2013; none have DECLINED.

15. Submarine Worst 10 For 2014 Worst 10 of 72 sub-systems. Ranked by lowest % of SAT/green. (Numbers in bars indicate ships inspected)

16. CVN EOC Scores Definitions: 0.00 – 0.03: STEADY 0.04 – 0.08: UP/ DOWN >0.08: SIGNIFICANTLYUP / DOWN * INSURV began an enhanced inspection of Information Systems in 2014. 10 of 18 Functional Area scores have IMPROVED over 2012, while 3 DECLINED.

17. CVN Demos Definitions: 0.00 – 0.03: STEADY 0.04 – 0.08: UP/ DOWN >0.08: SIGNIFICANTLYUP / DOWN 3 of 6 demos scores have IMPROVED over 2012; 1 has DECLINED.

18. CVN Worst 10 For 2014 Worst 10 of 144 sub-systems. Ranked by lowest % of SAT/green. (Numbers in bars indicate ships inspected)

19. INSURV Initiatives(Complete)

20. INSURV Initiatives(In Progress) Creating a smarter INSURV!

21. INSURV Grading: 2013 And Beyond 21

22. Ships Capable Grading One Standard Deviation Two Standard Deviations One Standard Deviation Two Standard Deviations Mean 13.5% 13.5% 2.5% 2.5% 68% Significantly Below Average Below Average Above Average Excellent Average 22

23. Contact Us: INSURV_LTLC_FEEDBACK@navy.mil Or Jeffrey.Harley@navy.mil

24. 5 - Year Score Trend

25. FY 2014 IFOM Results * Rank is a rolling average over past five years of inspections.