MIL-HDBK 881 Work Breakdown Structure Handbook Update

1. MIL-HDBK 881 Work Breakdown Structure Handbook Update Neil F. Albert MCR, LLC

2. Overview • Overall Approach • Technical Approach • Specific Issues to Address • Working Groups • Schedule • Questions/Issues MCR, LLC Proprietary - Distribution Limited

3. Overall Approach • Capitalize on MCR experience and move forward with a comprehensive and concise update to the Standard • Work with AT&L/ARA to ensure all requirements are met and supported • Use reach out capability in many of the areas highlighted in the SOW • Ensure industry participation on all areas • Coordinate with DCARC efforts on WBS definition review • Identify DoD service participation to support definition review and approval • Identify associations to provide experts in the fields required (Systems Engineering, EVM, Cost, PM, etc.) • Identify relevant other agencies to participate (attempt across agency consistency) • Create focus groups consisting of Government and Industry representatives for coordination and approval of WBS • Provide revisions to selected associations for comments and approval • Coordinate publication of Standard and provide electronic linked version MCR, LLC Proprietary - Distribution Limited

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5. Technical ApproachUpdate to Incorporate Changes to DoD Acquisition Policy and Guidance • Ensure consistency with latest version of DoD Instruction 5000.02 • Effort will ensure the update is current with requirements in the policy documents • Effort will be coordinated with functions of OSD including System Engineering, ARA, AT&L, PA&E and other relevant organizations which have representatives involved in the acquisition process MCR, LLC Proprietary - Distribution Limited

6. Technical ApproachAdd/Improve upon WBS Definitions • Investigate additional appendices or update to the current handbook for • Unmanned Sea Vehicles • Launch Systems • Construction Elements • Update definitions to reflect advancements • Software: heavier reliance on embedded and stand-alone • Space systems: need to be redefined to reflect a more standardized approach to industry development and acquisition • Missile Systems: due to industry feedback, need to refine to improve consistency at lower levels of WBS • Electronic Systems – more definition • Utilize focus groups (Government/Industry), consolidate information and provide suggested draft updates MCR, LLC Proprietary - Distribution Limited

7. Technical ApproachClarify How WBS can be used with Newer Terms and Processes • Evaluate, review and update terminology for • Performance Based Logistics (OSD PA&E efforts) • Contractor Logistics Support • “Services Support” will be defined based on the NDIA working groups definition • Consider integrating schedule activities MCR, LLC Proprietary - Distribution Limited

8. Technical ApproachEnsure the WBS is characterized as an Acquisition tool • Ensure use of a single WBS for all functional areas • Cost Estimating • EVM • PM • Database development • Scheduling • Requirements Planning, etc • Work with personnel to agree to one approach in defining and using the WBS • System engineers • Cost analysts • EVM technicians • Program managers • Contracts personnel MCR, LLC Proprietary - Distribution Limited

9. Technical ApproachWBS to support budget, cost, schedule, technical, contractual and performance management • Better understanding of WBS integration with Acquisition documents • Re-evaluate reporting that rely on the WBS • Contract Funds Status Report • Contractor Cost Data Report • Earned Value Management • Contract Performance Report • Relook at examples in Handbook • Reports track to each other if a single WBS is used • Relationship with • CLIN • SOW • Requirements • IMP/IMS MCR, LLC Proprietary - Distribution Limited

10. Technical ApproachEnsure Industry Participation • Use Government and industry representatives to ensure all aspects of WBS application and usage are considered and reflect real life situations • Program Management: Project Management Institute (PMI) and NDIA - Industrial Committee for Program Management • Systems Engineering: International Council on Systems Engineering (INCOSE) and National Defense Industrial Association (NDIA) • Cost Estimating: Society of Cost Estimating and Analysis (SCEA), CCDR Focus Group Participants and Aerospace Industries Association • Earned Value Management: PMI – College of Performance Management (CPM), NDIA – Program Management Systems Committee • Contract Management: National Contract Management Association (NCMA) MCR, LLC Proprietary - Distribution Limited

11. General Changes Considered • Suggested Appendix Changes:  • System of Systems (Move from body of document) • Software Intensive Systems (Move from body of document) • Unmanned Sea Vehicle Systems (Could potentially add to Unmanned Air Vehicle) • Suggested general changes to Work Breakdown Structures • Break out Systems Engineering and Program Management as separate WBS • Performance Based Logistics (should we address O&S activities?) MCR, LLC Proprietary - Distribution Limited

12. Potential Changes to Appendices • Aircraft Systems • Air Vehicle: Add Integration, Assembly, Test, and Checkout • Specify level 4 templates for each level 3 element (when the expansion of an element can leverage one of the E/ASS templates, e.g. an Airborne Radar template, use it) • Address where to put Contractor Logistics Support (CLS) and Performance Based Logistics (PBL) Elements • Training Systems- How should they be defined and where should they go in the WBS • Cargo vs Fighter aircraft – Broader appendix in Aircraft (rotary) A.2, A.3, build out as separate WBS.  • Electronic/Automated Software Systems: • Rename and redefine, as necessary, Platform Integration to Systems Integration, Assembly, Test, and Checkout • Consider a new name for E/ASS. (DCARC using for Engines) • Standard structure for Radios, Radar, etc. Win-T, JTRS, SINCGARS, etc. MCR, LLC Proprietary - Distribution Limited

13. Potential Changes to Appendices • Missile Systems • Command and Launch: Add Integration, Assembly, Test, and Checkout • Air Vehicle and Command and Launch: Add Systems Integration, Assembly, Test, and Checkout (at the SE/PM level) • Container- Many missile programs (e.g., PAC-3, GMLRS, NLOS-LS) use containers for launching purposes. A container is not a component of Air Vehicle. • Add stronger definitions and direction on where firms should record the costs of development missiles, including AUR, captive-carry, etc. • Provide clear direction as to where ILS costs belong. • Ordnance System • Reevaluate the children under Complete Round by closely examining ERGM, Excalibur, SDB, JSOW, and JDAM WBSs. Precision Guided Munitions, such as the Army’s MRM KE / CE 120mm round, Excalibur, and ERGM, have sophisticated, micro-electronic components that drive cost and performance. We need specificity for these components. • GBUs (Guided Bomb Units) have GPS receivers to guide them. We need to specify GPS equipment for all guided ordnance systems. • Reevaluate the children under Launch System by closely examining large caliber cannon systems (DDX), NLOS-Cannon, Army/USMC M777 155mm Towed Howitzer, Paladin Upgrade Program, and Crusader. MCR, LLC Proprietary - Distribution Limited

14. Potential Changes to Appendices • Sea Systems • Ship: Require consistency with the Navy’s Extended Work Breakdown Structure (ESWBS); provide a table summarizing the two and three-digit ESWBS 100 through 700 elements • Total Ship Integration/Engineering: Improve definition by relating the children to specific ESWBS 800 elements • Ship Assembly and Support Services: Improve definition by relating the children to specific ESWBS 900 elements • System Engineering / Program Management: Improve the “Includes, for example:” sections by relating the children to all ESWBS 800 and 900 elements not included in Total Ship Integration/Engineering or Ship Assembly and Support Services. Provide a table summarizing the ESWBS 800 and 900 elements normally included in SE/PM • Space Systems • Update being developed through AIA Joint Space Council • Finalizing definitions for Working Group review – March 2009 MCR, LLC Proprietary - Distribution Limited

15. Potential Changes to Appendices • Surface Vehicle Systems • Add level 4 elements to each level 3 WBS element. • Determine if the existing level 3 elements for unmanned robotic vehicle systems capture the equipment (e.g., robotic arm) that make it new and unique. • Examine the existing level 3 elements to see if they are sufficient for capturing the cost of tactical wheeled vehicles. • Secondary Vehicle has been left blank for years. We should add details and use it. One such example is Primary Vehicle-Truck, Secondary Vehicle- Trailer, • Survivability Equipment is currently not a level 3 item, but perhaps it should be. Examples are STRYKER SLAT armor and active protection systems like Trophy or APS. • Amphibious Vehicle- There is no place within the level 3 items for water propulsion systems. We should consider making this type of equipment a new level 3 item. • Consider a template for wheeled combat vehicles separate and distinct from tracked combat vehicles. MCR, LLC Proprietary - Distribution Limited

16. Potential Changes to Appendices • Unmanned Air Vehicle Systems  • Ground Segment may need accommodations for sea-based operations.  At the least, we may need a name change to "Ground" segment.  At most, there may be unique considerations for sea-based systems. • Ground Control Systems and Command and Control Subsystem are two level-3 elements that have overlapping functionality within Ground Segment, making it confusing. • Payload platform integration may be better served by explicitly breaking it out. • Common Elements • Prior to the definitions, add a table summarizing the Common Elements • Address where to account for shipping and/or transportation • Sea Systems: Where applicable, relate definitions to all relevant two and three-digit ESWBS 800 and 900 elements; provide a table summarizing the relationship of Common Elements to ESWBS 800 and 900 elements MCR, LLC Proprietary - Distribution Limited

17. Working Groups • Working Groups (Established) • Aircraft Systems • Electronic Systems • Software Systems • Missile Systems/Launch Systems • Space Systems • Unmanned Air Vehicle Systems • Working Groups (To Be Established) • Ordnance Systems • Unmanned Sea Vehicle Systems • Surface Vehicle Systems • Sea Systems • Common Elements MCR, LLC Proprietary - Distribution Limited

18. Update Schedule MCR, LLC Proprietary - Distribution Limited

19. Questions???? MCR, LLC Proprietary - Distribution Limited