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50 Contractor Logistics Support (Program Level)

51 Contractor Logistics Support
Traditional Logistics support concepts DoD manages the overall logistics process DoD establishes depots for repairs and modifications DoD maintains a spares buffer at these depots DoD purchases/maintains technical data packages DoD manages spare parts inventories DoD maintains control of the support process Contractor Logistics Support concepts Contractor manages the overall logistics process Contractor establishes a depot for repairs/modifications usually at their facility Contractor maintains technical data packages & provides us access Contractor manages spare parts inventories Number of spares is minimal

52 Contractor Logistics Support
Why the change? Change to DOD R (mandatory policy) stating that use of contractor support is the preferred support approach unless Total life cycle cost estimates indicates organic support less costly Existing DoD support capabilities available Program Managers are now responsible for total Life Cycle Cost (LCC) They were not responsible for LCC in the past

53 Contractor Logistics Support
Life Cycle Cost System Acquisition Production System Research, Development, Test and Evaluation Operation and Support 10% 30% 60% | || ||| Milestones Years DSMC Systems Engineering Management Guide

54 Contractor Logistics Support
Impact of CLS Contractor is in direct contact with the user Contractor controls large amounts of GOV’T property Change from a large depot spares buffer to reduced inventories and just in time deliveries Failure of the contractor to perform can/will result in impact to weapon system’s operational readiness

55 Contractor Logistics Support
DoD Total Asset Visibility defines the quantity, condition, location, movement, status, and identity of materiel, units, equipment and supplies, and its ability to use that information to enhance logistics processes. The contractor’s logistics MIS will need to track all of the above elements

56 Contractor Logistics Support
Logisticians role Evaluate the contractor’s logistics management processes Support logistics reviews (ILSMTs) Plan, coordinate & monitor KTR schedules Monitor KTR performance Discuss risk areas Plan to assure KT requirements met Plan to assure the fleet needs are met

57 Contractor Logistics Support
Logisticians role (cont.) Evaluate KTR depot operations Report to the customer surveillance results, outcomes, risk & status (monthly report) Provide predictive analysis to customer Next months delivery will be late by 2 weeks Evaluation of the contractor’s logistics Management Information System is critical to measuring success! Analysis of the MIS system data will provide insight into customer support effectiveness

58 Contractor Logistics Support (Program Level)
DCMC Engineering Role Ensure systems and design engineering address logistics issues. Evaluate contractor logistics capabilities, including Reviewing logistics management information Reviewing the need for support and automated test equipment Ensuring the availability of the maintenance plan, provisioning parts list, logistics support analysis, and technical drawings Be aware of contractor spares delivery performance Identify any special packaging, handling and transportation requirements, hazardous materials, and training materials.

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