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Leading DLA's Aviation Supply & Demand Chain Aviation Supply and Demand Chain Overview Col Ron Barto, USMCR Director, BRAC Implementation & Transition.

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Presentation on theme: "Leading DLA's Aviation Supply & Demand Chain Aviation Supply and Demand Chain Overview Col Ron Barto, USMCR Director, BRAC Implementation & Transition."— Presentation transcript:

1 Leading DLA's Aviation Supply & Demand Chain Aviation Supply and Demand Chain Overview Col Ron Barto, USMCR Director, BRAC Implementation & Transition Defense Supply Center Richmond Richmond Chapter of APICS Monthly Meeting April 17, 2008

2 Leading DLA's Aviation Supply & Demand Chain The DLA Enterprise as of 30 September 2007 Scope of Business 54,000 Requisitions/Day 8,200 Contracts/Day #64 Fortune 500 – Above Walt Disney #3 in Top 50 Distribution Warehouses 26 Distribution Depots 5.2 Million Items – eight supply chains 25M Annual Receipts and Issues 1411 Weapon Systems Supported 132.8M Barrels Fuel Sold $14.6B Annual Reutilizations/Disposals 20,805 Civilians 519 Active Duty Military 754 Reserve Military Located in 48 States/28 Countries Foreign Military Sales Sales: $1.18B Shipments: 535K Supporting 124 Nations FY02 Sales/Services:$21.5B FY03 Sales/Services: $25B FY04 Sales/Services: $28B FY05 Sales/Services: $31.8B FY06 Sales/Services:$35.5B FY07 Sales/Services:$34.8B Land/Maritime: $3.1B Aviation: $3.4B Troop Support:$12.4B Energy:$13.4B Distribution: $1.3B Other: $1.2B ~95% of Services’ repair parts 100% of Services’ subsistence, fuels, medical, clothing & textile, construction & barrier materiel People

3 Leading DLA's Aviation Supply & Demand Chain DLA Europe DLA Central DLA Pacific Supply Chain Enterprise… …Part of the DOD Logistics Enterprise 7 OCONUS Depots Lead Center for Distribution 26 Distribution Depots Worldwide Defense Supply Center Columbus Defense Reutilization & Marketing Service Defense Logistics Information Service Defense Supply Center Richmond Aviation Supply Chain Land & Maritime Supply Chain Troop Support Supply Chain Headquarters Defense Logistics Agency Defense Energy Support Center Fort Belvoir Headquarters J-Codes Defense National Stockpile Center Worldwide Reuse, Recycle & Disposal Solutions Defense Supply Center Philadelphia Creation, Management & Dissemination of Logistics Information Defense Distribution Center DOD Manager for Printing & Duplicating, Automated Information Products & Service 3

4 Leading DLA's Aviation Supply & Demand Chain Contingency Support Teams Direct Support to the Warfighter

5 Leading DLA's Aviation Supply & Demand Chain The Aviation Enterprise as of 30 Sep 07 Scope of Business 13,096 Requisitions/Day 1534 PR Awards/Day 1300 Weapon Systems Supported 2138 Civilians 55 Active Duty Military 27 Reserve Military Foreign Military Sales Sales: $337M Aviation Supply Chain: FY07 Sales: $3.4B FY08 Projection:$3.4B Land/Maritime: $3.1B Aviation: $3.4B Troop Support:$12.4B Energy:$13.4B Distribution: $1.3B Other: $1.2B People

6 Leading DLA's Aviation Supply & Demand Chain Aviation Supply Chain Customer Profile FY07 Requisitions Marines (2.1%) $70.2M Navy (24.0%) $807.7M Other (7.7%) $260.4M Air Force (36.6%) $1,230.0M Army (19.6%) $659.2M Army (35.5%) 1,697,496 Marine Corps (2.1%) 98,434 Other (1.5%) 74,177 Navy (22.5%) 1,074,452 Air Force (35%) 1,672,657 By Sales Sales : $3,364.7M Requisitions: 4,780,063 Sales : $3,364.7M Requisitions: 4,780,063 By Requisitions standard FMS (3.4%) 162,847 Sales Rich – 1,801,870 Col – 531,490 Phil – 2,446,703 Rich –$2,315.4M Col – $ 515.7M Phil – $ 533.6M FMS (10.0%) $337.2M

7 Leading DLA's Aviation Supply & Demand Chain Aviation Expertise In DLA Brig Gen Andrew E. Busch USAFCommander Kim Huntley SES Deputy Commander Col Gary Wiest, USMC Deputy Commander Operations Yvette Burke SES Acquisition Executive Engine Components Air Frames Landing Gear Flight Safety Equipment Propeller Systems

8 Leading DLA's Aviation Supply & Demand Chain Packaged POL Chemicals Electrical Hardware Instruments /Gages Engine and Airframe Re-refined Oil Ozone Depleting Substance Reserve Chemical Prime Vendor Program Lathes Milling Machines Boring Machines Grinding Machines Relocation New Procurement Overhaul Environmental Products Richmond Commodities Topographic, hydrographic, aeronautical maps/charts, in both hard copy and digital format, for all DoD Activities More than 87,000 products Maps Industrial Plant Equipment D S C R... D L A ’ s A V I A T I O N S U P P L Y C H A I N Aviation Supply Chain Product Lines Power Trans Components Guided Missile Components Misc Engine & Components Torque Converters Communication Equipment Threaded and Non-Threaded Fasteners IPV Program ASC Philadelphia Detachment ASC Columbus Detachment

9 Leading DLA's Aviation Supply & Demand Chain DSCR/Aviation Supply and Demand Chain Profile Philadelphia, Pennsylvania Mechanicsburg Industrial Machinery Repair Facility Columbus, Ohio DSCR Site Facts Total Population2255 Avg Age48.8 Yrs Avg Service Time19.4 Yrs Avg Education LevelTwo Years of College Avg GradeGS-10.8 Avg Salary$64,751 ASC Detachments/SS&D Sites Philadelphia Personnel: 279 Columbus Personnel: 188 Mechanicsburg Personnel: 68 Warner Robins SS&D Personnel: 240 Tinker SS&D Personnel: 367 Richmond Aviation Supply Chain DSCR Diversity Facts Male – 47% Female – 53% White – 55% African-American – 40% Other – 5% Veterans – 34.10% Oklahoma City SS&D Warner Robins SS&D

10 Leading DLA's Aviation Supply & Demand Chain General Physical Description of DSCR Over 600 Acres Over 7 Million Square Feet of Covered and Uncovered Storage Area Approximately 120 Warehousing, Utility and Administrative Buildings

11 Leading DLA's Aviation Supply & Demand Chain History 3500 – 1500 BC - American Indian Trading Area 1619, One of the Earliest Settled Sites in U.S 1887, James Bellwood was the Last Private Owner of the Property. He Turned it into a Model of Agriculture for VA, and Introduced Elk to the Farm The Army Purchased the Property.

12 Leading DLA's Aviation Supply & Demand Chain History The installation was Activated as the Richmond General Depot 1962 – Absorbed by the Defense Supply Agency 1977 – Name Changed to Defense Logistics Agency 1980s s Reorganization and Restructuring Throughout DLA and Another Name Change - Defense Supply Center Richmond

13 Leading DLA's Aviation Supply & Demand Chain Transformation & Growth… 2008 – Post BRAC & Beyond 2007 – Joint Regional Inventory Material Management 2007 – National Inventory Management Strategy 2005 – Base Realignment & Closure (BRAC) 2003 – Distribution Process Owner Created 2002 – Business Systems Modernization Deployed 1997 – Prime Vendor Implemented 1992 – Distribution Command Consolidation Completed 1990 – Supply Chain Consolidation 1988 – GSA Transfers Strategic Stockpile 1977 – DSA renamed Defense Logistics Agency 1962 – Defense Supply Agency Begins Operations 1961 – LTG McNamara Appointed Head of New Common Supply Agency Strengthening Supply Chain Excellence Changing Warfighting & Strategic Environment Managing Supplies Managing Suppliers TODAY Adaptable & Agile Linking Supply & Demand

14 Leading DLA's Aviation Supply & Demand Chain Single Touch Point to Warfighters & Suppliers Supplier Customer DoDAAC Service Weapon System DSCP DSCC DSCR We Are Transforming to … EBS CRM SRM

15 Leading DLA's Aviation Supply & Demand Chain Demand and Supply Chain Organization Model Customer Operations Supplier Operations CRM Cells/Support Teams Item Planning Teams Integrated Supply Teams Strategic Material Sourcing Group Customer Support Supplier Support Item Planning Teams Integrated Supply Teams In most cases, single face to the customer (OF, customer DP) regardless of what the customer is buying Item-level planning for the items managed by the Supply Chain Shared services (e.g., Finance) for Customer Operations units Supply planning, procurement, and tech/quality for items managed by the Supply Chain Strategic sourcing for items managed by the Supply Chain Shared services (e.g., Finance, T/Q for Supplier Operations units Direction of IPTs planning this Supply Chain’s items at other locations Direction of ISTs managing this Supply Chain’s items at other locations Detachments Keep focus on accountability for obtaining customers’ requirements Keep focus on accountability for planning customers’ requirements

16 Leading DLA's Aviation Supply & Demand Chain Scott AFB, IL (1) Redstone Arsenal (4) & Fort Rucker, AL (1) Langley AFB, Oceana, Norfolk,(1 ea) VA Warner Robins, GA (7) Ogden, UT (4) Wiesbaden, Germany (1) Aviation Supply & Demand Chain Forward Presence Cherry Pt., NC (3) North Island (4), LeMoore (1), San Diego (1), CA NAVICP, (1) Philly, PA Jacksonville, FL (3) Tinker AFB, OK, (9) CCAD, TX (2) Mechanicsburg, PA (68)

17 Leading DLA's Aviation Supply & Demand Chain Overview of the BRAC 2005 Supply and Storage Decisions Depot Level Reparable DLR Procurement Management Consolidation By Supply Chain Asset Transfers & Inventory Management Of Consumable Items Consumable Item Transfer Supply Storage & Distribution Consolidation of Wholesale and Industrial Retail Supply Support Commodity Privatization Disestablishes the Wholesale ICP Functions For Tires, POL/Chemicals & Cylinders/Gases Moving Forward to Transform DoD Fully Implemented By Fiscal Year 2011

18 Leading DLA's Aviation Supply & Demand Chain Ogden ALC SS&D/DLR North Island NADEP SS&D Corpus Christi Army Depot SS&D Army Aviation & Missile Command DLR Jacksonville NADEP SS&D Cherry Point NADEP SS&D Naval Inventory Control Point DLR Warner Robins ALC SS&D/DLR Oklahoma City ALC SS&D/DLR BRAC Impacts To DLA Aviation Support

19 Leading DLA's Aviation Supply & Demand Chain DSCR … Aviation Center of Excellence Diverse & Specialized Workforce Critical & Unique Missions An Integral Part of DoD... Focused on the WarFighter!


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