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Presented By: Mr. David Fair 973-724-3078 Presented By: Mr. David Fair 973-724-3078 PEO Ammo & Industrial.

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Presentation on theme: "Presented By: Mr. David Fair 973-724-3078 Presented By: Mr. David Fair 973-724-3078 PEO Ammo & Industrial."— Presentation transcript:

1 Presented By: Mr. David Fair Presented By: Mr. David Fair PEO Ammo & Industrial Base Management PEO Ammo & Industrial Base Management 28 October 2002

2 Objectives  Appointment of Kristin Jasinkiewicz to be the Army Chairperson  Overview of the PEO Ammo  Discussion of the Base Planning Process

3 PEO Ammo Committed to providing superior ammunition to the soldier

4 PEO Ammo Objectives  Integrate Ammunition Life Cycle Management Under a Single Chain of Command  Execute a Consistent Munitions Acquisition Strategy Independent of: ACAT Level Acquisition Agency Munition Type  Optimize Key Business Processes  Develop an Industrial Preparedness Planning Strategy (Organic and Commercial)

5 PEO Ammo Mission  Execute the Life Cycle Acquisition Management of Ammunition  Manage DoD’s Ammunition Industrial Base  Single Appropriation Manage

6 Wide Area Munition (Hornet) M829A2 APFSDS-T M795/M795E1 Conventional Mortar Ammo 5.56mm Armor Piercing Bullet Non-Lethal Capability Set Modular Crowd Control Munition 40mm Crowd Control Cartridge Excalibur Precision Guided Mortar Munition Conventional Ammunition Non-Lethal Systems Precision Munitions

7 Fire Control Electronics Integration into IBCT Mortar Carrier Abrams Electronic Muzzle Reference System  Centralized management of DoD’s organic and commercial munitions production base Mid-Range Munition Multi-Role Ammunition Systems Weapon Systems Objective Force Ammunition Munitions Industrial Base

8 PEO Ammo Organization PEO OSC Integration Cell Willie Smith Comm (DSN793) Bobbie RussellComm (DSN793) Maneuver Ammo System - Direct Fire Mr. Bill Sanville PMx5307 Fred SteinbergAct’gDPMx5964 Babs SmithSec’yx4622 Bruce PotterBusMgrx4173 Large Caliber LTC Dave RicePMx4935 Pete CardellDPMx4375 Medium & Small Cal TBDPMx Ron BrownDPMx4853 Mortars LTC Larry HollingsworthPM x3636 Dave SuperDPMx4209 Excalibur LTC Jeff WilsonPMx3152 Chris GrassanoDPMx5246 ASA(ALT) DASCs COL Michael McChesneySAAL-SM Dir LTC Jim AshworthDASC Chief PEO Ammunition COL (P) Paul IzzoPEO Mr. Kevin FaheyDPEO Patti BantaSec’y LTC Tim Prendergast XO Ev ElkoAdmin Close Combat Systems Mr. Jim SuttonPM x7041 Patti FelthDPMx7921 Justine HorchorSec’yx7977 George FirrinciliBusMgrx6922 Combat Ammo Systems - Indirect Fire COL Nate SledgePMx2003 Pat SeraoDPMx2110 Sonny ListSec’yx2573 Joe GormleyBusMgrx5891 Joint Services COL Jeff Gwilliam PMx5257 PEO Ammunition SFAE-AMO, Building 171 Picatinny Arsenal, NJ (973) 724 – xxxx DSN: xxxx Fax: (973) DEMIL LTC Kevin Jennings PM x5276 Industrial Base Matt ZimmermanAPEO x7626 APEOs Pete VauterBusiness Mgmt APEO Rene KieblerSystem Mgmt APEO Matt Zimmerman Industrial Base APEO Oct 1,’02

9 FY 03 Procurement, OPA, WTCV Total PM Combat Ammunition Systems Artillery Ammunition Artillery Fuze Mortar PM Close Combat Systems Mines, Countermines & Demolition PM Maneuver Ammunition Systems Large Caliber Medium Caliber Small Caliber PM Joint Services Industrial Base ($73.5M) Ammo Peculiar Equip/Demil ($23.4M) Total: $1,116.2M (9%) (34%) (45%) (12%) Source: FY04-09 BES

10 FY 03 RDTE Total Total: $321.1M (3%) (42%) (5%) (50%) PM Combat Ammunition Systems PM Joint Services /Industrial Base PM Maneuver Ammunition Systems PM Close Combat Systems Source: FY04-09 BES

11 Mission Customers Suppliers PM Maneuver Ammo Systems PM Close Combat Systems PM Combat Ammo Systems USMC, USAF, USN SOCOM & USCG PEOs Industry Lake City Lone Star Iowa Milan Kansas Holston FY03 Provide Centralized Management of the Munitions Industrial Base Optimize Planning, Coordination & Decision Making that Affects the Preparedness of the National Technology & Industrial Base Radford Scranton Riverbank Louisiana Mississippi GOCOs Crane McAlester Pine Bluff GOGOs PEO Ammo Industrial Base Management IF $42.7M MIF $9.1M LIF $7.0 M ARMS $4.7M LAP/Rad $10.0M $73.5M Commercial: 70+ Companies PAA Prod Base Support: IF-Industrial Facilities; ARMS-Armament Retooling & Manufacturing Support; MIF-Maintenance of Inactive Facilities; LIF-Layaway of Inactive Facilities RDTE Munitions $8.5M

12 Industrial Base Challenges  Current Munitions Portfolio 14 Major Families 200+ End Items 350 Components  Munitions Production Base Capacity Down 68% Last 10 Years Currently Underutilized  Replenishment Driving Size Of Base  Single Sources 71 Components  Minimal Incentives for Contractor Capital Investment  Manufacturing Capability Currently Focused on Legacy Systems Marginal Future Munitions Capacity

13 PEO Ammo Industrial Base Management  Status: Formed Multi-Service/Multi-Organizational Strategic Planning IPT Formulating Industrial Base Strategic Plan & Processes to: Modernize & Transform the Industrial Base Optimize Coordination, Communication & Decision Making Draft Nov ’02; Updated Draft Jan ’03; Completed May ‘03 Managing: PAA Activity 2 –Production Base Support (IF, MIF, LIF) Programs –Armament Retooling & Manufacturing Support (ARMS) Program RDT&E Munitions Standardization/Effectiveness Program Preparing for Sec 806 Authority to Effectively Posture the Industrial Base Formulating “Critical Risk Products” Management Schemes Supporting AMC’s PBD 407 Implementation Plan Development

14 Industrial Base Vision “A Responsive, Innovative, Efficient Manufacturing Base, Capable of Meeting National Security Requirements While Preserving Critical Core Competencies and Relying to the Maximum Practical Extent on Competition & Private Ownership”

15 Industrial Base Strategic Objectives Transform to Meet Legacy, Interim, & Objective Force Warfighter Requirements Modernize Balance Industrial Base & Acquisition Management Risk Increase Operating Efficiencies & Affordability Incentivize Commercial Investment Preserve Critical Core Competencies Let Acquisition Drive the Industrial Base

16 Industrial Base Strategic Plan What is it? A Dynamic Planning Document that: Captures Overarching Industrial Base Vision, Goals & Strategies (5 Yrs., 10 Yrs.) Baselines the Industrial Base State Identifies Industrial Base : –Deficiencies –Critical Items, Capabilities & Technologies Contains Implementation Plans that Outline How Strategic Goals Will be Met Establishes Basis for Resource Planning & Allocations Positions the Industrial Base for Responding to Acquisition Plans, Strategies and Objectives Transform & Modernize the Industrial Base to Meet Legacy, Interim, & Objective Force Warfighter Requirements

17 PEO Ammo Industrial Base Staff David Fair TACOM-ARDEC DSN Steve Rosenberg TACOM-ARDEC DSN NH-IV (TBD) Matt Zimmerman DSN Strategies Plans Policies Sec 806 Production Base Support IF, MIF, LIF, PBS Congressional Tech Base Linkage Pilot Prototyping MANTECH Industrial Base Modernization PM & OSC Liaison Planning Coordination = Matrix Support, OMA Funded ARDEC 1 ARDEC 2 OSC Industrial Assessment Div ARMS office = PEO Core 50% 33%

18 PEO Ammo Industrial Base Planning Team PM CCS George Firincilli Ariel Macalalad PM MAS Carl Roller Greg O’Conner David Fair TACOM-ARDEC DSN Steve Rosenberg TACOM-ARDEC DSN NH-IV Matt Zimmerman DSN PM CAS Bob Goldberg (Art) Rene Medina (Mor) Al beuster Gary Budelier OSC EDCA PEO Tactical Missiles/PM ARMS AMC G-3 IB OUSD(AT&L) Navy HQDA G-8, G-4, G-3 TACOM- ARDEC AFMO SBCCOM DCMA USAF USMC ASA(ALT)

19 Strategic Planning Approach Establish Where We Are Establish Where We Want to be Establish How We Get there Staff for Approval Review & Adjust Establish Team & Mission Vision Goals Objectives Metrics PMs OSC DCMA AMC PEOs SBCCOM G3, G4 G-8 ASA(ALT) OSD TACOM- ARDEC EDCA Other Services Baseline DPG/Total Requirements ICAPP OSC PBP Capacity Capabilities Deficiencies Critical Items Technology Cost IB Assessments Objectives & Metrics Realistic? No Implement Strategies to Meet Objectives Implementation Plans Decision & Risk Analyses Harmonization Prioritization Yes Apply 6 Sigma Principals

20 Industrial Base Hot topics  71 of 302 Ammo Components Are Single Source. 26 Are Fuzes or Power Sources.  LAP Competition Deferred  Radford Competition ongoing  Sec Army Tasker: PBD 407 Rand Study: “A Strategy for Managing Army’s Arsenals and Ammo Plants” Implement Rand Recommendations to Extent Possible AMC Lead for Plan Development & Implementation ASA(ALT): Assist w/ Plan Development Identify Facilities for Gov. Retention As Exception Receive AMC Plan 29 Nov 02  Salient Cross Family Items: Lead Azide, VAAR: No Producers Black Powder: Single Source, Future Availability Suspect  HASC Requested Industrial Base Report By 15 Jan 02 Sec Army Directed to Assess Industrial Base Capacity to Meet Army Requirements

21 Summary  PEO Leading Development of Industrial Base Strategic Plan Focused on All Munitions  Strategic Plan Will: Capture Overarching Industrial Base Vision, Goals & Strategies Optimize Industrial Base Preparedness Position the Industrial Base for Responding to Acquisition Strategies, Plans and Objectives  Transition of Production Base Support Management Initiated  Working w/ AMC on PBD 407 Privatization Initiative


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