Birthplace, Home & Future of Aerospace 2014 SECDEF Subsystem PBL of the Year – Sniper Precision Attack Pod 1 DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited. Materiel Leader Common Avionics Program Manager

Birthplace, Home & Future of Aerospace Summary Vision Team Sniper Innovation –Contract –Public-Private Partnering Execution & Results –Operational Availability Building Blocks Lessons Learned 2 DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited.

Birthplace, Home & Future of Aerospace Vision Common Avionics Mission Deliver premier, combat ready common avionics capabilities to US and International Partners on time, on cost Team Sniper Mission Provide world class warfighter-based support of the Sniper Advanced Targeting Pod through a cost effective Performance Based contract that leverages on the strengths of the USAF – Lockheed Martin partnership 3 DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited.

Birthplace, Home & Future of Aerospace Team Sniper Team –Common Avionics, Precision Attack Sustainment – Robins AFB, GA Common Avionics, Precision Attack Development – Wright-Patterson AFB, OH –Air Combat Command – Langley AVB, VA –402 Electronic Maintenance Group – Robins AFB, GA –Lockheed Martin Missiles and Fire Control – Orlando, FL System –Sniper Advanced Targeting Pod –357 Pods operating on 5 platforms A-10, F-15, F16, B-1, B-52 Contract –Sniper Sustainment Contract (SSC) –5 Year PBL with Operational Availability (A O ) and Reliability requirements 4 DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited.

Birthplace, Home & Future of Aerospace Innovation Contract Structure Sniper Sustainment Contract (SSC) –Establishes warfighter-based requirements - Operational Availability (A O ) –Leverages better buying power principles –Allows contractor flexibility on how to meet requirements –Maximizes affordability through contract structure Sniper Sustainment Contract Operational Availability (A O ) Reliability Fixed CLINs Contract Foundation Predictable Costs Variable CLINs Based on Actual Op Hours Affordability Through Flexibility Affordability Through Flexibility within Firm Fixed Price Contract “As Needed” Support A la carte pricing for additional support items 5 DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited.

Birthplace, Home & Future of Aerospace Innovation Public-Private Partnership The Sniper PBL Depot is an innovative partnership between Warner Robins Air Logistics Complex and Lockheed Martin –Built on lessons learned from “cutting edge” LANTIRN depot partnership –WR-ALC: Skilled technician labor, facilities, and planning –LM: Supply support, transportation, and engineering support Leverages strengths of both organizations Utilizes all three types of public- private partnership –Lease of Government facility space –Work share agreements –Direct Sales Agreement Supports compliance to Title 10 Core and 50/50 requirements Depot Partnership Continues to Evolve Expansion Project Completed in November DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited.

Birthplace, Home & Future of Aerospace Execution & Results Outperformed A O Requirement by 14% Resulting in an Additional $77.3M in Available Material Materiel Availability Repairs completed in 6.7 days Depot repair parts 94% “on-the- shelf” availability LRU spares 99%“on-the-shelf” availability Materiel Reliability FRACAS utilized to continually monitor reliability Transportation Rapid shipment via commercial carriers –CONUS – 1.2 Days –OCONUS – 3.5 Days Organizational Level Support Direct O-level to OEM communication Quarterly maintenance training at OEM facility Depot Level Support Robust repair base leveraging OEM, sub-contractors, & Organic Depot capabilities Repairs completed in an average of 6.7 days Footprint Reduction 2 pieces of unique support equipment & 2 tool kits required Pods used as spares reduced by a factor of 3.6x 7 DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited.

Birthplace, Home & Future of Aerospace Lessons Learned Establish Meaningful Metrics –Based on Warfighter needs –Accurately reflect performance Structure Mutually Beneficial Contract –Fixed & variable aspects provide predictability and flexibility –Contractor incentivized through FFP structure & penalties Invest in Public-Private Partnership –Strong performance by leveraging strengths of industry and government –Trust established over long-term commitment 8 DISTRIBUTION STATEMENT A. Approved for public release; distribution is unlimited.