1. 1 Refit Close-out Lean VSM Project Trident Refit Facility Kings Bay, GA Presenters: Refit Close-out Project Team September 08

2. 2 Team Debi Bemis Steve DeWitt Mike Hrivnak Ray LaFontaine Mike Litchfield Brett Mounsey Danny Russell Cynthia Rucker Ernie Schwach Christine Smith Teresa Smith Jill Winkelman

3. OBJECTIVE Reduce variation and ambiguity in refit close-out processes to provide confidence in the accuracy of information and its sources 2008 GOALS Goal for closing out projects in real time and in conjunction with the schedule – beginning in November, seasoned by May 09 Reduce the time to close out a refit in LDS by 50% this year Reduce the time to close out a refit in LDS by 75% by May 09 VISION All paperwork is turned in and reconciled in real time according to job-specific schedule …thus upon boat departure/sea trials, all paperwork is turned in and reconciled. Create a method for objectively assessing and displaying refit status (green, yellow, red) at any point during the avail Electronic close out 3 Project Introduction

4. 4 Significance Benefits of closing out refits in real time: Earlier planning of next refit, intelligent deferrals, elimination of replanning of numerous previously deferred jobs What happens when not closed out: Facility expends unnecessary time preparing What is involved in closing out a refit : Close out or defer AWR’s and CWP’s Close out WAF’s Close out or defer ESR’s Official Refit Closeout Letter

5. 5 Current State Observations What is the requirement? Close within 7 days of departure - JFMM Boat/RefitBoat Departure Close out letter date Days between departure and close out letter Days past due 738/502/19/083/3/08135 734/613/21/084/25/083528 742/364/7/084/21/08147 736/565/20/086/11/082215 738/516/17/087/7/082114 734/626/27/088/8/084235 742/377/31/088/25/082518 736/579/3/089/16/08136 Average = 16 DAYS

6. 6 Closing Out a Refit with respect to AWR’s and CWP’s Value Stream Map

7. LWC Signs with Comments Ship’s Force -LCPO’s -Div Officers -3MC’s Batch delivering AWR’s from daily to once per refit Refit Mgr, Ship Supt, Shop, PMA, Tank Coord – Mult roles check on status ARRS Review -CKI Signatures Final Action Taken (FAT) code Has job been issued Man hours Date Rework = appx. 20% 5 min 1 hr – 2 weeks 5 min 10 min1 day1 hr – 2 weeks2 min Initiation to Action Response Time: 1d, 152m – 5w, 1d, 27m Variation in definition of work complete 1.Production 2.Test 3.Interferences installed after test 4.Sometimes sign if not complete – waiting on testing but need to close out refit Batching AWR’s daily to once/refit Closing out AWR’s & CWP’s during a Standard Refit Current State VSM TRFKB 16 Sept 08 AWR’s Code 432 30-40% corr maint, service routines, ALTS 60-70% PMR’s 2% ISIC (NSSC delegated to SUBMEPP) = Code 430 5m– 1w AWR’s

8. 8 Current State Close out Delays AWR’s not issued Parts or material on order Production ESR’s Growth Testing Waiting on QA Rework Waiting on installation of interference, paint or AWC Waiting on paperwork Lost paperwork CK not complete (ALTs) Hold jobs open to charge hours against it (can include time needed for clean up, de-staging and retooling)

9. 9 Current State Observations Refit in Planning: Work completed during last refit but not closed out 740/44 Total of 37 jobs planned by C425 which rolled into next refit 22 jobs that have no action taken code 15 jobs comped by planners that we don’t know if they were done or not 742/38 Total of 62 jobs planned by C425 which rolled into next refit 20 jobs that have no action taken code 42 jobs comped last refit (1 from 2006) that have no action taken (don’t know if it was deferred and if so, why)

10. 10 Variation and Ambiguity in Processes observations made through interviews with: General Foremen Shop Supts Refit Mgrs Ship Supts

11. 11 Current State Question: Reasons you don’t want to close out jobs when they are complete: (2) Want to use all their man hours (can include: sometimes need man hours for clean up, de- staging and retooling….)****** Still waiting on installation of interference, paint or AWC to finish. Parts/material still on order Boat work complete but shop still working Jill’s “pie in the sky question” - Can the shops keep unused hours or a percentage of unused hours as incentive to close out and use/learn actual times? Can we do this in the name of designating the hours as an aggregate “holding area” for finishing jobs (i.e. cleaning a valve after new one has been replaced) in the interest of load leveling?

12. 12 Current State Question: When do AWR’s go to the boat (for close out signature)? When supervisor signs off he gives it to GF and whenever GF delivers When ship sup delivers (2) When job is complete and LPO is there to witness – sign off on the spot Supt signs off and gives to GF who delivers daily to ship supt Gives to ship supt daily Saves until the end of the refit When complete work, shop supt take it to boat for Ship to verify completion of job then sign their block on the AWR Get them from shop in a pile, every day after 0900 meeting. If only have one, will wait until go down to the ship that day (930-1015). If boat chief is not there, then ship supt keeps AWR (Never give them AWR) Scenario (in table on right) : Looked at three AWR’s on a Ship Supt’s desk (representative scenario for most refits) Date signed by shop Date signed by ship Date found on ship sup’s desk 8/26 9/17 8/268/289/17 8/209/99/17 Recommendations: (short term) LWC delivers LWC-signed AWR to Ship Supt by the following day’s production meeting; or the LWC gets signature from Ship’s Force upon completion of work then delivers to Ship Supt by the following day’s production meeting (mid term) Consider ship’s force signing their part on a list or database instead of individual forms assuming that TRFKB uses recommended definition of work complete. Consider alternative to meet requirement of Ship’s Force concurrence of TRFKB’s work complete (investigate SNAP/RMAIS correlation/exceptions). (long term) Make electronic and update in real time in a database

13. 13 Current State Question: How do you track jobs? PSR Intrusive - When AWC signs off the WAF, they know interferences are reinstalled Non-intrusive – direct communication and contact with the shops Final ship check by supervisor or work leader Supervisory job sight observation Performance of second checks with senior mechanics Stay abreast of job, go down and check, constantly call AWC Contact AWCs and/or Ships force if they don’t know if it is done (i.e. testing) Night sheets – physical board on the wall Daily observation of the job Recommendations: Designate PSR as official tracking mechanism for job status LWC’s update PSR status daily

14. 14 Current State How does paper get lost? Lost between LWC and Delivery to Ship Supt. Ship Supts sometimes leave AWR’s on the boat Ship Supts sometimes leave AWR’s in the shop Lost in ARRS office What are the costs to not closing out jobs? Late reconciliation Late planning of new arrival Rework for Planners, Tech Library, Work Packagers, QA, Supply… Recommendation Standard process with roles and responsibilities (DH, PMA, SS, RM, GF, Supv, ARRS, 410, 430 and SUBMEPP) Include metrics in CO’s Brief Electronic tracking system

15. 15 ESR Process Observations: Pier side – can be managing 75-150 ESR’s in process at a time Number of ESR’s are increasing due to the age of the fleet and major avails Estimate 30 ESR’s in a standard refit Estimate 1500 ESR’s this year and increasing No link of ESR to AWR/JCN showing it is a liability 410 is inundated at the end of a refit – can result in departures requiring quick turnaround Responses: typically 1 day Work deferred may require a departure Issue an effective list every week on all ESR’s established for refit (briefed in or resulting from) Vision: Sign off ESR’s real time when work is complete Recommendation: Provide an automated link from ESR project file to 410/AWR’s Codify C410 list as an effective part of the process ESR work that needs to be deferred – put into correct refit LWC signs ESR in real time and turns in

16. 16 Future State Other recommendations: Ship Sup review of AWR should include review of comments i.e. “don’t allow work not complete” or “work deferred” to be in remarks when closing an AWR Per JFMM requirement,NSSC take on current MDCO role of incoming to free up their capacity Refit Manager designated as primary POC for Refit Close-out Refit Manger Ship Supt be given close-out authority SUBMEPP review post close-out

17. 17 Thank you