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“A DND Perspective for

Equipment Acquisition Projects”

By: Pierre Demers

(pierre.demers@forces.gc.ca)

OmegaPS Users Conference

2012

Overview

• 1: Intro – Speaker’s background

– Presentation goals

• 2: DND acquisitions Major Crown Projects (MCPs)

• 3: In Service Support Contract Framework (ISSCF)

• 4: ERP & EIE

• 5: Design for Supportability – challenges

– Navy, Army and Air Force lessons

• 6 Final Thoughts

1: Introduction

Speakers Background

Pierre Demers • Systems engineer

– CF

– DND

• Naval projects – VICTORIAL Class submarines

– HALIFAX Class

– Joint Support Ship (JSS)

– Canadian Surface Combatant (CSC)

• Performance-Based Accountability (PBA) – Implementation of ISSCF

– ILS, ISS, Supportability

– ERP & EIE

Goals of the Presentation

• Goal#1: Provide a Better Understanding of

DND Acquisition Projects and LSA Needs

• Goal#2: Discuss DND Acquisition Policy

and its impact on LSA Needs

• Goal#3: Review Projects OmegaPS and

Supportability Practices

2: DND Acquisition Major Crown Projects

(MCPs)

Major Crown Projects (MCPs): Equipment Acquisition

•Supports the Canada First Defence Strategy

•Air

•6 x MCPs: aircraft, helo, jets (3 at

implementation)

•Land

•3 x MCPs (1 at implementation)

•Sea

•3 x MCPs (comply with National Shipbuilding

Policy Strategy)

•Others DND Projects

•1000+ equipment acquisition projects

•1000+ service projects

3: In Service Support

Contract Framework

(ISSCF)

The Reality

• Industry objective: seeks Profit

• DND objective: seeks Effectiveness at an Affordable Cost

• Constraints:

– DND to focus on operations

– Technology complexity and growth

How do we design a support solution which

will achieved both objectives

simultaneously rather than one at the

expense of the other?

DND strategy: ISSCF

The Challenge

In-Service Support Contracting Framework (ISSCF)

•Established in 2006 for all new fleets

•Enhance Availability, reduce

sustainment costs

•ISSCF key principles:

• ISS contract with original supplier

•Single Point of Accountability

•Use Performance metrics

•Long-Term (20+ yrs)

•Incentivized

•Fixed Price (unit/usage)

Fleet Support Concepts

Traditional OWSM ISSCF

Several legacy fleets All new fleets

Hundreds of support

contracts per fleet

1-5 support contracts

per fleet

1 support contract per

fleet

Component level

(e.g. brakes)

Major system level

(e.g. Power Pack)

Platform level

(e.g. complete WS)

Time and materials Performance-based,

incentived, fixed price,

Cost + Agree mark up

Performance-based,

incentivized, fixed price

Term = 1 year Term = 5+ years Term = 20+ years

11

4: Enterprise Resource

Planning (ERP)

And

Electronic Information

Exchange (EIE)

SAP SAP Work Force

Management

Production

Planning

Quality

Management

Asset

Accounting

Materials

Management

Environ.

Health &

Safety

Plant

Maintenance

Controlling

Financials

Project

Systems

Business

Intelligence

OmegaPS Supportability

SAP SAP

SAP SAP

SAP

SAP

SAP

SAP

SAP

SAP

SAP

DIMP Configuration

Management

SAP xMDS Mobile

SAP

DFPS

SAP

Web Portal

Solution

SAP

Web

Services

Interface

with

Industry

DND ERP: DRMIS: A SAP

Integrated Approach

Deployable

Capability

EIE

DND ERP: DRMIS

• DND ERP:

– Navy: since 2003

– Army: since 2010

– Air Force: next 12-24 months

• DND ERP: formally introduced a

Supportability Analysis solution (BI

extracts coupled with OmegaPS)

Electronic Information Exchange (EIE)

•Capability to exchange info between DND &

Industry

•EIE

•Collaborative Environment (CE):

•Website / portal

•exchange files, e-meeting (WEBEX)

•Electronic Data Exchange (EDE)

•To enable performance-based ISS

contracts

•Exchange data (maintenance, sparing)

•B2B (system-to-system)

•Large volume, automatic, real-time

5: Design for

Supportability

The Dilemma with LSA?

• Who is using OMEGA PS for DND

projects?

• Who has the skill sets in DND projects to

use OMEGA PS?

• What tools are presently used to

interrogate LSAR data in DND?

• Challenge is no one understands how everything

is linked together (reqts, design, development,

delivery, upkeep)

• EBS LSAR maintenance plans, maintenance

reports, STE,training etc manuals

(maintenance tasks) & spares

• Integrated approach: ILS & SE (to influence dsg)

• With limited skill sets in DND, LSA process &

LSAR are not fully understood and utilized

LSA Challenges

Logistics Data Delivery for Projects

• Logistics data delivery has evolved

• The requirement for Commercial Off The Shelf

components has introduced new challenges

• Logistics data is now provided from commercial

vendors, some with little or no military ILS

experience

• Data from multiple vendors is integrated by

prime contractor for delivery into DND ERP

• LSA data translated into performance

metrics

• Need contracted support to bring data to

the level required to sustain weapon

systems during their service life

• Navy: Fleet Data Management (FDM)

• Army: Central Data Management (CDM)

• Air Force: by OEM (fleet-by-fleet)

Note: Need the right data, right format, right

time, right person

Data Management at DND

DND Supportability Data Reqts

• ERN – essential key to all technical objects, DND ERP and OmegaPS

• Equipment Family Tree

– critical tool for both Configuration Management and Analysis

– inconsistencies will result in flawed data collection

– Need data analyst to manage/clear structure & data

• Master Part List (MPL)

– SAP feature for Config Mngt

– representing Allowed Structure Vs Actual, down to Equipment level

– Mainly used by Air Force, SUBSAFE (certification reqts)

• FMEA:

– A critical starting point during design (SE & ILS integrated processes)

– needed to conduct RCMA, MTA (during acquisition phase)

– Needed to conduct R&M and failure analysis (during the ISS phase)

DND Supportability Data Reqts (cont) • LORA

– Performed routinely during the acquisition phase

– Define 1st, 2nd, 3rd

– HALIFAX Class HALMOR initiative: to reduce maintenance load on Ship’s Staff

• Using OmegaPS to capture failure code and for data loading into DND ERP

• Next step: conduct R&M analysis (Analyzer, DND ERP, other tools)

• MTA – Maintenance Task Analysis (output) – routinely done in Acquisition

– Maintenance Planning strategies • Time-based

• Conditioned-based

– SWP scheduling / packaging

– Maintenance management (ship and fleet levels)

• Initial Provisioning & sparing (output) – Legacy methodology: required spares

– Material Identification process

Navy LSA & OmegaPS Lessons

Learned

Navy Supportability Reqts: Legacy

Fleets

• HALIFAX Class

– HALMOAR

– HCM FELEX

• OmegaPS for:

– Data Verification and Validation (V&V)

– For Initial Data Load into DND ERP

– For Config Mngt (each ship, submarine)

– For Engineering Change

DND: LSA Terminology Challenges

LSA

terminology:

-LCN

DND

terminology:

-ERN

-Navy

-CF Legacy equip

ERP (SAP)

Terminology:

-FLOC

-EMR

-MMR Use OmegaPS:

-data conditioning

-data loading

Navy: Assessing LSA deliverables

Using OmegaPS Analyzer

• For Compliance: logistics products: – Sparing Analysis Model (select spares, quantities)

– LSAR

– LORA

– RCMA

– FMECA

• For Design Reviews requires: – Close liaison with LCMMs (SE & ILS)

– Analytical capability (need skills set)

– Adequate Software tools (licensing, s/w access)

– Depend internal and external SMEs (sub-contractors)

Navy Projects Use of OmegaPS

(functions) • LSA data and reports review and

acceptance

• Data quality, mapping and loading

• Data Verification: meet naval operations (end-users)

• Data Validation

• Initial data load (in ERP)

• Master data upkeep

• Change Management

– Synchronize ILS data

• Naval Maintenance Effectiveness Review (NMER)

Navy Projects Use of OmegaPS (by phase)

• Definition Phase – Define concept of support (who, what, when)

• Use OmegaPS, Analyzer for What-If analysis

– Define supportability and LSA reqts

• Implementation Phase – Initial Provisioning process (sparing)

– LSA tasks & sub-tasks (FMEA, LORA, RCMA, MTL)

– Equip Config Mngt (by DND and by Contractor)

– Impact of DND ERP: maintenance, sparing/supply chain, others

• ISS Phase – NMER

– LSAR data upkeep

– Equip Config Mngt

– Life Cycle Cost (LCC): living document

Army LSA & OmegaPS Lessons

Learned

Army LSA challenges • Large numbers of variants among vehicle fleets and land

assets – Possible duplication, data inefficiencies (LSAR, DND ERP,

others)

• DND requires detailed LSAR: – DND needs MSI repair instructions: ex: SEV containers

– Unclear reqts, subject to interpretation (conflict)

– Potential contract arising costs

– IPR issues

• DND requires breakdown of major components (BOM) – to conduct field repairs (deployed)

– Ability to contract for 3rd party support

• Army requires an Initial Data Load tool

• Army needs to have a tool to interrogate LSA data during the acquisition and ISS phases

Army LSA challenges Con’t • Material Identification & Cataloging Process

– Incomplete NSN, cage\MPN

– Discrepancies between Contractor bid submission package (evaluation process) and final deliverables received by DND

• Requirements interpretations

• Unclear requirements (DND limited ILS/LSA skill set)

• Arising/growth

• Clear definitions of terms – MSI (Maintenance Significant Item):

– LRU/SRU

– Critical equipment / maintenance / spares

Air force LSA & OmegaPS

Lessons Learned

Air ISSCF Fleets: LSA reqts

• Overview – DND ERP not rolled-out to Air Force

– Air worthiness reqts

– Limited use of OmegaPS & Analyzer

• PD phase – Limited project staff ILS/LSA skill set

– Have detailed R&M reqts (comply regulations, DTA)

• Implementation phase – OEM provided LSA/LSAR & aircraft certification

– OEM infrastructure: warehouses, staff, expertise

• ISS Phase – OEM to upkeep LSAR & certification data

– DND ERP: transaction tool, not an LSA tool!

6: Final Thought

EVOLUTIONARY APPROACH

The Future:

PROGNOSTICS

The Future:

CBM & PHM OPERATIONAL BENEFITS

• Improved System Capabilities

• Higher Platform Availability

• Improved System Design (Reliability and Maintainability)

• Reduced Aborted or Incomplete Missions

• Less Preventive Maintenance

• Reduced Corrective Maintenance

• Predictable Remaining Useful Life (RUL)

• Lower Total Ownership Costs / LCC

• Reduced Logistics Footprint

• Health Usage Monitoring Systems (HUMS)

• COTS technologies

– Ex: Commercial automobile industry

• DND Weapon systems Requirements

• Limited DND HUMS expertise & usage

PHM Enabler

The Future:

Availability Modeling

• Use OmegaPS Analyzer for:

– Modeling fleet size

– Validate availability (uptime)

– For support performance-based

contracts (ISSCF)

• Warfighters (end-users) are interested in Fleet

Management

– Army: tracking Vehicle off Road (VOR)

– Air Force: Yearly Flying Rate (YFR)

– Navy: high readiness ships (naval operations)

Fleet Management

Questions