Jonathan Patterson

Supportability Services Manager

Pennant Canada

OmegaPS User Group Meeting

12 November 2013

ILS and Performance Based Logistics:DND Materiel Readiness and the

In-Service Support Contract

3M’s Logistics – Still Vital to Military Effectiveness

"There is nothing more common than to find considerations of supply affecting the strategic lines of a campaign and a war." Carl von Clausewitz

"A sound logistics plan is the foundation upon which a war operation should be based. If the necessary minimum of logistics support cannot be given to the combatant forces involved, the operation may fail, or at best be only partially successful." ADM Raymond A. Spruance

“Experience has taught me that manufacturers are now as necessary to our independence as to our comfort.” Thomas Jefferson

“In the future, competition will be among supply chains.” Dr. Eli Goldratt

Material – Movement – Maintenance

Presentation Points

Change Drivers DND ILS Transformation

“Traditional” vs. “PBL” ISS Contracting

The DND Equipment System Concept

Propose “Service Approach” Materiel

Readiness Model Perspective Management Options

DND ILS: Change Drivers

Policy Procedures Tools Guidance Job Aids

Change Drivers ISSCF/PBL approaches Life Cycle Cost

importance (breadth and scope)

MOTS/COTS Acquisition Strategies

Information System Strategies

DND In-Service Support Contracting Framework (ISSCF):ILS Program Change Driver, but towards what?

“Traditional” vs. “PBL”Equipment Support Approach

Traditional Furnishes end-items Focus on product/resource

delivery Defines what is to be

provided and often exactly how it is to be done

The more the supplier sells, the more the supplier makes

DND Manages In-Service and assumes all performance risk

Performance Based Logistics Identifies outcomes (operational

& support) “Complete” latitude for industry

to satisfy objectives The less the supplier consumes,

the more the supplier makes Industry assumes all/some

performance risk DND Policy: ISSCF

How must DND Adjust to PBL Paradigm?

The DND Equipment System

The Mission Equipment performs the operational task

The combination of the Mission Equipment and the Support System constitutes an Equipment System

An effective Support System generates and sustains Mission Equipment

Capable Equipment enabled by an effective Support System provides Materiel Readiness

The Support System must be fully integrated and designed for the

Mission Equipment

Support System

MissionEquipment

ButtonEquipment

System

Integrated Support System: Government & Industry

Support System logistic resources and

manpower/training which are put in place to meet equipment system availability and operational usage requirements

Resources are required by “service providers”

In-Service Support is evolving towards CAF/DND/Industry balance

ISS Arrangements/Agreements should be structured around required “services” and their outcomes:

a service based model a reasonable approach

Button

IntegratedEquipment Support System

Government of Canada / CAF / DND / IndustryService Alignment

Contracting/Agreements

ProgramManagement

PerformanceAssessment

Generates and SustainsEquipment

Equipment System Materiel Readiness Model

“Traditional” ILS Similarities, With Some Differences

MaterielReadiness

IntegratedEquipment Support System

Equipment Support System Services

Operating SupportService

Engineering Support Service

Maintenance SupportService

MaterielSupportService

Training SupportService

EngineeringMaintenance

PlanningSupplySupport

Training &TrainingSupport

Facilities &Infrastucture

PersonnelRequirements& Integration

Support &Test

EquipmentPHS&T

TechnicalInformation

& Data

Computer &SoftwareSupport

Capable Equipment & Effective Support

System

Support System Analyses & Resources

Processes and Resources

Information SupportService

Materiel Readiness

Integrated Service Providers

Integrated Services

Generates and SustainsEquipment

Demands of theDND ILS Manager – today

ILS Manager is asked to conduct many aspects of ESMR Model

Challenge: ILS core tasks still remain

May be opportune to adopt Supportability Manager in addition to ILS Manager

Supportability Manager “concept” is applied in some DND projects now

Under ISSCF/PBL:

• Who is now responsible to establish the ISSC?

• Who defines the Support Services, how?

• What are the DND/Industry Roles?

• How are project “silos” prevented?

Supportability Manager: Possible Role within DND?

DOD: similar role Product Support Manager Direct Report to PM

Responsibility: Support System Definition

Development, and Realization Best Value Analysis Support Arrangements:

ISSC/PBL, Traditional, or Both “Steady-state” management

and performance improvement

Challenges Complexities of

Industry/DND integrated service requirements

Balance to ensure Materiel Readiness achieved in unknown future military environments

Supportability Manager and the ILS Manager :

Both Roles Vital, Both Required

Summing Up PBL/ISSCF

Change is occurring / has occurred

Materiel Readiness Integrated Service Approach is Key

Equipment System Materiel Readiness Model that combines service and resources

Who is responsible? Supportability Manager Proposed for DND ILS Manager still required