Defense Transportation Journal

Leading the Way—General William Tuttle, Jr., USA (Ret.) Overcoming Barriers to Force Movement

June 2008

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CONTENTS

June 2008

FEATURES In Contrast June 2008

•

Vol 64, No. 3

PUBLISHER

LTG Ken Wykle, USA (Ret.) EDITOR

Kent N. Gourdin MANAGING EDITOR

Karen Schmitt | karen@ndtahq.com CONTRIBUTING EDITOR

Denny Edwards

CIRCULATION MANAGER

Leah Ashe

PUBLISHING OFFICE

NDTA 50 South Pickett Street, Suite 220 Alexandria, VA 22304-7296 703-751-5011 • F 703-823-8761 PRODUCTION MANAGER

Margaret Howard GRAPHIC DESIGN

Debbie Bretches ADVERTISING ACCOUNT EXECUTIVE

Don Perkins

ADVERTISING & PRODUCTION Carden Jennings Publishing Co., Ltd. Custom Publishing Division 375 Greenbrier Drive, Suite 100 Charlottesville, VA 22901 434-817-2000, x143 • F 434-817-2020

Defense Transportation Journal (ISSN 0011-7625) is published bimonthly by the National Defense Transportation Association, a non-profit research and educational organization; 50 South Pickett Street, Suite 220, Alexandria, VA 22304-7296, 703-751-5011. Copyright by NDTA. Periodicals postage paid at Alexandria, Virginia, and at additional mailing offices.

SUBSCRIPTION RATES: One year (six issues) $35. Two years, $55. Three years, $70. To foreign post offices, $45.

Single copies, $6 plus postage. The DTJ is free to members. For details on membership, visit www.ndtahq.com.

POSTMASTER: Send address changes to: Defense Transportation Journal 50 South Pickett Street, Suite 220 Alexandria, VA 22304-7296

9

NDTA Atlantic Regional Forum

12

Leading the Way

14

2008 National Transportation Week Poster Contest

17

Air Force Soars Toward Alternative Fuel Goals

18

2008 SDDC Symposium NDTA Expo McCollister’s Photo Album

23

Developing a Unique DOD Unit Movement Transportation Tracking Number

27

Hershey, PA

General William G.T. Tuttle, Jr. USA (Ret.)

Overcoming Barriers to Force Movement Visibility

DEPARTMENTS A-35 NEWS | Ms. Lori Leffler . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 EDITORIAL | Dr. Kent N. Gourdin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 PRESIDENT’S CORNER | LTG Ken Wykle, USA (Ret.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 GOVERNMENT NEWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 INDUSTRY NEWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 HOMELAND SECURITY | Mr. Lee Jackson. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 PROFESSIONAL DEVELOPMENT | Mr. Jerry Cothran. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 PAGES PAST | COL Denny Edwards, USA (Ret.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 HONOR ROLL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38 CHAIRMAN’S CIRCLE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 INDUSTRY INROADS | Ms. Denise Bailey . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 BOOKSHELF IDEAS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 INDEX OF ADVERTISERS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

A-35

EDITORIAL REVIEW BOARD AND EDITORIAL OBJECTIVES

Regional Forum Opportunities

Dr. James M. Daley, Dean, Helzberg School of Management, Rockhurst University, Kansas City, MO Dr. Kent N. Gourdin, Director, Global Logistics and Transportation Program, College of Charleston Maj Gen John E. Griffith, USAF (Ret.), Transportation Logistics Consultant Richard H. Hinchcliff, Consultant Brig Gen Malcolm P. Hooker, USAF (Ret.), Member, Board of Directors, NDTA Dr. Joseph G. Mattingly, Jr., R.H. Smith School of Business, University of Maryland Prof. Gary S. Misch, US Naval War College (Ret.) Lt Col Anne T. Peck, USAF (Ret.) Dr. Richard F. Poist, Jr., Professor, Transportation and Logistics, Iowa State University MG Harold I. Small, USA (Ret.), Consultant COL Joseph A. Torsani, Jr., USA (Ret.) Dr. David Vellenga, Director, Carl A. Gerstacker Liberal Arts Institute for Professional Management, Professor of Economics and Management, Albion College

EDITORIAL OBJECTIVES The editorial objectives of the Defense Transportation Journal are to advance knowledge and science in defense transportation and the partnership between the commercial transportation industry and the government transporter. DTJ stimulates thought and effort in the areas of defense transportation, logistics, and distribution by providing readers with: •

• • • •

News and information about defense transportation issues New theories or techniques Information on research programs Creative views and syntheses of new concepts Articles in subject areas that have significant current impact on thought and practice in defense transportation • Reports on NDTA Chapters EDITORIAL POLICY The Defense Transportation Journal is designed as a forum for current research, opinion, and identification of trends in defense transportation. The opinions expressed are those of the authors and not necessarily of the Editors, the Editorial Review Board, or NDTA. EDITORIAL CONTENT For correspondence including feature manuscripts and books for review, write: Dr. Kent N. Gourdin, Editor, DTJ Director of the Global Logistics & Transportation Program, College of Charleston, Charleston, SC 843-953-5327 • F 843-953-5697 gourdink@email.cofc.edu Government, Corporate, NDTA and Chapter News, Almanac Input, Mini-features, and all other departments, send news and photos to: Ms. Karen Schmitt, Managing Editor, DTJ NDTA 50 South Pickett Street, Suite 220 Alexandria, VA 22304-7296 703-751-5011 • F 703-823-8761 karen@ndtahq.com

4 | Defense Transportation Journal |

JUNE 2008

Ms. Lori Leffler, A-35 Chair Manager, US Government Sales, The Hertz Corporation

A

s the NDTA A-35 National Chair, I and other NDTA leaders are always seeking new ways to provide exposure, networking, and professional development opportunities to our young members. Our newest endeavor allows A-35ers the opportunity to submit information for this column. Our first submission is by Mr. Mike Babiak. Mike separated from active duty after six years as an Armor Officer and more than two years in the Middle East. Following his separation from active duty in 2006, he transitioned to industry and is employed with McCollister’s Transportation Systems, Inc. (a transportation service provider) where he handles Government and Defense Accounts. He is a very active NDTA A-35 member and participates in A-35 activities on the national, regional, and local levels. Additionally, Mike is our A-35 Regional Forum ViceChair and is leading our A-35 activities at the upcoming NDTA regional forum in Hershey, Pennsylvania. Mike tells us: “Greetings, I am the A-35 lead for the 2008 Atlantic Regional Forum. This year the NDTA will be hosting its first regional forum since many of us A-35ers were born.

We are creating an agenda that will make the best use of your time. The A-35 agenda is geared to provide Mentoring, Networking, and Professional Opportunities.

“The first A-35 event will be a brunch meeting on Thursday the 26th. This event is strategically timed to end before the CEU-Credit Workshop and, of course, before the Shotgun Start of the Golf Tournament. As we enjoy our brunch, we will briefly review the status of A-35 and upcoming events and programs. Then we will transition to the main Mentoring Session. This session will feature Senior Leaders in the Military as well as Industry. Each Leader will discuss how young A-35ers can get the most out of their relationships with Senior Leaders. We will touch on setting up the initial meeting to maintaining com-

munications and maximizing the mentoring potential. Following the group discussion, we will offer one-on-one mentoring opportunities for interested individuals. If you happen to be one of these interested individuals, please contact me in advance so we can coordinate.

“The next A-35 event will be Thursday night following the reception. The goal of the A-35 After-Hours is to give our members (if you are reading this and are under 36, you qualify) a solid opportunity to network with peers. One of the pillars of the organization is to allow young professionals, military and industry, to develop lasting relationships early in their careers.

This will be held onsite or transportation will be provided.

“In addition there are numerous other NDTA events on the agenda through Saturday. Not to mention Hershey is “The Sweetest Place on Earth.” There are plenty of offsite attractions for family members.

“We are excited about bringing back the Regional Forum concept and are looking forward to having many more in the future. This provides an excellent opportunity for A-35 members to participate in an event with a regional focus. Register on the web at: http://www.ndtahq. com/2008Regional_Forum.htm. If you have questions, contact me at mbabiak@ mccollisters.com.” DTJ

“Give them quality.

That’s the best kind of advertising in the world.”

Find the ANSWER on page 34

EDITORIAL Dark Days for the Airline Industry Dr. Kent N. Gourdin, Editor DTJ Director, Global Logistics and Transportation Program College of Charleston

M

arch and April were terrible months for the airlines. Aloha, ATA, and Skybus stopped flying altogether, and Frontier continues to operate but filed for Chapter 11 bankruptcy protection. One big factor in the failure of the first three is the unprecedented rise in the cost of jet fuel, which is 74% higher than it was this time last year. Indeed, last May a barrel of oil cost $64; today it’s closer to $115. But that’s not the only issue. Frontier’s credit card processing company decided to hold back monies previously paid to the carrier in order to protect themselves should they have to refund tickets as a result of the airline’s failure. These failures graphically illustrate how close to the margin some carriers operate. Of course, one could argue that this sort of reduction in capacity is just what the industry needs in order to justify the fare increases the airlines so desperately need.

However, there is always pain associated with such adjustments. The folks in Hawaii really got a double whammy with the loss of both Aloha and ATA. The former was a major provider of inter-island services; its demise severely reduces capacity and raises the specter of significant fare increases as the number of airlines serving those routes drops to two. ATA was a major source of both scheduled and charter leisure transportation to and from the mainland, serving price-sensitive travelers who may very well opt for another vacation destination given the higher fares offered by the major carriers.

Also within the past month, Delta and Northwest announced their intention to merge, which immediately prompted predictions of higher fares, reduced service, fuller airplanes, and general disarray. The complexities associated with any merger of companies this size are daunting, although they seem particularly so with airlines. Integrating dispa-

rate fleets, reservation and information systems, routes, and employee management philosophies can prove extremely problematic. Unfortunately, the customer is directly impacted by all of these, so it’s difficult to change them without adversely affecting passengers in the process. And make no mistake: if this combination is approved by the powers that be, there are others just waiting in the wings (pardon the pun).

Clearly, the industry is entering a period of unprecedented change that will impact us all. The economists will tell you that reducing capacity, either through the failure of some firms or the operational changes made possible through mergers, will lead to higher prices which should result in higher revenues. Unfortunately for the airlines though, that presupposes that all passengers are willing to pay the higher fares, which is not necessarily true. While SOME (business travelers, the rich) will,

others (most of the rest of us) may simply elect not to go especially if service deteriorates as prices rise. Thus, the carriers have, up until now, found themselves unable to raise fares simply because competition will not let them.

Even the Defense Transportation System (DTS) may find itself impacted by these changes. ATA was, until April of this year, a member of the Civil Reserve Air Fleet (CRAF) providing 15 aircraft to the International Long Range Segment and 16 to the International Short-Range Segment. All of that capability is now gone. One has to wonder what the end result on the CRAF will be when Delta/ Northwest finishes their fleet integration.

Should, as some analysts predict, other major airlines elect to merge, there could be further reductions in the CRAF. Obviously, nothing stays the same, but the forces bedeviling our airline managers today will cause them to rethink the way they run their businesses. Unfortunately, I think those changes are just beginning and that we may not be happy with a lot of them. DTJ

www.ndtahq.com | 5

PRESIDENT’S CORNER ANNOUNCING

The winner of the NDTA A-35 Recruiting Contest

JOE ESCALERA, REGIMENTAL CHAPTER

LTG Ken Wykle, USA (Ret.)

Joe recruited a whopping 41 new A-35 recruits and an additional 14 regular members. He won a brand new Garmin nüvi for his outstanding effort.

NDTA President

T

hese are challenging economic times. The economy is slowing, and fuel prices continue to rise. The impact of these two factors is affecting our corporate members and their operations. Most visible are the airlines—ATA has stopped operations, some are filing for bankruptcy protection, and others are merging. Motor Carriers are analyzing their operations and seeking ways to reduce fuel consumptions and miles driven without freight. Small companies are going out of business. Maritime companies have seen the cost of bunker fuel double with the corresponding impact on the bottom line. With less freight to move and the rapid increase in the costs of fuel, companies are eliminating less efficient operations, being more selective in the customers they serve, and limiting or delaying hiring new employees. Now is the best time to be an NDTA Corporate member, participate in our functional committees, and share knowledge on ways to improve operations and the “bottom line.”

Leaders in the transportation industry continue to champion the need for additional investments in the infrastructure.

Yet the politicians appear to make little progress on solving the challenges. The political campaigns contain a lot of rheto-

ric on NAFTA, outsourcing jobs overseas, and the mortgage crisis, but little about the failing infrastructure. All of us need to work to get the topic of infrastructure into the campaigns and raise the visibility of the need to invest in this critical national asset. A robust, quality infrastructure contributes directly to economic growth and improved quality of life by providing good paying jobs for the American worker and the capability to quickly and efficiently serve markets. Add your voice to those championing the need to invest in the infrastructure and urge the presidential candidates to include this topic in their domestic programs.

NDTA is currently focusing on education, professional development, and support for the TRANSCOM JDDE (Joint Deployment and Distribution Enterprise). We are initiating an Atlantic Regional Forum to provide educational opportunities in support of the JDDE. It will be held in Hershey, PA, 26-27 June 2008.

Check our website, www.ndtahq.com, for details. Attendees may participate in academic classes on the following subjects: Metrics (FedEx), Planning (APICS), and Relationship Management (Penn State University). Continuing Education Credits (CEUs), for each class will be awarded

WELC ME

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by Penn State University. We will also offer CEUs for academic classes during the annual Forum in Reno 20-24 September 2008. Additionally, each of these two events will feature keynote speakers and roundtable discussions during general sessions. Mark your calendars and plan to attend these two professional events.

This issue of the Defense Transportation Journal contains more information on the Atlantic Regional Forum and other interesting columns and articles. The article contrasting the vintage car with the age of Air Force Aircraft is informative. Think about it: many pilots are flying planes older than they are. Current issues are discussed in our Professional Development Column from Lockheed Martin, “Aligning Logistics Career Development to their Corporate Business Strategy,” our Leading the Way Interview with General Tuttle, USA (Ret.), and side bar on the Aeroscraft ML 866, the Transportation Tracking Number (TTN) initiative, and alternative fuels used by the Air Force.

Thank you for your confidence in the Association and the daily contributions each of you make in support of our nation’s economy and to our national security. DTJ

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www.ndtahq.com | 7

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Sincere thanks to the Air Force Association for permission to reprint “In Contrast.” And Kudos to the USAF and the dedicated professionals who keep their fleet up and running. You are Ever Ready Every Where!

A comparison of classic automobiles with USAF aircraft is the perfect sequel to National Transportation Week (May 11-17). The 2008 theme was entitled “The Year of the Car”. Be sure to read about the Air Force’s alternative fuel goals in this issue of the DTJ!

T

here’s something nostalgic about seeing a gleaming antique car still on the road. When you see it, you immediately know some things about it.

You know it’s one of just a handful left of so many built that year. Most of its contemporaries are gone; that’s why it stands out. It has been the beneficiary of a lot of used parts from cars now on the scrap heap because its production line closed long ago. You know it is the sentimental value that sets it apart, not really its capa-

1955 B-52 Stratofortress

Nash Ambassador

1956 U-2 Dragon Lady KC-135 Stratotanker

Studebaker

1957

Nash Metropolitan

1958 C-130E Hercules

Buick Limited

1970 C-5A Galaxy RC-135 Rivet Joint

Gremlin

1973

Dodge Dart

1975 F-15 Eagle E-3 Sentry F-16 Fighting Falcon

Ford Maverick

1977 1979

Cadillac De Ville Ford Fairmont

www.ndtahq.com | 9

1982 KC-10 Extender F-117 Nighthawk B-1B Lancer

Chevy Malibu

1983 1986

Pontiac 6000 Buick Somerset

1989 F-15E Strike Eagle

Chevy Caprice

1995 C-17 Globemaster III

Dodge Spirit

1997 B-2 Spirit & E-8 Joint Spirit MQ-1 Predator

Buick Skylark

2003

Oldsmobile Aurora

2005 F-22 Raptor

10 | Defense Transportation Journal |

Pontiac Grand Am

JUNE 2008

bilities in comparison to a new car. You know that its mileage has probably been kept low, it doesn’t make long trips, it has been garaged in inclement weather, and in some cases, maybe that it has been so extensively overhauled and rebuilt that it’s more new car than old.

Despite its age, there are no worries. If something goes wrong at 55 miles per hour, you just pull over and make a phone call.

Contrast that with an Air Force aircraft built the same year. Like the car, the plane has been obsessively cared for over the years. But there are huge differences.

Instead of being garaged, its frame has

The average age of Air Force aircraft is now 26 years old—the oldest in Air Force history. Take a look. withstood everything nature can throw at it for decades. Instead of low mileage, it has far exceeded, sometimes doubled or tripled, the manufacturer’s expectations.

Instead of being taken out for special occasions, it has been a daily workhorse put through the rigors and strains of highspeed air travel for more than a generation. It still is expected to fly at top speeds and for long distances as it did when it came off the assembly line, and when something goes wrong in the air, it is a split-second matter of life and death.

It’s easy to forget that these planes are old. We think of the Air Force as synonymous with state-of-the-art technology, but the hand of time is working against the airframe itself. The average age of Air Force aircraft is now 26 years old—the oldest in Air Force history. Take a look. DTJ

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NDTA ATLANTIC REGIONAL FORUM

I

n response to pressures that our industry faces and requests for additional program options from our membership, the NDTA has scheduled a Regional Forum in Hershey, PA, for 26-27 June 2008. The event is expected to draw significant attendance from the Atlantic area—home to corporate partners engaged in trucking, rail, and shipping industries, DOD operational hubs, and several active chapters of the Association. NDTA’s Washington, DC, and Central Pennsylvania Chapters will host the regional event.

“We are getting together to grow professionally as an organization and to draw upon our strengths as we face tough challenges in the industry and move ahead,” said Ken Wykle, NDTA President, former Federal Highway Administrator and one-time Deputy Commander, USTRANSCOM. Fuel increases and infrastructure shortfalls have been in the headlines lately, but those unfamiliar with the Defense Transportation System, which supports and sustains our country’s warfighters and national security, may not be aware of new training requirements related to the Joint Deployment and Distribution Enterprise (JDDE) as developed through the USTRANSCOM. A Work Shop series highlighting aspects of the JDDE will be offered. In cooperation with Penn State University/Harrisburg, Work Shop participants will be awarded Continuing Education Units (CEUs) for each session they

complete. CEUs measure the value of continuing education programs, and can be applied to various industries and services in both private and public sectors. In the workplace, an employer may find CEUs helpful in measuring an employee’s occupational competency.

Credited course topics include: • Network Optimization Planning • Key Performance Metrics • JDDE Relationship Management Senior leadership from military and government sectors will attend the Regional Forum. Speakers and special guests include RADM Alan Thompson, USN, SC, Commander of NAVSUP and Chief of Supply Corps; LTG Robert Dail, USA, Director of Defense Logistics Agency; and Mr. Andrew Dyer, Menlo Worldwide Logistics, Government Services.

Mr. Ed Kelly, General Manager Office of Air Cargo Security, Transportation Sector Network Management—TSA, will address the “Certified Cargo Screening Program,” which mandates 100 percent, piecelevel screening of cargo originating in the US that is transported aboard passenger aircraft. Implementation is expected by August 2010. A spokesperson from Menlo Worldwide Logistics is expected to attend with updates on the DTCI initiative from an industry perspective.

NDTA he s t Revive pt of Conce gional e the R rence Confe

12 | Defense Transportation Journal |

JUNE 2008

Hershey SCHEDULE JUNE 26, THURSDAY MORNING/AFTERNOON •

•

• •

A-35 Brunch Meeting (Mentor Meeting to follow) Distribution Committee Meeting (5-6:30pm with LTG Robert Dail, USA) CEU-Credit Workshop (1-4pm) NDTA Atlantic Region Golf Tournament (Shotgun Start at Noon; finish 5pm) Hershey Country Club

EVENING • Reception • Networking & Table Top Displays (6:30-8pm, Nigerian Room, Hershey Lodge) • A-35 “After Hours” (starting at 8pm)

JUNE 27, FRIDAY MORNING •

•

Regional Forum Breakfast (7-8am, Nigerian Room, Hershey Lodge) Opening Ceremony & General Sessions (8:30-10:40am, Nigerian Room, Hershey Lodge) – Welcome and Introductions from: LTG Kenneth Wykle, USA (Ret.) President, NDTA COL Joe Torsani, USA (Ret.) President, NDTA Atlantic Region – Forum Co-Chairs: Captain James P. Naber, USN (Supply Corps), Commanding Officer, Defense Distribution Center – Susquehanna Mary Ann Wagner, President & Founder, XIO Strategies, Inc. – Pennsylvania State Rep. – TBD – NDTA Distinguished Service Award: Morrill Worcester, President Worcester Wreath Company – General Session (9-9:25am): LTG Robert Dail, USA, Director, Defense Logistics Agency “The DLA Enterprise” – General Session (9:25-9:50am): Senior Leadership, TBD US Transportation Command – General Session (9:50-10:15am): Mr. Andy Dyer, VP, Vice President, Menlo Worldwide – Government, “DTCI“ Updates on Operations and the Initial Implementation Sites – General Session (10:15-10:40am): Mr. Ed Kelly, TSA, General Manager, Air Cargo Security, Certified Cargo Screening Program

• Break (10:40-11am, Nigerian Room, Hershey Lodge) • Networking & Table Top Displays • Roundtable Discussion with Q&A (11am-Noon) – LTG Dail, US TRANSCOM, Sr. Rep, RADM Alan Thompson, USN, SC Commander, Naval Supply Systems Command (NAVSUP), Mr. Kelley, and Mr. Dyer

NOON • Regional Forum Lunch (Noon-1pm, Nigerian Room, Hershey Lodge) • Networking & Table Top Displays

AFTERNOON • CEU-Credit Workshop (1-4pm, Location TBD) • Off Site Professional Tour – Defense Distribution Center (5pm)

JUNE 28, SATURDAY MORNING

• Off Site Professional Tour – Defense Distribution Center (9am)

AFTERNOON • Glicks Family Farm Visit (4pm)

Special Guests & Topics LTG Robert Dail, USA Director, Defense Logistics Agency RADM Alan Thompson, USN, SC Commander, NAVSUP, Chief of Supply Corps Department of Homeland Security TSA – Office of Air Cargo Security, Transportation Sector Network Management “Certified Cargo Screening Program” Menlo Worldwide Logistics “DTCI“ Updates on Operations and the Initial Implementation Sites

NDTA members are well acquainted with NDTA’s Annual Forum, which has been in place for more than 60 years; events at the regional level, however, have not been available since the 1970s.

The Atlantic Regional Forum in Hershey is modeled on the Annual Forum concept and offers the same key ingredients: professional programs, networking, and off sites.

John Fasching, President of the Central PA Chapter (co-host), explains, “Attend-

NDTA Distinguished Service Award Recipient Morrill Worcester Founder, Wreaths Across America (WAA) President of Worcester Wreath Company

One man’s mission to remember that freedom isn’t free Morrill Worcester and Worcester Wreath’s involvement with wreath laying ceremonies (Arlington Wreath Project) was inspired at the early age of 12 years old when, as a Bangor Daily News paperboy, Morrill won a trip to the Nation’s Capital. It was a trip he would never forget—especially his visit to Arlington National Cemetery, which made an indelible impression. In later life, he recognized that his success as businessman was, in large part, due to the values of this Nation and the Veterans who made the ultimate sacrifice for their country.

Although he is not a veteran himself, Morrill has committed himself for fifteen years to remembering and honoring those who keep this country safe, with a simple wreath laid down for the holidays.

Born in Jonesport, Maine, in 1949, the fifth child of Wilbur and Florence Worcester, Morrill was raised as an early entrepreneur on the farms of his youth and graduated from Narraguagus HS (Harrington, ME) in 1968. Morrill and his wife Karen reside in Columbia Falls and are the parents of six children. He is a 1973 graduate of the University of Maine, with a BS in Animal and Pre-Veterinary Science.

With more than 35 years of business experience, the diverse ventures of Morrill Worcester make up one of the great entrepreneurial stories in the economy of Eastern Maine. From agriculture, manufacturing, construction, and power generation to professional basketball and industrial baking, his collective enterprises past and present make up the second largest employer in Washington County. Current operations include Worcester Wreath Company, the world’s largest producer of holiday balsam products and a top vendor/supplier to LL Bean for 25 years; County Concrete & Asphalt Co.; Worcester Peat Co. (860-acre peat bog and harvesting operation that supplies horticultural products up and down the east coast); and since 1993, Worcester Energy Co., including its 25.85 MW biomass power plant in Deblois, ME. In 2007, the Arlington Wreath Project was expanded to include wreath-laying ceremonies at 286 locations; in 2008, more than 300 locations are expected across the Country! This new national campaign was dubbed Wreaths Across America (www.wreaths-across-america.org), with a stated mission to: REMEMBER the fallen; HONOR those who serve; and TEACH our children that our freedoms have come at a great cost.

The NDTA salutes Morrill Worcester in recognition of his selfless dedication to honoring our Nation’s heroes.

ees are invited to the Defense Distribution Center – Susquehanna for an operational tour, and Mr. Morrill Worcester, President of Wreaths Across America, will receive NDTA’s Distinguished Service Award in thanks for his dedication to our Nation’s heroes. Our Chapter joined his Wreath campaign last fall for a most rewarding experience.” Sean Caulfield, President of NDTA’s Washington, DC, Chapter (cohost), adds, “I am hoping that our Atlan-

tic Region and Washington, DC, Chapter members take advantage of this opportunity, combining a learning and networking experience with a chance to discover Hershey, Pennsylvania. And, if successful, maybe this type of localized event could be repeated in other regions.”

Don’t pass up this opportunity to combine a learning and networking experience with a chance to discover Hershey, PA—America’s Candy Capital. DTJ www.ndtahq.com | 13

A CONVERSATION WITH General William G.T. Tuttle, Jr. USA (Ret.)

By Karen Schmitt

Those who lead the way often follow a path that strays from more conventional routes—one with twists and turns and surprises around every corner. Early on, General William G. T. Tuttle, Jr. USA (Ret.) embarked upon just such a career path, and he hasn’t missed a step! He continues to delight in discovering possibilities along the way. Thank you, General Tuttle, for sharing some thoughts with DTJ readers.

General Tuttle, you wrote an article on “Buoyancy Assisted Aircraft” in a recent issue of the DTJ (“A New Technology to Support a 21st Century Operational Concept”; February 2008; Vol 64; No.1).

What inspired that topic?

So much has taken place since I wrote, “Defense Logistics for the 21st Century” in 2005, especially in light of stabilization and reconstruction operations that we face in Iraq and Afghanistan. Securing populations and providing help to ease the transition to stable government, not only in Iraq but in other volatile regions as well, may center on areas lacking in roads, railways, ports, and airfields. I find this scenario, identified in the Army’s new FM 3-0, to be the key element of our military strategy in the near future.

I am also fascinated by a new technology that potentially would enable more effective sustainment of stabilization and reconstruction operations in the areas of the world described above. That technology, known as “Dynamic Buoyancy Management,” along with several structural technologies, combines the buoyancy 14 | Defense Transportation Journal |

JUNE 2008

attributes of a dirigible with the aerodynamics of a fixed wing aircraft to provide vertical take-off and landing and transport massive cargo loads regardless of infrastructure. The Defense Advanced Research Projects Agency (DARPA) has been evaluating the technology since 2005, and the Rapid Reaction Technology Office, Office of the Under Secretary of Defense Acquisition, Technology and Logistics, is developing an Advanced Technology Demonstration of a prototype air vehicle incorporating the technology.

I was heartened by General Schwartz’s keynote address at the 2007 NDTA Forum in Charleston, SC. He talked about the need to save on aircraft fuel consumption.

It’s a huge problem. He said we need an alternative way to carry supplies, suggesting the potential use of lighter than air vehicles. As one result of that address, Aeros, Inc., which developed the buoyancy management technology (see inset), was invited to Air Mobility Command back in November to brief AMC and TRANSCOM on the concept and development of the technology. General Schwartz’s interest has

encouraged those working on developing this new air vehicle.

For all intents and purposes, our Military is a mobile mini-nation constantly moving its “citizens” (or soldiers) and all the equipment, spare parts, amenities, and supplies required to support them and their stabilization/reconstruction missions in hundreds of smaller “cities” scattered amongst rugged terrain features.

Medical systems and evacuation support are especially important components of the sustainment capability that this new technology can support.

Conditions we could conceivably face warrant our attention. The desire is there—the need is there—and people with vision are exploring possibilities.

This was the genesis to an article on buoyancy assisted aircraft.

When it comes to logistics, it seems to always be a question of “What Next?”

According to US TRANSCOM’s Joint Deployment and Distribution Enterprise (JDDE), “adaptive planning” will be an important skill set. How do you define this quality?

Adaptive planning is pretty much the same thing as contingency planning— they have a similar meaning. You always have to project ahead to a situation that might possibly come your way. You have to adapt your processes, particularly logistics, to fit the engagement—from humanitarian assistance to peaceful settlement of conflict to all out combat. Then, you have to sustain the effort—to enable the operational commander to face the combat.

You have to imagine all the situations that commanders are likely to experience— and make preparations.

What was the greatest logistics challenge that you faced in your military career?

And how did you overcome it?

Every assignment presents a logistics challenge. “Just Cause” in Panama (1989~1990) was managed relatively easily. The 18th Airborne Corps handled support using a “reach back” (to Fort Bragg) strategy. They were so well prepared, and it went so quickly that the Army Materiel Command (AMC) didn’t have to deal with insurmountable difficulties. But when facing “Desert Storm,” we had to do well in deploying our forces and preparing them for combat. This involved a whole series of complex issues. For one, we were on the heels of a cold war, yet moving into a hot zone, so to speak, and we were on the verge of downsizing as things began heating up.

The Dessert Storm/Shield conflict required modernizing the Army for a desert environment. We had to bring tanks up to date and see to it that the troops had the most modern equipment. We deployed large stocks of ammunition. General Schwarzkopf wanted plenty and for good reason—we were proving that America had an enormous capacity to sustain operations. Ships came up the Persian Gulf in an endless stream—the amount of cargo that was offloaded and moved forward was astounding. Our support requirement at AMC was just as large, and it came at a time when we were beginning to cut back. I remember a visit to Red River Depot [Texas]. People were showing me their pink slips saying, “You can count on us!

We’ll keep working!” The post cold war downsizing had started. We were in the process of having to cut back in August of 1990—but everyone was on a 24/7 schedule to move supplies and get units topped off. The mechanism had started to curtail the exodus of our people, and folks were very proud to jump back in and help no matter what.

At the same time, we were adapting to desert warfare. Teams from Sikorsky were working on ways to keep aircraft blades from weathering. Other manufacturers were correcting problems in the sand colored paint used to camouflage vehicles.

The original color made it just too hot in-

AIR BORN

FAA begins certification process of the Aeroscraft ML866

The FAA has accepted the type certification application for the Aeroscraft model ML866 made by Worldwide Aeros. The Aeroscraft is based on proprietary Dynamic Buoyancy Management and Structural Technologies that create a completely new class of aircraft. Unlike other aircraft, the Aeroscraft generates lift through a combination of aerodynamics, thrust vectoring, and gas buoyancy generation and management.

Aeros president and CEO Igor Pasternak said, “This is a monumental step forward in the aerospace industry. It is a new dimension of flight!”

Prior to the ML866 Type Certification program, the FAA had issued Type Certificate to Worldwide Aeros Corp. for the airship models Aeros 40B and Aeros 40D Sky Dragons. Aeros airships had also been certified in Europe and Asia.

The capabilities of the Aeroscraft ML866 create new prospects for all kinds of travelers to reach destinations inaccessible to conventional airliners. The interior cabin can be comfortably configured with amenities from private state rooms to a fully functional business and conference center.

The Aeroscraft is also intended to haul cargo. The Aeroscraft’s ability to access remote areas around the world would create opportunities for opening of new markets, efficient product delivery at reduced cost, and facilitate manufacturing in rural areas. Also, it will help improve the environment due to the lesser required land transportation mode.

About Aeros: Aeros is the world’s leading lighter-than-air, FAA-certified aircraft manufacturing company. The company’s operations involve the research, development, production, operation, and marketing of a complete family of Aerosbranded air vehicles used in government and commercial applications. These include non-rigid FAA Type Certified Aeros 40D Sky Dragon Airships, Advanced Tethered Aerostatic Systems, and New Type Rigid Air Vehicle – Aeroscraft.

side the tanks. Industry did a fantastic job in supporting us. They turned on their patriotism—that “Can Do” spirit.

We deployed Patriots as air defense protection; at first, however, the engine that

powered the generators posed problems.

They had come from Allison Gas Turbine for the initial fielding of Patriot, but we had not bought more from Allison for several years. Our folks didn’t know how www.ndtahq.com | 15

General William G.T. Tuttle, Jr. General Tuttle did not follow the traditional Transportation Corps career track. His assignments were diverse and far-reaching, and ranged from academe (Assistant Professor of Social Sciences at West Point) to battlefield (Executive Officer of the 9th Infantry Division, Vietnam) to diplomacy (Chief of the Policy and Programs Branch, Policy Division, Supreme Headquarters Allied Powers Europe, NATO) to name just a few. He also led the US Army Operational Test and Evaluation Agency, which conducted the final evaluations of the Patriot and HMMWV leading to their introduction into the Army. He then returned to logistics, commanding the Army Logistics Center (now CASCOM) for nearly four years. His military career culminated at the AMC, where he served as Commander from 27 September 1989 to 31 January 1992. In this position, General Tuttle was in charge of all logistical support and the entire industrial base for the US Army. He supported soldiers in the field and “was instrumental in crafting a more modern AMC to ensure operational readiness.”

“Defense Logistics for the 21st Century” by William G.T. Tuttle, Jr., Annapolis, MD: Naval Institute Press, May 2005. 355 pages

to repair the turbine blades. But after a phone call to the CEO, Allison engineers dug in. In a little over a week, everything was under control. Once again, industry jumped to task.

There were distribution challenges as well. Initially It was hard to deliver high 16 | Defense Transportation Journal |

JUNE 2008

priority custom orders quickly to Saudi Arabia, but we devised a system—the requirement relayed to an AMC inventory control point via satellite phone and the item moved by FedEx to the aerial port at Charleston—and it worked well for quick deliveries. TRANSCOM allocated a daily C141 out of Charleston, and the services negotiated specific pallet allocations for each service branch for each flight. If there were shortfalls, service logisticians swapped pallet priorities to make things happen. Success here was more about interservice cooperation than simply adaptive planning.

We all had to change, to refocus and to react to the unique environmental challenges. And communications needed to be good. If you don’t know what the problems are from the front, you can’t make the necessary changes.

What is the difference between logistics in the military and logistics in industry?

What are the lessons that can be shared?

Both groups have vital strengths and both set good examples to follow.

In the commercial world, people are incentivized. They are always looking for better ways to satisfy customers while keeping costs reasonable. They know that successful globalization lies in managing their supply chains. They strive towards efficiency and effectiveness. Military logisticians are picking up on the concept of Supply Chain Management, which started to materialize in the late 80s.

The military provides excellent training and instills strong commitment and value systems. This is what makes individuals with active service experience so desirable to employers. The job is more personal in the military . . . there is more a sense of cooperation than competition.

The industry/military partnership has gotten stronger due to military cutbacks, and more and more tasks are outsourced.

Mutual understanding has improved while the tasks of logistics support have grown more complex. The partnership deserves great credit in the sustainment successes of the last decade. The National Defense Transportation Association has been an important part of the process.

The industry/military relationship, just as in a marriage, goes up and down.

Sometimes objectives differ. We’ve seen this when it comes to contracting—a con-

tinual bone of contention. But the measure of the relationship is whether or not things get done—and they do get done— and, reasonably well. Major changes like DTCI will eventually settle down, and we’ll get the results that we want.

People on both sides need to be willing to step outside their “stove pipes” and understand each other. It’s the same case with “jointness” among the military.

We are from different tribes—we wear different uniforms—we have different cultures. Secretary of Defense Rumsfeld had the right idea when he established the Distribution Process Owner (DPO), and TRANSCOM has advanced the ball with the combatant commands and the services very well since then. We have to continue promoting that process.

The NDTA works hard to encourage relationship building, between industry and military, and also between senior leaders and young professionals through our Mentor– Protege Program. As you embarked upon your career did someone provide you support and guidance along the way?

I had a lot of mentors steering me along the way. I started life as an infantry paratrooper in the 82nd, then joined the Transportation Corps when it began to build up and replace officers getting ready to retire from World War II. I went to Korea right after graduate school. That is where I got to know three lieutenant colonels very well—these were my first mentors. We often ate meals together, and they shared good advice on career development then and for several years afterwards. I didn’t follow the usual path—I had very few transportation assignments.

My career was like a smorgasbord—a little bit of everything.

In some respects, your career seems tailor made for the “new logistician,” the multi-skilled officer who is not focused on a single discipline. Can you sum up the most desirable attributes that a logistician can have?

• Focus is important.

• Focus on FLEXIBILITY – be ready for anything • Focus on the CUSTOMERS and their NEEDS – that’s the reason the logistician exists • Focus on PROBLEM SOLVING – then find the tools you need DTJ

The First Place National Winner in the Transportation Week “One Nation On The Move” poster contest is 5th grader Sean Connor (front, center, holding plaque) of Whittaker Elementary School in Orangeburg. The award was presented to him in Columbia on May 15. Shown from left are: John Connor (his father), Harolyn Conner (his mother), Ashton Connor (his brother), Jae Mattox of the South Carolina section of the Institute of Transportation Engineers, Sean Connor, SCDOT Deputy Secretary of Finance and Administration Debra Rountree, SC Division Administrator of the Federal Highway Administration Bob Lee, SC Alliance to Fix Our Roads Executive Director Debbie Bass, SCDOT Deputy Secretary For Engineering Tony Chapman, and FHWA Office of Professional and Corporate Development Associate Administrator Joe Toole.

The Second Place National Winner in the Transportation Week “One Nation On The Move” poster contest is 5th grader Mitch Garrett, center, Fork Shoals School in Greenville. The award was presented to him in Columbia on May 15. Presenting the award to him are Jae Mattox of the South Carolina section of the Institute of Transportation Engineers, left, and FHWA Office of Professional and Corporate Development Associate Administrator Joe Toole.

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wo South Carolina fifth-grade students won first and second place in a national poster contest as part of National Transportation Week. In total, 13 states participated in the Student Poster Contest, generating more than 1500 student art submissions.

The first place national winner was Sean Connor of Whittaker Elementary School in Orangeburg. Mitch Garrett, of Fork Shoals School in Greenville, was national second place winner.

There were only three national winners in the contest sponsored by the US Department of Transportation, the Institute of Transportation Engineers, and the Engineering Society of Detroit. Local sponsors included the American Public Works Association, the Auto Alliance, the SC Department of Transportation, the Federal Highway Division Administration South Carolina Division, and the South Carolina Alliance to Fix Our Roads (SC FOR).

Across South Carolina, there were more than 1100 entries from students participating in the poster contest. In a ceremony held in Columbia on May 15, the first place prize winner received a $200 savings bond to the student and $500 awarded to the student’s school. The second place prize winner received a $100 savings bond to the student and $200 awarded to the student’s school.

The theme of this year’s poster contest was “One Nation On The Move.”

Held on May 11-17, 2008, National Transportation Week provides an opportunity for the transportation community to join together for greater awareness about the importance of transportation. National Transportation Week also focuses on making youth aware of transportation-related careers. DTJ

First Place: Sean Connor, Orangeburg, SC

Second Place: Mitch Garrett, Pelzer, SC

Third Place: Steven Pitts, Bloomfield Hills, MI

www.ndtahq.com | 17

I

n yet another first in aviation history, a B-1B Lancer from Dyess Air Force Base, Texas, flew at supersonic speed over Texas and New Mexico using alternate fuel on March 19.

To date, the Air Force has successfully completed test flights on three airframes using a 50/50 blend of traditional JP-8 jet fuel and synthetic fuel, certifying operational use of the fuel in the B-52H Stratofortress last August. In December, a C-17 Globemaster III, using the synthetic fuel blend, completed a transcontinental flight from McChord AFB, WA, to McGuire AFB, NJ. “The Air Force is taking a leadership role in testing and certifying the use of synthetic fuel in aircraft,” said Secretary of the Air Force Michael Wynne.

The fuel blend is being tested as part of an ongoing Air Force program to help the environment and use domesticallyproduced fuel. Using the Fischer-Tropsch

“The Air Force is taking a leadership role in testing and certifying the use of synthetic fuel in aircraft,” said Secretary of the Air Force Michael Wynne. process—which converts carbon-based materials into synthetic fuel—Air Force officials plan to evaluate and certify this alternative fuel for use in all Air Force aircraft by 2011.

Within the federal government, the Air Force is the single largest user of aviation fuel, using an estimated 3 billion gallons per year. Each time the price of oil goes up $10 per barrel, it costs the Air Force an additional $610 million for fuel. The 18 | Defense Transportation Journal |

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Fischer-Tropsch process gives the Air Force a cleaner, more cost-efficient fuel source. Synthetic fuel created using the Fischer-Tropsch process costs an estimated $30 to $50 less per barrel than its petroleum counterpart.

Still, saving money is not the only reason the Air Force is looking to use synthetic fuel. Synthetic fuel has the potential to reduce the United States’ dependency on foreign energy sources.

“It causes angst to know that we’re faced with a commodity that some might use against us,” Secretary Wynne said during the B-52 Fischer-Tropsch certification ceremony at Edwards AFB, CA. “We want to provide our nation a look forward to something else and essentially join with numerous researchers who are looking for alternatives . . . and find the solution.”

Finding a cleaner alternative for the environment is also a major driver for the Air Force to certify the Fischer-Tropsch fuel blend in all airframes. German chemists Franz Fischer and Hans Tropsch developed the method at the Kaiser Wilhem Institute during the 1920s.

“Essentially, using a number of chemicals and catalysts, what [chemists Fischer

Senior Airman Hector Gonzalez and Airman 1st Class Jeffery Pollitt conduct an operational check on a B-1B Lancer March 19 at Dyess Air Force Base, Texas. A B-1B from Dyess AFB became the first aircraft to fly supersonic speeds using a 50/50 blend of synthetic and petroleum fuel over the White Sands Missile Range airspace in south-central New Mexico. (US Air Force photo/Tech.

Sgt. Cecilio Ricardo)

The supersonic flight (pictures this page) occurred over the White Sands Missile Range airspace in south-central New Mexico, but took off from Dyess AFB. A B-1B from Dyess AFB became the Air Force’s first aircraft to fly at the supersonic speeds using a 50/50 blend of synthetic and petroleum fuel. At right from top to bottom: Airman Jesus Abalos pulls out a hose to inject fuel into a B-1B Lancer March 19 at Dyess AFB, TX. Airman Abalos is a fuels distribution specialist with the 7th Logistics Readiness Squadron. (USAF photo/Tech. Sgt. Cecilio M. Ricardo) Airman 1t Class Charles Edwards pulls out a hose to inject fuel into a B-1B Lancer March 19 at Dyess AFB, TX. Airman Edwards is a crew chief with the 7th Aerial Maintenance Squadron. (USAF photo/Tech. Sgt. Cecilio M. Ricardo) A B-1B Lancer lands after becoming the Air Force’s first aircraft to fly at the supersonic speed using a 50/50 blend of synthetic and petroleum fuel March 19 at Dyess AFB, TX. (USAF photo/Airman 1st Class Jennifer Romig) Airman James Lau locks in a fuel hose onto a B-1B Lancer March 19 at Dyess AFB, TX. (USAF photo/Tech. Sgt. Cecilio M. Ricardo)

www.ndtahq.com | 19

and Tropsch] were able to do was to reproduce in a laboratory what it takes the earth millions of years to do with organic matter,” said Dr. Don Erbschloe, chief scientist at Air Mobility Command in Illinois.

Alternative fuels can be produced from domestically available hydrocarbon products like natural gas, coal, and shale and then gasified and converted into any number of liquid fuel products.

The Fischer-Tropsch process produces a complex “organic soup” very much like petroleum that has the potential to burn cleaner than JP-8, reducing combustionrelated emissions and particulates in the air, Dr. Erbschloe said.

Furthermore, pilots who flew the aircraft during test flights reported no notable differences between flying with the synthetic fuel blend and traditional jet fuel.

“This is the tip of the spear for national energy independence and cleaner energy,” Secretary Wynne said. “It is doing well for the Air Force and the nation.” DTJ

Staff Sgt. Matthew Bates, Air Force News Agency; Roger Drinnon, Air Mobility Command Public Affairs; Senior Airman Jason Hernandez, 95th Air Base Wing Public Affairs; and the Air Force Flight Test Center, Edwards AFB, contributed to this article.

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A B-52 Stratofortress, like these shown, powered by a mix of synthetic fuel arrived at Minot AFB, ND, January 17 for cold weather testing. This is the last step in the testing and certification process to help reduce Air Force dependence on imported fuel. (USAF photo/Airman 1st Class Christopher Boitz) A C-17 Globemaster III flies over New York City after completing the first transcontinental flight on synthetic fuel on December 17. The C-17 took off before dawn from McChord Air Force Base, WA, and landed in the early afternoon at McGuire AFB, NJ. (USAF photo) A B-52 Stratofortress accelerates down the runway at Edwards AFB, CA, December 15 during take-off for a flight-test mission using a blend of synthetic fuel and JP-8 in all eight engines. This is the first time a B-52 has flown using a synfuel-blend as the only fuel on board. In September, the Air Force successfully flew a B-52 with two engines using the synfuel-blend while the others used standard fuel. The B-52 test flights at Edwards are the initial steps in the Air Force process to test and certify a synthetic blend of fuel for its aviation fleet. (USAF photo/Jet Fabara)

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2008 SDDC SYMPOSIUM NDTA EXPO McCOLLISTER’S PHOTO ALBUM APRIL 29-30, 2008, ORLANDO, FL SPONSORED BY

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SDDC SYMPOSIUM NDTA EXPO EXPO SUPER SPONSORS

EXPO SPONSORS Agility Defense & Government Services | APL Limited | AVIS Budget Group | BAX Global | Best Western Boyle Transportation | CEVA Logistics (formerly EGL) | Courtyard by Marriott | Crossroad Carriers, Inc. | DHL Extended Stay Hotels | Goodrich Hospitality Consultants | Hertz | Hilton Hotels Corporation | Landstar System Maersk Line, Ltd. | Magno International | National Air Cargo | National Car Rental/Alamo Rent-A-Car Omega World Travel | Pasha Hawaii Transport Lines | R & R Trucking | Southwest Airlines | Tucker Company | UPS

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APRIL 29-30, 2008, ORLANDO, FL We’ve wrapped up another successful Expo held in conjunction with the SDDC Symposium in Orlando, Florida, on April 28-30! For more than a decade, NDTA has supported the event, which draws military and civilian professionals in the fields of transportation, logistics, and distribution.

This year, Ken Wykle, Association President, presented the 2008 NDTA Quality Awards (formerly the SDDC Quality Awards) at a formal ceremony to companies that have demonstrated superior service and support to the Department of Defense. The award has enjoyed a long and prestigious history from its origins in the Military Traffic Management and Terminal Service (MTMTS) Command in the late 60s. NDTA proudly continues the tradition in the same spirit as the Surface Deployment and Distribution Command (SDDC) and all of its predecessor organizations. This year’s NDTA Quality Award Recipients are:

ACE Transfer & Storage American United Logistics BAX Global Hidden Valley Moving & Storage INTERSTATE Van Lines Miramar Transportation, Inc. NYK Logistics (Americas), Inc. R & R Trucking Raith Engineering & Cargo Transport Systems Textainer Equipment Management (US), LTD MG Kathleen Gainey, Commander of SDDC, presented the Shipper Performance Award to organizations who exceeded Defense Transportation Regulation standards for timeliness and accuracy. Recipients are:

Super Large Category Defense Distribution Depot (Susquehanna) HQ Defense Commissary Agency AAFES Dan Daniel Distribution Center Large Category Defense Distribution Depot (Red River) AAFES Atlanta Distribution Center Medium Category Defense Distribution Depot (Barstow) Joint Military Postal Activity – Atlantic Joint Military Postal Activity – Pacific Small Category DCMA Denver Southeast Transportation Center DCMA Boston Northeast Transportation Center NDTA salutes all of the winners for their professionalism and their support of our country’s security and economy!

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YOU NEED AN AWARD-WINNING LOGISTICS STRATEGY. When does Agility DGS consider a job well done? When the fill rate for feeding the forces in Iraq surpasses the contract requirement? When life-risking dedication in challenging environments earns unanimous respect across all branches of service? For Agility, success isn’t measured in orders delivered or deadlines met. It occurs when our partners meet their goals. It’s an intimate approach to logistics that demands individual attention and personal ownership. It’s how Agility brings an award-winning logistics strategy to feeding the forces and to everything

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Developing a Unique DOD Unit Movement Transportation Tracking Number

to Force Movement Visibility

By David A. Vail, CIV, USTRANSCOM (TCJ3-IR)

“

Logistics sets the campaign’s operational limits. The lead time needed to arrange logistics support and resolve logistics concerns requires continuous integration of logistic considerations into the operational planning process. This is especially critical when available planning time is short.

Constant coordination and cooperation between the combatant command and component staffs— and with other combatant commands—is a prerequisite for ensuring timely command awareness and oversight of deployment, readiness, and sustainment issues in the theater of war.

— Joint Pub 1: Joint Warfare of the Armed Forces of the United States

LEARNING FROM INDUSTRY The commercial distribution sector has had widespread success by adopting webbased, web-assigned tracking numbers.

Their underlying motive is certainly the “bottom-line’” and to affect that “bottomline,” companies have sought to better serve their customer needs through the application of information technology. The assignment of unique life-cycle tracking numbers for customer visibility is a cornerstone strategy for corporate America.

Today, nearly every successful enterprise uses some form of tracking number to manage their products and services.

Whether it is a mega-volume small package carrier such as FedEx, DHL, or UPS; a large retail chain such as WalMart; an international ocean carrier such as APL, SeaLand, or Maersk; or even a fish and game wildlife environmentalist—everyone relies upon unique lifecycle tracking numbers to hold business information together as it passes through enterprise databases. They realize that by tightly integrating corporate data, they can provide quick, simple and understandable responses to any customer inquiry. In the end, satisfied customers breed more business opportunity, and more business opportunity breeds larger “bottom-lines.”

In addition to the tangible customer benefits from this data integration strategy, there are internal corporate benefits as well. The strategy also allows these organizations to track critical corporate information across domain boundaries; eg, operations, finance, inventory/tracking, scheduling (planning), marketing, and resource management. Without a business focused integration strategy to share information, the business becomes fragmented, and critical business information becomes compartmentalized and eventually loses inherent value to the business as a whole.1 So, if this approach is being used so successfully by so many, why has the Department of Defense (DOD) not yet realized the value to be gained by the in-

”

troduction of a unique tracking number for unit deployments? Over the past 20 years, the DOD’s joint planning and execution community has continued to seek ways to compare actual execution detail with its associated planned movement.

This has continually been identified as a major command and control goal—to accurately depict a “plan versus actual” view and make needed adjustments as real world events affect the plan. However, the fundamental pitfall of this goal has always been that the classified planning domain of Joint Operation Planning and Execution System (JOPES) and the unclassified execution domain of the Defense Transportation System (DTS) use significantly different data models with differing levels of detail. For that very reason, an accurate, detailed portrayal of “plan versus actual” has met with failure.

The United States Transportation Command (USTRANSCOM) and United States Joint Forces Command-sponsored Transportation Tracking Number (TTN) initiative finally addresses this issue.

EARLY EFFORTS TO TRACK UNIT MOVEMENTS Subsequent to September 11, 2001, the high volume deployments supporting

The Electronic College of Process Innovation, Daniel S. Appleton, “Business Rules: The Missing Link”

1

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US operations in Afghanistan mandated better deployment data visibility. Early analysis revealed extensive variance in the accuracy and completeness of unit deployment data, and, over time, the reported operational picture of the unit deployment status was significantly distorted.

When viewing Unit Line Number (ULN) requirements in the JOPES, the corresponding scheduling and movement

regularly occur in the execution-planning cycle and provided fertile areas for attacking unit move visibility problems in order to develop a long-term solution.

Overall the study revealed that systems work as designed when provided all critical data at the beginning of the process.

However, it also revealed that the lack of process discipline and continuous human intervention with the data created signifi-

This early look into deployment data uncovered significant data breakdowns that regularly occur in the execution-planning cycle and provided fertile areas for attacking unit move visibility problems in order to develop a long-term solution. visibility was no better than 27 percent.

When the same unit deployment data was researched in the Global Transportation Network (GTN) with the Unit Identification Code (UIC), 85 percent of the unit shipment data was visible.

Of significant interest was the magnitude of “key” data element errors across multiple systems and processes; eg, incorrectly constructed Transportation Control Numbers (TCNs), missing and/or incorrect Unit Line Numbers (ULNs).

This early look into deployment data uncovered significant data breakdowns that

cant voids in the ability to maintain these critical data associations. New tools, new procedures, and a greater emphasis on data quality will be needed in the future to affect a long-term solution.

In the deployment planning and execution domains there are crucial pieces of information represented by data elements that must be understood. During contingencies, initial movement requirements are defined in an aggregated fashion in JOPES while the actual shipment detail during movement of these requirements is recorded in DTS systems.

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To get a “planned versus actual” perspective, critical pieces of information from the plan and execution space must be held together from the very beginning of movement planning through closure at the end of movement. It is only by maintaining cross-domain linkages of these relationships that a user can ultimately understand the status of deployment and determine how real-world events are affecting that movement. The initial steps of our data analysis effort were to understand the realities of these critical data relationships during deployments to Afghanistan and Iraq.

To achieve quality in-transit visibility (ITV) for unit moves from the planned requirement through its execution and delivery, the relationship of these four critical data elements must be fully understood: • • • •

OPLAN Identification (PID) Unit Line Number (ULN) Unit Identification Code (UIC) Transportation Control Number (TCN)

It is absolutely essential to hold these elements together in order to fully trace JOPES planned records with its DTS execution detail. Since the JOPES domain is limited to an aggregation of data in contrast to the DTS execution systems that contains item level detail, all critical data relationships must be maintained throughout the entire deployment planning and movement life cycle as the data passes from system to system.

Remembering that the planning data in JOPES differs significantly from the movement data in the DTS systems, these DTS systems must eventually roll the details up into aggregated data sets for JOPES. Once this aggregated data is in JOPES, the details of the deployment can no longer be understood.

The process can be likened to melting ten pennies into a copper mass. Once accomplished, one can no longer read details that were stamped on the coins; all independent detail is lost in the aggregation process. Additionally, if any critical data linkages for the cargo are lost, an accurate rollup is again impossible. With two disparate domains operating two independent databases any rollup picture is, at best, a very precarious one.

In spite of deployment doctrine and policy, data standardization, business rules

and personnel training in deployment processes, this decentralized approach to manually generating critical data elements has opened the door for users to regularly introduce non-compliant and inconsistent data into deployment execution systems. Although the Defense Transportation Regulations (DTR) states that unit move TCNs must be unique, they are not, especially over relatively short timeframes and across OPLANs. Currently, there is no unique key created at the beginning of requirement identification process in JOPES that remains tightly associated with shipment data throughout the deployment process. Our current decentralized process is very cumbersome and labor intensive, such that enforcement of doctrine, policy, data standardization, and business rules is non-existent.

OPERATIONS ENDURING FREEDOM AND IRAQI FREEDOM Deployment data quality was consistently monitored throughout the last five years of OEF/OIF. The first report, completed in October 2002, reflected that of the 123,730 unit move TCN shipment records, only 29 percent contained a ULN needed for possible return to JOPES. During the intervening period from October 2002 to January 2003, a software change was made to a DTS air manifesting system, improving the data quality to 46 percent. In February 2003, USTRANSCOM and the Army’s Forces Command (FORSCOM) personnel reconfigured a data exchange between the COMPASS and GTN Systems to obtain a post-FORSCOM–edited data feed, vice the existing pre-edit feed, resulting in a significant improvement (61 percent) in Army data quality.

As far as real data quality is concerned, USTRANSCOM has begun to move from the art of guessing to the initial stages of applied scientific research to help identify and point to the resolution of data quality issues across the DTS. Even with these first steps, there is no real data quality visibility inside these segments of data. By January 2004, the level of data quality reached 77 percent, yet within a year that number had fallen to 65 percent and has remained representative.

OVERCOMING THE PROBLEM To overcome the data integrity issues outlined above, USTRANSCOM, in part-

UAN Analysis: 18 July 07 Total Mobility TCN Shipments 117,715

Figure 1: Deployment Data Quality – July 2007 Figure 1 shows the results of deployment data quality as of July 2007. The green and blue segments reflect the presence of a ULN in the record set. The red-green slice depicts valid service records that did not have the ULN. When translated to the warfighter, his view of unit deployments continues to be affected by the loss of 35 percent of his data.

nership with JFCOM, has sponsored a FedEx-like tracking number concept for all DOD unit deployment cargo. This initiative is called the Transportation Tracking Number (TTN). The basic concept for the unit movement TTN has several critical characteristics that must be kept in focus. These characteristics are: • each number is truly unique over a significant timeframe (upwards of ten years); • each number is a data key that can cross classification boundary without comprising OPSEC; • the number is assigned as early in the deployment planning process as possible; and • this number remains associated with the shipment data in every system that processes and stores transportation data.

The TTN will ensure that all unit move requirements are reported back to JOPES for a fully-realized “plan versus actual” capability-based closure assessment.

TRANSPORTATION TRACKING NUMBER INITIATIVE Fundamentally, the TTN concept has two parts. Account numbers are estab-

lished in JOPES at the highest level and are subsequently used as a “seed” for creating individual tracking numbers for each shipment. At the outset of any new deployment requirement in JOPES, a system generated account number would be ascribed to each requirement. It would be based on an algorithm that represents a combination of JOPES PID and ULN data. It would not be a concatenation of these values, but would be a newly generated randomized customer TTN Account Number (TTAN).

Two key aspects of the number are: (1) it does not have innate intelligence in and of itself; and (2) it remains unique throughout its life-cycle to prevent reuse or duplication within the transportation domain.

The TTAN will be established sometime prior to, or during, the planning/ sourcing process. This account number is established electronically in JOPES at the moment a requirement record (ULN) is created. As unit movement documentation is created, a sequential counter for each shipment is added to the TTAN to create a complete TTN. This TTN is collected in a service-owned deployment repository, as well as processed through all the other DTS systems and eventually collected in the TRANSCOM global www.ndtahq.com | 29

ITV database. As the shipment is moved through the execution environment, the TTN serves as the “data key” for ensuring data reliability throughout the complete movement.

To gain visibility of actual movements, the TTNs are available on the unclassified systems for TTN Account Number

terable. The TTAN provides JOPES the single unique data key that can be used to hold the entire life cycle of planning and execution data together.

Because there is no embedded intelligence in the creation of the basic TTAN in JOPES, it is not restricted from the classified-to-unclassified data flow . . .

Figure 2: TTN Process and Services

queries. Additionally, at various points in the execution, the TTNs movement event updates would be reported to the C2 environment for the comprehensive planned versus actual assessments.

Within the Joint Staff ’s Operations Directorate (J3), its Command Systems Operations Division has taken the lead in having the Defense Information Systems Agency (DISA) engineer the TTN initiative and support services, thus setting the stage for the FY08 prototyping in preparation for future implementation. In this effort, DISA will be providing a range of Service Oriented Architecture (SOA) services and documentation for developers to use in their prototype and eventual implementation efforts. Figure 2 identifies a basic view of the systems and where various SOA services are envisioned.

thus removing the requirement for: (1) establishing an alias for the PID to be used on unclassified systems; and (2) maintaining the classified PID to unclassified “PID-alias” cross-reference table.

Through the TTAN, the PID–ULN relationship can be freely exchanged across the classified boundary without violating operational security. The unalterable and unintelligent TTN removes any motivation for customer changes that traditionally destroy embedded intelligence in current TCN, such as changing sustainment TCNs into unit move TCNs to avoid HAZMAT restrictions or to avoid billing by moving on contingency missions.

Finally, the TTN removes the dependency on process enforcement for any success in achieving improved unit move data quality.

REMOVING OLD BARRIERS Since the TTN is designed for machineto-machine data exchange, there is no human user involved in its creation, exchange, or processing; it remains guaranteed unique and traceable and unal-

NEW CAPABILITIES ENABLED BY TTN In the simplest terms, the TTN resolves many long-standing issues with deployment data quality, while at the same time fulfilling critical command and control objectives. Because the TTN initiative

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provides the linkages across JOPES and the unclassified transportation systems, it offers the opportunity to assemble an accurate “plan versus actual” picture at the item-level of detail. The essence of the “plan versus actual” picture is that it provides a true relationship of the plan requirements and all the detail about unit movements.

The TTN enhances command and control of deployment from origin to destination, affording commanders better insight for posturing support, coordinating delivery, and conducting capability assessments.

The orchestration of this detail data enables the combatant commander and staff to better understand force capability and the synchronization and integration of that capability before, during, and after deployment of their forces. Strategic and theater replanning is empowered by the availability of accurate deployment planning and execution data that provides any aggregation needed by strategic, operational, and tactical stakeholders; eg, ULNs, UICs, Force Tracking Numbers (FTN), or even type equipment and the related capability. Significantly, the TTN allows unit equipment to be moved on any plane or ship without the loss of ITV, and more importantly, its OPLAN relationship. It is this final point that opens the potential to transform the financial process for billing and paying for lift. The TTN offers the opportunity to transform the world of deployment data. DTJ

David Vail is a senior civilian in the Operations Integration Division, Operations & Plans Directorate, United States Transportation Command, Scott AFB, IL, overseeing the design and development of the Transportation Tracking Number (TTN) initiative. Significant contributions to the TTN effort and this article have been provided by Randall Heim, Jim Donovan, and Tom Black of MITRE. ACKNOWLEDGEMENTS In addition to the MITRE team mentioned above, the following agencies have made significant positive contributions to the advancement of the TTN initiative: Joint Staff J3-CSOD, DISA PEO-C2C, CENTCOM AJ3, TRANSCOM J5/4, and JFCOM J9 JDPO.

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GOVERNMENT NEWS* SDDC The perfect salute to National Transportation Week—a joint effort that employs all modes to accomplish the Strategic Seaport mission in South Carolina

By Capt. Chris LeCron Army 841st Trans BN Public Affairs Charleston, SC The strategic seaport of Charleston’s continuous military deployments and redeployments since 9/11 are managed and operated by a true “joint” team of soldiers, sailors, marines, mariners, civil servants, contractors, and commercial transportation partners.

The overall command and control of each military seaport mission is managed

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*Some articles have been condensed due to limitations in space.

by the SDDC’s Army 841st Transportation Battalion. However, the 841st Transportation Battalion, also known as SDDC Charleston, is made up of a mix of army officer, non-commissioned officers, army civilians, and contractors.

Military deployments in Charleston over the last two years have supported numerous missions to include Operation Iraqi Freedom, Operation Enduring Freedom, Kosovo Forces, humanitarian deployments, mine resistant vehicle deployments, and unit sustainment.

One mission of SDDC Charleston is to supervise and manage the contracted labor provided by Marine Terminals Corporation East (MTC). MTC is made up of experienced civilian longshoremen that work both commercial cargo and military cargo missions in Charleston.

SDDC Charleston also manages the transport of cargo to and from the seaport. This commercial transport mainly

Soldiers from SDDC Charleston set up a mobile radio frequency tracking kit with the help of Unisys contractors during a high priority mine resistant ambush protected vehicle sealift mission, Feb. 2008. Photo by Master Sgt. Kevin Young.

comes in the form of the commercial trucking industry. During certain missions, cargo is transported by rail to and from the seaport. Both Norfolk Southern and CSX operate trains for military missions to Charleston.

Cargo that is transported by commercial truck is controlled and operated by

the cargo documentation and freight sections of the 841st. These sections arrange for receipt and pickup of cargo by commercial truck. The operation must verify which cargo is sent to which location and at what time.

The cargo ships that transport military cargo are either military chartered cargo ships or MSC Navy cargo ships. Both types of ships are operated by merchant mariners. These mariners operate and maintain these cargo ships that transport high priority military cargo.

Although the bulk of the labor is completed by civilian longshoremen, the 841st often utilized a port support activity team of personnel to supervise the labor, direct cargo, provide security and force protection, and movement control.

This port support activity team includes

DA civilian marine cargo specialists and military personnel.

The military personnel that compose the port support activity are usually army reservists or Marine Corps reservists. The “Savannah Marines,” a port operating unit based in Savannah, GA, has provided continuous port support activity support to Charleston operations since early 2007.

Several information technology specialists work at the 841st as contractors. Their job entails the proper maintenance of all technology programs to include computers, intranet, tracking technology, radios, phones, and video-teleconferencing as needed.

Although SDDC Charleston works mostly with the Coast Guard, merchant mariners, Marines, and deploying unit liaison officers, there is interface with the

INDUSTRY NEWS* AAFES Higinio Ortiz must be living right! For the second time in a year, AAFES Commander Brig. Gen. Keith ThurHiginio Ortiz good has handed this AAFES’ 2007 AAFES driver the keys Driver of the Year to a shiny, new custombuilt Freightliner tractor and Hyundai trailer, valued at more than $103,000.

Ortiz was presented the truck in honor of being named AAFES’ 2007 Driver of the Year. In a ceremony at the Waco, TX, Distribution Center on February 15, Ortiz joined an elite group of drivers who represent the very best of the trucking industry.

And he’s definitely one of the best! Last year, Ortiz received a new tractor/trailer when he became the first AAFES driver—and one of 80 drivers nationwide to receive the prestige honor—to log more than four million accident-free miles.

According to Rose Marie Brady, Chief of AAFES Fleet Operations, AAFES motor vehicle operators are key components of the AAFES supply chain. Happy drivers are good drivers, and AAFES seems to

Navy and Air Force. Several of the cargo piers used by SDDC Charleston are on a Navy installation. Each operation involves coordination with the Navy.

The Charleston AFB conducts cargo airlift in the same manner as SDDC Charleston conducts sealift. If cargo requires a quicker transit overseas, it can be bumped to airlift. If transit time is not an issue, the cargo will usually shift to sealift. The close location of the Charleston airport and seaports allows for this interchange.

The military sealift mission of SDDC Charleston requires a true “joint” effort of multiple DOD partners. Every type of transportation service and industry to include commercial and military is involved in the Charleston mission at one time or another. DTJ

*Some articles have been condensed due to limitations in space.

please as the average length of service for a driver is 18 years, and they drive more than 75,000 miles each year, she said.

To date, 43 AAFES drivers, out of 420, have reached the milestone of having driven one million safe miles; 17 AAFES drivers have doubled that feat and driven two million safe miles. Only four AAFES drivers have obtained the three-million mile safe milestone.

The Driver of the Year Program recognizes the professional expertise of motor vehicle operators. Eligibility Factors include no preventable accidents, no disciplinary actions, evaluations, miles driven, AAFES awards, special recognition awards, letters of appreciation/commendation, and National Safety Council Safe Driver Award.

As AAFES’ official ambassador, Ortiz will make appearances at events throughout the US, traveling in excess of 100,000 miles in 2008.

THE HOWLAND GROUP NDTA announces Shelley A. Warren, Managing Director of the Howland

Group Communications, as Chair of the Communications/Publications Committee. Professor William DeWitt was former Chair. Shelley holds a degree in American Studies earned with honors, and has also earned project management certificates in Planning & Strategies Identification, Scheduling & Monitoring, and Post Implementation Review. Over the past 20 years, she has played an integral role in assisting the Howland Group’s clients in developing and executing successful information and communication strategies. From 1988 to 1992, Shelley served as Director of Policy for Bucks County, PA, where she was responsible for coordinating policies and program development among various county agencies, non-profit organizations, and the private sector. Her most notable achievement, for which she was recognized by housing advocates, was organizing the creation of a private/public partnership to develop Bucks County’s first emergency homeless shelter and, subsequently, facilitating the Affordable Trust Fund. Shelley also serves on the Howland Group’s Board of Directors and is a member of the Transportation Research Board, Military Transportation Committee.

Welcome Shelley! NDTA is pleased to have you ONBOARD. DTJ www.ndtahq.com | 33

Are You Ready?

US CBP Proposes New Reporting Requirements for Importers and Carriers of Cargo Destined for the US

HOMELAND

SECURITY

Lee Jackson Lead, Information Systems Engineer The MITRE Corporation

T

he US Customs and Border Protection (CBP), an operating agency within the Department of Homeland Security (DHS), issued a Notice of Proposed Rulemaking (NPRM) in the Federal Register on January 2, 2008. In the NPRM, CBP proposed the electronic transmission of new cargo reporting requirements for importers and carriers of cargo transported by vessel to the US. Readers impacted by the proposed requirements should know that comments to the NPRM must be submitted on or before March 3, 2008. Comments can be submitted in writing or electronically through the Federal eRulemaking Portal: http://www.regulations.gov.

It is important to understand that these proposed requirements are in addition to the required entry requirements that importers and carriers are required to submit via electronic manifest 24 hours prior to lading containerized and nonexempt break-cargo at foreign ports on vessels destined for the US This requirement, referred to in the trade as the “24-hour rule,” has been in place since October 13, 2006, and is specified in Section 203 of the Security and Accountability for Every Port Act of 2006 (referred to as the SAFE Port Act; P.L. 109-347). The basis and justification for the “24-hour rule” was to enhance and improve CBP’s high-risk targeting efforts occurring through the Automated Targeting System (ATS). The additional information CBP proposes to require is intended to further improve CBP’s ability to identify high-risk shipments and cargo destined for the US

has been in existence on a voluntary basis within CBP for several months. I believe, but don’t quote me on this, that the new requirements of the “10+2” Program were discussed both within CBP and with their participating trade stakeholders at the last meeting of the Customs Operations Advisory Committee (COAC). The COAC is the public/private partnership that CBP participates in and uses as a sounding board to float new ideas within the trade community prior to CBP moving forward with the idea or proposal.

Specifically, the proposed new data requirements of the “10+2” Program are as follows:

THE PROPOSED REQUIREMENTS The new program and requirements being proposed are referred to by CBP as the “10+2” Program. Although the “10+2” Program and the requirements being proposed are new in terms of mandated requirements, this program

DISCUSSION AND FINAL NOTE Importers and Carriers impacted by these new CBP proposed requirements should carefully examine their current operations and evaluate the impact these new requirements may have on your operations. At a minimum, providing such

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IMPORTER REQUIREMENTS 1. Manufacturer/supplier name & address; 2. Seller/owner name & address; 3. Buyer/owner name & address; 4. Destination name & address; 5. Container stuffing location; 6. Consolidator (container stuffer) name & address; 7. Importer of record #/Foreign Trade Zone applicant #; 8. Consignee #’s; 9. Country of Origin; and 10. Commodity Harmonized Tariff Schedule #.

CARRIER REQUIREMENTS 1. Vessel Stow Plan for vessels destined to US; and 2. Container status messages, providing container status, movements, eg, empty or full.

new information electronically prior to a vessel being laden, if you are already not providing such information, may pose a logistical and information system challenge and could at the outset, prior to your incorporating such a process into your operations, result in potential delays of your cargo being processed. Consideration should also be given to how you will be able to protect the confidentiality of this information, especially due to the number of individuals involved in the process of preparing goods for export.

This NPRM is most likely the first of many new requirements shippers, carriers, and transportation companies will see this year, as the Federal agencies involved in furthering our homeland security seek to enhance the programs and requirements for cargo entering the US. Another similar proposal recently adopted is the Transportation Worker Identification Credential (TWIC) program. The TWIC program is being implemented on our ports and requires additional information for all employees working on our Nation’s ports. Both of these initiatives are only pieces of a larger puzzle. Stay in touch, there is more to come. DTJ Requirements from Section IV of the Federal Register’s On-line via GPO Access; CBP NPRM, 1/2/08; Bulk Carriers carrying exclusively bulk cargo are exempt from these regulations.

ANSWER

Milton Hershey SAVE THE DATE NDTA Atlantic Regional Forum June 26-27, 2008 Hershey, Pennsylvania

Lockheed Martin— Aligning Logistics Career Development to their Corporate Business Strategy Jerry Cothran

Senior Manager, Logistics Engineering, Center for Performance Excellence Lockheed Martin Corporation

I

n Shakespeare’s Julius Caesar, Brutus remarks insightfully to Cassius, “There is a tide in the affairs of men. Which, taken at the flood, leads on to fortune.”

They are, of course, discussing battle strategy, but this famous phrase is equally applicable in the business world.

Lockheed Martin Corporation, long a leader in the design, development, and production of sophisticated defense systems, is rapidly recognizing, along with many other Aerospace and Defense (A&D) companies, that the “tide” of defense business is undergoing a paradigm shift, unveiling new and growing opportunities in the area of after market support services. The convergence of many factors, such as the end of the cold war technology race, the changing global threat environment, the decline in procurement of new systems, and the corresponding rising cost of supporting aging systems, has prompted a new era and approach to defense system sustainment—those activities that assure operationally ready systems for today’s national security environment.

PERFORMANCE BASED LOGISTICS (PBL) At the forefront of this paradigm shift is a fundamental restructuring of the product support process to an approach, entitled PBL, in which the DOD is transitioning from accomplishing support through the iterative, transactional acquisition of the basic elements of support (eg, spares and repairs) to a more commercial model in which they enter into agreements with product support providers to deliver performance and support outcomes, such as system availability, and leave the determination of “how” to achieve those outcomes to a Product Support Integrator (PSI).

The success of PBL, based on hundreds of programs over the last 9-plus years, has been exceptional. In implementing PBL, DOD has often turned to the defense industry to assume the PSI role. As a consequence, A&D companies are suddenly

discovering opportunities for business relationships that may span periods far longer than their core design and development business—as long as thirty or forty years, based on the current and planned useful life of most DOD systems.

Lockheed Martin is aggressively expanding their presence in this business sector. To better posture themselves for this growing market, they have instituted a comprehensive Logistics work force development effort aimed at equipping their logistics personnel with the requisite skills, knowledge, and abilities to successfully accomplish this business strategy.

LOGISTICS AND SUSTAINMENT INSTITUTE At the core of Lockheed’s professional development plan is the establishment in 2006 of the Logistics and Sustainment Institute, or LSI. The goal of the LSI is to establish a multi-dimensional framework that offers their 13,000 Logistics personnel (and 7000 other career–field personnel who frequently perform logistics-related activities) a career roadmap and structure to facilitate opportunities for career planning, education and training, professional certification, and a collaborative learning network.

When fully implemented, the career roadmap will provide clear guidance regarding the required and recommended education, training, credentials, and experience requirements necessary at progressive levels within the Logistics and Sustainment profession. The benefits will be two-fold; employees will benefit from having an established career development path, and corporate management will gain visibility of the level of experience and training, across the logistics work force.

Patrice Jackson, the primary force behind the ongoing development of the LSI, emphasizes the value of the multi-dimensional approach. “In a complex discipline like logistics we need to be innovative with our career development program. We can’t

limit our focus to a traditional path from college new hire through vice-president; we need to provide specific course curriculum and qualifications at progressive levels across a broad spectrum of career paths. This approach not only provides our managers insight into the levels of workforce expertise, but also provides our employees a clear understanding of their professional growth opportunities.”

COLLABORATIVE LEARNING NETWORK In addition to training, we’ve added a virtual Collaborative Learning Network (CLN) dimension, which allows our logistics and sustainment professionals the opportunity to collaborate by sharing knowledge to increase their performance and in turn deliver better solutions to our customers.”

CENTER FOR PERFORMANCE EXCELLENCE One of the critical foundation pillars in the framework is formal training. To ensure the ready availability of high quality internal training, Lockheed Martin established the Center for Performance Excellence (CPE), headquartered in Rockville Maryland, as a focal point for internal professional development education.

The CPE provides training across several functional disciplines, including Program Management, Engineering, Software, Business Management, Quality Assurance, and, recently added, Logistics.

Doug Rowell, who manages the CPE, stresses the critical role of training in the overall corporate framework and business strategy. “The Center for Performance Excellence provides training and professional services across the corporation.

CPE training integrates the program performance curriculum, mentioned above, to ensure that Lockheed Martin professionals understand the full spectrum of capabilities required of our leaders and individual contributors. The CPE is focused on flawless execution because our primary goal is to support programs in the pursuit of perfect program performance.” www.ndtahq.com | 35

KNOWLEDGE ACQUISITION AND CULTURAL ACCLIMATIZATION Logistics training within the overall company strategy is equal parts knowledge acquisition and cultural acclimatization.

Lockheed Martin has exceptionally qualified logisticians—lack of logistics skills is not the imperative. However, application of those skills is significantly different in a sustainment environment versus a production environment. Planning a supply chain strategy for a manufacturing process primarily involving the procurement of new components that feed the production line is markedly dissimilar from a sustainment setting where a significant percent of spare part components result from repair and overhaul processes rather than new procurements.

The unique nature of the PBL business relationship, where industry providers take on significant responsibility for managing most aspects of support over the life cycle, brings new risk into the equation, such as obsolescence management and mitigation of aging and wear out events. Consequently there is an enhanced role for leveraging industry technical engineering expertise in planning and executing PBL sustainment strategies. This means that Lockheed Martin’s logistics training has to ensure a blend of traditional logistics with a significant level of technical content. Clearly, the business value proposition in taking on PBL work requires addressing not only the objective system supported (eg, an aircraft) but the enabling support systems as well (supply maintenance, transportation, configuration management) over the life cycle.

PBL COURSEWARE With a primary focus on capturing Performance-Based Logistics business, the CPE (in coordination with the LSI) is implementing a Logistics curriculum fully aligned with corporate business processes. To date three courses have been developed, with a fourth course planned for delivery in the fourth quarter of 2008.

Each of the courses, and their relationship to enabling the corporate business strategy, are summarized below.

• Introduction to PBL: This 2-day course provides a solid foundation in the concepts, application options, cost and technical trade space analysis, 36 | Defense Transportation Journal |

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designing, and implementing of PBL strategies.

• Design for Sustainment: This 3-day course emphasizes the application of engineering and related technical methodologies to optimize the design of systems for supportability, not only at initial fielding but throughout the service life. Advances in sensor-based technologies are facilitating the development of “autonomic” systems on board the objective system that enable continual health monitoring and management for improved supportability, a key outcome requirement in PBL support.

• Win PBL: This 4-day course puts students through an intense week long “war game” scenario in which teams compete to “capture” (build a winning proposal for) PBL business. PBL contracts, as already mentioned, are much more than routine sales of transactional goods. They are complex, evolving sustainment plans tailored to the operational role and environment of the system to be supported—hence the need to craft a viable proposal that delivers the specified outcomes at best value to the customer while providing business value to the corporation.

• Execute PBL: This 4-day course (in development) completes the PBL “cycle” of training by putting students through a discrete set of system scenarios in a war game environment to design, develop, and present a feasible PBL implementation and execution strategy that will meet customer requirements while maintaining flexibility to adapt to evolving system, operational, and financial factors throughout the system life.

In summary, students completing this cycle of courses have gained valuable training ranging from a fundamental understanding of PBL to leveraging corporate technical expertise for supportability to capturing PBL business to successfully executing PBL strategies throughout the life cycle.

The competition for PBL business and, in the broader sense, after market support services, is intense and will remain so for the foreseeable future. But with a comprehensive Logistics career development plan and corresponding training aligned with their corporate business strategy,

Lockheed Martin looks well postured to capture a significant share of this business while providing excellent value and service to their customers.

LEARNING OBJECTIVES: • Learn the role of Performance Based Logistics in DOD’s transition from iterative, transactional acquisition to commercial models delivering performance.

• Gain understanding of the importance of professional development to insure expertise for delivering PBL. • Understand the role of knowledge acquisition and cultural acclimatization in logistics training.

DEFINITIONS • Performance Based Logistics – buying Performance, not transactional goods and services. PBL delineates outcome performance goals of weapon systems, ensures that responsibilities are assigned, provides incentives for attaining these goals, and facilitates the overall life-cycle management of system reliability, supportability, and total ownership costs. It is an integrated acquisition and logistics process for buying weapon system capability.

(Defense Acquisition University) • Cultural acclimatization – “Incorporating corporate culture, made up of attitudes, experiences, beliefs, and values of an organization . . .”the specific collection of values and norms that are shared by people and groups in an organization and that control the way they interact with each other and with stakeholders outside the organization.

(Kotter, John. 1992 Corporate Culture and Performance, Free Press) • Sustainment – “the provision of personnel, logistic, and other support required to maintain and prolong operations or combat until successful accomplishment or revision of the mission or of the national objective.”

(Joint Publication 1–02, DOD [Department of Defense] Dictionary of Military and Associated Terms. DTJ

Please contact Jerry at jerry.d.cothran@lmco.com or 301-721-5711 www.ssrc.lmco.com

Change!

COL Denny Edwards, USA (Ret.) VP of Marketing and Corporate Development NDTA

from

Pages PAST

One thing becomes immediately apparent as you look over past DTJs. Change is everywhere.

Or, like the often heard statement, “nothing is constant but change itself.” NDTA is no exception, as the extracts from past journals printed below illustrate.

F

rom its very inception, the National Defense Transportation Association has been changing. Founded as the Army Transportation Association in 1944, it was a scant five years before the name and entire mission of the association was changed. The National Defense Transportation Association emerged on April 25, 1949—and with it a new logo and a new masthead for the Defense Transportation Journal. In fact, the journal masthead has changed no less than 14 times since the first issue—about once every four years! DTJ

May-June 1949

In 1982 a logo change was a hot topic of discussion within the membership.

In 1984 a new logo was proposed. Thankfully, some have said, it was not accepted.

Covers from the New Orleans and Atlanta Forum issues show the change in the association’s name.

Today the issue is before us again. This time, not the logo itself, but the appropriateness of the association’s name. To many, Defense Transportation seems to be too narrow to fit the current emphasis on distribution and supply chain management. Suggestions are to emphasize the initials NDTA in our name the way big companies like IBM, AT&T and 3M do. The actual name would not be spelled out, but a tag line would be added that would be more descriptive of our association. Examples that have been suggested include: NDTA – The Association of Logistics Professionals; NDTA – Serving Logistics Professionals; or NDTA – A Partnership of Logistics Leaders.

www.ndtahq.com | 37

HONOR ROLL

OF

SUSTAINING MEMBERS AND REGIONAL PATRONS

ALL OF THESE FIRMS SUPPORT THE PURPOSES AND OBJECTIVES OF NDTA

SUSTAINING MEMBERS A.I.R., Inc - USA d/b/a M2 Transport AAR Mobility Systems ABF Freight System, Inc. Air Transport Assn. of America Air Transport International, LLC AIT Worldwide Logistics, Inc. American Maritime Officers American Public University System American Road Line American Trucking Associations American United Logistics ARINC Army Air Force Exchange Service Arven Freight Forwarding, Inc. Associated Global Systems Astar Air Cargo, Inc. ATA Airlines, Inc. Baggett Transportation Co. Blue Bird Coachworks BNSF Railway Co. Bender Shipbuilding and Repair Co., Inc. Boyle Transportation Cargo Transport Systems Co. Carlson Hotels Worldwide C.H. Robinson Worldwide, Inc. Chalich Trucking, Inc. Chamber of Shipping of America Computer Sciences Corp.

Comtech Mobile Datacom Corporation CRST International, Inc. Crowley Maritime Corp.

CWT SatoTravel

REGIONAL PATRONS AAAA Forwarding, Inc. AAT Carriers Acme Truck Line, Inc. Advantage Rent-A-Car AHI Corporate Housing American Moving & Storage Assn.

Association of American Railroads Asynchrony Solutions, Inc. Avis Budget Group AWARDCO Freight Management Group, Inc. BEC Industries, LLC C5T Corporation The Cartwright Companies Center for the Commercial Deployment of Transportation Technologies (CCDoTT) Ceres Terminals, Inc. Chassis King

DynCorp International Dynamics Research Corp.

Efficient Hauling Systems LP dba EHS Industries Enterprise Rent-A-Car Europcar Fikes Truck Line GE Aviation General Dynamics/American Overseas Marine GeoDecisions Global Maritime & Trans. School-USMMA Greatwide Dallas Mavis Intermodal Association of North America (IANA) Intermarine, LLC International Commodity Carriers, Inc. International Longshoremen’s Association, AFL-CIO Intl. Organization of Masters, Mates and Pilots ITLT Solutions, Inc. Interstate Distributor Co. KGL Transportation Co. Kansas City Southern Keystone Shipping Company Knight Transportation Liberty Maritime Corporation LMI

Lockheed Martin Aeronautics Co. Luxury Air Jets MacGREGOR (USA) Inc. Matson Integrated Logistics Matson Navigation Co., Inc. Mayflower Transit McCollister’s Transportation Systems, Inc. MEBA Menlo Worldwide Mercer Transportation Co. Mi-Jack Products Mobility Resource Associates National – Alamo (Vanguard Car Rental USA, Inc.) National Air Carrier Assn., Inc. National Van Lines NCL America, Inc. North Carolina State Ports Authority Northwest Airlines NYK Logistics Americas Ocean Shipholdings, Inc. Old Dominion Freight Line, Inc. Omega World Travel Omni Air International, Inc. OSG Ship Management, Inc. Overdrive Logistics, Inc. Pacer Transport The Pasha Group Pilot Air Freight Services Port of Beaumont Port of Oakland Powersource Transportation, Inc. Pratt & Whitney

PRTM Management Consultants, LLC Priority Air Express Raith Engineering Sabre Travel Network Savi Technology Sealed Air Corp.

Sealift, Inc. Seafarers Int’l Union of N.A. AGLIWD Sea Star Line, LLC Southeast Vocational Alliance Southwest Airlines SRA International, Inc. Stanley Associates, Inc. SSA Marine Team Worldwide TQL Totem Ocean Trailer Express, Inc. (TOTE) Transportation Institute Transportation Intermediaries Assn. (TIA) TRI-STATE Expedited Service, Inc. Tri-State Motor Transit, Co., (TSMT) TTX Company Tucker Company United Maritime Group Union Pacific Railroad United Airlines UPS Freight United Van Lines, Inc. UTi Worldwide, Inc. VT Halter Marine, Inc. Wagler Integrated Logistics, LLC Whitney, Bradley & Brown, Inc. XIO Strategies, Inc.

C.L. Services, Inc. CSI Aviation Services, Inc. Delaware River Maritime Enterprise Council (DERMEC) DHL Japan Dollar Thrifty Automotive Group Federated Software Group FlightWorks Fox Rent A Car General Freight Services, Inc. Great American Lines, Inc. Green Valley Transportation Corp.

Hawthorn Suites – Alexandria, VA Hilton Hotels Corporation The Howland Group, Inc. HudsonMann, Inc. Hyatt Hotels and Resorts The Indiana Rail Road Company

IntelliTrans, LLC JAS Forwarding (USA), Inc. Kalitta Charters, LLC Korman Communities AKA a division Labelmaster Software Liberty Global Logistics LLC Logistics Management Resources, Inc. LTD Management Company, LLC Maersk K.K. MCR Federal, LLC (MCR) MTC Technologies MBA | Morten Beyer & Agnew Naniq Systems, LLC NCI Information Systems, Inc. Oakwood Corporate Worldwide Patriot Contract Services, LLC Payless Car Rental Philadelphia Regional Port Authority

Port of San Diego PowerTrack, US Bank Project ACTA Quality Support, Inc. Seabridge, Inc. Sea Box, Inc. SkyLink – (USA) SR International Logistics, Inc. Stratos Jet Charters, Inc. Trailer Bridge, Inc. Trailways Transportation System Transcar GmbH Trans Global Logistics Europe GmbH Truva International Transportation & Logistics USMMA Alumni Foundation, Inc. Utley, Inc. The Virginian Suites Veteran Enterprise Technology Services, LLC

C2 Freight Resources, Inc. Delta Air Lines, Inc. Dimensions International, Inc.,— wholly-owned subsidiary of Honeywell

38 | Defense Transportation Journal |

JUNE 2008

Agility Defense & Government Services + PLUS American Shipping & Logistics Group (ASL) + PLUS APL Limited + PLUS Bennett Motor Express + PLUS Choice Hotels International + PLUS CEVA Logistics (formerly EGL Eagle Global Logistics) + PLUS FedEx + PLUS Global Aero Logistics, Inc. + PLUS Horizon Lines, Inc. + PLUS IBM + PLUS InterContinental Hotels Group + PLUS Landstar System, Inc. + PLUS National Air Cargo + PLUS Panther Expedited Services, Inc. + PLUS Ports America Group + PLUS Universal Truckload Services, Inc. + PLUS YRC Worldwide + PLUS Accenture American Roll-On Roll-Off Carrier, LLC Atlas Air Worldwide Holdings BAX Global Benchmarking Partners The Boeing Company Booz Allen Hamilton Bristol Associates CorTrans Logistics, LLC CSX Transportation DHL Evergreen International Airlines, Inc. Gemini Air Cargo, Inc. Hapag-Lloyd USA, LLC

The Hertz Corporation International Shipholding Corp.

Kuehne + Nagel, Inc. Lockheed Martin Maersk Line, Limited Norfolk Southern Corporation Northrop Grumman Corporation Odyssey Logistics & Technology Corporation Qualcomm Incorporated R&R Trucking Ryder System, Inc. Science Applications International Corp. (SAIC) UPS UTXL, Inc.

These corporations are a distinctive group of NDTA Members who, through their generous support of the Association, have dedicated themselves to supporting an expansion of NDTA programs to benefit our members and defense transportation preparedness.

www.ndtahq.com | 39

<< INdustry INroads >> A Worthy Cause Denise A. Bailey

Director, Government Sales Yellow Transportation

O

k, I know what you are thinking . . . more money out of my pocket. But wait, read on because I think this is a cause that your company may want to support.

Morill Worcester, Founder of Wreaths Across America (WAA) and President of Worcester Wreath Company in Harrington, Maine, will receive the NDTA Distinguished Service Award at the Atlantic Regional Forum in Hershey, PA, on June 27. In what began as one man’s dream and a heartfelt gesture, Worcester initiated the Arlington National Cemetery project—donating thousands of wreaths each Christmas season to adorn

the headstones of our fallen veterans. The idea caught on and has picked up steam since its inception in 1992!

This year, Morrill Worcester and the Worcester Wreath Company will continue to make their annual wreath donation, but transportation assistance is needed. Perhaps 90 to 100 truckloads will be needed to accommodate the nearly 500,000 wreaths expected to be made and donated this year.

In 2007, seven companies made a contribution in kind. NDTA corporate members Boyle Transportation and UPS were among the generous corporations who donated their transportation services.

This year, people in Houston have placed a HUGE order, so help will be needed to deliver wreaths made in Maine to the National Cemetery in Houston.

If you’d like to take part, please contact Marcy (T: 207-483-2039) at Wreaths Across America headquarters. Wreaths are delivered and displayed at Veteran’s cemeteries in several cities. Or, you may want to initiate ceremonies at a new site.

If you plan to attend the Regional Forum in Hershey, you’ll have a chance to meet Morrill Worcester. Members of NDTA’s Central Pennsylvania Chapter, co-host of the event along with the Washington, DC, Chapter, will be on hand, too. They participated in WAA ceremonies last year, and their Chapter President, John Fasching, has made the challenge to all NDTA members to join the cause this holiday season.

A worthy cause indeed! DTJ

Dr. Kent N. Gourdin

Deregulation and Competition: Lessons from the Airline Industry Deregulation and Competition: Lessons from the Airline Industry by Jagdish N. Sheth, Fred C. Allvine, Can Uslay, Ashutosh Dixit, Fred C. Allvine (SAGE Publications, 2007), ISBN-13: 9780761935964, 348 pp, $49.95.

T

he US airline industry has been taken as an in-depth case study. This thought-provoking book chronicles the evolution of the airline industry and explains what lies ahead for airlines across the globe. The authors present compel-

ling evidence on how the paradigm shift that is taking place in the airline industry is linked to the big-bang approach to deregulation. There are lessons to be learned from the US as Europe and Asia undergo the (airline) deregulation experience from a public policy as well as a corporate perspective. Deregulation and Competition: Lessons from the Airline Industry also addresses the crucial question of what will happen to the airlines that are in turmoil.

In addition to the comprehensive analysis of the airline industry’s evolution, the

authors draw from extant theory as well as from their own research to predict and explain which (and what kind of ) airlines are likely to succeed and fail in domestic and international markets. The downfall of legacy carriers and rise of discount carriers is analyzed in detail. The nontechnical analysis is intended for a broader audience than airline and management professionals and is especially interesting given the unexpected rise in fuel prices since the book was written. DTJ (From the publisher)

DTJ INDEX OF ADVERTISERS Agility. . . . . . . . . . . . . . . . . . . . . . pg. 26 ARRC . . . . . . . . . . . . . . . . . . . . . . pg. 11 Avis. . . . . . . . . . . . . . . . . . . . . . . . pg. 21 Enterprise. . . . . . . . . . . . . . . . . . . pg. 8

FedEx. . . . . . . . . . . . . . . . . . . . . . . Cov 4 Intercont. Hotels Group . . . . . . pg. 22 Kane Company. . . . . . . . . . . . . . pg. 28 Landstar. . . . . . . . . . . . . . . . . . . . pg. 31

40 | Defense Transportation Journal |

JUNE 2008

Maersk SeaLand. . . . . . . . . . . . . pg. 1 Marine Terminals Corp.. . . . . . . pg. 5 Panther . . . . . . . . . . . . . . . . . . . . . pg. 2 SAIC. . . . . . . . . . . . . . . . . . . . . . . . Cov 3

T. F. Boyle Transportation. . . . . . pg. 6 United Van Lines. . . . . . . . . . . . . Cov 2 UT Center for E.E.. . . . . . . . . . . . pg. 32

Integrated Systems, Integrated Transportation Networks, and Integrated Supply Chains.

Supporting the Warfighter. We take it personally.

SAIC is driven to keep Warfighters supplied. Our integrated logistics systems automatically sense and respond to current stock levels, helping transport supplies when they’re needed. Our radio-frequency identification (RFID) system helps enable asset visibility so you know where the supplies are, whether in stock or in transit. Whether single mode, multi-modal, or virtual; oil, parts, or information; SAIC systems help get the warfighters what they need, where they need it, when they need it.

For more information, visit www.saic.com

© 2008. Science Applications International Corporation. All rights reserved. The SAIC logo and the phrase “From Science to Solutions” are registered trademarks of Science Applications International Corporation in the United States and/or other countries.

A

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