L O G I S T I C S O F F I C E R A S S O C I AT I O N Enhancing the military logistics profession since 1982
The Exceptional Release Fall 2005
President Col Philip Waring firstname.lastname@example.org
Vice President Lt Col Richard Schwing email@example.com
September 11th...Four Years Later The Day that Changed America by Lt Col Mike Moore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6
Treasurer Lt Col Walter “Ike” Isenhour firstname.lastname@example.org Information Officer Capt Deb Perry InfoOfficer@loanational.org Membership Development Maj Stephanie Halcrow email@example.com Chapter Support Maj Tom Miller firstname.lastname@example.org Executive Senior Advisor Lt Gen Donald J. Wetekam Webmaster/Website Capt JD DuVall email@example.com www.loanational.org
Pentagon 9/11/2001. . . A Logistician’s Perspective by Col Deb Shattuck . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8 A Glimpse at Logistics’ Future The Art of the Possible by Col (ret.) Tim Bair & Mr. Bob Walter . . . . . . . . . . . . . . . . . . . . . . . . . .18 Delivering Transformation: PSCM by Mr. Edward C. Koenig, III . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22 Logistics in Disconnected Theaters of Operation by Capt Rene V. Alaniz . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26 Maintenance 101 for Ops and Support Senior Leaders by Lt Col James Weber . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28 Contingency Response Wings: The Tip of the Spear of Rapid Global Mobility by Capt. Vianesa R. Vargas . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .30
THE EXCEPTIONAL RELEASE
What Does ECSS Mean to the Air Logistics Centers? by Ms Becky Earp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .32
Editor Col (ret) Kent Mueller firstname.lastname@example.org
Using Lean for More Robust Warfighter Support by Capt John D. Tran . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .34
Assistant Editor Lt Col Lee Levy email@example.com
LEANing Forward on the Road by Lt Col David Haar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .38
Executive Director, Marketing/PR ER Managing Editor/Publisher Marta Hannon firstname.lastname@example.org
Kirtland’s Journey to Lean by Capt. Philip Broyles . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .40
ER Worldwide Staff Col Mary H. Parker, 39MXG/CC Lt Col Cheryl CA Allen, SAF/AQQM Maj Gene K. Carter, 314 MXS/CC Capt Richard Fletcher, 437 AMX/MOO Capt Paul Pethel, 372 TRS/DO Graphic Design MMagination, Inc. - Ft Washington, MD www.mmagination.com LOA National PO Box 2264 – Arlington, VA 22202 Issue No. 97 - Fall 2005
Smarter Not Harder by Capt Jason York and 1st Lt Garrett Knowlan . . . . . . . . . . . . . . .44
DEPARTMENTS Atlanta Conference Update . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12 President’s LOG(istics) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2 Editor’s Debrief . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4 Perspectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10 CGO Corner . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .46 Chapter Crosstalk . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .49 Milestones . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .52
President’s LOG(istics) F E L L O W L O G G I E S : G R E E T I N G S F R O M Y O U R N E W P R E S I D E N T. I am honored and proud to serve as your new National LOA president. As you know, I have inherited a healthy organization, one that continued to grow under the leadership of Col Art Cameron. I commend him for his efforts/accomplishments as the LOA president and congratulate him as he steps into his new position.
Thanks Col Cameron for your leadership!
Col Phil Waring
I’m committed to carry out the goals set by your National LOA Executive Council as published in the Spring ‘05 ER.
ER: PRESIDENT’S LOG(ISTICS)
Recently, I sent a message to all LOA chapter presidents encouraging them to continue working towards moving LOA to the next level. I’d like to update you on some of the efforts to-date as our goals progress. The 2005 Logistics Officer Association Conference in Atlanta is just around the corner and if you have not signed up yet, I encourage you to do so ASAP! The theme this year is Expeditionary Logistics for the 21st Century. The conference will kick off with Lt Gen Wetekam and end with our keynote banquet speaker Gen Foglesong. We have a host of great briefings lined up this year. You’ll hear about CV-22, Agile Combat Support, Combat Convey operations, and Predator logistics. You’ll also have the chance to hear from your senior Force Development Officers and Civilian. The Atlanta area offers many unique opportunities for industry tours. You can sign up to visit the Delta Operations Control & Technical OPS Center, Rockwell Collins, CNN, Lockheed-Martin C-130J & F/A-22 production lines, the Center of Disease Control or the Atlanta Motor Speedway! So, sign up now for the conference before all the rooms are gone! http://www.loanational.org/conference/
E N C O U R A G I N G N E W M E M B E R S H I P . We are actively looking for you to reach out to all your Logistics Officers, especially your Logistics Readiness Officers. LOA is vitally important because it keeps the logistics officers across the wing connected. All loggies benefit from LOA: “A Professional organization devoted to promoting quality logistics, professional development of logistics officers and civilians, and an open forum for leadership, management, and technical interchange”.
M E N T O R S H I P P R O G R A M . We’ve made great strides in our mentorship program and added 126 new mentors since. However, we still need help. We currently have about 71 mentees who have signed up for the program awaiting mentors. While most of our mentees are CGOs, we do have some Maj-Lt Cols awaiting mentors. Current mentors can signup again online to have more than one mentee assigned. To become a mentor/mentee, active LOA National members can sign up online at http://www.loanational.org, and click on “Mentoring” under Quick Links. I encourage you to
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explore this website and with an initial few clicks, you will be well on your way to using your voice to help your fellow LOA members…and nothing is more rewarding! This edition of the ER contains many articles in regard to continuous process improvement, lean events and elog21. If you have not already done so, I highly encourage you to pick up a copy of the Expeditionary Logistics for the 21st Century Campaign Plan…this provides what’s happening in our logistics world and what will happened across Air Force Logistics as our business evolves and we continue to improve warfighter support. As always, keep our deployed war fighters and their families in your hearts and prayers and all those who have lost their lives in defense of our country! Thanks for allowing me to serve as your LOA President…we’re dedicated to making sure LOA is meeting your needs; please send any suggestions to email@example.com. I look forward to meeting and seeing you in Atlanta!
––COL PHIL WARING PRESIDENT, LOA NATIONAL
Editor’s Debrief WELCOME
Nothing is tougher than transforming “on the fly.” That is what’s so amazing about the evolution under way in our Air Force today. With the Atlanta Conference looming… with a
Col (ret) Kent Mueller
jam packed agenda that focuses on both today and tomorrow, attending members of LOA have a unique opportunity to share ideas, and participate in “state of the art” thinking about transforming air and space operations. As always the venue is world class… the Atlanta CNN Omni, located in the heart of one of America’s most exciting cities. Hope you’re registered… see you there! This edition will prep you for the Conference with agenda, layout, exhibitor information and more. It is, again, an amaz-
ER: EDITOR’S DEBRIEF
ing program of presentations, side meetings and exhibits. Of course I’m really excited because the conference is only 90 miles from Warner Robins, and the hard working Middle Georgia LOA members who will bring this conference to life. To help you “spin up” for this even, the rest of this edition is filled with topical offerings from across the world of Logistics. Looking ahead in “A Glimpse at the State of Logistics” you’ll get a peek at advanced thinking about the state of our art. “Delivering Transformation in the 21st Century” will challenge you to consider leading change that’s designed to enhance expeditionary combat support. “Logistics in Disconnected Theaters” is a worthy look at doing business “over the horizon” with the challenges of supporting the mission at the limits of sometimes ill defined supply chains. The “Wing Maintenance Course” gives us a look at one of the things that AMC is doing to ensure wing leadership have the right tools in their “toolkit” to make operations and maintenance harmonize. Of course that folds right into this edition’s piece on “Rapid Global Mobility” a further look at “getting us to the fight.” Popping back to the wholesale level, you’ll get a look at “ECSS and the ALC” which provides a view of ALC posture to support ECS. Capping things off, this ER will provide you a couple of views of LEAN, as well as looks at innovation and transformation at Kirtland and McChord Air Force Bases. Wow, LOA authors have really produced interesting views of our business. If this line up isn’t food for thought for you… please report to the medical aid station… you need oxygen!!! Marta and the World Wide ER staff have done it again! Many thanks. For our next ER we’re shifting back to the point of attack, focusing on getting it done “in the sand.” Looking forward to your deployed exploits, so it’s never too early to push your story our way. A mighty thanks to all of you… you are the backbone of America’s Air and Space power. Always Forward!
—YOUR ER EDITOR, COL (RET) KENT MUELLER AND THE ER WORLD STAFF
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September 11th... F our Years La ter
The Day that Changed America Submitted by Lt Col Mike Moore For this generation, everyone will remember what they were doing on September 11, 2001. I will always remember standing before a collapsing section of the Pentagon when two disaster response units from Metro Washington Airport Authority (MWAA) rolled up. In college, I was a certified and highly experienced Pennsylvania Emergency Medical TechnicianParamedic; on 9-11 those skills proved invaluable. On this fourth anniversary, I’d like to take a few moments to highlight some lessons learned for anyone interested.
"Think not of the empty chair, but the people who filled those chairs. We must find the inner strength and courage to live our own lives in a way which they would have wanted." ––Jim Ogonowski, brother of John Ogonowski, pilot of one of the hijacked planes that hit the World Trade Center.
The scene was tense and chaotic as the 20,000+ people who worked in the Pentagon were flooding out all major exits and cars along I-395 were stopped everywhere. Virtually everyone was moving away from the scene to safe stand off distances. When the MWAA trucks stopped in front of me, I walked to the senior paramedic and offered to help. As I talked to him, the lessons from a mass-casualty class from 14 years prior rushed back in a surge and I peppered him with questions. When I finished, he paused for a minute, handed me his radio and orange vest and
then made a simple pronouncement; “You’re better qualified to handle this than I am—you’re now the Triage Commander. What do you want me to do?” OK, now this was unexpected. From the look on his face, and the situation around us, this didn’t seem the time to argue. I put on the vest and was instantly the focal point for the wave of volunteers moving in to help. I drew upon my past training and experiences and matched incoming qualified volunteers with the four colorcoded sections required for a full triage area. We unloaded the trucks in rapid-fire succession, set up the area, and classified/stabilized the wounded as they arrived. Things came together exceptionally fast and we had most of the injured prepared for immediate transport about 15 minutes after set-up. Meanwhile, my new friend the senior medic organized a transportation coordinator and staging route for the various ambulances now rolling on scene. Continuing smoothly, our teams packaged our wounded off in pairs and had almost cleared the first wave of patients when an FBI vehicle moved in with loudspeakers blaring. They’d received word that a Boeing 757 was now only 20 miles away from the Pentagon moving fast up the Potomac. They obviously felt this aircraft was destined to repeat the World Trade Center scenario played out less than an hour prior. It was time to move… Although it took a minute or two to explain this to my cell team leaders, we took all equipment and bugged out to under the Arlington overpass. In short order, all team leads reestablished their areas and were taking on the second wave of patients. Having relocated to an area with solid cover, good ingress/egress routes, and an area for helicopter staging, we couldn’t have planned these unfolding events any better if we’d tried. As for the errant 757 pilot, he was simply looking for the best route out of the chaotic airspace mess resulting from National Airport’s closing. He eventually landed at Baltimore.
About 90 minutes into this scenario, most patients had been evacuated and we began preparing for extended recovery support operations. With over 200 volunteers from all backgrounds, 16 ambulances, 3 helicopters, and two large passenger cruise buses we were ready for anything. Critical medical supplies had been choppered in from Walter Reed Medical Center and, most remarkably, a Rexall Drug Store delivery driver had gotten clearance from the president of the company to divert off I-495 and open his 40’ trailer load of medical stores to our support operation. We organized food & water, chairs, lights and all other necessities for extended operations. This team remained operational and treating patients for over 12 hours before we relocated again to a semi-permanent treatment facility. The lesson? Preparation, good training, and experience are the keys to effective readiness. Yes, I’d been a paramedic in college but that focus is usually on one patient—or at most two. In this situation I personally treated no one; I responded as a medical logistics coordinator in a high OPTEMPO situation. I will guarantee the lessons I learned as a junior officer on the flight line and in OREs did the most to prepare me for the no-notice leadership challenge of a lifetime. Take advantage of every training opportunity and learn all that you can. Be ready. You never know when, or in what manner, our nation may call on your services. Editor’s Note: Gen John Jumper awarded Lt Col Michael Moore a single-event Meritorious Service Medal for his heroic actions during the Pentagon attack. The men and women of LOA are very grateful and oh so proud of you, Mike. Lt Col Mike Moore is the Deputy Commander, 388th Maintenance Group at Hill AFB, UT. When the attacks occurred he was the Senior Program Analyst and Deputy Chairman for the Logistics Panel in AF/ILSE (now AF/ILPE). K
PENTAGON 9/11/2001. . .
A Logistician’s Perspective Submitted by Col Deb Shattuck
The first order of business was to get to designated duty center evacuation points and ensure nobody was missing. As we
Most of you know exactly where you were when you first learned that terrorists had flown two hijacked aircraft into the
formed up outside, we could see the smoke rising from the other side of the building and, within an hour, we also began to see wounded personnel laid out in triage areas on the
twin towers of the World Trade Center in New York City. I was lawn. There was a tense period of about 20 minutes when watching the scene unfold from an office in the Pentagon, where I worked for the Joint Staff Director for Logistics. Minutes later when we heard a dull thud and a television news reporter announced almost simultaneously, “We have an unconfirmed report of an explosion at the Pentagon.” Things moved into high gear very quickly after that. We scrambled around the offices securing safes and classified documents
Security Forces personnel began shouting for people to take cover because another aircraft was inbound. We all huddled under trees and bushes and whatever cover we could find. As the fire from the impact began spreading to other portions of the Pentagon, the call went out for personnel with “Site R” badges to head for that location. Site R is the alternate National Military Command Center (NMCC) and its location is kept “close hold”. Those of us with badges began rounding up vehicles for the trip to Site R, and I ended up in a van driven by a flag officer from Air Staff. As we pulled out of the parking lot, the general was flagged down by a
and shutting down computers. We locked down the rooms and
group of people carrying a stretcher. They told us we needed
joined hundreds of other personnel who were calmly, but
because there weren’t enough ambulances available to evac-
quickly, moving toward the exits of the building. I noticed one woman near me who was covered in ashes from head to toe.
to get the wounded individual to the hospital in Arlington uate all the wounded. We slid the stretcher into the van and navigated the clogged roadways to the hospital where a host of medical personnel awaited.
After we ensured our wounded passenger was in good hands it was on to Site R. Site R is an amazing facility. I remember feeling a sense of pride that our nation had the foresight and the means to create such a structure and a plan for ensuring continuity of government and leadership in times like this. Like the NMCC at the Pentagon, Site R is fully capable of carrying out all required planning and execution functions of the Department of Defense (DoD) and other critical government entities. In WASHINGTON -- Stretcher crews stand ready amongst a crowd of employees at the Pentagon after a highjacked commercial jetlinvery short order we had er crashed into the building Sept 11, 2001. (U.S. Air Force photo by by Tech. Sgt. Jim Varhegyi) established the necessary communication links and were prepared to settle in for the ately with helping reallocate logistics resources between long haul to manage the military portion of the nation’s Services to ensure the Combatant Commanders involved in response to the crisis. As it turned out, thanks to the courage ONE and OEF could execute their military operations effecof many personnel in the primary NMCC at the Pentagon tively. As the JMPAB identified critical commodities in short who remained at their posts for the duration of this disaster, supply, they passed issues to the PAIR task force which had the NMCC continued to function and we were able to close authority through other government agencies to direct manufacturers to shift focus from one type of production to down Site R in fairly short order. another and to fill orders for DoD customers ahead of private The weeks that followed 9/11 were a blur. The logisticians in sector customers. This authority was used sparingly but very OSD and on Joint and Service staffs mounted a massive effectively by the PAIR task force to support ONE and OEF. effort to facilitate the military responses that became known as Operations NOBLE EAGLE (ONE) and ENDURING As I look back now at the response of logisticians in those FREEDOM (OEF). It was fascinating to watch DoD’s logisti- early days of the Global War on Terrorism, I feel a sense of cal machinery at work. I had seen logistics from the field satisfaction. There is no question that the Air Force and level before, but had no idea of the complexities involved other military services have done a great job developing and with acquiring, allocating, and transporting the multiple mil- training logisticians who are ready, willing, and able to leap lions of tons of commodities needed to support a major mil- into action at a moment’s notice and engage the most comitary operation. I was particularly impressed with the process prehensive and effective logistical capability the world has for allocating scarce resources and for mobilizing the indus- ever seen. And, thanks to organizations like LOA, I am contrial base and prioritizing production efforts. These two fident that logisticians of the future will be equally well processes are handled by two separate working groups the equipped for the challenges they will face. Joint Materiel Priorities and Allocation Board (JMPAB), Col Deb Shattuck is the 58th Maintenance Group chaired by the Joint Staff Director for Logistics and the Commander at Kirtland AFB, NM. Debra.Shattuck@kirtPriority Allocation of Industrial Resources (PAIR) task force, land.af.mil. K chaired by OSD. The JMPAB was involved almost immedi-
Perspectives Just one month until the 2005 Logistics Officer Association Conference in Atlanta! We’ve already locked in a first-class slate of guest speakers. Each year our conference continues to draw the most influential senior Air Force leaders. Of all the possible conferences that an Air Force logistician can attend throughout the year, this is my first pick…providing the best opportunity to share ideas and train our replacements. I’ll be opening the conference on Tuesday morning and look forward to seeing you there!
Lt Gen Donald Wetekam
At last year’s conference, I talked about the Air Force’s compelling need to change. New missions, increasing roles and responsibilities, and shrinking budgets are a challenge for each of us. The only way to overcome these challenges is to adopt a culture of continuous process improvement where every Airman feels it’s their responsibility to make their job more effective. Stepping out on this path, Air Force logistics continues to make significant progress following our transformation plan, Expeditionary Logistics for the 21st Century (eLog21). Air Force Materiel Command (AFMC) is making giant leaps in Depot Maintenance Transformation (DMT) and Purchasing & Supply Chain Management (PSCM). And in the past year they’ve added the third leg of the transformation plan by focusing on Product Support. In our other commands, Centralized Intermediate Repair Facilities (CIRF) and Logistics Support Centers (LSC) will soon be a reality paying dividends through increased combat effectiveness. Finally, our Expeditionary Combat Support System (ECSS) and future financials continue to move toward implementation. AFMC has been in the transformation business for years. All the depots have adopted process engineering principles that reduced flowdays, improved quality of the product and freed up floor space and manpower for additional workload. These efforts are formalized under DMT, which has three goals: recruit, train and retain a high quality workforce; implement innovative depot maintenance processes; and sustain a robust, modern and properly sized infrastructure. To achieve these goals, AFMC is focused on integrating process improvement efforts on the shop floor along with production support processes. Through DMT, AFMC has already posted numerous success stories. One example is AFMC’s on-time rate. In FY01, AFMC’s on-time rate was 64%. This was not an anomaly—on-time delivery rates were consistently substandard. But over the past five years, the rates steadily increased and in FY05, on-time rates are at 99.4%. AFMC is also forging ahead with PSCM Transformation. PSCM will integrate purchasing and supply into a single endto-end process that spans the Air Force supply system. In 2004, AFMC embarked on the implementation plan. Key issues include strategically sourced contracts, improved end-to-end cycle time to buy parts and continued reduction of excess inventory ultimately improving warfighter readiness. The final leg of AFMC transformation is the Product Support Campaign. This will get us to a future state for life cycle product support to achieve a culture of continuous process improvement. The Product Support strategy is still being finalized, but its focus will involve support for the rapid spiral development and fielding of effects based capabilities, sustaining our expeditionary Air Force and motivating capability level thinking and planning. One effort that you are likely to see in the field is the establishment of CIRFs. These are wing-level maintenance organizations that provide intermediate-level repair for multiple USAF units within a theater or operations. The CIRF concept has been around for a long time. Benefits include reducing the logistics footprint and increasing economies of scale.
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Building on this success, we are moving toward implementation of CONUS CIRFs. The concept calls for 10 CIRFs across the CONUS that will repair engines and avionics. The most challenging and yet most beneficial aspect of CONUS CIRFs will be the integration of Guard and Reserve forces that will implement Future Total Force manning. In the late 1990s, the Air Force centralized our wing-level supply functions at the HQ level into a Regional Supply Squadron (RSS). Manpower savings was the impetus for making the consolidation. In the end, we saved manpower but also improved service to our expeditionary Air Force. But the RSS concept hasn’t fully kept pace with our expeditionary changes. The biggest challenge is providing supply support to units as they deploy and transfer support ownership from one RSS to another. The LSC is the evolutionary next step. The LSC concept will centralize support at the Combat Air Force (CAF) and Mobility Air Force (MAF) level. By doing this, the two LSCs (Langley and Scott) will provide one face to the warfighter and seamless support to units as they transition from one geographic and/or combatant commander to the next. Additionally, the LSC will increase collaboration with our key suppliers. Finally, the LSC will provide not only supply support but also the entire range of logistics services. LSCs will be able to look into the repair cycle and source a part from another base, a CIRF, the depot repair line and/or a contractor. And we will finally incorporate those commands that did not fall under the RSS concept when it was implemented in the late 1990s. LSCs will begin to stand up in the early part of FY06 with the integration of AETC units at Tyndall, Luke, and Altus followed by the other commands. Implementation will continue through FY09 with the integration of the Guard and Reserve units. Like the CIRFs, one of the great benefits will be the integration of the Total Force. Full implementation of both CIRFs and LSCs is contingent on the approval of the BRAC commission report. Our highly engineered processes require highly engineered systems. ECSS is the way we are going to integrate our financial, manufacturing, distribution, and overarching logistics functions into a single technological solution. There are currently over 500 logistics IT systems in our Air Force. These systems don’t communicate with each other and they employ antiquated architectures that are fast becoming unsupportable. ECSS will consolidate these systems into one core system by utilizing a commercial Enterprise Resource Planning product. But I have to emphasize, this is not about IT acquisition. This is about process improvement. IT is only the facilitator to our process improvement efforts. As we move to more integrated processes and systems, we need to ensure that more combat capability is gained for each dollar spent. This applies to our logistics processes, IT systems and financial business practices. A key component of the eLog21 plan is adoption of the future financials concept. Right now, the Air Force’s financial process is cumbersome and requires dollars to be passed from organization to organization with no value added. Simply put, the future financials concept consolidates the purchasing and selling power in the Air Force. It proposes a more centrally managed approach for both provider and customer funds, utilizing the Working Capital Funds financing mechanism to enhance cost awareness and provide requisite flexibility. This is only in the conceptual stage at present. As we begin to clarify the necessary steps, we will work with each of the major commands to ensure we get this right. There is a lot going on in Air Force logistics. Each day, we get better at providing agile combat support. At the heart of all these transformation efforts is process engineering. Without this, our transformation efforts will not be fully effective in achieving our goals of a 20% increase in aircraft availability and a 10% reduction in operations and sustainment costs. Please join me in October to discuss these important issues facing our Air Force logistics. See you in Atlanta! For more information on eLog21, visit http://www.loanational.org/logisticslinks.asp
— LT GEN DONALD WETEKAM, AF/IL
2005 LOA National Conference Update
E R : 2 0 0 5 N AT I O N A L C O N F E R E N C E U P D AT E
Submitted by Maj Rob Bandstra, Middle Georgia Chapter President Your Middle Georgia and National Conference Planning Team continues efforts to deliver the best LOA national conference ever. At this point, most of the preliminary groundwork is done, and we are waiting on your registration to solidify final headcounts for the beds and beans, trans- Maj Rob Bandstra portation, parking space, support equipment, contracts, etc...you know—all those logistics details we’re accustomed to dealing with every day. Because Robins is an hour and a half (on a good day) away from the Atlanta conference center, extra planning effort has been invested to make the “deployed” execution of the national conference as smooth as possible. As a matter of fact, this will be the first conference located outside of the host chapter’s local area. This first-ever “expeditionary” conference is 100% consistent with the nature of our business and the theme of this year’s conference, eLog21. With the growth our organization is experiencing, metropolitan conference centers away from the host base will definitely be normal ops in the future. That’s a good thing! From deep in the heart of Dixie, we have a line-up of quintessential southern treats and hospitality in store for those who attend. We’ll send you packing with several reminders of your time with us in Atlanta and an increased appreciation for expeditionary logistics, career opportunities, and professional development that only LOA conference attendance can provide. If you haven’t signed up yet, do so today! More information on the conference agenda, events, exhibits, tours, hotel reservations and registration can be found online at www.loanational.org/conference. Remember, spouses are welcome and there is plenty to do in Atlanta to keep them entertained and occupied. K
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2005 LOA NATIONAL CONFERENCE Where:
Omni Hotel at CNN Center, Downtown Atlanta, Georgia
October 10-13, 2005
Registration Closes: 1 Oct 2005 Theme: Expeditionary Logistics for the 21st Century (eLog21) Regular Events: Icebreaker, Golf Tournament, Mentorship Sessions, Specialized Breakout Sessions, Vendor Reception, Professional Development Tours, Annual Awards Banquet, Stars and Bars Function Featured Speakers: Gen Foglesong (USAFE/CC), Lt Gen Wetekam (AF/IL), and Lt Gen Schwartz (USTRANSCOM), VADM Lippert (DLA). Tours: Lockheed Martin F/A-22 and C-130J production lines, Delta Tech Ops, Center for Disease Control, Rockwell Collins, CNN, and Atlanta Motor Speedway. New this year: Opening ceremonies; specific General Officer tours through exhibits; civilian “Stars and Bars” equivalent with SESs and GS-9s & GS10s; planned activities for spouses; public transportation directly from hotel to the airport; scheduled/professional chapter photos; plus more joint briefers, more breakout sessions, more exhibit hall time and more professional development tours.
2005 LOA C ONFERENCE E XHIBITOR B OOTH M AP OCTOBER 10-13, 2005
Company ..........................Booth Locations 82nd Training Wing ..................................103 AAI Corporation ........................300, 302, 304 AAR Mobility Systems ............................117 AFLMA ......................................................414 AFRL/HEAL ..............................................502 Air Force Institute of Technology ..............504 Air Force Logistics Transformation ..........806 Aircraft Ducting Repair, Inc ......................310 Alaska Structures......Alaska Structures Section Anteon Corporation ..................................500 ARINC ..............................................104, 106 ATTI..................................301, 303, 400, 402 BAE Systems ....................................111, 210 Battelle ....................................................311 Bearing Inspection, Inc. ............................101 BearingPoint ..................................205, 207 Boeing ....................................403, 405, 407 CACI ................................................100, 102 CATVIDEO INC ........................................114 CDO Technologies ....................................812 ChemFree ................................................314 Chromalloy Gas Turbine Corp. ................416 Dayton T. Brown ......................................800 Defense Logistics Agency ..............614, 616
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Company ..........................Booth Locations Develop & Field Systems Group ..............312 DRC ..................................................305, 307 DynCorp International ............................317 EADS North America Defense ..................211 ECSS ........................................................212 EDO Corporation ......................................118 Expeditionary Mobility Task Force ............116 Fastenal Company....................................513 GE Transportation, Aircraft Engines ........610 Honeywell ........................................802,804 HQ AFMC Sustainment Transformation113, 115 IBM ..........................................................316 Institute for Defense and Business ..........217 Intergraph ........................................201, 203 Keane Federal Systems............................112 Kelley Logistics Support Systems ............401 L-3 Communications Vertex Aerospace ..600 Lockheed Martin ....411,413,415,510,512,000 LOGTEC ..................................................506 LXE, Inc. ..................................................612 Matco Tools ..............................................707 MTC Technologies ....................................200 NCI Information Systems, Inc. ......515, 517 NDIA - National Defense Industrial Assn..105
Company ..........................Booth Locations NISH ........................................................604 NNSA - Kansas City Plant ................703,705 NORDAM Group......................................306 Northrop Grumman ................202, 204, 206 OC-ALC /76th Maintenance Wing ..........713 OO-ALC/XPXP..................................108, 110 Parker Aerospace ................715,717,814,816 Pratt & Whitney ..............................404, 406 Robbins Gioia ..........................................511 Rolls Royce........................................410,412 SAIC..........................................................701 SAP & Manugistics ..........................313, 315 Savi Technology, Inc. ................................516 Southwest Research Institute ..........711, 810 Standard Aero ..........................................503 Support Systems Associates, Inc. (SSAI) 505 Teradyne, Inc. ..........................................213 Thomas Instrument ..................................507 Total Quality Systems, Inc. ......................107 Univ of Tennessee Ctr for Exec Educn ....417 W.L. Gore..................................................606 WinWare / CribMaster ..............................501 WR-ALC/402d Maintenance Wing............602 Companies shown in bold type are conference sponsors.
Thank You! 2005 LOA NATIONAL CONFERENCE SPONSORS Platinum Sponsor: BearingPoint & Northrop Grumman Gold Sponsor: Alaska Structures, ATTI, DynCorp International Silver Sponsor: Battelle, IBM, Pratt and Whitney Vendor Reception Sponsor: SAP America Security Sponsor: DynCorp International Ice Breaker Sponsor: Honeywell Aerospace Keycard Sponsor: Boeing Golf Tournament Sponsor: The Nordam Group Online Registration Sponsor: NCI Information Systems. Inc. Conference Booklet Sponsor: CACI
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! u o y k n a h T Corporate Contributors ATTI Boeing Booz Allen Hamilton Intergraph LOA Alamo Chapter Lockheed Martin LOGTEC NCI Information Systems Northrop Grumman Pratt & Whitney
Individual Contributors Lt Gen (ret) John Nowak Col (ret) Stephen Farish Col (ret) Denny Portz Col (ret) Steve Powers Lt Col (ret) Tom Billig
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Capt Darren Bemis & 1Lt Aaron Hager Col Rodney Couick Brig Gen Tom Owen Col Chris O’Hara Brig Gen Peyer (PACAF/LG) Lt Col Scott Fike Lt Gen Schwartz
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Submitted by Col (ret.) Tim Bair & Mr. Bob Walter When I retired about 9 months ago, I was subliminally aware that the state of the art in technology insertion into logistics, represented by our newest weapons systems, was going to massively change the way we do logistics...for the better. You may have heard some of the terms that come with these conversations around the coffee pot like “advanced diagnostics” and “prognostics.” Since joining the staff of the Applied Research Laboratory (ARL) of Penn State University I have learned that these quantum leaps in logistics technology represent the tip of the proverbial iceberg in potential, but only if we can overcome some significant challenges.
A Glimpse at Logistics’ Future The Art of the Possible
We would like to introduce you to this new world using a short scenario that attempts to characterize the logistics world of the not too distant future, and then clarify the state of the art and the problems we must corporately overcome. As you read through the scenario, please put yourself in the story and envision where you would fit as well as the implications for your area of interest or expertise. Our hope is that you will help us see some of the issues and opportunities that need to be addressed before this vision fades from reality. We have found our “glimpse” of the future of expeditionary logistics to be encouraging—we hope you do too.
A squadron of F-35s is deployed to an expeditionary base to support ongoing combined combat operations. The daily Air Tasking Order (ATO) was input into the squadron’s scheduling program (which in general terms is called a decision support tool) automatically when the Air Operations Center approved it and hit the “send” button, entering it into the Global Command and Control System (GCCS). The decision support system immediately recognized the change in GCCS as impacting our squadron and downloaded the ATO. The next step, in consultation with the logistics information system for the F-35 and the operations scheduling module, is for the system to evaluate the current status of the fleet. Relevant considerations include long term fleet management concerns such as time changes and phase schedules and partial mission capable limitations for some systems/aircraft. The system will then build a tail number specific schedule with pilots identified by name and by mission (it’s important that the reader understand that no human has entered the loop until now). The daily schedule is then sent to the squadron operations officer and the maintenance officer for approval. This schedule is presented as a set of prioritized options, all designed to achieve the commander’s intent as expressed in the ATO and general orders, while optimizing logistics and maintenance limiting factors. At this point the fighter squadron ops officer swaps one of the pilots due to a recent duty status change and hits the approved icon. The maintenance officer, in consultation with the superintendent, thinks the schedule is flawed due to growing concerns about fleet management, and replaces one of the tail numbers with an alternate aircraft. He then asks the system to assess the impact of this approach. The decision support system responds that this change is legal and safe but will result in two of the aircraft requiring the same complex TCTO at the same time next month. The maintenance leaders discuss the alternatives and decide that the proposed lineup is best and send the approved schedule back to the logistics information system and the ops management system. GCCS and the maintenance system recognize (through system integration tools generically known as middleware, including the embedded decision support tools) the squadron’s approval of the ATO and pass it on to the AOC for tracking. 18 F A L L
Shortly after the first sortie is launched a malfunction in one jet’s armament hydraulic system is detected by its onboard prognostics sensors. The assessment of the onboard system is that the deteriorating situation will result in actuator failure with remaining useful life of eight cycles of the doors. This information is deemed important/mission critical by the cockpit display system, which modifies the display in the Multi Function Display to inform the pilot that there is a mission critical alert (not a flight safety alert) that the pilot should consult when time permits. The pilot consults his mission advisor display and decides to modify his attack plan to deploy all of his munitions in a minimum number of passes. When the scenario aircraft is on final approach the ground station queries the onboard prognostics memory/communications module to download its database for processing and maintenance planning. The logistics information system determines that this aircraft cannot make the next scheduled line due to an impending actuator failure and that there are no other aircraft available to fill that ATO line. The decision support system sends an alert to the SOF and Maintenance Supervisor who agrees with the system’s recommendation; substitution is not possible due to reconfiguration and time limitations. GCCS recognizes the mission cancellation and sends an automatic alert to the mission planning cell in the CAOC. GCCS identified an alternate squadron’s next mission as a “suitable sub”, and the frag team in the CAOC determined that it could be used to “service” the high priority target. Back at the deployed squadron’s flightline the code 3 jet for hydraulics taxis into its parking spot where it is met by the most experienced system mechanic. The decision support tool had evaluated the on-duty roster and current workload to alert this technician to the jet’s problem through her PDA. Concurrently, the logistics information system determined that the actuator required replacement and ordered the part from the deployed supply account. During pre-deployment preparations the squadron logistics NCO ran a Mission Readiness Spares Kit evaluation using historical data and prognosticsbased predictions to tailor a kit. Since this is our scenario, you guessed it; the system advised them that a new actuator should be included in the kit. Finally, the AFMC Enterprise Resource Planning system was triggered by the logistics information system Combat ready, certified by the crew chief and the jet! (USAF photo)
download into the Global Combat Support System and a replacement actuator was shipped to our deployed location at the same time a reparable asset was inducted into the depot’s repair pipeline at Ogden ALC. Hopefully you envisioned yourself participating in this fictional scenario that is not altogether beyond our capabilities in the near future. It was specifically designed to show the capability of prognostics as well as the use of that information to enable rapid decision making. Now, let’s talk about the technology behind the scenario. State of the Art. The DoD requires two primary advances to enable this vision: mature diagnostic and prognostics technologies on or near the platforms, and manageable enterprise information systems that are integrated. The DoD and industry are investing heavily in the supporting scientific and engineering communities (including ARL) to develop the diagnostic and prognostic technologies that will be implemented on current major acquisition programs, most notably Joint Strike Fighter, Expeditionary Fighting Vehicle, and DD(X), the future family of U.S. naval combat ships. They are also developing improved operational architectures so that the information derived from prognostics health management systems is leveraged throughout the operations and logistics communities. The view from thirty thousand feet shows activity across this spectrum that will eventually converge to enable this transformation. The development of embedded (onboard) techniques for diagnosis of mechanical and electrical faults has been ongoing for over 20 years. Diagnostic techniques are well established for detecting faults in bearings, gears, electrical equipment and Continued on next page...
From a technology readiness level perspective, prognostics are still very much in its infancy. Many companies are advertising mature prognostics capabilities that are either still on the drawing board or are based on concepts more accurately defined as advanced diagnostics. The “holy grail” in this business remains remaining useful life assessment, and differentiates mature prognostics from snake oil.
Mission accomplished, now back for maintenance. (Photo courtesy of Lockheed Martin)
hydraulic systems; however, the development of embedded and advanced diagnostics is not without its challenges. Gaining access to signals or positioning sensors in locations where indications of faults and failures can be observed without inducing new failure mechanisms is one example. Another challenge is processing multiple fault indications (such as fault codes from built-in-test) to localize the source of a fault when multiple subsystems or components are affected. Finally, maintaining an acceptable low rate of false alarms, while achieving the necessary sensitivity to developing faults as early as possible, is a continued challenge for diagnostics advancements. The ultimate goal of a prognostic health management system is to predict the remaining useful life of a component, subsystem or system. This has proven to be a challenge, leading many developers to focus on identifying faults as they develop, but before they affect operational performance (advanced diagnostics). Prognostics technology is progressing on two fronts to resolve these challenges. Some concepts are totally based on the analysis of historical and real time or near term performance data. The first concept relies heavily on existing signals or data and can enable advanced diagnostics by enabling identification of trends of component deterioration. The second approach involves the addition of sensors, to harvest data directly from a targeted component with complex algorithms that are “trained” by actual (lab or field) failure signals. Finally, predicting remaining useful life is also dependent on the ability to accurately assess the loads and demands that planned missions or maneuvers will place on the subject component or subsystem. Most researchers working to achieve prognostics accept that some rapid onset failures will evade resolution for some time to come. However, they are quick to smile and add that they’re still working on it!
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New systems like the F-35 are combining advanced diagnostics and prognostics, where available, to improve maintainability while not overwhelming weight or performance limitations. The real payoff for logistics is the migration toward Condition Based Maintenance (CBM) that this technology enables. Under CBM, components aren’t removed until required and preventative inspections are minimized. The benefit is directly related to increased system availability and decreased life cycle cost. Decision Support Systems
GCSS ERP Prognostics off Platform
Prognostics Prognostics ononPrognostics Platform Platform on Platform Anticipated Information Support System Architecture
The hardware is only part of this story. The exceptional speed of the decision cycle in the vision above depends on seamless integration between legacy and emerging decision support business processes. Since most processes are encapsulated in separate IT systems, integrating them is challenging and rife with risks. Fortunately, the DoD community is making significant progress toward developing an architecture that enables the integration of business processes and the IT systems that support them. New acquisition programs must define and integrate their business process within an approved architecture, and must be built upon a common set of technical standards approved for use within the DoD. This firm foundation will reduce the risks associated with integrating the processes and systems needed to enable the vision because the users, designers and developers are speaking a common language of operational views, system views, technical views, services and
metadata. In other words, they will all talk a common language and share common information! The key to the speed of the decision cycle is effectively presenting the mass of new information derived from numerous sources and databases, including prognostics, to commanders, operators, maintainers, loggies, etc. Engineers working on this synthesis must consider that most users disable annoying notifications and automated recommendations if they are perceived as offering little value or are not trusted. Information must be fused and filtered based on the user’s workload and the systems must adaptively alert the user about decisions that need to be made at different levels of urgency. Automatic “alerts” should allow the users to investigate why the alert is relevant, when time permits, to improve this confidence factor. Here the logistics community can leverage much of the research performed by the C2 community. Decision support systems can be logistics transformation enablers, to say the least! We’re on the verge of a literal revolution in logistics that crosses several functional domains. In this future the operational benefit of a maintenance decision will be clear in terms
of mission impact and operational availability. One of the revelations that come with these expanded levels of awareness and support is the degree of systems inter-dependence. We see the “art of the possible” in the rapid progression of these domains but it will take the convergence of them all to fulfill the vision. We hope this article stimulates you to think about the future of logistics based, in part, on integrated decision making and information derived from prognostics, and the challenges that must be overcome to achieve it. Col Tim Bair accrued 26 years of experience as a USAF Maintenance and Logistics Officer. He is now employed by Penn State University’s Applied Research Laboratory where he contributes to its mission as a University Affiliated Research Center for the DoD as a program manager for engineering research programs. firstname.lastname@example.org Mr. Bob Walter has 21 years experience designing, developing, integrating, implementing and managing information systems for the DOD. He currently leads the Applied Research Laboratory’s team of engineers. email@example.com. K
Delivering Transformation: PSCM Submitted by Mr. Edward C. Koenig, III Purchasing & Supply Chain Management (PSCM) constitutes a set of dynamic supply process re-engineering initiatives under the Air Force Expeditionary Logistics 21st Century (eLog21) transformation initiative. The PSCM program initiates leading commercial supply practices, specially tailored to meet the warfighter needs of our expeditionary Air Force. PSCM is an “enterprise-wide” effort featuring collaboration between the three Air Logistics Centers (ALCs), Headquarters AFMC, and the Regional Supply Squadrons (RSS). PSCM applies primarily to Material Support Division, managed depot level repairables, equipment items, and associated engineering services. What distinguishes PSCM in transforming Air Force supply processes to date has been the program’s tangible progress/results across the spectrum of its individual initiatives. This article will highlight some of the accomplishments of the hundreds of professionals committed to PSCM implementation.
BACKGROUND PSCM (also known commercially as Purchasing Supply Management – PSM) surfaced during investigation of spares support issues and the search for remedies during the “Spares Campaign”, an Air Force project sponsored by Lieutenant General (retired) Mike Zettler as the AF/IL. Among a host of recommendations, the Spares Campaign leader, Brigadier General (retired) Robert Mansfield encouraged AFMC to apply PSCM practices to Air Force managed DLRs. Primary PSCM practices include enterprise-wide supply chain management, strategic sourcing, commodity-centric purchasing, supplier relations management and customer relations management. The AFMC Deputy Director of 22 F A L L
Logistics for Supply Management responded definitively by obtaining approval for the resources necessary to launch a contractorassisted re-engineering effort to plan PSCM implementation. The AFMC logistics and contracting communities led the initial effort by utilizing subject matter experts from MAJCOMs, Air Staff, ALCs, and commercial industry (primarily IBM). Under the current AFMC commander, General Gregory Martin, and with staunch support from the Air Staff, AFMC staff, and the AFMC Director of Logistics, Brigadier General Gary McCoy, PSCM has moved expeditiously to execution.
# of Stock Stock # #s # KT CAGEs #s /KTs KT Actions
Total KT Spend
Secondary Power Systems Wave 2
Aircraft Engines Wave 3A
Aircraft Structural Wave 3B
Communications Electronics Wave 2
Instruments Wave 2
Landing Gear Wave 1
TOTALS Graph A
Contract Coverage (Total: 15,628) Graph B
The re-engineering effort and program plan for PSCM have been previously reported on in leading Air Force logistics journals (including the ER), so this article will focus not on a prolonged background of PSCM – but report on what results are being achieved. Importantly, through the efforts of its dedicated proponents across the Air Force, PSCM has escaped the stigma of being stuck on “year one” of a five year implementation, and is rapidly becoming the way that AFMC accomplishes spare parts support.
S T R AT E G I C S O U R C I N G In order to attack the inefficiencies of legacy spare parts acquisition processes, AFMC Senior Executive Service leaders reassigned the contract responsibility for Air Force managed spare parts to eight commodity councils, with council leadership delegated to the ALC possessing the majority of technical expertise in the commodity. To
Spend Coverage (Total: $15.13 B)
Active NSN Coverage (Total: 26,824)
understand the opportunity PSCM provides to reduce the cost of spares support, one need only review the following analysis of how AFMC executed spares contracting for FY2000-2002 using legacy processes. Graph A shows dramatically that by operating primarily with tactical contract practices, the ALCs were achieving a low ratio of part types (stock numbers) per contract (KT), while spreading this contract activity over a relatively large number of entities (CAGEs). As a result, all the hard work (and importantly for the warfighter, time) that went into creating a contract was producing relatively small yields in parts support. The table also illustrates the new commodity council grouping and ALC lead assignments. Today, the eight ALC councils follow a process of analyzing all their assigned stock numbers in acquisition (either for purchase and repair) by dividing the work into logical Continued on next page... EXCEPTIONAL RELEASE
E R : D E L I V E R I N G T R A N S F O R M AT I O N : P S C M
Number of Contracts by Commodity Council spirals with hundreds of stock numbers (Before-and-After) 732 80 0 contracted via a single instrument. This shift from tactical to strategic thinking 70 0 has enabled all the technical variability 60 0 within the assigned items to be logically 50 0 30 9 grouped (sole source providers, competi40 0 28 6 28 9 tive items, small business involvement, 30 0 83 performance based variations required, 20 0 etc.). The SES governance structure for 10 0 6 9 8 these new contracts is known as the 5 5 0 Materiel Governance Board (MGB). Landing Support Aircraft Instruments Secondary Gear Equip Accessories Power The MGB is comprised of the AFMC Deputy Director of Logistics for Supply ALT days by Commodity Council Management, the AFMC Director of (Before-and-After) 350 Contracting, the ALC Combat 308 Sustainment Wing Directors, and the 300 ALC Directors of Procurement. The 250 MGB oversees the overall strategy for 200 each of the commodity councils and 148 140 150 then approves each spiral strategy as 124 120 120 that contract is ready to be developed 100 and enacted. The commodity council 32 50 30 30 30 20 18 leaders present the research that led to 0 their recommended strategy, details on Landing Support Aircraft Comm Instruments Secondary Gear Equip Accessories Electronics Power each spiral necessary to place assigned spares on strategic contracts, and their projections for readiness and cost savings that will be with negotiated delivery prices on a single contract. Spare achieved when that occurs. The results to date are breath- parts forecasts are constantly changing due to production, taking. All eight of the commodity councils are up and performance and warfighting variations from planned operating; six have presented their overall strategies to the expectations. When the latest forecast identifies the actual MGB. While those strategies represent only 11% of the â€œeachesâ€? required of each spare part stock number, the 15,600+ contracts which will eventually be replaced, 19% strategic contracts enable the item managers to rapidly exeof the $15B in spares requirements covered by the coun- cute orders to get the complement of required parts into the cils (3 years forecast), and less than a third of the actual supply system ahead of warfighter demand. The bottom spare parts types, the impacts on that population will be graphic depicts the companion effect on projected administrative lead time reductions associated with migration from enormous. (Graph B on previous page.) the tactical to strategic contracts for the six councils. The top graphic show the contract reductions projected by the six commodity councils for the portion of assigned Reducing administration lead time has two immediate items currently approved for strategic contracts; the most consequences. First, as spares demands shift in our expedidramatic being a reduction in landing gear contracts from tionary operations, reaction time to that shift in forecast will be much improved. This will improve the MICAP and 732 to only six! backorder performance for all affected parts. Secondly, the While contract reduction inherently sounds like good govAir Force supply system calculates a level of pipeline spares ernment, the benefits accruing to the warfighter may not be to take into account the administrative and production immediately apparent. The transition to PSCM strategic lead times inherent in delivery. Reductions of this magnicontracting permits placement of a large number of items tude reduce the number of spares needed in the system to
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achieve the performance levels required by our warfighters. Therefore, the commodity councils are reducing future spare buying and repair requirements for each affected part type (a one-time but significant savings) through this activity. These savings are the “pay back” for the PSCM investment in re-engineering, change management, and re-training of Air Force supply personnel in the new PSCM processes. The return on investment is currently projected to be greater than 100:1 over the course of the next eight years.
PSCM IMMERSION TRAINING PSCM will transform how Air Force supply personnel plan, contract, work with our suppliers and customers, manage assets, and ultimately respond in a more agile manner to the warfighter’s material needs. The PSCM team has developed processes that define the technology, organizational structure, and skills to enable AF personnel to perform PSCM methodologies. Skills training is considered a crucial change management challenge. Often overlooked in bringing in a program with as large a scope as PSCM is the requirement to prepare the work force to understand and execute the new processes. AFMC supply personnel worked with PSCM commercial process experts, course developers, and academic advisors to craft a nine week PSCM immersion course consisting of 22 modules which will be administered to all 3500+ personnel who support the AFMC Materiel Support Division. The course will provide both “core” and supply specific training as outlined below. As the course evolves, other supply system stakeholders (MAJCOM RSS, DLA, TRANSCOM, etc.) will be afforded opportunities to attend these classes, and (as part of AFMC’s plan/contract) the PSCM immersion module course material is being formally accepted and codified for use beyond this initial effort. AFMC is contracting for this training at each of its ALCs to keep the costs low and improve delivery convenience for employees. Corporate cost for immersion training will be less than $5300 per student. AFMC and Air Force leadership also supported an initiative to re-hire recent retirees and other process experts to backfill those in training (up to 75 per ALC per quarter) so that warfighter supply support would continue uninterrupted. The American Federation of Government Employees recently agreed to the training plan and saluted AFMC for looking out for the developmental needs of employees.
T H E WAY A H E A D The PSCM team originally mapped the Air Force’s “as-is” processes in the areas of demand planning, customer relationship management, supplier relationship management, and strategic planning. After conducting root-cause analyses, defining and quantifying high impact issues across current processes, and identifying numerous opportunities for process improvement, the team developed a “to-be” model for PSCM processes applied to the Air Force environment. The PSCM team continues to validate “to-be” processes at detailed levels and integrate these processes with complementary initiatives such as the Depot Maintenance Transformation, Advanced Planning and Scheduling, and Weapons System Supply Chain Management. The team will continue to conduct gap analyses to identify discrepancies of skills, IT, processes between “as-is” and “to-be” environments. These gaps will be key inputs to the blueprinting process of the Expeditionary Combat Support System (ECSS) – the Air Force’s planned enterprise resource planning system. The work of the team has already resulted in job and organizational redesign to enable the new processes and identify responsibility, accountability, communication and information for steps in the process; a prime example being the stand up of the ALC Combat Sustainment Wings. Finally, the PSCM team is working collaboratively with the AF/IL LogEA team to develop the overall AF transformation business case and budget support for ECSS. Recognition of the Air Force’s progress in commercial supply chain methods resulted in a recommendation within the framework of the Base Realignment and Closure process to expand commodity councils to a DoD level. If adopted by the President and Congress, the current Air Force commodity council structure is expected to expand and enable coalitions between Services and the Defense Logistics Agency for their DLRs and consumable items...at the DoD level, this template would improve parts support efficiency for every branch of the armed forces. Now that’s transformation! Mr. Edward C. Koenig III assumed the position of Regional Director, TRICARE Regional Office - North, Office of the Assistant Secretary of Defense for Health Affairs, TRICARE Management Activity, Rosslyn, Va. In July 05. Previously he was Deputy Director for Supply, Directorate of Logistics and Sustainment, Headquarters Air Force Materiel Command, Wright-Patterson Air Force Base, Ohio. K EXCEPTIONAL RELEASE
LOGISTICS in Disconnected
Theaters of Operation
Submitted by Capt Rene V. Alaniz Thomas P. M. Barnett is a senior strategic researcher and professor at the U.S. Naval War College. In his book titled “The Pentagon’s New Map: War and Peace in the Twenty-First Century” he talks about the state of Globalization. More specifically, how nations that are connected (Core) thrive politically and economically; and those nations not connected (Gap) suffer from internal oppressors (the Taliban and Osama bin Laden) that seek to exploit the disconnected state of nations in the Gap. You are probably asking yourself; what does this Core/Gap relationship and the state of disconnectedness have to do with expeditionary logistics? Barnett goes on to state that there are four critical flows between Core and Gap nations that must flow freely to expand Globalization and reduce disconnectedness, in turn, reduce terrorism. The four flows are people, energy, money, and security. Without security in a Gap nation, people, energy, and money tend to flow more slowly if at all, hence the current situation in Iraq. America’s military is the world leader in exporting security for obvious reasons; i.e. the world’s GREATEST Air and Space Force. For the world’s greatest Air and Space Force to suc-
ceed however, there must be a maintenance and support system robust and responsive enough to flex to disturbances presented in a Gap theater of operations. The focus of this essay is on logistical infrastructure that supports flow of security in forward operating bases in Gap countries that are fast becoming the normal operating environment for the Air Force. Expeditionary logisticians must learn to understand the world from Barnett’s point of view to be able to negotiate current and future logistical challenges presented in disconnected Gap countries like Afghanistan and austere locations in South West Asia. Beyond negotiating today’s challenges, logisticians have to stretch their “in garrison” thinking of logistical systems like purchasing and supply chain management (PSCM) and acquisition logistics and learn to analyze and evaluate from an “expeditionary minded” perspective. At the core of “expeditionary mindedness,” the words light, lean, and lethal should echo loud and clear. In the private sector PSCM is slightly different Air Force CONUS operations (ALCs, product centers, and wings) and Air Force CONUS purchasing and supply chains vary slightly from Air Force purchasing and supply chains in the various areas of operation (AOR). Granted it is very beneficial to benchmark and capitalize from current business practices and private sector
partnerships, but recognizing and understanding variances and developing expeditionary-minded theory to counter these variances is where the 21st Century Expeditionary Logistician can make a difference in a disconnected AOR. Spare parts, supplies, and maintenance capability of the right kind at the right place and most importantly at the right time are vital to supporting the war fighter. One hour can make or break a combat mission. The point here is that Air Force expeditionary logistiTINKER AIR FORCE BASE, Okla. -- Randy Harris, an inspector and mechanic, gets a magnified view of an engine's highpressure turbine area with a new borescope. Digital borescopes are allowing mechanics to more efficiently and accurately cians must constantly think of inspect aircraft engines here. (U.S. Air Force photo by Margo Wright) innovative ways to LEAN out purchasing and supply chain nodes they control in disconnected theaters of operation on across the DoD recognize this fact and have responded by a continual basis. Logisticians must document lessons learned shaping forces into more agile and scalable war fighting and evaluate them daily to develop more efficient (light, machines able to adapt and defeat asymmetrical threats in the lean, and lethal) ways to deliver airworthy and properly con- Gap. Although the logistics community has taken huge steps in the right direction, there are plenty of opportunities ahead. figured aircraft to operators at the tip of the kill chain. At the tactical and operational levels, logisticians must conLogisticians also play a vital role in developing the proper tinue to LEAN out purchasing and supply chain nodes they mix of support infrastructure to sustain a weapon system control and look for every opportunity to influence acquisithroughout its life cycle. Finding the right mix of support tion logistics efforts to reduce the logistics footprint. infrastructure can be difficult if logisticians do not approach sustainment planning of a weapon system from an expedi- The United States has the world’s only military capable of tionary-minded perspective versus an in garrison point of exporting security into any region of the world. The expediview as well. Moreover, once logisticians do find the right tionary-minded logistician’s duty in the 21st Century is to always mix it is critical they document and voice recommendations probe for new methods, procedures, and theory regardless of how and proposals. incremental in nature, to advance the Air Force’s logistics transThe operator community has been on-track with their mis- formation vision. Logisticians must never relent in their efforts sion need statements for weapons and weapon systems like to improve and refine logistics systems and sub systems to comthe small diameter bomb, AIM-9X, and the JSF. Now it is bat oppressors in the world’s disconnected Gap societies. up to logisticians to do their part by thinking over-the-horizon to help the acquisition and engineering community Capt. Rene V. Alaniz is currently serving as Chief of develop and continually refine equipment, tools, technical Maintenance Inspections, Inspector General, Headquarters data, training and other support systems that will not only Air Combat Command. He led flights in both aircraft and help extend weapon system life cycles but also reduce the munitions maintenance while stationed at Ramstein AB, logistics tail in austere theater of operations. Germany and gained combat experience during Operation Barnett illustrates on a world map in his book the fact that ALLIED FORCE. Prior to joining the ACC IG Team he over 95 percent of America’s most recent security export ini- served as an AMOC instructor at Sheppard AFB, Texas. tiatives fall within a Gap country. Transformation efforts firstname.lastname@example.org K EXCEPTIONAL RELEASE
Maintenance 101 for Ops and Support Senior Leaders AMC’s New Wing Maintenance
Submitted by Lt Col James Weber The popular Senior Leaders Maintenance Course (SLMC) is an Air Force Chief of Staff-directed program designed to educate senior leaders on aircraft maintenance and logistics processes in both home station and expeditionary environments. Its genesis was in the Combat Air Forces, when responsibility for some critical logistics disciplines, such as flightline maintenance, were placed in operations groups. It became apparent leadership within the operations groups, and support groups as well, needed insight into the intricacies of how aircraft maintainers went about the business of generating sorties and scheduling inspections, and why they executed their functions the way they did. The Air Mobility Command Logistics staff recognized the benefit of taking this concept one step further, and took the opportunity to build the framework for a scaled down version of the SLMC, called the Wing Maintenance Course (WMC). The resulting base-level course was by design meant to be taught by the maintenance group commanders. Major General Loren Reno, AMC’s Director of Logistics noted “Air Mobility Command is moving to leadership at the squadron and flight levels the training they have been giving to wing and group leaders. Bringing an understanding of the vital relationship between aircraft maintenance and operations both strengthens our units and helps fulfill the Chief’s vision.” Using Fairchild as lead wing, the course was tailored to specifics of the unit’s culture and mission dynamics, and first presented in 2004. According to Lt Col
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able insight into how to Jerry Weihe, AMC’s project “We asked for unrestricted criticism since this was build an executable flying officer for establishing the our first course and we needed to make it into schedule, in addition to WMC, “The SLMC is a managing long-term fleet something that really worked for the wing. comprehensive two-and-onehealth, while culminating half-day course that we’ve Response was overwhelmingly positive…they [the with theme four, Resource pared down to 11 hours for attendees] loved it so much [they] suggested the Management, highlightthe WMC. Wing leadership entire wing do this for all the other squadron coming and detailing the critat Fairchild volunteered to manders to learn better what their counterparts do. ical resources that support help us evaluate our course the maintenance operamaterial, to make sure we Surprisingly, many of the things we skimmed over tion. Examples include educate our leadership on and assumed as common knowledge, the others the Flying Crew Chief maintenance operations.” were very interested in and knew little about.” and Dedicated Crew After the initial class, Chief programs, Foreign changes were made to the —Colonel Mike Riddle, commander of the 437th Object and Dropped initial format based on feedMaintenance Group. Object Prevention, back from those who attendMaintenance Training, ed. The resulting two-day and Deployments. course is now organized into four general themes: Organizational Perspective, Performance In October 2004, AMC Commander General John Handy Evaluation, Fleet Management, and Resource Management. placed his stamp of approval on the WMC concept and The first theme, Organizational Perspective, provides an outreleased a message implementing the program, making it line for the course as well as a historical backdrop that takes mandatory for all Operations, Maintenance, and Support one from the dual and tri-deputate wing structures of the ‘50s Group squadron commanders, as well as senior noncommisthrough the ‘70s, all the way up to today’s combat wings. sioned officers and flight leaders owning processes vital to the Theme two, Performance Evaluation, is designed to bolster flying or fixing of AMC aircraft. the attendee’s understanding of the Quality Assurance and Analysis functions as they apply to aircraft maintenance, and Since then, all AMC maintenance group commanders develreinforces what was learned by applying real-life examples oped their own WMC. One of the first to teach the newly and case studies. The Fleet Management dialogue gives valu- approved course was Colonel Mike Riddle, commander of the 437th Maintenance Group at Charleston AFB, South Carolina. His experience has become typical of that of his colleagues in the other AMC wings. One comment of note from their attendee feedback was “Anything that improves the relationships between Ops and Maintenance is time well spent.” We couldn’t agree more, and neither could General Handy. As stated in his implementing message, the intent is “for all Airmen to understand the vital relationship between the two equally demanding fields of Maintenance and Operations,” and judging from the feedback received thus far, the effort is meeting with resounding success. Lt Col James Weber is the Chief, Readiness Division, HQ AMC Logistics Directorate at Scott Air Force Base, IL. K
CONTINGENCY RESPONSE WINGS: The Tip of the
Spear of Rapid Global Mobility
Submitted by Capt. Vianesa R. Vargas On 11 April, 2005, the Air Force again made history by deactivating the old Air Mobility Operations Group (AMOG), and activating the second Contingency Response Wing (615th CRW) at Travis AFB, CA. Working in tandem with its sister Wing (621st CRW, the first CRW in AMC, activated on 1 March 2005) at McGuire AFB, NJ, their core competencies include expeditionary command and control, airlift and air refueling operations, aerial port operations, and aircraft maintenance support. Their mission has expanded to include the ability to employ rapidly deployable Contingency Response Groups (CRGs), as well as provide Global Reach Laydown capability with the large Global Support Squadron (GSS). The CRG’s primary mission is to quickly open forward airbases in an expeditionary environment in order to
meet combatant commanders’ needs. The CRG accomplish this by providing an “open the airbase” capability, and specialty training, while staying light and lean. After 9-11, there was an immediate need to quickly deploy forces to some of the most austere places around the globe. AMOGs from stateside, as well as augmented units from the Europe and Pacific Theaters, quickly engaged to fulfill that need. As tensions grew, the requirement for more forces became inevitable. With the expanded capability of the CRW, there are now units ready to meet that distinctive need without tapping into AEFs. Immediately after airfield seizure, the CRG arrives and operates for 30-45 days until the follow-on forces arrive. The CRGs have similar manpower and equipment and can deploy in 12 hours. They are designed to oper-
ate in permissive and non-permissive environments. This sort of capability can only be achieved by “training like you fight.” As such, training for officers and enlisted personnel is very similar, and includes Airbase Operability, M-16/M-9, and Night Vision Goggle, just to name a few. All this training is designed to give personnel a common core, and provide maximum flexibility to the warfighter. Logistics Readiness and Maintenance officers can go through additional training to become Tanker Airlift Control Element (TALCE) Commanders and Operations Officers.
Master Sgt. Jeff Wisley unhooks tie-down chains so heavy equipment can be unloaded from a C5 Galaxy aircraft. The aircraft is assigned to the 60th Airlift Wing at Travis Air Force Base, Calif., Sergeant Wisley is assigned to the Pacific Air Forces' Tanker Airlift Control Element (TALCE) at Yokota Air Base, Japan. (U.S. Air Force photo by Master Sgt. Val Gempis)
Lastly, staying light and lean is the key to successful airbase openings. CRGs employ approximately 113 personnel, consisting of a range of disciplines, needed to establish and operate the airbase. Logistics readiness, aerial port, supply, contracting, maintenance, fuels, and ground trans are the majority of the logistical disciplines required. These are enabler UTCs, and focus on “handing off” the mission to the AEWs after the initial stand-up is completed. The CRG can be viewed as a force multiplier. Given the increasing instability around the
globe there will be more situations where the CRG can and will be employed. When this happens, specially trained logistics personnel will be at the tip of this expeditionary spear. Captain Vianesa R. Vargas is the Executive Officer to the Commander, 615th Contingency Response Wing, Travis AFB, CA.
She is a Logistics Readiness Officer and also
holds Level 1 Certification in both Program Management and Acquisition Logistics. K
Submitted by Ms Becky Earp The Air Force is currently transforming across the board, and its three air logistics centers are at the tip of the spear.. Oklahoma City Air Logistics Center (OC-ALC) is applying the “step change” philosophy across its enterprise, making huge leaps one small step at a time by keeping tomorrow in sight when we make process changes today. OC-ALC has embraced Expeditionary Logistics for the 21st Century (elog21)…the AF vision. The tool to get there is the Expeditionary Combat Support System (ECSS) and Logistics Enterprise Architecture (LogEA) are the rules of the road. With elog21 the Air Force will, for the first time, have a fully integrated, enterprisewide view of our logistic processes. This enterprise approach links our supply, maintenance and transportation processes. As an example we will be able to look at a requirement, make a decision about whether or not to repair or buy the part and if the repair is determined to be the best option, the decision of repair location will be based on capacity. The requirement would be pushed to the repair location and once the repair was accomplished, the asset would be shipped directly to the customer…seamlessly. This process is governed by LogEA, a single authoritative strategic map of the future Logistics business practices, systems and organizations. ECSS itself will consist of a commercial off the shelf (COTS) software that will enable the elog21 vision. It will leverage the advantages of an Enterprise Resource Planning (ERP) system, integrating financials, manufacturing, distribution and other business functions in a single technology package. In other words, it will enable a seamless flow of information across our logistics organizations because it will be a single database with shared common data.
What Does ECSS Mean to the Air Logistics Centers?
ECSS replaces over 700 legacy Air Force information systems. In today’s environment, many of the current legacy systems do not pass information to each other so in order to analyze information one must access many systems. Another first in the history of the AF - the ALC’s, AFMC Headquarters, MAJCOMs and deployed units will utilize the same system merging base level, wholesale logistics and deployed systems providing near real-time worldwide visibility of assets.
W H AT
OKLAHOMA CITY ALC
Through the enterprise-wide transformation, we are continually applying the Lean/Cellular methodology to our processes and facilities. Once we streamline our processes and determine the information necessary to perform our duties, transition to ECSS will be much easier. OC-ALC has established an enterprise-wide Process Council that consists of our wing commanders and executive leaders to keep everyone informed of all transformation efforts. The goal is an integrated transformation effort as we move to the elog21 environment. As we look to the future we have been involved with the Maintenance Enterprise Integration (MEI) team to harmonize the base level processes with the center processes. The goal here is to define what the future looks like for all of the maintenance processes so that when ECSS is developed, we all get what we need to get the job done. To prove our point, we are actively involved with Advanced Planning and Scheduling System (APS) pathfinder 32 F A L L
will require training in the new for the F101 engine. This iniplanning processes and tools, tiative not only increased our such as APS. Forecasting for all forecasting accuracy by 40% parts in the AF can then be perbut allowed us to fully underformed by one organization stand the ECSS environment across all sources of repair. as well as set the stage for Centralized Planners will transifuture. Based on the success of tion repair planning out of the the APS pathfinder we have ALCs/back shops/Centralized moved to the B-52H with the Intermediate Repair Facilities. goal of reducing overall flowThe planners will be responsible days and increasing forecast accuracy 50%. We are not TINKER AIR FORCE BASE, Okla. -- A pneudraulics mechanic, reviews a tech- for inventory decisions, for alone in this effort. Teams at nical order on his computer monitor while rebuilding an F-15 Eagle part. An example purchasing vs repair. Warner Robbins ALC as well online TO library puts the latest technical orders a mouse-click away from each With ECSS, all execution deciof the 10,000 or so mechanics at the Oklahoma City Air Logistics Center here. sions will flow back to the planas Ogden ALC are also active(U.S. Air Force photo by Margo Wright) ners enabling better solutions ly involved in these pathfindfor the future which in turn ers to ensure that we develop provides improved support to the Warfighters. and sustain a truly enterprise wide approach.
W H AT D O E S E C S S THE DEPOT LEVEL?
R E A L LY M E A N T O U S AT
ECSS means transformation support. We can transform by changing into a Lean/Cellular enterprise but if our support organizations don’t change with us we have only improved part of our processes. We will have sub-optimized. In our current depot configuration, support organizations are sometimes disconnected from the maintenance effort. This results in weapons system support planning challenges that can drive delays to the warfighter. ECSS will change the planning process. The concept of a centralized planning function is new to the AF—this is an entirely new way of looking at the way we do business. The planners will establish goals for AF through collaboration with the warfighters. Their requirements will be balanced against logistics impacts through the use of modeling and simulation tools. Modeling and simulation capabilities permit dynamic optimization of site location, inventory, workloads and transportation/delivery routes. They will have supply chain visibility and will be continuously improving its structure to manage supply support, optimize inventories and develop strategic supplier relationships. With this integrated system, we will be able to provide dynamic performance metrics as we track to the ECSS goal of a 20% increase in weapons system availability. Item Managers, Equipment Specialists and Production Planners will receive additional training to support the centralized planning function. The new roles and responsibilities
Product Lifecycle Managers will be responsible for an asset from “womb to tomb,” becoming the leader in the acquisition process. They will collaborate with other functionals to improve overall asset performance including costs. Bottom line, this will improve longevity and quality. ECSS’s impact to production should be minimal. As we continue our lean/cellular transformation our production areas are gaining momentum and realizing vast benefits. By maintaining all data in one central system, ECSS will provide the right information to manage our business. Maintainers are the core of our business, and they get the job done regardless of the working environment. However, we are a country at war, and new demands are being asked of us every day. It is vital the AF make our maintainers’ jobs easier. OC-ALC is embracing ECSS. It will be the largest transformation the AF has seen in years and the cornerstone of elog21. We look forward to making it a success. Bottom line: we must maximize responsiveness to the warfighter while minimizing cost. ECSS makes us not only more effieicent, but more importantly, more responsive to the men and women that rely on our equipment every day in the Global war on terror. Ms Becky Earp is a Management Analyst in the Maintenance Transformation Office at Tinker AFB, OK. She is a member of several improvement process teams in support of LEAN transformation. K
U S I N G LEAN F O R M O R E R O B U S T WA R F I G H T E R S U P P O R T Submitted by Capt John D. Tran
“As my outstanding maintenance troops worked their magic every day in Oman at the very end of the supply chain, I never realized how much hard work was taking place at the various supply points and logistics centers around the world that enabled us to prosecute this new conflict…I’ve had the pleasure of witnessing the miraculous day-to-day efforts of the logisticians, acquisition experts and engineers at the depot pulling out all stops to ensure our troops have the very best parts and weapon systems in our global struggle against terrorism.” – Capt James C. Hall, ER Summer 2005
T H E D E P O T – WA R F I G H T E R R E L AT I O N S H I P : Although Capt Hall is referring to the Oklahoma City Air Logistics Center at Tinker AFB, Oklahoma, his quote rings a familiar tone at the Ogden Air Logistics center at Hill AFB,
Utah as well. Based on observations following a combat tour in Oman, he reflects on his lack of visibility further up the supply chain at that time. Capt Hall’s article was one of several in last quarter’s ER, narrating first person accounts of warfighters executing the logistics mission. Many of these professionals may have criticized the depots for their perceived inefficiency and unresponsiveness at some point in their career. To believe the Air Logistics Centers (ALC) would respond to criticism and make drastic improvements in quality, cost and delivery was historically hard to believe for most logisticians. Yet over the last three years, the Ogden ALC has increased its production and slashed flow-time. Through continuous process improvement utilizing Lean tools, Ogden ALC is transforming and improving how it supports the warfighter as mentioned. So, what the heck is this Lean? Many logistics officers have yet to be exposed to the concept of Lean. It is simply the systematic elimination or reduction of waste in any given process…in layman’s terms, if it doesn’t add value to the effort and/or it hinders the effort, get rid of it. Some argue that Lean is a term that will come and go, much like Total Quality Management did. This article doesn’t seek to validate or invalidate those claims; rather, this article will underscore how Lean tools and philosophies are fostering a culture at Ogden ALC that strives to eliminate waste, increase production efficiencies, and enhance organic support to the operational leaders and the dedicated logisticians in the field.
HILL AIR FORCE BASE, Utah -- In the air-cooled section of the 309th Generator Squadron's airborne flight, Casey Maw uses a sanding disk to clean the outer casing of a C-5 Galaxy generator. The flight is responsible for restoring more than 4,200 aircraft generators a year. (U.S. Air Force photo by Beth Young)
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To this point, most logistics officers would probably ask, “Why should anyone who’s taking a 10 minute break from the flightline care to read this?” The answer is, “Because it directly impacts you and the level of support you receive in the field. Further, you should read the article because you can benefit just as sig-
tasks of inventory. The waste eliminificantly by applying the Lean nated by this Kaizen event will save tools in your organization.” the home units thousands of manThere are numerous discussions hours and put aircraft back in the genand papers on Expeditionary eration line-ups of maintenance Logistics for the 21st century and squadrons weeks earlier than before. process improvement at the macro level, but how does this F-16 PYLONS: impact the field? Ongoing efforts made at the ALC level to shortAnother Lean event that has had sigen the reparable supply chain nificant direct and broad impact to and quicken the turn time on the 1,280 F-16s in the combat fleet repairs have compounded into can be found in the F-16 pylon shop. Ogden’s F-16 CCIP line before transformation and Lean initiatives. more responsive support for the (USAF photo courtesy of Hill AFB) Realizing the real-world impact these exhausted logisticians dispersed pylons had on fleet modification, the all over the world. These efforts shop studied and then completely have such bottom-line results as: more parts in kits and on overhauled the production process, creating cells that elimithe shelves, less cannibalizing and Mission Impaired nated waste throughout the effort, increasing production and Capability Awaiting Parts (MICAPs) incidents, more aircraft reducing maintenance time. Since then, production has on the ramp (and less in depot), and higher quality products, increased 59 percent; flow time has been reduced from 146 all resulting in less maintenance actions over time. days to 18 days; over 350 block 50 pylon backorders have Some logisticians may still be skeptical to this point, which is understandable. In an environment where budgets are being slashed, operations tempo remains high, and specialty skills are in demand, it’s hard to believe that a complex and complicated logistics machine could be responding and improving the way the ALCs have. However, the implementation of Lean to reduce waste, free up capacity for additional workload, and change attitudes has done just that. The following paragraphs provide evidence of improvements realized utilizing Lean. These examples will detail what’s occurring across the full spectrum of product lines (i.e. the full spectrum of ALC customers) and prove that this is the real deal.
A C C E P TA N C E I N S P E C T I O N S : A recent Lean Kaizen event (short, 3-5 day event to improve small processes, such as purchasing, inspections, etc) was conducted in cooperation with unit senior leaders and maintainers from HQ ACC and HQ PACAF. One of the tedious tasks with getting an aircraft back from depot is the acceptance process, which can tie an aircraft down several weeks after it is completed. By reviewing the entire process from depot to home station, the Lean team eliminated wasted steps, and removed the need all together for an acceptance inspection by home units, once a sample size is conducted and quality is verified by the MAJCOM. Additionally, the depot agreed to collect and forward to the unit much of the time consuming
been eliminated, and work-in-progress (items inducted by the depot to work, similar to awaiting maintenance) has been reduced by 75 percent. For F-16 drivers and maintainers, the impact is significant. More aircraft will be in FMC status, capable of putting GPS munitions on target. As a result, weapons troops won’t be tasked to play musical pylons with a limited number of modified pylons, and commanders will be able to report combat ready status and focus on the dozen other fires they have for the day.
F - 1 6 C O M M O N C O N F I G U R AT I O N I M P L E M E N TAT I O N P R O G R A M ( C C I P ) : The CCIP line is an F-16 program initiative to upgrade and commonly configure over 650 of the USAF Block 40 & 50 F16s. In 2004, the line possessed or inducted on average 25 aircraft at any given time, and took 142 days to produce with a 93% on-time delivery rate. Since then, the line has been transformed into a true wheels-down to wheels-up cellular flow operation. As a result, the number of possessed aircraft has been reduced to 18 and flowdays have decreased to 125 days and the on-time delivery rate has been at 100% for the last year. More importantly, the CCIP line is partnering with owning units in pulsing the aircraft in for production. To put it simply, units will not send the aircraft until exactly when the next aircraft cell is ready to start up, and will perform first cell actions prior to sendContinued on next page... EXCEPTIONAL RELEASE
taken place in the airborne generators ing the aircraft (Planning & shop. By studying their former processScheduling functions, invenes, eliminating wasted effort, developtory, etc.). This is the result of ing new tools, and designing a new procooperative planning between duction cell, the team eliminated over depot and each unit going 1,500 miles of walking annually and into CCIP (currently Shaw). reduced flow time on an item from 63 This is the first time a unit to 25 days! By reducing the amount of has been this extensively distance walked (and ultimately time incorporated into the depot wasted) by technicians, and by shortplanning process. This will ening cycle time, annual MICAPs have result in even further reducOgden’s F-16 CCIP line after transformation and Lean efforts. (USAF been reduced 67%. Because kits will tions in flowdays and depot- photo courtesy of Hill AFB) have the proper assets, there will be possessed aircraft. In summary, less cannibalizing by the field. the improvements in CCIP will decrease the number of aircraft taken from the field and Less MICAPS, more iron on the ramp, and quicker response. reduce the number of days those assets are gone. These accomplishments are just a handful of the 41+ long-range Lean teams ongoing within the Ogden ALC. There are addiA-10 SERVICE LIFE ENHANCEMENT PROGRAM tionally dozens of Lean Kaizen events throughout the year. (SLEP): Collectively, they’re impacting commodities and processes on all Similar improvements are being made with the A-10 SLEP USAF MDS aircraft, ICBMs, and even Army assets. Many of depot line. Historically, when a unit sent an A-10 to depot, it these events and teams involve the younger workforce, ensuring was difficult to predict when it would return. However, the that the culture is embedded and remains in place for the longincorporation of Lean tools into production operations is helprun. Lean is also improving quality along with speed. ing to alleviate this burden. Improvements in paint blast and Automation of support functions, real-time ordering and delivmedia program, as well as mapping of critical paths to align ery of tools and consumables, and reorganizing workcenters to workloads and avoid “waiting time” has reduced flow days on facilitate flow is ensuring aircraft roll out with the same serial the latest aircraft significantly. The most recent A-10 to roll number components they rolled in with, and that workers spend through realized a 50% improvement in throughput, and beat their time doing their job and not searching for tools and parts. the previously held A-10 SLEP record, held by Korean The simplification of processes and standardization of work furAirlines (KAL), by 3 days. SLEP was accomplished in 51 days, ther reduces quality defects and rework, and ultimately will result versus the historical average of 132 days, and overall depot in increased capacity. This capacity is used to respond to wartime time has plummeted from the 160-plus day average to 106 surges in requirements and fuels future process improvement. days. Additionally, the reorganization of docks to self-suffiAlthough some of these improvements may not be evident in cient cells will reduce the number of docks needed from 10 to the trenches yet, their positive effects will soon significantly pos6, yet sustain the increased production. This reduces the numture frontline logisticians across the globe to execute the Air ber of aircraft inducted from the field at any given time. Force mission. For those interested in learning more about the Again, Lean has transformed an inefficient process into a innovations within Ogden ALC or who want like to see examworld-class production modification program line that is strivples of how to kickstart their own Lean efforts, the invitation is ing to put aircraft out on-time, quicker, cheaper, and better. open to come visit and see what’s going on. Or, one can visit our As this process evolves, A-10 units across the US, PACAF, website at: https://ap4.hill.af.mil/portal/page?_pageid=1316,167138 and USAFE will see a marked improvement in aircraft depot &_dad=portal30&_schema=PORTAL30. schedules, meaning more iron on the ramp, more of the time. Capt John D. Tran is a 21A3, Aircraft Maintenance
A I R B O R N E G E N E R AT O R S :
Officer. He is currently serving a Logistics Career
An additional process improvement initiative with impact across multiple aircraft is the cell implementation that has
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LEAN ing Forward on the Road
Submitted by Lt Col David Haar, 319 MXS/CC, Grand Forks AFB ND Fairchild AFB, Washington. Lean is characterized by some as a program to reduce waste and by others as a process improvement initiative. While both of these may be true, it’s been our experience in the 319th MXS that Lean isn’t simply a program—to be effective, it has to be approached as a philosophy and way of life in the workcenter. As AMC’s KC-135 lead unit for this initiative, we’ve been on our Lean journey since November 2004. We began by contracting our initial training from Total Systems Development, a Lean consulting company based out of Lexington, Kentucky. Squadron leadership received a one week immersion in the basic principles and practices of Lean, while at the same time our aircraft isochronal (ISO) work flow was scrutinized with value stream mapping. Value stream mapping is a procedure that identifies waste in a process. Each specific step is analyzed for overall fit and flow in the entire process. Initial results have been positive, and as a result of implementing the findings from our value stream mapping exercise, we shaved roughly two full days off what had been a 7-day flow. In addition to this 27% reduction, we improved aircraft availability by approximately 100 days per year, while at the same time decreasing the average work shift from 10 to 8 hrs. These results have made our squadron more effective, but from a broader perspective, we’ve enhanced warfighter support…our string of 11 consecutive months exceeding the AMC 85% MC rate standard for
KC-135s increased combat capability for the USAF. We made significant strides integrating and promoting Lean as a better, faster and smarter way to conduct business. Significant capital improvements were made to the ISO and Refurbishment sections, such as acquiring a new floor board sander, cargo door platforms, and modifying wing stands. New flow sheets were introduced, tools and support equipment were repositioned to eliminate wasted motion, and our efforts were beginning to pay off. Pretty good, right? Just when we were gaining momentum we faced a 6-month relocation to Fairchild AFB, WA due to runway construction at Grand Forks. It would have been easy to pause our Lean efforts until we returned to our comfort zone at home, but we made a conscious decision to deploy every one of our Lean initiatives, regardless of their stage of development. One of the tenets of Lean is that any repeatable task should be repeatable anywhere in the world, so with this in mind, we set up shop at Fairchild. One of the benefits of relocating our Lean operation to Fairchild AFB is the phenomenal hangar facilities they possess. Having the ISO docks from each organization collocated allows 319th MXS maintenance personnel to work side by side with their 92d MXS counterparts. The opportunity to meet, discuss and observe how each organization approaches its ISO process has greatly benefited both units. From day one supervisors have been sharing their corporate knowledge to improve processes and have thereby improved the overall quality of the aircraft inspection.
Growing a Lean process is not without its many challenges, however. The most significant problem we encounter is a mindset from the uninitiated, who tend to continually focus on aircraft variability. A common question we face is “what if you have major breakage during the course of the ISO flow?”…the answer is quite easy for those who share the vision—schedule standardization. We are currently in the process of accounting for any major deviation that may occur during an ISO. The KC-135 has three types of ISO inspections, each varying in degree of detail, and we’re building a standardized flow for each of them and then validating the flow as it is accomplished. If we encounter a major issue (such as a boom change) then the process change is annotated and standardized. The next time we encounter the issue, the standardized flow we have on file that incorporates the given flow deviation in question is used to ensure we meet our overall goals. While this is not a perfect solution, it is light years ahead of the old days of blown ISO schedules due to unexpected maintenance issues. Bottom line, schedule standardization enables us to proactively manage the ISO process rather than react after something has gone wrong.
The ISO flow is now scheduled down to the hour, with every AFSC given exact times for each specific task. The goal for a standard ISO flow is 100 hours from the start of pulling panels to the pull back of the throttles on the backline. Since our arrival at Fairchild AFB, our aircraft ISO flow time has been between 92 and 101 hours. Inspections outside of a standard deviation of 100 hours indicate a potential process problem or a break in standard flow. After each inspection is complete, the process is reviewed in a hotwash to identify any breaks in flow, problems, or wait time. Members from the 92d MXS attend our hotwashes to see if any of our lessons learned might apply to their operation. The future of Lean for the 319th MXS calls for workers to continue to standardize deeper and deeper in the overall process. Currently the flow is standardized at the high task level; to be completely Lean the details of each and every task must be standardized and all forms of waste removed to the maximum extent possible. We used to talk in terms of days with regards to ISO flow time; we now talk in terms of hours and eventually we will talk in terms of minutes as Lean becomes further entrenched. Building Lean takes time and effort, but once the efficiencies gained are validated as sustainable and repeatable, your work is rewarded.
Aircraft flow time through the ISO is another area of concern. During our first ISO at Fairchild AFB, personnel had to be slowed down, as they were unintentionally accelerating the flow to the point of causing support issues. I can definitively state that Lean is Despite slowing the process alive and well in the 319th MXS. down, the first inspection was We are continually challenged and accomplished eight hours early. motivated by skeptics as we work to Those new to Lean may think make our ISO flow process even that the efficiencies gained are more efficient. It is our hope that from cutting corners and can be Outstanding Fairchild facilities allow co- location of ISO processes. (USAF as we continue to demonstrate our equated to “speeding.” Nothing photo courtesy of Fairchild AFB) successes from incorporating Lean could be further from the truth. principles, others will be encourThe fact is that the Lean process establishes the “speed” at aged to take a bold step and begin their own Lean journey. which the task is accomplished in order to guarantee a high Lean truly is a leadership challenge; it takes leadership that is degree of quality. The Lean process simply eliminates wait time willing to search out inefficiencies and problems for the and waste in the process. There is no more time for extended greater good of the process and mission. Creating a Lean culbreaks, idle chatting, or waiting for support of any kind. When ture in an organization increases efficiency, reduces the workthe maintenance personnel are at work, unless they are on a load and ultimately increases aircraft availability—all of scheduled break, they are working towards the success of the which are critical as we operate with constrained resources in overall process. An important point to mention here is that the troops actually doing the ISO are the ones who accomplished a wartime environment. the value stream mapping. They developed the flow and iden- Lt Col David Haar was the 319 MXS/CC at Grand Forks tified the waste…there was no problem getting buy-in because AFB, ND. He recently PCSed to OC-ALC. K they saw the results firsthand and took it from there. EXCEPTIONAL RELEASE
KIRTLAND’S JOURNEY Submitted by Capt. Philip Broyles Ask someone who had at least a little bit of Lean training, what is Lean?. Now, ask the same person, who was a product of the Air Force TQM movement, to summarize in one or two words what the TQM era was all about. I bet you’ll get a more definitive answer on the Lean question. So what is Lean and what can it do for the Air Force? Or, better yet, what can Lean do to make your job more productive? Lean is basically about taking a process that is currently in place and then systematically removing steps in that process that do not add value to the final product. Lean is exactly what it sounds like. It eliminates waste in a value stream. So, what is a value stream? A value stream is any number of steps, movements and actions that are taken during a process that results in the end state of some product. For example, picture the peanut butter and jelly sandwich. The PB&J is the end product of a series of steps. Each step in the making of the PB&J contributes to the end product. But, not all steps are created equal. Some steps are value added while others are not. For the PB&J aficionado, the basis for a good sandwich includes peanut butter, bread and of course, the jelly. The value steps in this process would be laying the bread out, applying the peanut butter, applying the jelly and then putting the two pieces of bread together. Other steps involved may be required but non-value added. These steps could include but are not limited to such things as un-wrapping the bread, walking to the refrigerator to get the jelly, walking over to the pantry for the peanut butter, unscrewing the cap off of both the peanut butter and the jelly and grabbing a knife out of the drawer. They are not value added because the person wanting the sandwich only cares that the sandwich has peanut butter, jelly and bread served ready to eat. Now, what if your job required you to make several hundred PB&Js everyday? Are there wasteful steps in that process? Are there steps that could be completely eliminated? Perhaps I could keep all of the peanut butter, jelly, bread and utensils in a central location to eliminate excess travel time around the kitchen. Maybe I could use some type of liquid peanut butter that would eliminate the need for a knife to spread it over the bread. This is what Lean is all about—eliminating waste in a process by focusing on only those steps that add true value to the customer while increasing capacity, freeing up resources or expanding capabilities. Lean is about taking what you have and working smarter with it. I am not a Lean expert. I am a student of Lean, the young Grasshopper you might say. In Oct 04, our group commander started a lean team to look at the phase and isochronal inspection process for assigned MH-53 and C-130 aircraft, respectively.
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For the next several months our team, led by a CGO and consisting of members from the phase section, supply, manpower office, crew chiefs and flightline (AMU) personnel, focused on applying lean to both the phase and isochronal inspection flow. Our basic charter was to reduce the number of days each aircraft MDS spent in the inspection process. This task is probably of little surprise to most, as this process is usually the biggest detractor of aircraft availability in regards to scheduled maintenance. A reduction of one day spent in the phase or isochronal inspection can be directly equated to a day gained in aircraft availability. The only difference this team faced was the method in which we were going to carry out this task. All members of the team had attended a two-day Lean course hosted at Kirtland AFB and taught by the Air Force Institute of Technology. We were going to address this task using Lean concepts to improve our process. With a little bit of training and a big task from the commander, the team began the Lean journey. The overall process as we saw it consisted of three things: implement quick fixes (low hanging fruit), map the value stream, and implement Lean concepts. The majority of our focus was on the MH-53 Phase Dock. The current number of flow days for the MH-53s at Kirtland is 18 days. In reality, the phase may take up to 25-27 days based on pre- and post-phase activities. Due to small fleet dynamics, a cannibalization aircraft is typically the aircraft that is down for phase. A typical scenario would require the incoming aircraft to have parts removed to replace parts on order for the outgoing phase aircraft. This method is a way for the operational maintainers to manage shortfalls of parts from supply. Once a phase is complete, all parts must be installed, operational checks completed and the aircraft must be prepared for a functional check flight (FCF). Once the FCF profile is flown, the aircraft is available for flying normal operations. Our focus was on reducing overall turnaround time to increase aircraft availability for training special operations aircrews. Some of the initial improvements included the purchase of new wraparound maintenance stands for the MH-53 phase, aircraft inspection technique training for assigned 3-level technicians at phase, ordering new lighting for internal aircraft inspections, creating a depot contract team master task listing to identify organizational change management (OCM)
tasks that would be accomplished during a phase, realigning the phase support section to free up another 7-level technician for the floor and revising the parts tracking log to allow for 100% accountability of parts removed for repair. The wraparound maintenance stands had both pneumatic and electrical hookups attached Kirtland technicians have easy access to MH-53 with that allow the new maintenance stands. (USAF photo courtesy of maintainers Kirtland AFB) instant connections to either source without leaving the aircraft. We also reviewed our consumable parts utilization and ordered additional items for the bench stock. These parts were then moved adjacent to the aircraft parking spot for easy access. New tools were ordered and both high-use tools and consumables were relocated close to the aircraft. During the next step the team focused on mapping out the value stream. The phase inspection can be broken into seven activities: pre-phase aircraft preparation, pre-phase meeting, aircraft wash, look phase, fix phase, backlines and post-phase meeting. The first half of the phase consists of the on-aircraft inspections aided by work cards and the latter half consists of fixing or repairing discrepancies found during the look phase. Backlines consist of system operational checks to ensure all systems are functioning after maintenance is complete. Without much training in this area, we used a software program to map out the flow of key steps of the phase into three levels. Level I consisted of the macro view of the entire inspection, Level II broke the flow into multiple sub-processes within a process and Level III was a detailed breakout of a Continued on next page...
combine a 6S event (Sort, Straighten, Scrub, Safety, Standardize, Sustain) with a detailed overhaul of the phase dock area. We’ve already made some improvements in the phase dock area. Previously, the phase dock was what one might call a moving target. Phase section personnel did not have a permanent home in which to work aircraft. This was quickly fixed by assigning a large corner of the MH-53 hangar as the permanent phase dock. That was easy, now what? We’re going to put a wash rack in at the phase dock. We’re now putting in work orders to install an oil-water separator unit in the floor New wrap-around maintenance stands have pneumatic and electrical hookups allowing maintainers drains. We’re also installing overhead restraints to instant connectivity. (USAF photo courtesy of Kirtland AFB) allow personnel to safely walk around the top of the aircraft while washing. We realized during our specific sub-process. The Level III might show a step in the VSA that several non-value added steps were being added look phase under the “engine” portion that would illustrate through excessive aircraft movements. Now that the phase all carded inspection items for engines. We also included the has a permanent home, our goal is to complete the entire job standard times from the inspection work cards as well as phase in one spot. Additionally, the new wraparound mainthe actual time it took to complete each task based on expetenance stands reduced setup and teardown time and saves rience levels. We were on the right track but still lacked the roughly 4 hours on the front and backside of each phase. training to go much beyond this step. Since the stands also have wheels, they can be pulled away Some good news came down that we were being funded to from the aircraft during a wash and simply pushed back to the receive professional consultation from an outside firm spe- aircraft once inspections begin. Other plans include erecting cializing in Lean. In early June 05 we conducted a Value a phase dock chief booth on the floor of the phase area allowStream Analysis (VSA) with a civilian consultant. During ing direct interaction between phase personnel and floor the VSA we mapped out the phase inspection value stream supervision. The booth is not a new concept, but is an essenand constructed spaghetti diagrams to illustrate the amount tial feature that has been lacking. and distance of parts and personnel travel. The highlight of the VSA was the involvement of all maintenance leadership, supervision and process owners in the formulation of over thirty separate action items aimed at improving the current MH-53 phase. Of the 30 action items, 13 were classified as “just do it” tasks, 13 were labeled as projects, and 4 were considered for Rapid Improvement Events (RIEs). The “just do it” tasks are self explanatory. These items could be handled by one or two individuals rather quickly without any major hurdles. The projects consisted of longer term tasks that will require the formulation of a team to implement. Two more consultation visits have been planned for later in the year. The Rapid Improvement Events will be conducted with the aid of our consultant. The RIE is an intense, focused team effort designed to look at a project in a short time span and implement right away. Our RIE scheduled in August will
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Our team has made some great improvements in the current phase inspection process. They will spend the next several months working the 30 action items developed during the VSA. The 6S event that planned in August is a great opportunity to sanitize the new phase dock area and build a solid foundation for continuous improvement. In the future I hope to write back with some quantifiable results of our Lean project. I’ll also touch on the challenges and some recommendations based on our experience of what worked well and what did not. Capt Philip Broyles is currently the Lean Team Leader for the 58 MXG at Kirtland AFB, NM. He is serving as the 551 AMU Assistant OIC working MH-53J helicopters. Philip.Broyles@kirtland.af.mil K
Smarter Not Harder
The Improvement of the Wheel and Tire Buildup Process at McChord
pare them for NDI, where half would be returned requiring additional cleaning. This was also a safety concern as the members were exposed to cadmium (carcinogenic).
Submitted by Capt Jason York and 1st Lt Garrett Knowlan
To clean the wheel, the technicians had to manually lift the 160 lb halves 4 feet to place them in the jet washer. Once clean, the wheel halves were manually removed, placed onto a trailer, and transported to NDI. Once inspected, the wheels were placed back on the truck and returned to the W&T shop for the buildup process. In an average shift, members would manually lift 30 wheel halves six times, accounting to over 28K lbs of lifting per person in one day!
The men and women of the Wheel and Tire (W&T) Section at McChord AFB, working hand in hand with the Flight Support Section (FSS) of the Logistics Readiness Squadron (LRS), developed and implemented a textbook example of Lean Logistics. Their innovations reduced the turn time for W&T assemblies from 7 ¾ hours to 2 ½, a reduction of over 66%, while making available 6 of the 11 authorized personnel to support other requirements.
The buildup of a new W&T assembly was just as physically Simply put, the old way of doing business would not allow grueling, requiring several steps of lifting and moving the them to keep up with current demand. The shop is the sole heavy assemblies. First, two members would lift the wheel supplier of C-17 W&T assemblies for the entire Pacific halves up to the tire. The wheels were then secured to the Theater. Even with the demands of Global War on Terrorism, assembly by manually torquing 18 tie bolts to 175 ft-lbs with shop personnel were able to build up (excluding leak check) a 15 lb torque wrench. The members did this while crouched 59 W&T assemblies in 6 hours with no notice, and allow the on the floor in a very uncomfortable, awkward position. After 62d Airlift Wing to respond to the December 2004, South the completion of the torque, the tire was then moved to the Asian tsunami tragedy with 75 sorties of humanitarian relief. inflation cage. This process required an individual to monitor Without this team’s innovation, lack of W&T assemblies the inflation manually, shutting off the valve to read the pressure. When operating at maximum efficiency, the would have eventually slowed the wing’s response. buildup/teardown process required lifting 100-160 lbs fourPrior to 2002, the process of building up and breaking down teen times. Back injuries in the section were commonplace, the tires was 100% manual, back-breaking labor. Members requiring an average of 6 weeks of light duty per year. From used a generic 1965-model bead breaker (a relic of the C-141 ‘00 to ‘03, LRS and MXS have 12 documented mishaps era) which required them to balance a 400 lb W&T assementailing serious back injuries, broken bones, and equipment bly on a 10”x10” platform and hoist it 2 feet off the ground. damage as a result of the W&T production process. As the This posed a safety hazard as tires would often fall off the operations tempo increased, the day-to-day operation of manbreaker. Once the wheel was separated, members had to ually breaking down and building assemblies crushed the spend 30+ minutes manually cleaning a set of 18 bolts to premorale of the section. The conditions motivated both LRS Photo: MCCHORD AIR FORCE BASE, Wash. -- A C-17 Globemaster III sits on the and MXS to seek a better way. flightline here recently and waits to begin its day of combat airlift as dawn breaks over Mt. Rainier. (U.S. Air Force photo by Kristin Royalty)
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Shop personnel took the lead in the wing by using Lean Logistics concepts to trim inefficiencies from the process. After transitioning to a larger facility, imagination and leadership support became the only limitations… and the W&T Section had plenty of both. After researching many corporate wheel and tire facilities and highlighting the latest available technology, Maintenance Flight leadership relayed their pioneering ideas to supervision, who received them with enthusiastic approval. The process had begun.
roll the W&T assembly into the cage, press “START”, and move on to the next build up.
After a thorough “Leaning out” of the build up and tear down processes, the team redefined its relationships with outside agencies. One of the most laborintensive steps (and the leading cause of injury to personnel and damage to equipment) in the legacy process involved transporting the wheel halves and tie bolts to NDI. The solution to this problem was quite simple: Instead of bringing the items to NDI, members set up a station in the new facility and enabled The first area for improvement NDI personnel to perform their involved equipment. Personnel inspections in the W&T researched and acquired a new Section. The wheel halves are bead breaking system certified specifically for the C-17A. With Airmen break the bead on an F-15 Eagle main wheel assembly the using a now delivered directly from the the new machine, technicians bead breaking machine similar to the one used at McChord AFB. (U.S. Air washer to an NDI station via the Force photo by Staff Sgt. Tony R. Tolley) hoist. In addition to eliminating simply roll the 400 lb assembly damage and injury, this innovaonto the device and break the bead 3-5 minutes faster without ever lifting the tire off the tion allowed W&T technicians to remain in the work area ground, eliminating a significant safety hazard. A local con- and eliminated a major inefficiency from the process. tractor then installed a ceiling hoist system, which lifts the With a new facility and a more efficient process, asset distri160 lb wheel halves into and out of the washer with no physbution then remained the only issue. This challenge was met ical strain on the individual. It also allows members to effortby establishing a consolidated supply point within the facility, lessly guide wheels through the shop with minimal physical and submitting a work order to Civil Engineering to construct exertion. Shop personnel then located an ultrasonic washer, an overhead mezzanine with a service elevator for storage of which reduced the time to clean the tie bolts from 30 minbuilt up assemblies. When a customer orders an item, a techutes to 30 seconds (the time required to load the washer). nician walks upstairs, rolls the asset to the elevator, and lowThe washer also cleans the bolts to NDI’s standards the first ers it to the shop floor. There is literally no wait time. time, every time. The Airmen on the floor who saw a better way were at the The 2-person manual torque procedure was replaced by the heart of this journey. By utilizing teamwork and initiative, Wheel Assembly Torquing System—a machine that hydrauliTeam McChord developed a process that became a benchcally lifts the W&T assembly and allows one person to mark for Air Mobility Command. mechanically torque the entire assembly in less than 2 minutes. The new torque system applies the prescribed torque Capt. Jason York has been assigned to McChord AFB since simultaneously to two tie bolts opposite one another auto- Feb 02 and is currently the 62 AMXS Blue AMU OIC. matically, and eliminates human error and fatigue. An addi1st Lt Garrett Knowlan has been assigned to McChord AFB tional, computer monitored servicing cage was also added to since July 02. He has served as Assistant Maintenance allow for the concurrent servicing of tires which turns off Flight Commander since May 2004. K automatically when complete. This allows for personnel to
CGO Corner THE ALEET ADVENTURE by Captain Timothy B. Fuhrman
ER: CGO CORNER
As the military searches for ways to cultivate well-rounded officers, the Air Force provides its maintenance officers the opportunity to explore other career fields that could place them in a non-operational environment. While the AF has many broadening opportunities for its officer Capt Timothy B. Fuhrman core, an outstanding career broadening program for 21A/M officers is the Acquisitions Logistics Experience Exchange Tour (ALEET). During an ALEET tour, the operational experiences of logistics officers are utilized in a different environment in an attempt to improve the expeditionary warfighter systems of tomorrow. For the maintenance officers, ALEET gives them a greater understanding of how the Air Force functions as a whole entity. As 21A/M officers work within the acquisition field, they foster and build relationships with people outside the operational environment. The lines of communication between these two sectors of the AF helps both the maintenance and acquisition communities gain a greater knowledge of each other. Maintenance officers selected for ALEET enter the world of acquisitions where they could possibly find themselves leading the requirements process for different eLog21 initiatives or even directing field tests that would substantiate the supportability of the F-35’s radar systems. Acquisition agencies want maintenance officers on their team because the advantages of cross-functional communication between maintenance and acquisitions are invaluable. A maintenance officer understands the fundamental challenges of supporting a weapons system in the field; this firsthand knowledge can be incorporated into the initial development of a major system thus saving millions of dollars in total life cycle costs and producing a more maintenance-friendly product. The AF is one big community and any officer will tell you that networking within the community is an extremely important tool. Cross-talk between AF installations about maintenance best practices, results from inspections, or specific maintenance procedures can be very useful. Spending three years in the acquisitions world can spread your network beyond the traditional AFSCs at operational bases. Building professional relationships with others can help you throughout your career. However, as an ALEET candidate, you will specifically be able to benefit from sharing raw data about a common interest, validating technical standards, collaborating on MAJCOM policies, and working with private sector partners. As a maintenance officer, there are some things you must know about acquisitions. Typically, an acquisition organization doesn’t support flying operations, conduct NSIs or ORIs, or participate in AEF deployments. Its mission is to procure products for tomorrow and to sustain the products of today. A product can range from a simple web-based system like the Air Force Portal to a highly complex satellite system like the Space Based Infrared System.
A missile plume is detected by the Airborne Laser (ABL) aircraft's infrared detection system at ranges up to several hundred kilometers. (photo courtesy of Lockheed Martin)
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Moreover, an acquisition agency’s organizational chart doesn’t follow the AF’s Combat Wing Organizational construct. Instead, it’s generally comprised of Directorates and System Program Offices (SPOs) that are supported by functional areas.
For instance, major programs like the Global Hawk, F-22 Raptor, Air Borne Laser system, Joint Stars, and JDAM are supported by functional areas like technology insertion, engineering, testing, contracting and finance. The major acquisition product centers include the Aeronautical Systems Center, Electronic Systems Center, Air Armament Center, and the Space & Missile Center. Although these centers fall under the Air Force, many of the products they develop and sustain support joint operations currently being conducted throughout the world today. As a junior maintenance officer working on a major acquisition program, you would be responsible for leading a project that supports certain program initiatives. In this position, you may be put in charge of designing the DoD’s next major airframe. You would have to coordinate the communication flow of user requirements between all services and system engineers. Your coordination would determine if the product could be developed within a specific timeline and under a definite budget. Additionally, you would be in charge of ensuring military installations have adequate facilities to support a specific design.
An F135 propulsion system test at Pratt & Whitney facilities in West Palm Beach, Florida. (Photo courtesy of JSF PA)
Although the design phase of a future product could take years, there are many sub-tasks that have to be completed daily. As the project leader, communicating directly with field users, the SPO, contractors, other officers and enlisted personnel is key to project success. Visiting the developer’s facility becomes routine, especially during the construction of the actual product. Other iterative duties include conducting weekly staff meetings and project reviews, tracking and analyzing program risks, reviewing the program schedule, assessing contractor performance, and explaining program metrics. Ironically, many maintenance officers can probably relate to some of these duties in the operational world. Part of a maintainer’s job is addressing ETICs, the flying schedule, quality assurance discrepancies, and assessing risks. Although the subject matter is different between acquisitions and maintenance, the daily duties inherently address productivity and performance indicators and their explanations. The two career fields also beg three questions: what’s the plan, who’s in charge, and what’s the follow-up? After completing an ALEET assignment, your officer records will reflect acquisitions as a secondary AFSC. This designation will open more doors for you as your career progresses. First, you will receive a higher priority when intermediate acquisition classes are offered by Defense Acquisition University in Ft. Belvoir, VA. Secondly, an ALEET assignment will give you more flexibility to discuss future officer development objectives with your assignment team when it’s time to PCS. Lastly, the AFPC may offer certain job openings to you based on your maintenance/acquisition background. Don’t be afraid to leave the flight line and expand your horizons! ALEET gives maintenance officers the opportunity to do a three year tour in acquisitions while earning an acquisition certification and a well-rounded logistics background. Maintenance officers can make a direct contribution to tomorrow’s expeditionary-focused technology while building professional relationships and networks outside the operational environment. For more information about ALEET please visit AFPC at: http://www.afpc.randolph.af.mil/logistic/OAT%20Homepage/ALEET.htm. Capt Timothy B. Fuhrman is a guest contributor to the CGO Corner and is currently serving as the Accessory Flight Commander, 31 MXS, Aviano, AB Italy and the LOA Dolomite Chapter Vice President. He is a career broadening ALEET candidate with a Level II acquisition certification. He will work three years in aircraft maintenance before returning to acquisitions. K Join the ER Team! The CGO Corner is currently seeking a qualified individual to co-author this column. Contact Marta Hannon at LOANational@cox.net for details. EXCEPTIONAL RELEASE
Chapter Crosstalk CAPITAL CHAPTER – WASHINGTON DC Submitted by Lt Col Joe Diana LOA Capital Chapter Will Host the 2007 LOA National Conference!! The Capital Chapter elected new officers in May. Our outgoing board did an excellent job of reinvigorating interest in chapter membership and activities. The new board holds meetings the first Friday of every month at 0900 in the IL conference room and all general members are invited to participate. The chapter started a new tradition in June called “Last Friday”. Last Friday offers an opportunity for some fellowship and a break from the daily grind. Gathering begins at 1530 in corridor 4B250 of the Pentagon. Beverages and light snacks are provided. Wes Manship did an excellent job in starting the tradition and we look forward to seeing more chapter members at these gatherings. The chapter recently toured the Red Cross emergency center and gained great insight on how these professionals respond on a daily basis. Thanks to Lt Col Marty Wiseman for organizing and leading this trip. On 12 August the chapter will host a luncheon with Brig Gen Ron Ladnier, Director of Logistics Readiness. For more information on the chapter please visit our chapter web page or email joseph.diana@ Members of the LOA Capital Chapter are briefed by Red Cross Emergency Center professionals during a tour of the center. pentagon.af.mil.
THE HODJA CHAPTER – INCIRLIK AB, TURKEY Submitted by Maj Todd Cheney The Hodja Chapter was reestablished on 3 Jun 05 with the election of officers at its first meeting. The Chapter was reactivated in the middle of a flurry of activity. Besides moving cargo into Iraq at an amazing pace in support of OIF, we recently passed both our USAFE Unit Compliance Inspection (Oct 04) and Nuclear Surety Inspection (Mar 05). Continued on next page... Lt Col J.D. Ellis, 728 AMS/CC, and Maj Gen Reno review the Aerial Port operations of the newly established AMC C-17 Cargo Hub at Incirlik AB. EXCEPTIONAL RELEASE
We also provide support for air bridge KC-135 missions, British C-17 resupply missions into both Iraq and Afghanistan, and we hosted Maj Gen Reno, AMC/A4, at a LOA luncheon. The Hodja Chapter is officially back on the radar screen and will be sending members to the USAFE LOA conference in Jul 05 at Ramstein. Looking forward to the National Conference, the Hodja loggies will be there!
Maj Gen Reno presents a coin to Lt Col Tom Ventriglia, 39 MXS/CC, for his support to the AMC mission at Incirlik AB.
WRIGHT BROTHERS CHAPTER – WRIGHT-PATTERSON AFB OH
E R : C H A P T E R C R O S S TA L K
Submitted by Lt Col David M. Koch Calendar year 2005 has proven to be a banner year for the Wright Brothers Chapter at Wright-Patterson AFB in Ohio. Our new Vice President, Captain Vaughn Whited has developed an awesome new Member Packet! It includes lots of relevant data to our chapter mission, a one-year membership, our chapter coin and other superb goodies! Well done, Vaughan! In April, we hosted Rear Admiral (Lower Half) Michael J. Lyden, Commander of the Defense Supply Center in Richmond, Virginia. He was a huge hit in giving an enthusiastic and insightful rendition of how DSCR fits into the “Big Picture” of DLA and how DSCR commodities in Aviation Supply Management relate to other DLA inventory control points. Bottom line: the DSCR team “delivered performance to the warfighter!” In our June meeting, we had the distinct honor of hosting one of our Air Force’s logistics legends — retired Lt Gen Leo Marquez! General Marquez may have taken his uniform off for retirement, but he remains just as passionate now about logistics in warfighting. He challenged us to maintain a common thread of flexibility in everything we do, and continue to make LOA better for our replacements and future leaders. We know you read the ER, so General Marquez, thank you kindly sir! We will always treasure your time with us!
Brig Gen McCoy pins a long-overdue retirement pin on Lt Gen Marquez.
The Wright Brothers Chapter members focus on wisdom of Lt Gen Marquez.
In August, we will be hosting our Second Annual Golf Scramble to raise funds for helping our young, dedicated logisticians with scholarships and career advancement and help form them into our future leaders! As our primary fundraiser, we always look forward to having fun and helping a good cause!
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WASATCH WARRIORS — HILL AFB, UT Submitted by Capt John Tran The Wasatch Warriors are wrapping up the summer period of transition, as a new board is now in place! We have an exciting year planned for the chapter, as we will continue to build on the accomplishments of previous leadership. The new board couldn’t have had a better start than to take part in the recent Air Force Association - Focus on Defense Symposium here at Hill AFB. Members of the chapter were honored and fortunate enough to escort and attend the Symposium.. The symposium featured key note speeches by General John P. Jumper, General Gregory S. Martin, General John W. Handy, and Brigadier General P. David Gillett Jr,. During their speeches, these leaders addressed the vision and challenges of future conflicts and sustainment of our fleet. Additionally, they made note of crossflowing missions and competencies across the different capabilities within the services. With this great start, we now make preparations for our annual golf tourney on 18 August 2005, and are working on bringing an outstanding show to the 2005 LOA National Conference in Atlanta, GA. We’re determined to demonstrate the eLog21 improvements Ogden ALC has made, and to improve communications between the ALC and our customers, the warfighter. We also look forward to another outstanding dining-in this spring, a bowl-a-thon, guest speakers and tours throughout the year. Finally, we continue to work on our project with the local Hill AFB Museum. We’ve coordinated permission to build a “combat turn” diorama using an F-16 already in the museum. Since a combat turn involves multiple career fields within the logistics arena, it will be a very appropriate addition to the museum on behalf of our chapter. This year is going to be fun…bring it! K
Milestones COL GREGORY IUSI WRITES: Greetings! I just wanted to get the word out to my friends and acquaintances, that if you don’t already know; I am taking up residency in Virginia. I’m happy to report that I am working for the DoD Explosives Safety Board (OSD) in Alexandria, as the USAF Military Staff Representative and loving it! If it wasn’t for my last assignment and a previous boss I wouldn’t be in such a great job. “Thanks, boss!” The Good Lord continues to shines his blessings upon me & my family. Keep in touch!
MAJ JIM MULLIN WRITES: PCSed from AWACS Program Office, Hanscom AFB MA to 552 AMXS, Tinker AFB OK in June 2005. CAPT MATTHEW R. BERG WRITES: Going to Barksdale to be the MOO of the 2d MOS. AIRPLANES AND TROOPS AGAIN! FINALLY Getting out of this ROTC gig. Man, do I miss MX. Feel free to contact me if you feel like ROTC is the thing to do for career broadening. If I only knew then... MAJ JOHN SCHROEDER WRITES: Pardoned after 16 months at Kunsan AB, I have now taken residence as the Operations Officer for the newly formed 53d Test Support Squadron at Tyndall AFB. Supporting what you may ask? Nothing better than the venerable QF-4 and an assorted family of sub-scale drones. MAJ STEVE OLIVER WRITES: After an extremely fast-paced year running maintenance ops in 51 AMXS at Osan, I’ve PCSd to Maxwell to attend ACSC for a year...looking forward to it. CAPT JUAN C. ARROYO WRITES: After three great years in HQ AETC/LG, I am PCSing to the 8 LRS, Kunsan, Korea. MAJ KEN NORGARD WRITES: Departed beautiful Mt Home in April and made it to Scott AFB and AMC HQ...we’re enjoying St Louis and learning the heavy aircraft business...see you around campus...
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CAPT WILL VILLEGAS WRITES: On 27 June 2005 I will depart the 57 MXG QA Flt CC job at Nellis AFB, to report to the 363 TRS, Sheppard AFB to serve as the DO. See you at the LOA Conference in Atlanta GA. COL JIM SILVA WRITES: Gave up command of the best FTD trainers in the AF (982 TRG) and flew around the world to take command of the Wolfpack maintainers (8th MXG). Great mission and tough challenges ... come over and visit sometime— we’ll keep a spare chem suit for any takers. COL (RET) TIMOTHY D. BAIR WRITES: The Bair Family has finally landed and beginning the process of setting down roots in State College Pennsylvania. Our new address is 228 Wooded Way, State College, PA, 16803. I am working at Penn State’s Applied Research Laboratory which specializes in applied engineering and scientific research for DoD. I hope to maintain old friendships and connections through ER and the LOA conference as well as business trips to various AF locations. To all my old friends and coworkers I hope to see you soon, write and keep in touch! MAJ ERIC JACKSON WRITES: After 10 months at Air Command and Staff College where I proved it really is a lot of reading if you do it, I am headed off to more exciting venues. For the next year I will have the unique opportunity to command the Ascension Island Auxiliary Air Field on (no surprise) Ascension Island. All the aircraft will be transient and the maintainers are contractors ... but a command 5000 miles from the flag pole promises to be an awesome experience. Let me know if you or your folks will be transiting Ascension. Looks like company is always welcome out there. MAJ KEITH T. BELHUMEUR WRITES: I assumed command of the newly established 943d Maintenance Squadron, part of Air Force Reserve Combat Search and Rescue, 943d Rescue Group, Davis-Monthan AFB AZ in March 2005.
MAJ ED MALINOWSKI WRITES: Had a change of command ceremony on 2 APR 05. Became squadron commander of the 910 AMXS, Youngstown ARS, OH. MAJ STEVEN GREEN WRITES: Fellow Loggies! Well, I survived wing exec duty at Sheppard for BGen James Whitmore and am settling in at Minot as the new 5 MOS Commander. Having a great time getting adjusted to the awesome B-52 and all of the great people here at Minot. I don’t know what everyone talks about...the weather is great, even if it is June. Please look me up if you are in the area or give me a call! CAPT MARK SOTALLARO WRITES: I will be heading to the Pentagon in August from Ellsworth AFB to work in AF/XPPC as the Chief, Munitions Programming ... the excitement never ends. COL (RET) LARRY CHANDLER WRITES: I was recently asked to speak at the Camp Darby Italy dining out and got the opportunity to visit with Lt Col Steve Williams, 712 Munitions Squadron Commander, and his troops (AMMO!). It was great to see such professional Officers and NCOs supporting the warfighter with bombs and ordnance of all types (there is no “i” in ordnance), doing great work with such a positive attitude. It makes you proud to be a member of our AF maintainer family! MAJ (RET) MIKE MISTRETTA, JR. WRITES: RETIREMENT EFFECTIVE DATE: 1 Sep 05 FROM: Dep Chief, Vehicles Management Division, 542d Support Equipment and Vehicles Group, 542 CSW, WR-ALC, Robins AFB, GA. Next: Senior AFJROTC Instructor at Unit FL-20051, Middleton HS, Tampa, Fla. COL (RET) STEVE BRUNIN WRITES: Well after 28+ great years in the AF it’s time to exchange my military uniform for a well fitted civilian suit. I’ll be retiring 22 July and headed for the last frontier...Anchorage, AK. To all of my LOA friends, thank you for your professionalism and friendship over the years. It’s been truly a fantastic experience working with you. Whether on vacation or PCSing, please don’t hesitate to get in touch with me if you need a good “tour guide” in AK. You can reach me at email@example.com
MAJ MANUEL G. GRIEGO WRITES: Just arrived at WPAFB for an interesting year of IDE at AFIT. Definitely miss the Hurlburt Field area, but looking forward to a change of pace and hopefully a year of new knowledge. HOOAH!! CAPT LYDIA GREGORITSCH WRITES: I am moving on from Seymour Johnson to the University of Virginia to teach tomorrow’s new officers. I’ll certainly use this excellent source to keep in touch with the logistics world for the next 3 years. LT COL CHERYL MINTO WRITES: After a wonderful 4 years at Mt Home, my husband (Lt Col Pat Minto) and I were finally dragged out of Idaho. He left in Feb 04 to run the F-15 Weapons System Team at HQ ACC and I left in Jul 04 to be the 20 EMS Commander at Shaw. While he was in Idaho helping me move, he got offered an opportunity he couldn’t refuse — command of the 1 AMXS at Langley. We both took command of our respective squadrons the same week in Jul and were fortunate to attend each other’s ceremony. So if you happen to be in Sumter or Hampton Roads, look us up. Otherwise, look for us “commuting” up and down I-95 on the weekends. LT COL MICHAEL ARCENEAUX WRITES: It has been a fast 11 months on the ACC staff but I am on the move again. I am headed back to the Shoguns at Kadena to be the Deputy Maintenance Group Commander. Drop on by! LT COL SCOTT VAN NESS WRITES: Just left Vandenberg AFB after three years (LRS/CC and MSG/CD) and arrived at Peterson AFB in mid-May as the Chief, Logistics Readiness Division at HQ AFSPC. COL (RET) RICK DUGAN WRITES: Have returned from Kadena AB, Japan after two years of running the Support Center Pacific as a civil servant...great assignment for a new retiree. Am now assigned to the 309th Maintenance Wing at Ogden Air Logistics Center as the Chief, Quality Assurance & Process Improvement Office (309 MXW/QP). Looking forward to seeing everyone at the LOA conference in Atlanta this October. Continued on next page... EXCEPTIONAL RELEASE
CAPT ERIK J STENGEL WRITES: PCSd from Maxwell AFB, AL as a ASBC PME instructor and now at Robins AFB, GA and the MX Flt Commander for 13 KC-135R/T tankers. CAPT (RET) WILLIAM “BILL” MOSELEY WRITES: Retired from the Air Force on 1 March after 30+ great years and a great last assignment as Director of Logistics at 7 AF and 607th Air Support Group commander. I’m currently the Deputy Vice President, Customer Support, Lockheed Martin Aeronautics Company.
LT COL MIKE MOORE WRITES: With a heavy heart, I recently relinquished command of the 649 CLSS to Lt Col Dan Sny and moved over to the 388 MXG as the Deputy Commander. I look forward to being back on the flightline and the shops where our great folks make a difference daily. Stop by if you ever get a chance! MR. LARRY LINZMEIER WRITES: Moved from Deputy Chief Plans and Programs,463 Airlift
Group Little Rock AFB Arkansas, to Logistics Manager, 18th Logistics Readiness Squadron, Kadena AB Okinawa, effective 17 May 05.
LT COL DAN WUCHENICH WRITES: Recently departed the 314 MXS and Little Rock AFB, AR for the 15 AMXS and Hickam AFB, HI. Basically handed over the challenges of an established large squadron and picked up those of standing up a new one. MAJ JOE BONITA WRITES: After a great couple years at AMMOS, we’ve transitioned to Langley AFB and command of the 1st EMS. LT COL TRACY SMIEDENDORF WRITES: I completed my year of academic rigor at the National War College, what a great experience! Now I’m stationed at Dyess AFB, TX as the Deputy Group Commander of the 7th MXG. Working on the B-1 is quite a challenge, but, it’s great to escape from Washington D.C. and be out here with these great Americans in Abilene! K
The E xceptional R elease
A Professional Military Journal written by logisticians for logisticians The purpose of the Logistics Officer Association (LOA) is to enhance the military logistics profession. LOA provides an open forum to promote quality logistics support and logistic officer professional development. Policy on Written Submissions: The editor invites articles and other contributions on issues that support LOA’s purpose. Direct manuscripts, letters and other communications to: firstname.lastname@example.org. Deadlines: The 1st day of March, June, Sept. and Dec. Story Format: Double-spaced, typed and electronically submitted to email@example.com. Photos & Graphics: Send individual electronic files (hi-res JPG, TIFF or EPS with type as outlines) along with stories (as separate text files) and include cutlines/captions. All photos should be at least 300 dpi or greater resolution. Submitter data: Should be typed at the end of the story file. Information included should be: Rank; full name; service; home mailing address; business name and address; business phone (DSN and commercial); email; three to five sentence biographical sketch; and a photo (as a separate file – see photos and graphics above). Editorial Policy: The editors reserve the right to edit all submissions for length, clarity and libel. All submissions become the property of LOA. Advertisement Formats: Each ad must be sent as a composite hi-res (300 dpi or greater) EPS file with fonts saved as outlines. Full-page ads with bleeds should allow at least 3/8” bleeds. Ad rates visit: www.loanational.org/adrates.html Advertising Contact: Ms Marta Hannon, Managing Editor PO Box 2264 – Arlington, VA 22202 – email: firstname.lastname@example.org – Phone 405-701-5457 Subscriptions: The ER is published quarterly and is available via membership in the Logistics Officer Association at the annual rate of $25. Access membership forms on the website at www.loanational.org.
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LOA 2004 Financial Report 2004 was another prosperous year for LOA. We
S C H O L A R S H I P F U N D . 2004 scholarship contributions
executed a successful conference and ended the year with
and interest income remained on par with 2003. Expenses
solid financial reserves. We’ve invested in several initia-
increased due to the LOA Executive Board’s decision to
tives to improve both our funds accountability and our
award seven $2,000 scholarships during 2004, with an
online presence in order to secure our growth and main-
additional amount used for travel and incidental expenses
tain the support our members expect and deserve. Your
for scholarship recipients.
Association is on solid fiscal footing and prepared for growth as well as any foreseeable challenges.
S TAT E M E N T O F O P E R AT I O N S G E N E R A L F U N D I N C O M E . 2004 income exceeded expenses by $241,278, an increase of $80,314 compared to 2003. This reflects the continuing growth of our annual conference, exemplified by the fact that Las Vegas conference expenses nearly matched the entire income from 2003’s Oklahoma City conference. Membership income increased 22%, ER advertising revenue grew 113%, and interest earned on operating funds increased substantially. We had no separate contributions this year. G E N E R A L F U N D E X P E N S E S . Administrative, postage and awards expenses decreased this year. Bank and e-commerce fees charged to LOA, which are based on a percentage of the revenue collected via our e-commerce site, increased in lockstep with our higher membership income. The largest expense during 2004 was our annual LOA Conference. As expected, these costs rose due to higher attendance, increased scope, and the higher costs associated with a Las Vegas venue. Our LOA Heritage Display is real property, resulting in the $500 depreciation expense. LOA no longer rents laptops for ER production, therefore there were no equipment rental expenses for 2004. ER production costs decreased due to better management and a new company serving as our printer. Internet and website fees reflect our initial expenses as we migrate to a new webhosting provider. Other expenses totaled $96 to support our History Program, with $774 in professional fees for LOA’s Certified Public Accountant (CPA) services.
STATEMENT OF ASSETS AND LIABILITIES LOA concluded 2004 with an operating account balance of $352,598 on 31 December 2004. In addition, LOA owned a CD and three money market certificates valued at $113,262. These investments have staggered maturity dates and varying term lengths to ensure liquidity as well as maximize return on investment. Our scholarship account ended 2004 with a balance of $66,452. Lastly, our Heritage Display had a residual value of $3,000 net of depreciation.
FINANCIAL OUTLOOK F U N D S M A N A G E M E N T . Continuing our move toward automation, all LOA accounting has been moved from a single PC-based QuickBooks application to QuickBooks Online Edition. This creates a “no lone zone” since the Treasurer, Assistant Treasurer, and CPA can all see the books online, simultaneously, at any time, all in real-time. Likewise, checking and savings accounts have been consolidated with one institution, allowing online bill payment, minimizing the need to write paper checks, and ensuring Treasurer and Assistant Treasurer have constant visibility of all transactions in real time. This move greatly increases our money management flexibility and allows us to earn maximum interest on funds in excess of our daily operating expenses. (Our operating fund checking account remains the original account established by MOA in 1982!)
Continued on next page... EXCEPTIONAL RELEASE
ER: LOA 2004 FINANCIAL REPORT
F I N A N C I A L R E S E R V E S . As you know, our 2001 Conference was canceled and the Association was fortunate to incur very minimal cancellation costs. We cannot plan to be so lucky again. Should we be forced into a last-minute cancellation again, we could face hundreds of thousands of dollars in non-refundable costs which could threaten our solvency (2004 conference expenses were nearly $450,000). By maintaining an appropriate reserve, we ensure LOA could weather such a costly cancellation and still be able to conduct a conference the following year. Additionally, we are pursuing liability insurance to protect the Association’s assets, including our chapters, in the event of unforeseen liabilities. In closing, LOA had a very financially successful year in 2004 due to the outstanding support of our corporate sponsors, yet another successful conference, and the continued growth of our membership. I’d like to extend my thanks to Maj Greg Buckner for having served as Assistant Treasurer as well as to Lt Col John Gorla who assumed those duties in Mar 05. Their hard work and good counsel facilitated many of our improvements. As our organization continues to expand we remain ready and able to meet the financial demands of a growing, professional organization. Your LOA Executive Board continues to provide close oversight of the Association’s finances, maximizing its resources to continue providing superior support and services to our membership while ensuring its long-term viability.
–– LT COL IKE ISENHOUR LOA NATIONAL TREASURER
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Statement of Operations GENERAL FUND
INCOME Conference income Memberships ER Advertising Interest income Contributions T O TA L I N C O M E
$ 656,978 80,725 40,230 1,998 0 $ 779,931
$ 457,153 65,985 18,807 281 5,700 $ 547,926
EXPENSES Administrative & Postage Expenses Awards and recognitions Bank and e-commerce fees Conference expenses Depreciation expense Equipment rental ER printing, reproduction and shipping Internet and website fees Other expenses Professional fees T O TA L E X P E N S E S
$ 729 445 8,049 435,688 500 0 89,333 3,037 96 774 $ 538,652
2,550 3,200 6,571 272,480 3,252 96,838 2,000 960 $ 387,851
N E T R E S U LT S
$ 20,461 600 (15,216) $ 5,845
$ 21,210 890 (10,661) $ 11 , 4 3 9
O P E R AT I O N S
SCHOLARSHIP FUND Scholarship donations Scholarship fund interest income Scholarship program expenses N E T S C H O L A R S H I P R E S U LT S
S TAT E M E N T
ASSETS & LIABILITIES
ASSETS Current Assets Operating checking account Savings/certificates of deposit Scholarship account Total Current Assets Fixed Assets (net of depreciation) Total Assets Liabilities NET ASSETS
$ 352,598 113,262 66,452 $ 532,313
$ 224,208 11,259 52,182 $ 287,649
$ 3,000 $ 535,313 $0 $ 535,313
$0 $ 287,649 $0 $ 287,649
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ADVANCED TESTING TECHNOLOGIES, INC. Corporate Headquarters: Hauppauge, NY 1-800-ATTI-VXI, 631-231-8777, fax: 631-231-7174, web: www.attinet.com Field Offices: Warner Robins, GA; Oklahoma City, OK; San Antonio, TX; Fairfax, VA; Layton, UT; O'Fallon, IL
LOGISTICS OFFICER ASSOCIATION Post Office Box 2264 Arlington, VA 22202
Non-Profit Organization U.S. Postage
PAID Permit No. 768 Nashville, Tennessee