1 creating ammunition enterprise excellence mr. kevin fahey deputy program executive officer for...
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Creating Ammunition Enterprise ExcellenceCreating Ammunition Enterprise Excellence
Mr. Kevin FaheyDeputy Program Executive Officer for
Ammunition(973) 724-7102
Kevin.Fahey@us.army.mil
39th Annual Gun & Ammunition/Missiles &
Rockets Conference
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Key PointsKey Points
Working hard to integrate logistics and acquisition and create a single voice (not single person) in SMCA operations/Army Ammunition Management.
Instilling discipline/System Engineering mentality in the way we look at every aspect of the ammunition enterprise
Still have major work to do in working with and communicating with our customers/external interfaces
The Ammunition Enterprise has Addressed Critical Needs and is Poised to Focus on Long Term Strategic Challenges
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MISSION LEAD SUPPORT
Hardware Production PEO-AMMO JMCComponents for Renovation (Maint Spt) PEO-AMMO JMCAPE (Maint Spt) PEO-AMMO JMC
RDT & E PEO-AMMO JMC
Industrial Base Co-LeadPAA Program / Budget / Receive Funding PEO-AMMO JMC
Receipt / Issue JMC PEO-AMMOStorage / Distribution Management JMC PEO-AMMOInventory / Accountability JMC PEO-AMMOSafety / Security JMC PEO-AMMO
Maintenance JMC PEO-AMMOQuality Assurance (ASRP / Surveillance) JMC PEO-AMMO
Demilitarization/ Disposal PEO AMMO JMC
Acquisition Strategy PEO-AMMO JMC
OMA Program / Budget / Receive Funding JMC PEO-AMMOTransportation JMC PEO-AMMO
ACQUISITION
LOGISTICS / SUSTAINMENT
KEY TO ENTERPRISEKEY TO ENTERPRISE: INTEGRATION AND SYNCHRONIZATION: INTEGRATION AND SYNCHRONIZATION
Ammunition Enterprise Responsibilities(As briefed to the AAE and CG AMC on 6 December 2002)
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Ammunition Enterprise DefinitionAmmunition Enterprise Definition
The Ammunition Enterprise is the integration of people, infra-structure and processes required for ammunition life cycle management to support the warfighter.
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Enterprise Enterprise Management PhilosophyManagement Philosophy
Promote Best Value Acquisitions
Utilize Disciplined Processes
Deploy Six Sigma and Lean Design/Production
Promote Continuous Process Improvement and
Technology Insertion
Promote Commonality and Interoperability
Promote Spiral or Evolutionary System Development
Ensure customers voice in the process
Put Eyeballs On – “Trust, but Verify”
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Executive Black Belt ProgramExecutive Black Belt Program
Initiated VSE facilitated monthly sessions at PEO Ammo
with Sr. PEO, JMC, ARDEC Leaders on Jun 03
Learning Lean Six Sigma tools through lectures and three
project teams working on:
Procurement of ammunition
Supplier assessment process
Engineering support process
Mapped ammo enterprise and prioritized processes
improvement opportunities
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Expected PaybackExpected Payback
Acquisition management consistency Fact-based decision Better prioritization and application of resources All aspects of the enterprise taken into consideration during
process Complete, consistent and comprehensive acquisition strategies Streamlined processes Baseline for our decisions Better understanding and management of risks Manage Ammunition as a major acquisition program across the
enterprise and not a commodity Reliable and effective products for the war fighter
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Deployment ModelDeployment ModelEnterprise Excellence Enterprise Excellence Enterprise Excellence Enterprise Excellence
Lean Metrics
Lean WorkloadBalancing
Process Metrics
Lean Process
Process Optimization
QualityManagement
System
Effectiveness
Efficiency
Voice of theCustomer
Six-SigmaProject
Selection
Six-SigmaProcess Control
Six-SigmaProcess
Improvements
A A disciplineddisciplined, , structuredstructured approach for process and product approach for process and product
optimization that is focused on the effectiveness' and efficiency optimization that is focused on the effectiveness' and efficiency
bottom line of the organization.bottom line of the organization.
DevelopAmmunition
AcquisitionOf Ammunition
ProductionOf Ammunition
sRequirements Generation Process - AAORequirements DocumentFunded Program
• Program Management/Planning/Control
• Contracting• System Engineering• Test and Evaluation• PPBES• Milestone Review Process
DP2 3
4
Yes
No
Technical DefinitionMilestone C Industrial Base Strategy
Funding• Acquisition Strategy /
Planning• Contracting• Program
Management/Planning/Control
• Review/Certification if TDP if Applicable
• PPBES• Pre-production Engineering• Price & Availability• IM Strategy (legacy
systems)
Contract
Funding
StockpileManagement
• Production/Systems Engineering (if Applicable)
• Design and Process Improvement• Production Testing• Production Monitoring• Configuration Management• Acceptance• Program
Management/Planning/Control• Manufacturing• Quality Assurance• First Destination Shipping• Contract Modification• Safety and Environmental
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Ammunition/ComponentsSurveillance Requirement Contingency/Out-loading Requirements
• Program Management/Planning/Control
• Surveillance Program / QDR Suspensions
• Inventory Control/Accountability• Receipt and Issue• Distribution and Requisitioning• Out loading• Retrograde• Transportation• Maintenance of Storage Facilities• Safety/Security• Pre-positioning • Malfunction Investigation• PPBES
6/7
ServiceableObsoleteUnserviceableFunded ProgramTechnical definition
TechnologyDevelopment
• S and T • Systems
Engineering• Modeling and
Simulation• Technology
Transfer• Configuration
Management• New Technologies
• Developing Technologies
Ammunition Enterprise MapAmmunition Enterprise Map
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Maintenanceof Stockpile
Sales
DemilitarizationOf Ammunition
MaintenanceRequired5
• Program Management/Planning/Control• Maintenance Planning• Parts Procurement• Contracting• Acceptance• Safety security environmental• Execute Program• Management Control
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Yes
No
• Program Management/Planning/Control
• Commercial Sale• Develop Demil Technologies and
Procedures• R3
• Contracting• Disposal• Recode to Stock
• FMS• Presidential Drawdown• Direct Sales• GFM
E
• Unserviceable• Recap• Modernization
Expended?
5
6
7
8 Expended?
4/5
No
No
Organic Issue
• Requisition• Training• Combat• Testing
Ammunition Enterprise MapAmmunition Enterprise Map
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Enabling InitiativesEnabling Initiatives
PEO Ammo/JMC MOU
Operating in a Joint Services environment
Industrial Base Strategic Planning
Demilitarization Strategic Planning
Munitions Readiness Reporting
Collaborative Systems Environment
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Summary – The Ammunition Summary – The Ammunition Enterprise is …Enterprise is …
An integrated organization that sees the “big
picture” and hears the “voice of the customer”
Making fact based decisions
Continuously improving effectiveness and
efficiency
Championing innovation at all levels
Supporting the Joint warfighter in Supporting the Joint warfighter in
every way possibleevery way possible
DiscussionDiscussion
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Ammunition EnterpriseAmmunition Enterprise
Mission: Single Manager for Conventional Ammunition Life Cycle Acquisition Management of Ammunition
Key Objectives: Unify and Integrate Ammunition Management Under One
Single Chain of Command – Working hard to integrate logistics and acquisition and create a single voice (not single person) in SMCA operations/Army Ammunition Management
Develop a Unified Munitions Acquisition Strategy Identify and Optimize Key Business Processes Develop an Overarching Industrial Base Strategy (Organic
and Commercial) Provide Integrated Supply Chain Management of the
Ammunition Production Base
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Enterprise ExcellenceEnterprise Excellence
Create an agile organization capable of quickly
addressing problems, changing budgets,
changing requirements, changing technology,
changing industrial base etc.
Culture based on fact-based decision making
Maximize value though quality management-
voice of customer-effectiveness-efficiency
Value is the timely delivery of effective quality Value is the timely delivery of effective quality ammunition that is safe and provides our warfighters ammunition that is safe and provides our warfighters
an overmatch capability-readinessan overmatch capability-readiness
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