A lean sustainment enterprise model for military systems - Opinion

Acquisition Review Quarterly, Fall, 2002 by Mario Agripino, Tim Cathcart, Dennis Mathaisel

ANALYSIS OF THE CURRENT MILITARY SUSTAINMENT MODEL

To illustrate the inefficiency and complexity of the current military sustainment model, Figure 4b shows the system from the perspective of the distribution channel and the supply chain. In that figure, the distribution channel on the left includes the processes necessary to provide a "Ready for Issue" (RFI) spare part to the war fighter, including the technical maintenance services provided by the maintenance sustainment organizations. The supply channel on the right includes the processes necessary to replenish the RFI stock inventory required to support the distribution channel. This process includes replenishing the consumables, the maintenance, repair, and overhaul of RFI spares, and the associated lower level supply chain activities. Note that there are seven levels for the distribution and supply chain. Another perspective of this complexity is illustrated in Figure 4c, which places the item manager in the center of the complicated supply channel and distribution channel activity. Such a model is good for the support of large, slowly changing platforms and systems, but it possesses negative characteristics.

* It is a 7-tier sustainment system.

* It contains uncoupled processes.

* It has fragmented organizational structures.

* It possesses uncoordinated supplier and distribution channels.

* It is a push, not a pull, oriented system, which violates one of the fundamental principles of lean.

* The model is not responsive in today's maintenance, repair and overhaul environment.

The complexity of the channels in Figures 4b and 4c indicates there is an opportunity to integrate many of the system functional elements to effectively meet supply system and fleet requirements concurrently. The proposed Lean Sustainment Enterprise Model is a new framework that is based upon the lean paradigm.

THE PROPOSED LEAN SUSTAINMENT ENTERPRISE MODEL

In order to achieve a truly lean approach, some organizational structures within the current military system must be integrated. The proposed Lean Sustainment Enterprise Model (LSEM) calls for the consolidation and integration of the following sustainment functions: InService Engineering, Integrated Logistic Support, Intermediate/Depot Maintenance, Operational Support, and Supply Support. This realignment of the military sustainment system mirrors a commercial MRO operation. The goal is to achieve significant customer service levels while reducing total ownership costs. The new organizational framework allows close coordination between the operational community and the supporting sustainment network required to meet evolving lifecycle support requirements.

The proposed enterprise model is illustrated in Figure 5a. The key attribute of this framework is that it is organized around three primary sustainment structures: Operational Sustainment, Sustainment Engineering, and MRO operations. These three structures are consolidated into one Life-Cycle Support Facility, shown in the center of Figure 5a. The three structures are not explicitly illustrated in Figure 5a; they will be explained later. Rather, the authors chose to use the traditional acronyms (such as ILS [Integrated Logistic Support]) within each structure so that a direct comparison can be made between this new framework and the current military sustainment model. The supply chain that feeds this new facility is illustrated in Figure 5a to the right of the facility; and the Operational (0) Level and Intermediate (I) Level Maintenance activities that benefit from the Facility are illustrated on the left (as the Operational Support function).