Commonality Overview

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1 Commonality Overview Presented to Greater Hampton Roads Area Chapter SOLE- The International Society of Logistics Presented by John Sofia, NAVSEA 06C

2 Commonality Program Agenda NAVSEA Commonality Background Commonality Study Results Standup of SEA 06, Acquisition and Commonality Directorate Way Forward 2

3 Ship Class Name of Number of I/O Points ler OEM & Technology Workstation OEM GT ler OEM CG 53,54,61,6 6,71 Integrated Ship (ISC) - Machinery CG ISC rearchitectur e (all future ISC installs) Integrated Ship (ISC) - Machinery DDG FLT I/II (51-82) Machinery DDG FLT IIA DDG 1000 (83AF) Machinery Engineering FFG-7 DDCC EPCS Upgrade Phase I (FFG 36, 47, 52, 54, 61) Engineering Plant - Damage Console Mandate for Commonality LCS 1 LCS 2 LHD 8 Machinery Plant and Monitoring Engineering Machinery LPD 17 class Engineeering LSD-47 Smartship Machinery LSD- 41/49 Midlife Advanced Engineering MCM 1 (Whole Class) Integrated Ship MHC 51 class Machinery/ Ship CVN 68 Class (70, 71, , 74, 75) Smart Carrier Machinery CVN 68 Class (68, 69, 76, 77) Digital Data Network Machinery ~7000 Sperry Marine (VME-com'l) Sperry Marine Woodward Henschel (VME-com'l) Lockheed Martin (AN/UYK- 44) Lockheed Martin (VME - Navy only) Sperry (VME, PLC) Intergraph Lockheed Lockheed Raytheon Woodward Core Switch Ruggedcom OEM & Xylan (ATM) (Gig-E) Technology Operating s Software Language HMI Software WinNT; PharLap Win2000; PharLap Lockheed- Martin IIEC/UEC Boeing (DMS) SDEX Lockheed- Martin Woodward UEC/UEC Plus Boeing (FODMS) Windows NT Ada Ada CMS-2m CMS-2m, C Example: Machinery s Cisco (Gig-E) Linux Ladder Logic, C++, Java Lockheed Martin (SEM); DCC=PLC Lockheed (consoles); Intergraph (DCC) GE IIEC DCC=Alcatal (Gig-E) DRS (PLC) DRS Rolls Royce Alcatel ( Gig-E) Windows XP Windows Pro, Window XP/Server C++, Ladder Logic Siemens Step 7 Sperry Marine L-3 Marine L-3 Marine (VME-Navy (VME) (VME) only) EDI (PLC) Rockwell (PLC) Rockwell (PLC) L-3 Marine (VME) L3 Sperry Marine Sperry Marine Henschel Intergraph Intergraph Intergraph L-3 Rockwell (PLC) Siemens (PLC) Henchel Intergraph Techtronics Daisy Data Daisy Data CVN 78 Class Machinery and Monitoring TBD (PLC) Woodward Woodward N/A N/A N/A N/A N/A N/A N/A N/A Alcatal (Gig-E) Win2000 Alcatal (Gig-E) Consoles are Windows XP, DAUs are Linux Cabletron (ATM) WinNT 4.0 Alcatal (10MBS) Window NT SP3 ROSE, C++ Ada ROSE, C++ Wonderware Ruggedcom (Gig-E) Alcatal (ATM)) Windows XP/Embedd Windows ed Windows NT 4 Sever XP C++, Ladder Logic Wonderware Wonderware N/A Altia Java Visual C++ Java RAVE Wonderware RAVE Wonderware Visual C++ C++, Ladder Logic In house Visual C++ CAE (RS-422) MTOS PLM Alcatal (Gig-E) Windows XP/ Embedded XP C++, Ladder Logic Alcatel, Foundry (Gig-E) Windows 2000 Ladder Logic Proprietary Page Visual C++ Wonderwar e, WinCC compiler LPD 17 LCS 1 CG 47 TBD TBD TBD Ladder Logic JAVA Every surface ship class has a unique MCS Several classes have multiple configurations DDG51, CG47, etc. 94+ Unique VME cards across surface fleet Total Population 23+ Unique Workstations Custom HMI Displays for each ship class Non-Standardization Abounds 3

4 Mandate for Commonality Non Standard HM&E Hardware Drives increased ILS Support Costs

5 Enterprise Commonality Timeline Commonality: Variation Reduction of s, Sub-s & Components with the application across platforms to maximize savings. Reduce TOC (Acquisition AND Life Cycle) for the Navy. HM&E Analysis (Deep Dives) NAVSEAINST Commonality Handbooks NSRP VS CPC Implementation Commodity Contract Contract Clauses SECNAV Defense Acquisition Guidebook NAVSEA Strategic Business Plan SECNAV Gate Review Process Electric Motors - Watertight Doors Contract Guidebook for PMs Better Buying Power Deep Dive assessed 58% of ship systems - Identified 170 spec reduction and 47% variant reduction opportunities Virtual Shelf APL APL APL APL APL APL APL APL Select From Shelf APL 2010 present: Implementation process established to drive cross platform commonality

6 NAVSEA Strategic Plan Framework NAVSEA s Mission Priorities is Culture Of Affordability, which focuses on: Challenging Every Requirement Reestablishing the Ship Characteristics Improvement Board and Maximizing Commonality Across Platforms. Warfighting s Commonality 6

7 Commonality Program Commonality is an approach to Engineering that accounts for crossprogram variation and TOC reduction What Commonality IS A reduction of many parts/systems to fewer A critical examination of necessary variation An effort applied at the logical level of design An effort in part designed to reduce program risk A validated approach justified with a business case What Commonality IS NOT Does not eliminate all variation (e.g. not necessarily reduce to one option) Does not sacrifice required performance, safety or required quality Does not apply to all levels of design instead effort will be applied where it makes the most sense Does not in any way impede technology Does not impact every system or where there is no justification Deep Dive process to eliminate unnecessary variation 1. Prioritize Components 2. Understand Current Component Inventory 3. Develop Commonality Targets 4. Assess Performance of Alternatives 5. Develop Implementation Plan and Results Where Should We Focus? How Many Do We Have? How Many Do We Need? Which are the Best? Why? What is it Worth? 7

8 Deep Dives has, identified 170 spec reduction opportunities and 47% variant reduction Parts List Deep Dives (APL Variation Reduction to Lower TOC) Component Ship s Interior Communications (Voice s) Electrical Distribution Machinery s SCS Arch. Helm Console Monitors Telephones ICTs CAAS PBXs % Reduction in Variants 66% 69% 73% 91% 33% 86% 83% TOC Benefit $25M $196M Circuit Breakers 23% $222M PLC Cards Workstations 51% 67% $301M Fluid s Cent. Pumps 52% $201M Compressed Air Air Comp. 81% Red. Manifolds 62% $43M Diesel Eng. / Gas Energy Generating Turbine 47% $194M Lighting and Generator s s Lighting Voltage Reg. Governor Cont. 49% 95% 90% $172M Motors Motors 61% $279M ABTs & Power ABTs 49% Conversion Freq. Conv. 56% $121M Valves Ball Valves Butterfly Valves Commonality Program 39% 51% $380M Spec-based Deep Dives (APL Variation Reduction to Lower TOC) Component # of Recs. TOC Benefit Degaussing Power Supplies 1 lers 1 $63M Machinery Architectures 23 s Software 4 $80M Elevators Aircraft 2 Cargo Weapons 2 $34M Load Centers / Load Centers 4 Power Panels Power Panels 4 $25M Generators Generators 5 $35M Oil Based Fluids Greases, Fluids 3 $70M Seawater Desal. Units 5 $31M Switchboards MV Switchboards 7 $43M UPS & Motor UPS 4 lers Motor Cont. 3 $53M Propulsion MRG 14 $132M Deck Coverings 2 Coverings/Coatings Coatings 3 $510M Ship s Software 4 $40M Chilled Water AC Plants 2 s Refrigeration 2 $996M Hull Structure Welding and 11 Fab. 4 Foundations $973M Piping Piping Piping Acc $663M Totals 14 s 29 Components 47% $2.6B Totals 19 s 31 Components 170 $5.4B

9 Commonality Program NAVSEA has developed a Shelf of standard engineering designs across ship systems, for cross program application Shelf Commonality Concept Overview 1: Populate The Shelf Shelf Management Process: TWHs, lead selection and management of NAVSUP N00AL specs and parts for Shelf with input from SDMs 2a: Manage The Shelf 2b: Manage Innovation Shelf Process & Virtual Shelf Tool: TWHs upload and update a virtual repository of Shelf items 3: Select From Shelf Program Design Processes: PMs, SDMs, and contractors use Shelf contents to develop technical requirements or designs Access to the Virtual Shelf is made available upon request

10 CONOPS& CDD Programs incorporate Shelf guidance Programs incorporate Shelf guidance SDS Programs incorporate Shelf guidance RFP (Sys Demo) SOW (Sys Demo) Strategic implementation Way Ahead: Reinforce the comprehensive implementation strategy for Commonality which focuses on Strategic & Tactical implementation Commonality Implementation Approach Acquisition Process Pre- Acquisition s Acquisition Sustainment Concept Refinement Technology Development Development & Demonstration Production & Deployment Operations & Support Tools and Processes to Adopt Shelf Designs Provide tools and processes to encourage commonality Objective Metrics and Measures Institutionalize use of the Shelf Programs track which guidelines apply to Track program compliance them Enable feedback to Shelf owners Programs track compliance to guidelines Basic Premise Process Programs are required to use Shelf Review program designs at several stages guidance Incorporate into existing Gate process Programs required to present rationale if they deviate from Shelf guidance Technology Development & Concept Refinement Development Demonstration Acquisition RFP Gate RFP Plan (Tech Dev) 3 Release Contents of the Shelf Shelf Architectures Shelf Specifications Shelf Design Guidelines Shelf Standard Components/s Gate 4 Gate 5 Contract Language for Industry to Implement Modify contract language guidelines to include commonality parts/systems, etc. In counting the number of systems with guidance from the repository, the contractor should calculate the following N (Number of types of systems/components)= Number (quantity) of the types of systems/components that have guidance prescribed by the repository (including architecture, interface, standard, part, etc.) Q (Quantity of Installed systems/components) = the number (quantity) of installations of systems/components that have guidance prescribed by the repository (including architecture, interface, standard, part, etc.) Shelf Contents Architectures Components Guidelines Tactical implementation Shelf Management Process Populate Shelf Manage the Shelf and Innovation 10

11 Commonality and Logistics Commonality is the cross-platform implementation of systems, architectures, processes, and standards that results in reduced configuration variation and lowers Total Ownership Costs. Commonality & Standardization Provides Path to Reduce Variation Forces Variation to Remain at Existing Level Commonality attacks the design decisions that drive variation Standardization prevents further proliferation Commonality accomplishes variance reduction in Navy procurement through use of a central repository (Virtual Shelf) that is available to Ship Design Managers, Contractors and Shipbuilders

12 SEA 06 Directorate Dual Roles of HQ Directorate and PEO Like Duties for Expeditionary Warfare Established April 2014 to reduce Fleet variance and standardize acquisition and commonality across People, Parts, and Processes Acquisition & Commonality Expeditionary Warfare / Ordnance Commonality PM Competency NSRP Naval Special Warfare (PMS340) Expeditionary Missions (PMS408) Exec Mgr Joint EOD Program Board Logistics & JOCG NECE BoD NOSSA Supply Quality With characteristics of both a PEO and a NAVSEA Directorate, SEA 06 has a unique charter to effect change across NAVSEA. 12

13 Circle of Acquisition: Government, Small Business and Large Business Approved for public release - distribution unlimited

14 Improving Small Business Engagement Challenge Weak Ties Between Small Business And Government False sense of legalistic rules prevents full engagement between Government and Small Business Strong Ties Opportunity Ensure Government Leadership knows that Open engagement with Small Business is: -Allowed- -Encouraged- -Valuable- Key to getting the most value from Small Business is to Increase Communications SEA 06 Applied Innovation for Affordability

15 Commonality Program Commonality s focus in SEA 06 is to: Address Cost of Change in collaboration with NAVSEA, PEOs, NSRP, Warfare Centers, Shipbuilders, USCG, Logistics Community, Manufacturers and other Commands Ensure a s Level approach is applied to all Commonality opportunities Establish a Business Case for all defined opportunities prior to implementation Challenge Requirements to ensure the most effective and efficient capabilities are provided to the Fleet Develop consistent sets of processes to reduce cost and enhance capabilities Develop and track implementation metrics across NAVSEA Continue to reduce variation in systems, sub-systems, architectures, processes, policies and components Enhance communication in the Circle 15

16 Commonality Program Cost of Change Initiatives PEOs SYSCOMs NAVSEA OEM s SHPYDS USCG Collaborate, Analyze Strategy Development Solutions, Implementation Metrics SEA 06 Solutions Cost Savings 16

17 Commonality Program Commonality Project Examples: Common Brazing and Welding Approval Process Can one shipyard approve a process and others apply it Letters of Delegation by SUPSHIPS (Government Source Inspections) Are LOD s being invoked which may increase cost Specification Effectivity Dates Do specification effectivity dates drive cost when applying updated specifications and standards Interchangeability review process Can we reduce the cost to the Navy and shipbuilders by changing the process Specification update process Can we streamline the time to review an updated specification by the shipyards Reduce variation in Boat Davits, RIBS and Deck Drains Does the Navy have excessive variation and can we reduce it Reduction of dormant and duplicate stock numbers with SEA 06L 17

18 Commonality Program Process Opportunity: Supplier Created Requirements Matrix Shows the Administrative and Technical Requirements that drive Procurement and Manufacturing Inefficiencies Technical ordering data and requirements are often unclear, inconsistent across contracts and customers, and oftentimes add unnecessary expense to part manufacturing Opportunity for Material Commonality Opportunity to Reduce Variation 18

19 Enterprise Commonality Accomplishments POLICY Update to NAVSEA INST Series Update to General Specifications for Overhaul (GSO) Developed Cross SYSCOM Commonality Instruction Developed Commonality Language for Condition-Based Maintenance + PROCESSES Modified Specification Interchangeability Review (Reduced Review time by 20% to 50%) Modified Ship Change Document (SCD) Process for CVNs to Review VS (Saved over $4.2M for CVN 73 RCOH) DW Cooling Coils Continuous Process Improvement (CPI) (Welding Procedure Standardization & Unification) Analyzing Original Equipment Manufacturers Cost Due to Administrative Req. Government Source Inspections (GSI) Continuous Process Improvement (Review of Supervisor of Ships Purchase Orders) (Develop Standardized GSI Letters of Delegations (LODs) Process)

20 Enterprise Commonality Accomplishments PRODUCTS Virtual Shelf Repository Integrated Public Shipyards Standard Parts Catalog (SPC) Technical Warrant Holders Shelf Reviews for VS Items Commonality Training Industry Demonstration Version 3.0 Development Specification Changes LHA 8, 57 changes applied to date (Potential Savings of up to $90M) DDG-51 FLT IIA, FLT III, 50 changes (Potential Savings of $30M per Ship) Contract Language LHA 8 CVN 73 RCOH Ohio Replacement Deep Dives Boat Davits 11M Rigid Hull Inflatable Boat PEOPLE National Shipbuilding Research Program (NSRP) Monthly meetings with NAVSEA, NSRP and HII-NNS Program Executive Offices (PEOs) Submarine United Build Strategy (SUBS) Team Government Source Inspection CPI Cost Change Initiatives (Castings)

21 Commonality Program Way Ahead SEA 06 continues to define Cost of Change opportunities with stakeholders Continue to solicit ideas from manufacturers Focus on Strategy to ensure Commonality implementation grows within NAVSEA, PEOs, and the Naval Enterprise 21

22 Questions?

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