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performance-based logistics
White Paper
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White Paper | LSAR – The missing link for performance-based logistics 2
Contents
Lessons learned from PBL programs: focus on the metrics ................ 20
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White Paper | LSAR – The missing link for performance-based logistics 3
Executive summary
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White Paper | LSAR – The missing link for performance-based logistics 4
The logistics support analysis record (LSAR) is a major comprehensive means for identifying, defining,
component of the logistics support analysis (LSA) analyzing, qualifying and quantifying logistics
process for military weapons systems acquisition requirements to achieve balance among performance,
and sustainment. The LSA process includes modern operational readiness, reliability, maintainability,
sustainment programs like performance-based vulnerability, survivability, operating and support
logistics (PBL), which are performed by original costs, supportability and logistics requirements,
equipment manufacturers. LSA provides a thereby optimizing the overall support system.
OEM
partners Strong configuration mgt., LCNs, Fleet Customers
LSAR Operations
and equipment, physical structure planning tool
suppliers
Maintenance
planning and Maintenance
scheduling execution
Figure 1:Where LSAR fits into the high-level business flow: the
bridge to PBL.
DoD 5000.1, The Defense Acquisition System The five major phases of the military acquisition
requires program managers to develop and process as defined in DoD Directive 5000.1 and DoD
implement performance-based logistics (PBL) Instruction 5000.2 standards are shown in Figure 2:
strategies that optimize total system availability
while minimizing cost and logistic footprints.
(Program
A B initiation) C IOC FOC
Concept Technology System development Production and Operations and
refinement development and demonstration deployment support
Concept Design FRP
decision readiness LRIP/IOT and E decision
review review
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White Paper | LSAR – The missing link for performance-based logistics 5
LSA methodology
The objective of LSA is to provide a single, uniform 3. Define the required support during the operation
approach by the military services for conducting phase.
those activities necessary to:
4. Prepare associated data products such as the LSAR,
1. Cause supportability requirements to be an integral which is defined by MIL-STD-1388. The LSA process
part of system requirements and design. is shown in Figure 3.
2. Define support requirements that are optimally
related to the design and to each other.
Logistics
support Logistics support analysis tasks
analysis
activities
Comparative
analysis
Limited
LSAR reports LSA-155 LSA-155
Supportability
objectives
LSA-001 LSA-001
Operator/ Manpower
maintenance requirements Engineering change
System/subsystem proposals
Logistics gross requirements instructions Operator/maintenance
support Logistics design instructions Product improvement
Budget estimates recommendations
analysis recommendations Provisioning data
products Manpower and Field feedback
personnel estimates R and M estimates SERDs comparisons
Support equipment Packaging data
requirements
Maintenance plan
Training requirements
Parts lists
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White Paper | LSAR – The missing link for performance-based logistics 6
This white paper explores how the LSAR is developed incentive fee (i.e., profit) on PBL revenues. Over the
as part of the LSA process and why the data elements lifetime of the product, this after-market revenue can
created and maintained in its associated database are provide 3-5 times more revenue than the OEM was
needed for an OEM to achieve minimal risk in originally paid for the design and production of the
executing performance-based logistics contracts for original weapons system. The LSA data is shown in
the military services (for example Air Force, Navy, Figure 4.
Army and Marines) and thereby receiving maximum
Manage
Data Create LSA data Deliver LSA data
LSA data
MIL-STD 1388-2B
104 relational Operations, “A”
database tables maintenance SMEs table
11 “A” tables
“B” Update
R and M SME
table data
12 “B” tables
IETM, training, “C”
11 “C” tables maintenance SMEs table
Support
13 “E” tables equipment SME
“E”
table
File
5 “F” tables transfer
Training SME “G” Relational
table database
5 “G” tables
Spares, “H”
16 “H” tables PHS&T SMEs table
14 “U” tables
UUT maintenance
“U”
SME table
11 “X” tables
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White Paper | LSAR – The missing link for performance-based logistics 7
Evolution of standards
The LSAR largely owes its heritage to the CALS Manual (IETMs), Support Equipment Recommenda-
initiative begun by the U.S. Defense Department in tion Data (SERDs) and Training Data. IETMS were
1985. In later years, NATO (the North Atlantic Treaty based on MIL-M-87268 and MIL-D-87269 using MIL-
Organization) also took up the CALS banner and D-28001 for SGML authoring of text and MIL-R-28002
started its own program called NATO CALS. The CCITT Group 4 and MIL-D-28003 CGM for graphics.
acronym “CALS” has taken on many word combina-
tions over the years, but the meaning has remained
the same. Its purpose is and was to facilitate the The European military
integration of digital information for weapons system
acquisition, design, manufacture and support In Europe, the Association Europeanne Des Con-
functions. In the digital age of the 21st century, this structeurs De Material Aerospatiale (AECMA)
may seem to be “business as usual,’’ but in the developed its own related standards, one for IETMS
computer mainframe era of the 1980s, military (AECMA 1000D) and one for Illustrated Parts Catalog
programs mainly consisted of paper processes and and Provisioning (AECMA 2000M). Also in Europe,
data accompanied by federated systems of “batch NATO Headquarters in Brussels, Belgium began
programs.” Considering that CALS first meaning was addressing CALS in 1991. Subsequently, the NATO
“Computer Aided Logistics Support,” which changed CALS organization was formed in 1994 with a
to “Continuous Acquisition Lifecycle Support,” the memorandum of understanding between 12 NATO
concept of using information technology to manage nations. Military and civilian personnel began serving
product lifecycle management throughout the full-time onsite at NATO Headquarters in Brussels
lifetime of a military asset seems to be a natural from the U.K, Spain, France, Germany, Italy, Norway
evolution. and the United States. The member nations per-
formed studies, workshops and development
projects, which were managed out of the NATO CALS
U.S. Department of Defense Program Office at NATO Headquarters staffed by
member nations. As a result, NATO CALS Data Model
CALS was released by the DoD as MIL-HDBK-59B and Version 3.0 was published in May 1998 and version
the U.S. Deputy Under Secretary of Defense mandated 4.0 in January 2000. The NATO CALS Data Model is
CALS implementation in August 1988. Military based on three standards: MIL-STD-1388-2B for LSAR,
programs of that era, including the Northrop B-2 AECMA 1000D for IETMs and AECMA 2000M for
Stealth Bomber (now maintained by Northrop Illustrated Parts Catalog and Provisioning.
Grumman), the McDonnell Douglas C-17 Globemaster
The U.K. Ministry of Defense has also created its
(now Boeing) and V-22 Osprey (Bell-Boeing) began
version of MIL-STD-1388-2B, which is called Def Stn
employing CALS including LSAR. The U.S. Army
00-60. The U.K. standard has some minor additions.
Materiel Readiness Support Activity initially sponsored
To support large international new aircraft and other
MIL-STD-1388-2A for LSAR, and in March 1991 the
weapons system development opportunities, NATO
combined services of the U.S. Army, Navy, Air Force
CALS is viewed not only as an information technology
and Marines and the Federal Aviation Administration
strategy but also as a means of business process
collaborated to author and publish MIL-STD-1388-2B.
transition for programs like the NH90 Helicopter.
At that same time, the DoD and Joint Services along
Applying the newer concepts of NATO CALS enables
with the Defense Logistics Agency (DLA) established
OEMs to take part in the global marketplace, work
JCALS (Joint Computer Aided Acquisition and
effectively with their interna-tional partners, increase
Logistics Support) and created JEDMICS (Joint
efficiency, attain higher output in the business
Engineering Document Management Information
process and take on new roles such as performance-
Control System), which is a database for weapons
based logistics.
systems engineering drawings. In addition CALS
required the U.S. Prime Contractor OEM to create a
MIL-STD-974 Contractor Integrated Technical
Information System (CITIS), which requires LSAR data
to be included with Interactive Electronic Technical
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White Paper | LSAR – The missing link for performance-based logistics 8
DD250 customer
acceptance or
Concept Engineering Manufacturing Logistics inherited baseline MRO Operations
As As As As
As As As delivered or
conceived designed built planned maintained used
as is
Nastran Eng BOM M-BOM FMECA Product structure Asset master Log book
records
FEM Geometry Functional Tasks Physical Environment
configuration configuration audit Plan
Skills Malfunction
audit maintenance
Baseline
Hours MTBF
Serialized configuration data Reserve parts
parts Parts Performance
Serialized Functional and
problems
Tools part numbers configuration
fault isolation Damage
Materials
Work cards Time/life
MIL-STD-
limited
1388-2B Work flow
FRACAS
IETMs and Execute
tech
manuals Maintenance
history
Predicted Actual
Performance, performance, performance,
reliability and reliability and Delta reliability and
maintainability maintainability maintainability
Engineering orders
under change Engineering changes
management (service bulletins, etc.)
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White Paper | LSAR – The missing link for performance-based logistics 9
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White Paper | LSAR – The missing link for performance-based logistics 10
Has
DIO DID
Def Stan 00-60 AECMA 2000M
CSN Has
CSN
Has Has
DR parts DR parts
RAM End item DMD SGML
attributes attributes
object (EIO) Attaches
OMR
Relates Has DMB SGML
to DR parts CSN has
DR parts CSN
attributes CES Depends
DR part
on
CES
EIO EIO CIS
Has
NSN N Has
supplier
CGM TIF
NSN
Proposes
changes for
items
Change management
ECP
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White Paper | LSAR – The missing link for performance-based logistics 11
The last, and longest phase of any weapons system’s product lifecycle management capability to track the
lifecycle is its operations and use stage, which may product data in the “as delivered” and subsequent “as
continue for well over twenty years. In recent years, maintained” configurations by part serial number and
the military has been exceeding the design life by date effectivity for controlled components. The
almost unbelievable numbers of years, as witnessed bridge between the “as built” configuration and the
by aircraft such as the B-52, which was first produced “as maintained” configuration is the LSAR.
more than fifty years ago. As with all weapons
systems, engineering changes continue throughout
the product lifecycle. The requirement for lifecycle How the ILS process gets done
maintenance, repair and overhaul (including modifi-
cations brought about by changes, whether due to Integrated logistics support (ILS) is traditionally
reliability or performance improvements) ripple accomplished using the methodology originally
throughout the entire military and industrial base of developed by the U.S. Department of Defense
OEM organizations. This creates the need for a comprising MIL-STD-1388-1A, MIL-STD-1388-2A and
MIL-STD-1388-2B as shown in Figure 7.
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White Paper | LSAR – The missing link for performance-based logistics 12
The logistics support analysis/logistics support backgrounds for logistics engineers include industrial
analysis record (LSA/LSAR) approach shown in Figure engineering, systems engineering, information
7 provides an excellent disciplined process to perform sciences and decision technologies. Logistics support
LSA analysis, but it must be combined with product analysis is a systematic and comprehensive analytical
lifecycle management to obtain the level of configu- process that is conducted on an iterative basis
ration management needed today for performance- through all lifecycle phases of the product. LSA is for
based logistics. The classical techniques of integrated quantifying and measuring supportability objectives.
logistics support analysis via MIL-STD-1388-2B can LSA information consists of all data resulting from the
effectively be enhanced by more modern information analysis tasks and is intended to be the primary
technology techniques than was traditionally source of validated, integrated, design-related
available during the 1980s-1990s to achieve a product support information pertaining to an
superior integrated logistics system for the 21st acquisition program. The LSA process requires
century. systems engineering effort using a planned series of
tasks to:
ILS is based on the fundamental concept that ILS
includes all the coordinated and iterative manage- • Examine all elements of a proposed system to
ment and technical tasks required to accomplish the determine the logistic support resources required
following: to keep that system usable for its intended purpose
• Make sure that support is taken into consideration
• Influence the design so that both the system and
in the defense system’s requirements and its
support can be provided at an affordable cost
design
• Specify and design the support system
• Implement the support system
As logisticians say: “Design to support. Support the
• Maintain the support system throughout the design.”
equipment lifecycle
In order to implement ILS, the OEM sets up an
integrated logistics program including the organiza-
tional structure to implement it. The main focus from The series of LSA tasks
an ILS point of view is to have logistics element
managers (LEMs) who cover all of the required The planned series of tasks to be accomplished in LSA
subject matter expert areas: maintenance planning; are as follows:
manpower and personnel; supply support; support • Series 100 – Program planning and control
equipment; technical data; training/training support;
computer resources support; facilities; packaging, • Series 200 – Mission and support system definition
handling, storage and transportation; and design • Series 300 – Preparation and evaluation of
interface. alternatives. This includes Task 301 – functional
Military logistics engineering is the range of activities requirements identification.
associated with the flow of materials, information • Series 400 – Determine logistic support resource
and payments among the suppliers and operators requirements. This includes Task 401 – task
(customers) of weapons systems. The pipeline of analysis.
activities ranges from the origin of the concept and
design of the weapons system, to the continuing • Series 500 – Supportability assessment
period of operations and use of the weapons system The LSAR, in compliance with MIL-STD-1388-2B, is
(including design modifications), to the end of the created during the LSA process as shown in Figure 8.
lifecycle with retirement and disposition of the
weapons system. Important skills and academic
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White Paper | LSAR – The missing link for performance-based logistics 13
Supportability Maintainability
parameters for Maintenance engineering
tradeoff analysis Reliability/maintainability
Human factors
engineering
Safety publications
Design/logistics
B Item R and M
requirements C
characteristics Operation and
A Operations and maintenance task
Studies/
maintenance Failure modes and analysis
specifications
requirements effect analysis
Personnel and
Criticality and support requirements
Design maintainability
analysis
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White Paper | LSAR – The missing link for performance-based logistics 14
Indenture A
level
A End item
Etc.
A0109 A A010 B A0109 C
Cover installation Cover assembly
D tail rotor gear box Door installation
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White Paper | LSAR – The missing link for performance-based logistics 15
Two types of LCNs: functional process. Each part number established in the
engineering design is subjected to a logistics support
and physical analysis (LSA) and becomes one or more LSA candi-
dates managed in the Teamcenter LSAR process.
The biggest advantage in using MIL-STD-1388-2B over
the earlier version-2A is that -2B contains an extra During the manufacturing process, a single part
attribute – LCN Type – so that both functional and number in the Teamcenter manufacturing bill of
physical configurations are managed as two inde- materials (BOM) can be specified to be assembled in
pendent product structures. This dual structure is multiple locations in the weapons system. This same
essential for the reliability and maintainability area part number can be used to perform one or more
where analysts must “roll up” failure rates, reliability functions in various systems in the end product.
times and maintainability frequencies to a higher During the engineering design process, each such use
functional system (for analysis and troubleshooting) could be assigned a logistics control number (LCN) in
while maintenance planners roll up to a higher Teamcenter. To be able to perform configuration
physical position (for work card consolidation and control, execute maintenance activities and track the
access planning). lifetime utilization of these various usages of a single
part number, two product structures would be
For example, if an antenna connected to a wing tip created in Teamcenter – one for the physical LCN and
fails, the failure should be rolled to the communica- one for the functional LCN. For example, Figure 10
tion system and not the wing structure on which it is shows the functional and physical views for a radio,
physically attached. The physical and functional part of the end item, a Howitzer weapon.
structures are necessarily independent, and a mixing
of structures for a system/end item is not permitted. The LCN node can be used as the key to link other
The LCN type data element is used as a key in LSAR logistics structures, such as AECMA 1000D and
and is required where all LCN-oriented data resides. 2000M. Also, having established the relationship
This one-position code has two values: either “F” for between the “as maintained” product structure parts
functional or “P” for physical. and the LCN number, view networks within
Teamcenter can be used to link the “as maintained”
view back to upstream views, such as the “as
How Teamcenter can support designed”.
Physical Functional
A A
Howitzer Howitzer
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White Paper | LSAR – The missing link for performance-based logistics 16
Total 104
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White Paper | LSAR – The missing link for performance-based logistics 17
Maintenance MIL-STD-
Engineering discrepency Failure data
database 1553B data
report
ILS database
CMRS
SERD Spares
DTC/LCC
• FMECA – Procedures for performing a failure mode • Spares – MIL-STD-1388-2B “H” tables are used to
effects and criticality analysis based on MIL-STD- develop initial provisioning and subsequent order
1629A administration in accordance with AECMA Spec
2000M.
• RCM – Reliability centered maintenance for
aircraft, weapons systems and support equipment • DTC/LCC – Design to cost and lifecycle cost
based on MIL-STD-2173(AS) Once the weapons systems are manufactured and
• R and M – Reliability and maintainability calculates begin their lifecycle’s operations, use and mainte-
reliability predictions using LSA Tasks 201 through nance stages, these additional processes are used to
203 of MIL-STD-1388-2B. The reliability prediction update the predictive data with actual field and in-
data is based upon design controllable failure rates service actual data:
and maintenance times. MIL-STD-785 is used for • FRACAS – Failure reporting and corrective action
the reliability program for systems and equipment system
development and production. MIL-STD-470 is used
• Maintenance discrepancy reporting and failure
for the maintainability program for systems and
data
equipment.
• MIL-STD-1553B data bus parameters downloaded
• LORA – Level of repair analysis using MIL-STD- from aircraft
1390C
• Update to initial provisioning with usage data
• CMRS – Calibration measurement requirements
summary for support equipment and systems • Update of design to cost and lifecycle cost data
based on MIL-STD-1839A
• SERD – Support equipment recommendation data
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White Paper | LSAR – The missing link for performance-based logistics 18
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White Paper | LSAR – The missing link for performance-based logistics 19
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White Paper | LSAR – The missing link for performance-based logistics 20
The table below summarizes published financial This FY 1999 contract requires LMSW’s Palmdale,
incentives, program requirements and performance California “depot” to provide PBL-type support for 52
metrics for the Lockheed Martin Skunk works total aircraft in the 49th Fighter Wing at Holloman Air
2,3
system performance responsibility (TSPR) contract. Force Base.
Contract profile
Cost plus incentive fee with an Award fee
• Award fee (3 percent)
• Performance incentive fee (7 percent)
• Cost incentive share with U.S. Air Force (50/50)
FY 99-06 Contract ceiling price ranges from $223M per year in
FY 99 to $234M per year in FY 06, for a total of $1.97B
Modification, integration and sustainment requirements for 52 aircraft in the F-117 fleet
• System engineering • Item/materiel management
• Subcontractor management • Warehousing/transportation
• System/subsystem integration • Direct supply support to 49th Fighter Wing
• Configuration management • Reporting requirements to the U.S. Air Force
Table 1: Lockheed Martin’s F-117 TSPR contract profile and metric results.
2
F-117 CLS TPSR Cost Reduction Strategy and Lessons Learned, 17 Jan 2000, F-117 System Program Office
3
F-117A Nighthawk, at http://www.globalsecurity.org/military/systems/aircraft/f-117.htm
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White Paper | LSAR – The missing link for performance-based logistics 21
The table below shows the financial incentives, for Boeing to meet for the C-17 Globemaster Sus-
program requirements and the performance metrics tainment Partnership deployed worldwide and based
4
that were established in FY 2004 in several CONUS and OCONUS locations.
Contract Profile
Annual pre-priced options for five years, annual un-priced
options for subsequent three years. FY 04-08 Contract
ceiling total price is $4.9 billion
Modification, integration and sustainment requirements
for 125 C-17 aircraft in FY 04 rising to 180 C-17 aircraft in
FY 08
• Program management • Depot level maintenance
• Sustaining logistics • Engineering changes
• Material management • Engine management
• Sustaining engineering • Partnership planning
4
C-17 Globemaster III Sustainment Partnership (GSP), presented 1 December 2004, by Colonel JanetWolfenbarger, USAF, Program
Director, C-17, System Program Office,Aeronautical Systems Center Globemaster III and Mr. David Bowman,Vice President and
C-17 Program Manager, USAF Airlift and Tanker Programs, Integrated Defense Systems, Boeing, at the Defense
Logistics 2004 Conference,Washington, D.C.
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White Paper | LSAR – The missing link for performance-based logistics 22
Conclusion
Performance-based logistics contracts require the execution processes that will store the “as main-
contractor (usually the OEM) to fix weapons systems tained” configuration. The logistics support analysis
within prescribed turnaround times. As a result, the record data is a subset of LSA information and is a
OEM must constantly focus on the metrics by structured means of creating and aggregating LSA
measuring its internal reaction times and having data. The LSAR is the primary means of storing
immediate access to accurate, up-to-date engineer- logistics support data in digital form. The LSAR
ing, logistics and configuration data to feed its database serves as the center of the ILS technical
maintenance planning and analysis tasks. The support database, which can interface with both the
business process for accomplishing this access is the design side and sustainment side of the OEM’s
framework of integrated logistics support as specified operation.
by MIL-STD-13881A, 2A and 2B along with AECMA
Reliable weapons systems require total lifecycle
1000D or MIL-PRF-876268 and MIL-PRF-876269 for
support with strong configuration management.
Technical Documentation, and AECMA 2000M or U.S.
Teamcenter can be leveraged to provide an integrated
DLA planning for initial provisioning and recurring
21st century solution to enable PBL operations. With
procurement of materials including spare parts.
more installed seats in the aerospace and defense
In addition, the OEM needs a world-class integrated industry than any other company, Siemens PLM
MRO and PLM system to perform product modifica- Software is ready to discuss its solutions for optimiz-
tion and maintenance planning, conduct ing OEM performance for PBL through an integrated
maintenance execution and retain history of all logistics data repository approach using its
corrective actions. LSAR bridges the gap between the Teamcenter products.
traditional PDM “as designed,” “as built” product
configurations and the PBL/MRO system. LSAR
contains the data needed for the MRO planning and
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White Paper | LSAR – The missing link for performance-based logistics 23
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