Aviation Supply and Demand Chain
Overview
Richmond Chapter of APICS
Monthly Meeting
April 17, 2008
Col Ron Barto, USMCR
Director, BRAC Implementation & Transition
Defense Supply Center Richmond
Leading DLA's Aviation Supply & Demand Chain
The DLA Enterprise
as of 30 September 2007
Leading DLA's Aviation Supply & Demand Chain
FY02 Sales/Services:
FY03 Sales/Services:
FY04 Sales/Services:
FY05 Sales/Services:
FY06 Sales/Services:
FY07 Sales/Services:
•
•
•
•
•
•
•
•
$21.5B
$25B
$28B
$31.8B
$35.5B
$34.8B
Land/Maritime:
$3.1B
Aviation:
$3.4B
Troop Support:
$12.4B
Energy:
$13.4B
Distribution:
$1.3B
Other:
$1.2B
~95% of Services’ repair parts
100% of Services’ subsistence,
fuels, medical, clothing & textile,
construction & barrier materiel
Foreign Military Sales
• Sales: $1.18B
• Shipments: 535K
• Supporting 124 Nations
Scope of Business
•
•
•
•
•
•
•
•
•
•
54,000 Requisitions/Day
8,200 Contracts/Day
#64 Fortune 500 – Above Walt Disney
#3 in Top 50 Distribution Warehouses
26 Distribution Depots
5.2 Million Items – eight supply chains
25M Annual Receipts and Issues
1411 Weapon Systems Supported
132.8M Barrels Fuel Sold
$14.6B Annual Reutilizations/Disposals
People
•
•
•
•
20,805 Civilians
519 Active Duty Military
754 Reserve Military
Located in 48 States/28 Countries
3
Supply Chain Enterprise…
Land & Maritime Supply Chain
Lead Center for Distribution
26 Leading
Distribution
Depots
Worldwide
DLA's
Aviation
Supply
& Demand Chain
Worldwide Reuse, Recycle
& Disposal Solutions
Defense Supply
Center Columbus
Defense Reutilization
& Marketing Service
Defense Logistics
Information Service
Creation, Management &
Dissemination of Logistics
Information
DOD Manager for Printing &
Duplicating, Automated
Information Products & Service
Defense
Distribution Center
Defense Supply
Center Philadelphia
Defense Supply
Center Richmond
Headquarters
Defense Logistics Agency
Defense Energy Support
Center Fort Belvoir
7 OCONUS Depots
Troop Support Supply Chain
Aviation Supply Chain
Headquarters J-Codes
Defense National Stockpile Center
DLA Europe
DLA Central
DLA Pacific
…Part of the DOD Logistics Enterprise
Contingency Support Teams
Direct Support to the Warfighter
Leading DLA's Aviation Supply & Demand Chain
The Aviation Enterprise
as of 30 Sep 07
Leading DLA's Aviation Supply & Demand Chain
Aviation Supply Chain:
FY07 Sales:
FY08 Projection:
•
•
•
•
•
•
Land/Maritime:
Aviation:
Troop Support:$12.4B
Energy:
Distribution:
Other:
Scope of Business
$3.4B
$3.4B
$3.1B
$3.4B
$13.4B
$1.3B
$1.2B
Foreign Military Sales
• Sales: $337M
• 13,096 Requisitions/Day
• 1534 PR Awards/Day
• 1300 Weapon Systems Supported
People
• 2138 Civilians
• 55 Active Duty Military
• 27 Reserve Military
Aviation Supply Chain
Customer Profile FY07
Leading DLA's Aviation Supply & Demand Chain
By Sales
By Requisitions
Army
(35.5%)
1,697,496
Marine Corps
(2.1%)
98,434
FMS
(3.4%)
162,847
Marines
FMS
(2.1%)
(10.0%)
$70.2M
$337.2M
Army
(19.6%)
$659.2M
Navy
(24.0%)
$807.7M
Other
(1.5%)
74,177
Air Force
(35%)
1,672,657
Requisitions
Rich – 1,801,870
Col –
531,490
Phil – 2,446,703
Navy
(22.5%)
1,074,452
Other
(7.7%)
$260.4M
Air Force
(36.6%)
$1,230.0M
Sales : $3,364.7M
Requisitions: 4,780,063
Sales @ standard
Sales
Rich –$2,315.4M
Col – $ 515.7M
Phil – $ 533.6M
Aviation Expertise In DLA
Leading DLA's Aviation Supply & Demand Chain
Brig Gen Andrew E. Busch
USAF
Commander
Kim Huntley
SES
Deputy Commander
Yvette Burke
SES
Acquisition
Executive
Engine Components Air Frames Landing Gear
Flight Safety Equipment
Propeller Systems
Col Gary Wiest,
USMC
Deputy Commander
Operations
Aviation Supply Chain Product Lines
Leading DLA's Aviation Supply & Demand Chain
D S C R. . .D LA’s AV IAT IO N S UPPLY CHAI N
Richmond
Commodities
• Packaged
POL
• Chemicals
• Electrical
Hardware
• Instruments
/Gages
• Engine and
Airframe
Environmental
Products
• Re-refined Oil
• Ozone Depleting
Substance
Reserve
• Chemical Prime
Vendor Program
Maps
Industrial Plant
Equipment
ASC
Columbus
Detachment
• Topographic,
hydrographic,
aeronautical
maps/charts, in
both hard copy
and digital
format, for all
DoD Activities
• Lathes
• More than
87,000
products
• Relocation
• Torque
Converters
• New
Procurement
• Communication
Equipment
• Milling
Machines
• Boring
Machines
• Grinding
Machines
• Overhaul
• Power Trans
Components
• Guided Missile
Components
• Misc Engine &
Components
ASC
Philadelphia
Detachment
• Threaded and
Non-Threaded
Fasteners
• IPV Program
DSCR/Aviation Supply and Demand Chain
Profile
Leading DLA's Aviation Supply & Demand Chain
DSCR Site Facts
Total Population
Avg Age
Avg Service Time
Avg Education Level
Avg Grade
Avg Salary
2255
48.8 Yrs
19.4 Yrs
Two Years of College
GS-10.8
$64,751
ASC Detachments/SS&D Sites
Philadelphia Personnel:
279
Columbus Personnel:
188
Mechanicsburg Personnel:
68
Warner Robins SS&D Personnel: 240
Tinker SS&D Personnel:
367
DSCR Diversity Facts
Male – 47%
Female – 53%
White – 55% African-American – 40%
Other – 5%
Veterans – 34.10%
Columbus,
Ohio
Mechanicsburg
Industrial
Machinery
Repair Facility
Philadelphia,
Pennsylvania
Richmond
Aviation
Supply Chain
Oklahoma City
SS&D
Warner
Robins SS&D
General Physical
Description of DSCR
Leading DLA's Aviation Supply & Demand Chain
• Over 600 Acres
• Over 7 Million Square Feet of Covered and
Uncovered Storage Area
• Approximately 120 Warehousing, Utility and
Administrative Buildings
History
Leading DLA's Aviation Supply & Demand Chain
3500 – 1500 BC - American
Indian Trading Area
1619, One of the Earliest
Settled Sites in U.S
1887, James Bellwood was
the Last Private Owner of the
Property.
He Turned it into a Model of
Agriculture for VA, and
Introduced Elk to the Farm.
1941 - The Army Purchased
the Property.
History
Leading DLA's Aviation Supply & Demand Chain
•1942 -The installation was
Activated as the Richmond
General Depot
•1962 – Absorbed by the Defense
Supply Agency
•1977 – Name Changed to Defense
Logistics Agency
•1980s - 1990s Reorganization and
Restructuring Throughout DLA
and Another Name Change Defense Supply Center Richmond
Transformation & Growth…
Leading DLA's Aviation Supply & Demand Chain
Changing Warfighting &
Strategic Environment
Adaptable & Agile
TODAY
Linking
Supply &
Demand
2008 – Post BRAC & Beyond
2007 – Joint Regional Inventory Material Management
2007 – National Inventory Management Strategy
2005 – Base Realignment & Closure (BRAC)
Managing
2003 – Distribution Process Owner Created
Suppliers
2002 – Business Systems Modernization Deployed
1997 – Prime Vendor Implemented
1992 – Distribution Command Consolidation Completed
1990 – Supply Chain Consolidation
Managing
1988 – GSA Transfers Strategic Stockpile
Supplies
1977 – DSA renamed Defense Logistics Agency
1962 – Defense Supply Agency Begins Operations
1961 – LTG McNamara Appointed Head of New Common Supply Agency
Strengthening Supply Chain Excellence
We Are Transforming to …
Leading DLA's Aviation Supply & Demand Chain
Single Touch Point to Warfighters & Suppliers
EBS
SRM
CRM
Customer
Supplier
Service
DoDAAC
Weapon System
DSCR
DSCC DSCP
Demand and Supply Chain
Organization Model
Leading DLA's Aviation Supply & Demand Chain
CRM
Cells/Support
Teams
Item
Planning
Teams
In most cases,
single face to the
customer (OF,
customer DP)
regardless of
what the
customer is
buying
Item-level planning
for the items
managed by the
Supply Chain
Direction of IPTs
planning this Supply
Chain’s items at other
locations
Item
Planning
Teams
Supplier
Operations
Customer
Support
Shared services
(e.g., Finance) for
Customer
Operations units
Detachments
Integrated
Supply
Teams
Supply planning,
procurement, and
tech/quality for
items managed by
the Supply Chain
Integrated
Supply
Teams
Strategic
Material
Sourcing
Group
Strategic sourcing
for items managed
by the Supply
Chain
Supplier
Support
Shared services
(e.g., Finance, T/Q
for Supplier
Operations units
Direction of ISTs managing
this Supply Chain’s items at
other locations
Keep focus on accountability for
obtaining customers’ requirements
Keep focus on accountability for
planning customers’ requirements
Customer
Operations
Aviation Supply & Demand Chain
Forward Presence
Leading DLA's Aviation Supply & Demand Chain
Scott AFB,
IL (1)
NAVICP, (1)
Philly, PA
Mechanicsburg,
PA (68)
Langley AFB,
Oceana,
Norfolk,(1 ea)
VA
Redstone Arsenal (4) &
Fort Rucker, AL (1)
Cherry Pt.,
NC (3)
Tinker AFB,
OK, (9)
Warner Robins,
GA (7)
CCAD,
TX (2)
Jacksonville,
FL (3)
Wiesbaden,
Germany (1)
Overview of the BRAC 2005
Supply and Storage Decisions
Leading DLA's Aviation Supply & Demand Chain
Fully Implemented By Fiscal Year 2011
Supply Storage &
Distribution
Depot Level Reparable
Consolidation of
Wholesale and Industrial
Retail Supply Support
DLR Procurement
Management
Consolidation
By Supply Chain
Consumable Item
Transfer
Commodity Privatization
Disestablishes the
Wholesale ICP Functions
For Tires, POL/Chemicals
& Cylinders/Gases
Asset Transfers &
Inventory Management
Of
Consumable Items
Moving Forward to Transform DoD
BRAC Impacts To DLA Aviation Support
Leading DLA's Aviation Supply & Demand Chain
Naval Inventory Control Point
DLR
Ogden ALC
SS&D/DLR
Cherry Point
NADEP
SS&D
North Island
NADEP
SS&D
Oklahoma City ALC
SS&D/DLR
Corpus Christi
Army Depot
SS&D
Army Aviation &
Missile Command
DLR
Warner Robins ALC
SS&D/DLR
Jacksonville
NADEP
SS&D
DSCR …
Leading DLA's Aviation Supply & Demand Chain
• Aviation Center of Excellence
• Diverse & Specialized Workforce
• Critical & Unique Missions
• An Integral Part of DoD
. . . Focused on the WarFighter!