Headquarters U.S. Air Force
Integrity - Service - Excellence
Program Title
Air Force Review Board (AFRB) Date
This template is for guidance
and is not mandatory
See Notes Page
Rank, Name
Office Symbol
Date
Updated: August 2015
FOR OFFICIAL USE ONLY – PRE-DECISIONAL
1
Briefing Outline – Key Items

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Bottom Line Up Front (BLUF)
Program Description/Overview
This template is for guidance
CONOPS
and is not mandatory
Requirements
 APB-KPPs
MS C Affordability
 Portfolio Perspective
 Affordability Template
 Should Cost
Product Support Quad Chart
Test and Evaluation
Acquisition Strategy—Framing Assumptions
 Proposed Schedule and Schedule Assessment
 Business Strategy (Include Competitive Strategy)
 Product ion Rate
 Funding
 Program Risk and Risk Mitigation
 Industrial Base & Manufacturing Readiness
Document Status
Exit Criteria
Recommendations for ADM
Way ahead
Back-up
 International Cooperation, Program Office Resources, Technical and Systems Engineering Assessment,
Test and Eval, FMS, Other (eg., open actions from prior ADMs, Congressional concerns/funding cuts)
Integrity - Service - Excellence
2
BLUF

Purpose



Decisions you are requesting (examples)




Present Way Ahead for Program
Discuss oversight and management plan for Program
Approval Milestone C (or FRP or FDD) (if AF is MDA)
Approval to proceed to OIPT and DAB (if OSD is MDA)
Approve Applicable delegations/waivers
List Outstanding Issues

Issue 1--Integrated Test events


4 flight tests remaining
Issue 2—Production funding

Need FYxx Budget to begin LRIP – GAO report pending
Integrity - Service - Excellence
3
Program Description/Overview
Description





250-lb Class, Precision Guided, Air-to-Ground Munition
Kill Mobile and Fixed Targets Through Weather from Standoff
Uses Tri-Mode Seeker & Dual-Band Data Link (Link 16 + UHF)
Services: USAF, DoN
Threshold Platforms: AF--F-15E; USMC--F-35B; USN--F-35C




ACAT Level: ID
MDA: USD (AT&L)
PEO: AFPEO (Weapons), Maj Gen Blaster
PM: 918 ARSG/CC, Col Boomer
Schedule
Second Increment Miniature Munitions
SDB I-Fixed Targets; SDB II-Adds Movers
Required Funding
Air Force TY$M
CFY FY+1 FY+2
FY+3
FY+4
FY+5
Total
AF RDT&E
86.4 79.2
165.6
FYxx PB RDTE 126.5 153.5 162.4
731.0
AF Proc
46.9
84.4 125.7 125.7 125.7 508.4
FYxx PB Proc
46.9
84.4 125.7 120.0 120.0 497.0
DoN TY$M
DoN RDT&E
16.5 32.2
48.1
46.5
46.5
189.8
FYxx PB RDTE 43.7 44.2
74.9
37.6
37.6
238.0
DoN Proc
10.3
10.3
FYxx PB Proc
16.3
16.3
AF/DoN Committed to Service Cost Position
Acquisition Strategy






Evolutionary Acquisition
Sole Source Production contract for LRIP
Raytheon Missile Systems, Tucson
The Boeing Company, St Louis
LRIP-Fixed-Price Incentive Firm Target (FPI(F))
Production
 Lots 1-3 -- FPI(F)
 Lots 4-5 – Fixed-Price NTE w/ Economic Price
Adjust
Approved 21 Sept 09
4
CONCEPT OF OPERATIONS
5
See footnotes
Interrelationships, Dependencies and
Synchronization with Complementary
Systems
Aviation Platforms:
KC-135
KC-10
AWACS
H/MH-60
CV-22
MH-47
MH-6
CH-53
A/OA-10
Ground Teams:
GAWS
SF
SEAL
STS
HC/MC-130 Recap
Mission Planning
PFPS
JMPS
Be sure to include CYBER links and
infrastructure.
C-130J:
Indicate any issues/cybersecurity
risks
introduced by
Aircraft Procurement
program interconnection.
LAIRCM
& Block Upgrades
Solid denotes current system
Dash denotes future system
Arrow to Recap denotes supports Recap
Arrow from Recap denotes Recap supports
Indicates program are interdependent
6
No known issues affecting inter-related programs
Resolvable interface issues affecting programs
Unresolvable interface issues affecting programs
Integrity - Service - Excellence
Requirements


Operational Requirements
 When Approved (AOA, ICD/CDD/CPD, CONOPS)

Key KPPs—fully identified and clearly stated?

Incremental Requirements?

How does the program baseline compare to validate requirements
Operational Capabilities/Impacts

Capabilities / missions (today & future)
 Relationship to established roadmap(s) / architecture(s)


Family of Systems (FOS) / System of Systems (SOS) /
Complementary Systems
 Example for E-10A: MP-RTIP, Global Hawk, MP-CDL,
Army CGS
AFSPC/AFMC/CC Attestation Statement (See notes)
Integrity - Service - Excellence
7
APB Key Performance Parameters
Characteristic
Objective
Threshold
Demonstrated
Current Est.
MFHBA (hrs)
35
24
26.7
50.6
MMH/FH (hrs)
3.6
4.3
2.8
3.2
Cruise Speed (kts)
165
135
138
138
Payload (Hot Day) (lbs)
3500
2500
3179
3179
6
4
4
4
Why they matter. . .
AH-1Z
Weapon Stations Universal Mounts
Precision Guided Munitions
16
12
16
16
-0.5 to 2.5
-0.5 to 2.5
-0.5 to 2.79
-0.5 to 2.5
200 x 1 (Aux Fuel)
110 x 1
135nm x 1
135nm x 1
Yes
Yes
Yes
Yes
All Top Level IERs
All Critical Top
Level IERs
All Critical Top
Level IERs
All Critical Top
Level IERs
MFHBA (hrs)
40.2
33.1
55.8
52.3
MMH/FH (hrs)
2.9
3.9
2.5
2.4
Cruise Speed (kts)
165
140
156
156
Payload (Hot Day) (lbs)
4500
2800
3079
3079
2 Univ. Mounts
2 Hard Mounts
2 Hard Mounts
2 Hard Mounts
-0.5 to 2.3
-0.5 to 2.3
-0.5 to 2.3
-0.5 to 2.3
200 x 1 (Aux Fuel)
110 x 1
129nm x 1
129nm x 1
Maneuverability / Agility (G's)
Mission Radius (nm)
Shipboard Compatibility
Interoperability
UH-1Y
Weapon Stations
Maneuverability / Agility (G's)
Mission Radius (nm)
Shipboard Compatibility
Interoperability
Yes
Yes
Yes
Yes
All Top Level IERs
All Critical Top
Level IERs
All Critical Top
Level IERs
All Critical Top
Level IERs
*AH-1Z Cruise Speed revised in CPD
COLOR DEFINITIONS:
Exceeds Objective Requirement
Exceeds Threshold Requirement
At risk of not meeting Threshold
BREACH: Does not meet Threshold
8
FOUO
Program X Requirements
Top Cost Drivers
Performance (KPPs & select KSAs)
1.
Engine (link to KPP)
2.
Seeker FPA, Warhead, Fuze,
Extended Range
KPP 2
MME
Guidance & Control (link to KPP)
KPP 3
25%
3.
Production Support
4.
Manufacturing
5.
Fuel tanks & Valves, Superframes,
Wings, Tail
KPP 1
26%
18%
KPP 4
Net Ready
7%
KSA 1
Reliability
6%
(link to KPP)
* Analysis
Mat. Availability*
N – No Capability
T – Threshold
O - Objective
Technology Readiness Assessment
N
T
MS B Date: N/A
MS C Date: Oct 10
Acquisition Program Baseline (APB)*
Baseline (O)
Critical Technologies
Engine
To Date
Est. @ FRP
8
8
9
FMU 156/B Fuze
9
9
Low Observable
7
7*
GPS
7
7*
PAUC
Cost
Baseline (O)
APUC
(O) Sep 10
- MS C
- Assets Avail.
FOUO
+15%
$1.21M
+10%
$1.265M
+15%
G
$1.1M
Schedule
+10%
G
$1.1M
* Due to testing constraints
TRLs meet LRIP entrance criteria
Cost
9
Engine Lube System
O
$1.21M
$1.265M
(T) Dec 11
G
(O) Apr 13
(T) Apr 14
G
* Based on proposed APB
9
MS C Affordability
Basic Questions:
 Portfolio Related:


What adjustments are necessary to the existing
portfolio to fit this program in?
Program Related:

What do you (PM/PEO) think are the cost drivers in
your design and why?

Are the largest drivers related to technical,
schedule or other factors?

Schedule impact on Affordability Cap
Integrity - Service - Excellence
10
All Core Functions Affordable
within Flat Budget
Since the Sand Charts are classified, please provide sand charts on the SIPR net to the PEM to be provided separately
to the SAE with a copy to SAF/AXQC
Integrity - Service - Excellence
11
All Programs within
Core Function Affordable
Since the Sand Charts are classified, please provide sand charts on the SIPR net to the PEM to be provided separately
to the SAE with a copy to SAF/AXQC
Integrity - Service - Excellence
12
Affordable Acquisition Program
Since the Sand Charts are classified, please provide sand charts on the SIPR net to the PEM to be provided separately
to the SAE with a copy to SAF/AXQC
Integrity - Service - Excellence
13
MS C AFFORDABILITY
REQUIREMENT: NOTIONAL SYSTEM
Cost Drivers & Trade
Excursions
Proposed Affordability
Requirements
Description
APUC
O&S
Affordability
Requirement
$22.6M
$32.9B
Discussion Points:
• #1
• #2
• #3
Current Estimate
$24.4M
$35.6B
Description
APUC
PAUC
RDT&E
Proc.
O&S
Schedule
Impact
Original Cost
Estimate
$26.7
M
$32.3
M
$1.32
B
$15.1
B
$39.1
B
N/A
- Range
Readjustment
$0.3M
$0.4M
+$2M
-$75M
$100M
None
- Reliability
Growth
+$2.2
M
+$2.3
M
+$15
M
+$50
M
-$1.5B
+6
Months
- Engine Redesign
$0.7M
$1.1M
+$4M
$125M
$75.0
M
+3
Months
- Prognostics &
Health
Management
+$0.2
M
$0.3M
$0.0M
$0.0M
-$2.0B
None
- F/A-XY Avionics
Reuse
$1.9M
$2.4M
-$16M
-$50M
+$200
M
-6
Months
- Reduced
Ordnance Load
$1.8M
$2.0M
+$2M
-$15M
$0.0M
None
Current Cost
Estimate
$24.4
M
$29.0
M
$1.31
B
$14.9
B
$35.6
B
N/A
14
Should Cost Summary
$M
Total Acq Will Cost (ICE)
FY12
Budget Authority
81.6
[Current Year] PB
FY13
62.4
100.0
100.0
[Should Cost Initiative Title]
Phase 1 Test Activities
Phase 2 (Contract Award)
Flight Body-2
Streamline Training
Net Should Cost Savings
Total Should Cost Estimate
FY14
33.0
100.0
FY15
FY16
FY17
FY18
FY19
To
Complete
Total
1,090.7
198.4
213.5
207.9
153.7
97.3
42.9
100.0
100.0
100.0
100.0
100.0
500.0
800.0
(1.4)
(11.0)
(24.6)
(22.5)
(24.5)
(1.4)
(11.0)
(70.3)
(24.5)
(26.0)
(23.2)
(26.0)
0.0
100.0
(12.4)
87.6
0.0
100.0
0.0
100.0
(24.6)
75.4
(47.0)
53.0
(49.2)
50.8
0.0
100.0
(133.2)
666.8
379.2
Realized
Planned
Realized
• FY13:
• FY13:
$ 1.400M; EMD Phase 1 Aircraft Integration
Ensure all Should Cost Initiatives are PEO-Approved in
$11.000M; EMD Phase 1 Test Activities
Planned
• FY16-FY18:
• FY 17:
• FY18:
$70.292M; EMD Phase 2 (Contract Award) Source Selection Savings
$24.500M; Flight Body-2
$26.000M; EMD Phase 2 Test Activities
CCaRS and values are consistent. Use Back-up slides
to elaborate on each initiative.
Integrity - Service - Excellence
See Notes Page
SAMPLE PROGRAM: “ABC”
Date:
Product Support Strategy
Sustainment Approach




Current (initial CLS covering total system)
Future (sub-system based PBL contracts)
Shortfall in O&M funding in FYDP
Reliability and availability estimates are below goals
LCSP requires update before DAB
Resolution



POM request for O&M restoration submitted
Reliability improvement plan with clear RAM goals up for
final signature
LCSP in draft
Original
Goal
Current
Goal
Current
Estimate/
Actual
Materiel
Availability
76%
80%
77%
71%
Materiel
Reliability
37 hrs
50 hrs
50.5 hrs
48 hrs
Ownership
Cost
245.6B
385.5B
395.1B
395.1B
Mean Down
Time
12 hrs
20 hrs
18 hrs
15 hrs
* Test or fielding event data derived from _______
Notes:
Sustainment Schedule
Today
MS B
Antecedent
Actual
Metric
Issues

Metrics Data
MS C IOC FRP
BCA
FOC
BCA
O&S Data
Sustainment
BCA
BCA
PBL Recompete
LCSP
LRIP Contract Award
Avionics PBL
CLS Start
PBL Recompete
Antecedent
Cost
ABC Original
Baseline
ABC Current
Cost
1.0 Unit-Level Manpower
3.952
5.144
5.750
2.0 Unit Operations
6.052
6.851
6.852
3.0 Maintenance
0.739
0.605
0.688
4.0 Sustaining Support
2.298
2.401
2.401
5.0 Continuing System Improvements
0.129
0.025
0.035
6.0 Indirect Support
1.846
1.925
1.956
15.046
16.951
17.682
Cost Element
Total
Depot Standup
Blended Partnership
Startup
ATTACHMENT
Cost based on average annual cost per squadron
Total O&S Costs
Antecedent
ABC
Base Year $M
102,995.2
184,011.9
Then Year $M
245,665.3
395,147.2
16
Sample Program Schedule
FISCAL YEAR
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
NEED TO ADD TOP LEVEL CRITICAL PATH
F-15E
Integration
F-15E APG-70 GMTT
Dev & Test
AOA
JROC
DT
Normal attack
OA
EOA
1998-2000
MS-C
SDB-II
Development
Timeline*
*Will be updated after
contract award
F-35B & C
Integration
BRU-61/A
1st AUR Avail
RISK REDUCTION
EMD
2 COMPETITIVE CONTRACTS
SRR
PDR CTV GTV
SVR MS-C
2017
59 mos
DT
CAM/SAL
F-15E
Full
Capability
IT OT
CAM/SAL
OTRR
PCA IPR
2018
83 mos
F-15E
F-15E
RAA
RAA
Normal Attack
OTRR
IT OT
F-15E Suite 7E OFP
Note: Due to delay of MS B, shaded blue
region will move right accordingly
2016
To Complete
FY19-FY23
12,966
SVR FRP
PRODUCTION
CA/Lot LRIP 1
LRIP 2
LRIP 3
LRIP 4
FRP 1
FRP 2
Quantity
1050
144
250
390
550
CDR Post-CDR
83 mos
Report
F-35 Block 3.X OFP
F-35B/C
F-35B & F-35C
Initial Fielding
F-35B
OTRR
DT
IT
OT
Dual Power BRU-61/A
F-35C
DT
IT
OT
Delta Qual BRU-61/A for F-35 environment
- Required Assets Available (RAA): SDB II RAA is the capability to arm twelve (12) F-15Es with two (2) fully loaded BRU-61/A carriage systems each
for 1.5 sorties (144 assets total)
- DoN Assets for Initial Fielding: Initial quantity of SDB II weapons required is 90 weapons and 22 carriage systems based upon one ten (10) plane
squadron with two (2) fully loaded carriage systems each plus ten spare weapons.
Integrity - Service - Excellence
Sample Program X Schedule
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
FY21
IOC
MDD
FY22
FY23
FY24
FY25
FDDR
AFRB
Milestones
FOC
RIT
Requirements
Review/Management Board
ICD
Requirements
Annual
X-Plan
System/Architecture Studies
Design & Integration
Highlight critical path.
Test & Evaluation
Acquisition
OUE
OT&E
Contracting
CA
Operations & Support
Strategic & focused on Milestones and critical events between milestones.
18
I n t Must
e g r i communicate
t y - S e r v i c schedule
e - E x c echanges
llence
Test and Evaluation

Describe the Strategy for T&E and how it supports the acquisition,
requirements, and cyber security strategies


Describe any disconnects between these 4 strategies
Any OSD issues with TEMP or IOT&E plan approval?

Time constraints
 Funding constraints
 Test article and test facility/range constraints
 Qualified T&E personnel shortfalls

Has the system been certified ready for dedicated operational
testing?

Are all Critical Operational Issues (COI), Critical Technical Parameters
(CTP), and Measures of Effectiveness (MOE) linked and covered?
 What problems and deficiencies remain unresolved from DT&E?
 Address negative Test results
 Address DT&E issues remaining
Integrity - Service - Excellence
19
“PRE-DECISIONAL – NOT FOR RELEASE”
SAMPLE APT Framing Assumption #1
Purpose-built will
be competitive with
existing designs
Framing Assumption
Implications
Expectations
Basic aircraft and training system
designs will be complete through
vendor-conducted CDRs
Enter at
MS B
Limited
EMD of
“deltas” to
meet spec
PDR and
competitive
prototype
waivers
applicable*
Best-value
source selection
must consider
risk
Contractor
flight data to
validate
performance
Single step to
full capability
Single
award for
EMD, Prod
and ICS
RAA in 2023
FOC in 2031
*Air Force will still conduct comprehensive PDR and Critical Design Review (CDR) events post-contract
award in support of Better Buying Power (BBP) 3.0 “Strengthen organic engineering capabilities” and
SAF/AQ’s OTB Initiative.
Integrity - Service - Excellence
20
“PRE-DECISIONAL – NOT FOR RELEASE”
Sample APT Framing Assumption #2
APT
requirements
only
Framing Assumption
Implications
Expectations
Mature
technologies and
systems available
Single step,
limited EMD,
waivers etc.
AETC sole
customer
Separate
PPBE
process for
other T-38
owners
Integrity - Service - Excellence
Separate Planning
Programming
Budgeting and
Execution (PPBE)
process for APT
derivative use
capabilities
IOC 2023
21
Alt Sample Framing
Assumptions
Assumption*
Implications**
Expectations***
Design is
Mature
Production
Schedule to IOC will be
concurrency possible achieved
Threat levels
Capability changes
will not change
unlikely
much in the next
5 years
Costs to
Commercial
demand will
reduce unit cost
No additional funding
needed nor cost growth
Production cost Est
is realistic
Metric****
Schedule
growth below
historical
median
See Notes pages for information
Integrity - Service - Excellence
22
Business Strategy
•
Competition Strategy
–
How will competition be established and maintained through all
phases of the acquisition (to include spares and depot repair) ?
– How does the competition strategy facilitate the acquisition strategy?
– What is the competition strategy for the upcoming acquisition phase?
– How do the results of the last acquisition phase impact the strategy
for the upcoming phase?
•
For Each Contract
–
–
–
–
–
–
–
What is the purpose, type and value of the contract?
How is the contract aligned with the acquisition/competition strategies?
What is the incentive structure and how will the incentives foster
contractor behavior resulting in favorable cost, schedule and performance
outcomes?
What criteria will be used to select the winning bidder? How do those
criteria emphasize what is most important to the government?
Will warranties be employed? How will they benefit the government?
Does the contract anticipate the acquisition of technical data?
Are you able to buy in economic ordering quantities?
Integrity - Service - Excellence
23
Acquisition to O&S Cost Ratio
Total Req'd Acq (BYXX$M):
4,456
Total Req'd O&S (BYXX$M):
10,358
Program Funding & Quantities
($ in Millions / Then Year)
RDT&E
Prior $ (PB 16)
Current $ (POM 17)
Delta $ (Current - Prior)
Required1 $
Delta $ (Current - Required)
Prior
FY16
FY17
FY18
FY19
(BY yyyy)
PAUC:
APUC:
FY20
FY21
Curr Est
D Current
55.7M
+4.6%
50.4M
-3.2%
D Original
+10.2%
+60.2%
FY17-21 To Comp Prog Total
Prim ary Line Item s: APPN 0400D - BA 7 - PE 1160403BB; APPN 1319N - BA 5 - PE 0604262N; APPN 3600F - BA 5 - PE 0401318F
108.0
108.0
108.0
-
PROCUREMENT
Prior $ (PB 16)
Current $ (POM 17)
Delta $ (Current - Prior)
Required1 $
Delta $ (Current - Required)
FY15
30%
70%
32.4
30.0
(2.4)
32.4
(2.4)
44.2
43.1
(1.1)
44.2
(1.1)
45.1
45.6
0.5
45.6
-
37.9
38.3
0.4
46.0
(7.7)
12.4
12.5
0.1
15.0
(2.5)
5.3
5.4
0.1
6.5
(1.1)
3.2
3.2
4.0
(0.8)
103.9
105.0
1.1
117.1
(12.1)
-
288.5
286.1
(2.4)
301.7
(15.6)
Prim ary Line Item s: APPN 0300D - BA 2 - BLI 1000CV2200; APPN 1506N - BA 1 - BLI 0164; APPN 3010F - BA 4 - BLI V022A0
-
99.9
99.5
(0.4)
99.9
(0.4)
MILCON
150.4
148.2
(2.2)
150.4
(2.2)
200.2
203.1
2.9
203.1
-
304.8
309.2
4.4
312.3
(3.1)
618.6
522.9
(95.7)
528.1
(5.2)
627.6
530.5
(97.1)
535.8
(5.3)
360.1
538.1
178.0
543.5
(5.4)
2,111.3
2,103.8
(7.6)
2,122.8
(19.0)
2,257.3
1,954.5
(302.8)
1,974.1
(19.5)
4,618.9
4,306.0
(313.0)
4,347.1
(41.2)
Prim ary Line Item s: APPN 0500D - BA 1 - PE 1140494BB; APPN 1205N - BA 1 - PE 0204696N
Prior $ (PB 16)
Current $ (POM 17)
Delta $ (Current - Prior)
Required1 $
Delta $ (Current - Required)
-
-
-
6.1
6.1
6.1
-
2
SYSTEM O&M
Prior $ (PB 16)
Current $ (POM 17)
Delta $ (Current - Prior)
Required1 $
Delta $ (Current - Required)
1.3
1.4
0.1
1.4
-
1.6
1.7
0.1
1.7
-
-
2.1
2.0
(0.1)
2.0
-
2.3
2.1
(0.2)
2.1
-
3.0
3.0
3.0
-
9.0
8.8
(0.2)
8.8
-
15.3
12.6
(2.7)
12.6
-
25.6
22.8
(2.8)
22.8
-
Prim ary Line Item s: APPN 0100D - BA 1 - PE 1120172BB; APPN 1106N - BA 1 - PE 0206312M
8.3
8.3
8.3
-
10.4
11.4
1.0
11.4
-
26.5
29.2
2.7
29.2
-
37.8
41.6
3.8
41.6
-
55.0
60.5
5.5
60.5
-
91.4
98.6
7.2
98.6
-
221.1
241.2
20.1
241.2
-
5,904.8
(5,904.8)
235.5
255.6
20.1
6,160.4
(5,904.8)
257.3
261.8
4.5
261.8
-
369.2
376.6
7.4
387.4
(10.8)
670.9
579.0
(91.9)
586.7
(7.7)
690.2
598.5
(91.7)
604.9
(6.4)
457.7
642.9
185.2
649.1
(6.2)
2,445.3
2,458.8
13.5
2,489.9
(31.1)
2,272.6
1,967.1
(305.5)
7,891.4
(5,924.3)
5,168.5
4,870.5
(298.0)
10,832.0
(5,961.5)
TOTAL
Prior $ (PB 16)
Current $ (POM 17)
Delta $ (Current - Prior)
Required1 $
Delta $ (Current - Required)
108.0
108.0
108.0
-
138.4
135.6
(2.8)
138.4
(2.8)
204.2
201.0
(3.2)
204.3
(3.3)
QUANTITIES 3
Prior Qty (PB 16)
0
2
3
4
6
12
12
0
34
41
80
Current Qty (POM 17)
0
2
3
4
6
10
10
10
40
35
80
Delta Qty (Current - Prior)
0
0
0
0
0
(2)
(2)
10
6
(6)
0
Required1 Qty
0
2
3
4
6
9
9
9
37
38
80
Delta Qty (Current - Required)
0
0
0
0
0
1
1
1
3
(3)
0
Note 1. Requirement Source: [e.g., OSD CAPE ICE, Nov 2014]
Note 2. O&M requirement assumes [e.g., a service life to 2035; includes ctr field mx, petro/oil/lube, spare/repair parts, depot mx, sustaining engineering & software mx.]
This line does not include $8.3M (FY17-21) of Acquisition-related O&M for program office expenses, nor does it include O&M-funded disposal costs.
Note 3. Quantities in FY15-16 are funded with RDT&E.
Version POM 17.0
Program Risks
Insufficient funding to execute aircraft quantity
requirements
Sep 20xx
Consequence
Likelihood
Driver: Two Forward Price Rate Agreement (FPRA) increases, Apr
FPRA and Nov Forward Price Rate Recommendation (driven by a
reduction in the base vs. predictions, erosion in the commercial
business, efficiencies in production, a recent strike, and pension
liabilities) and potential additional rate impacts due to Pension Protection
Act compliance and projected business base loss in FY14 due to
decreasing procurement of V-22s are creating additional budget
pressure to execute yearly budgeted a/c quantities and pressurizing
APB and Nunn-McCurdy acquisition thresholds.
Mitigation Plan:
 Finalize technical evaluation and negotiation of the lot 7 contract
{Leadership intervention as required}
 Assess potential future rate increases and impacts on budget across
program fiscal years (ongoing)
 Pension Protection Act assessment (AIR 4.2 Lead)
• Business base (DCMA lead)
• Continue to Pursue cost reduction/control initiatives (ongoing; see
affordability risk)
 Update program manager’s cost estimate
 Engage Service for funding resolution
•Support PEO(A)/DCMA rate control initiative with Bell (ongoing)
Date: Oct 10 (AH-1Z FRP decision)
Ability to Achieve Affordability Targets to Meet Inventory Objectives
Driver: Higher than anticipated costs due to Bell enterprise growth (overhead rates); raw materials; cabin; supplier
performance; increased labor hours. Two rate increases, Apr Forward Price Rate Agreement and Nov Forward
Price Rate Brochure (driven by a reduction in the base vs. predictions, erosion in the commercial business,
efficiencies in production, a recent strike, and pension liabilities) have recently created additional budget pressure.
Mitigation Plan:
 Establish Affordability plan
 Implement GFE CRIs (Engines, OTO)
 Obtain Advanced Procurement in FY10
 Execute Long Term Agreements/Long Term Contracts
 Finalize SOF inspection requirements
 Implement cost growth control and cost reduction initiatives
 Assess impacts of PBxx Budget and rate increases with Lot 5 Production Proposal
 Include spares in production contract
• Complete Business Case Analysis for MYP
• If supported by BCA, ensure MYP budget approval/lay-in and implement MYP to begin in FY14
Date: On-going
Failure to Meet Total Ownership Cost Reduction
Goals
Driver: Delayed I and D level standup, dynamic component DL&T
disposition, extended interim support period, components not making
reliability targets
Mitigation Plan:
 Conduct BCA for long term logistics sustainment/PBL strategy
• Stand up Organic Intermediate and Depot Level repair
• NAVAIR approval of H-1 DL&T’s
• Execute 5 year Interim Support Plan contract awards
• CILR drives component redesign efforts/BCAs
Date: Ongoing
Bell Supply Chain Management to Support Increase
to Full Rate Production
Driver: Poor performance of key suppliers, long lead times (bearings,
forgings, castings), LLT purchase orders, staffing, parts shortages,
and limited capacity in critical suppliers
Mitigation Plan:
 Obtain Advanced Procurement in FY10
 Hire Govt Supply Chain Manager (V-22)
 Identify dual source for critical suppliers
 Rationalize supply base
 Place Bell reps on-site at critical suppliers
 Hire staffing to meet demand
 Utilize Bell gated process for outsourcing
 Award FY10 Long Lead
 Support Prime key supplier visits with government representation
 Production Readiness Review (support FRP decision)
Date: COMPLETE Jul 10 (Risk will be closed/deleted next quarter)
Integrity - Service - Excellence
25
Industrial Base Assessment

Industry capabilities validated during EMD phase
 Group A and B kits produced for 7 a/c installs
 Production Readiness Reviews complete

Supplier proposals / price quotes submitted for entire bill of
materiel


FPI option negotiated for LRIP & FRP
Diminishing Manufacturing Sources (DMS) / Material Shortages
(MS) issues identified and mitigated
 Proactive screening program to identify new issues as they
emerge
 In place Life of Type (LOT) purchases provide mitigation
 38 items identified and on-contract
Integrity - Service - Excellence
Manufacturing Readiness
MRA Summary

Assessed manufacturing readiness to manage risk while
increasing ability to transition technology to weapon systems
 Status of Production Readiness Review (PRR)

MRL 8 - Pilot line demonstrated ready for LRIP

MRA Objectives:
 MRL 8 by Milestone C
 Identify items to watch during LRIP

Bottom line:
 Program X contractor & suppliers have adequately
demonstrated manufacturing maturity to proceed into LRIP
 All sub-systems have achieved MRL of 8 or higher
See Footnotes
Integrity - Service - Excellence
27
MS C Document Status
Documentation
S/R*
Status
2366b Certification (if program
initiation)
S
In OSD Coord
Acquisition Decision
Memorandum (ADM)
R
In draft form
Acquisition Program Baseline
(APB)
S/R
In-Work
Acquisition Strategy
(update)
S/R
Complete
Affordability Analysis
(update)
R
In Coord
Analysis of Alternatives
(AoA) (update)
S
Final
Bandwidth Requirements
Review (update)
S
Final
Capability Production
Document (CPD)
R
Final
Clinger-Cohen Act
Compliance
S
In-Work
Concept of Operations/
Operational Mode
Summary/ Mission Profile
R
Complete
Comments
Program Office will finalize after AFCAA
In SAF 3-ltr Coord
.
To be completed prior to MS C DAB
* S=Statutory, R=Regulatory
Complete
On-Track
Minor Issues
Major Issues
28
MS C Document Status
Documentation
S/R*
Status
Comments
Core Logistics
Determination/Core
Logistics and
Sustaining Workload
Estimate
S
In-work
AFMC should complete by end of June
Component Cost
Estimate
R
In-Work
SCP in work to finalize 30 May. Affordability analysis to finalize after SCP
numbers available
Component Cost Position
R
In-work
Cost Analysis
Requirements
Description (update)
R
Final
Exit Criteria
R
Final
Frequency Allocation
Application (DD Form
1494)
S
Final
Full Funding
Certification
R
On-track
Awaiting ICE
Independent Cost
Estimate
S
In-Work
To be completed NLT 30 June (AFCAA coordinating with CAPE)
Independent Logistics
Assessment
S
Finished
* S=Statutory, R=Regulatory
Complete
On-Track
Minor Issues
Major Issues
29
MS C Document Status
Documentation
S/R*
Status
Comments
Information Support Plan
• Net-Centric Data
Strategy
R
Complete
Life Cycle Mission Data
(update)
R
In-Work
Update to be complete by 30 June
Life Cycle Support Plan
(update)
R
On-track
Awaiting AQD coordination
Manpower Estimate
Report (update)
S
Complete
Preservation & Storage of
Unique Tooling Plan
S
Complete
Problem Statement (DBS)
(Update)
R
Complete
Program Environ.Safety
and Occ Health Eval
(update)
S
Complete
Program Protection Plan
(update)
• Cybersecurity Strategy
R
Complete
S
* S=Statutory, R=Regulatory
Complete
On-Track
Minor Issues
Major Issues
30
MS C Document Status
Documentation
S/R*
Status
Should Cost Target
R
Complete
Spectrum Supportability
Risk Assessment
R
Complete
Systems Engineering Plan
(Update)
• Item Unique ID
implementation Plan
• Corrosion Prevention
Control Plan (Update)
• Manufacturing Risk
and Readiness
R
In-Work
System Threat
Assessment Report
(Update)
R
Final
Technology Readiness
Assessment (as applicable)
S
Finished
Test & Evaluation Master
Plan (update)
R
In-work
Waveform Assessment
Application (Update)
R
Final
Complete
On-Track
Minor Issues
Major Issues
Comments
In work to finalize 30 May.
In final coordination at DOT&E
PEO signed 14 May
* S=Statutory, R=Regulatory
31
Proposed LRIP Exit Criteria
(sample)
Element
Criteria
Technical

Demonstrate system
performance,
effectiveness, software
maturity and
interoperability

Manufacturing

Validate production
facilities are ready






Supportability

Demonstrate suitability
and long-term
sustainment strategy





Cost

Demonstrate
production affordability

100% verification/validation of CPD-defined Key Performance Parameters
Receipt of DOT&E beyond LRIP Report
Classification of all DRs—no unfixed/unverified CAT 1 DRs
Airworthiness approval
Completion of Functional Configuration Audit and Physical Configuration
Audits
Completion of kit proofs
Completion of manufacturing risk assessments
MRL of 9 or manufacturing maturity plan in place
Demonstrate a Full Rate Manufacturing capability
100% compliance w/CPD supportability/maintainability threshold
requirements
100% organizational technical orders published
Delivery of support equipment/spares
Delivery of 1 Weapons System Trainer, 1 Avionics Part Task Trainer
Demonstrate a Full Rate Manufacturing capability
Demonstrate Reliability
Updated production-cost estimate, based on LRIP actuals
Budget must fully support fully funded estimate
Integrity - Service - Excellence
ADM Proposed language
Proposed Acquisition Decision Memorandum
language:
 I approve MS C and authorize entrance into
Low Rate Initial Production phase
Approval of MS C Acquisition Strategy
LRIP quantity up to 250 missiles
Delegation of MDA to AF (ACAT IC or IAC)

I approve the proposed Exit Criteria
 XXX
 YYY
 ZZZ
Integrity - Service - Excellence
33
Way Ahead

Awaiting OSD approval of APB

OIPT scheduled for XX Date

DAB scheduled for XXX Date
Integrity - Service - Excellence
34
BACKUP
See Footnotes for additional information
Integrity - Service - Excellence
35
International Cooperation
Choose appropriate
funding chart below
*-from Spruill chart
Cooperative Activities: (list cooperative partners, describe
cooperative participation in the program, both current and planned, to
include list of actual international agreements-- e.g., bilateral or
multilateral discussions, loans of equipment, information exchanges,
cooperative RDT&E, co-production DEA/IEAs in technology area, etc)
Foreign sales: (list current or potential FMS or Direct Commercial
Sales buyers)
Interoperability Requirements: (list all international
objective and threshold requirements in program documents (JCIDS and
5000 series); describe plan to achieve those requirements, to include
which increment of a program they will be achieved)
Foreign technology assessment: (from TDS and AoA;
guidance in Deskbook Acquisition Guidebook, Section 2.3.6., identify how
10USC2350a statutory requirement has been met; assessment whether
or not a project similar capability is in development or production in a
partner nation that could be procured or modified to meet DoD needs)
Key Technologies: (description of the technologies and CPI in
the program)
Anti-Tamper Analysis: (based on ATEA Guidance and Defense
Exportability assessment)
Differential Capability Analysis:
(Assess potential need
for development of differential capabilities for a range of anticipated
coalition partners in view of the interoperability requirements,
cooperative activities, and potential foreign sales efforts envisioned)
Proposed Approach: (Describe how
design and development
of validated AT and Differential Capability requirements will be
addressed in the program’s master schedule )
(Identify issues specific to international -- e.g.,
impact (cost, schedule, performance) of
proposed cuts on partner(s)/buyer(s),
updated APUC, status of negotiations and
impact to US and partners under the relevant
agreement(s) (MOU, MOA, LOA)
26
Program Office Resources

Address Critical manpower positions / expertise (program
office manning) & facilities

Provide Organizational Structure (Org Chart)

Resources
 Identify current DAWIA certification levels for all key
government personnel (SPMs, PMs, etc.)
 Program Office Staffing and Support Contractor
Resources Available to PM
 Identify any shortage of personnel

Integrated Product Teams (IPTs)
Integrity - Service - Excellence
37
SYSTEMS ENGINEERING ASSESSMENT:Snapshot
Assessment
H-1 Upgrade Example
of Program
FY2010
SE Issues
PRR
FY2011
MS III
• Significant past engagement through numerous
reviews
• Program and contractor supported SE engagement
• No further issues going forward
• SE will remain engaged in the main rotor cuff/yoke
redesign
• Support MS III and transition to ACAT 1C
Discussion of
SE issues
being worked
1. Systems Engineering
SEP ready for approval; IUID held up
2. Design Maturity
Mature; redesign of MR cuff/yoke
3. Reliability
Excellent RAM numbers
4. Software
No issues
5. Integration
No issues
6. Manufacturing
Mature processes; 7 LRIP lots
7. KPPs/KSAs
6 of 7 demonstrated, one on track
8. Others
Summary of Risks,
Mitigation Steps and
Risks, Issues, Opportunities Issues/Opportunities
*See notes section for rating criteria
Mitigation Activities (Closure Dates)
R1. Failure to meet TOC reduction goals
may cause budget exceedance
Continue current plan; expedite cuff/yoke redesign (Dec 2015)
R2. Main rotor cuff/yoke redesign not
complete in time for test
Certification milestone plan developed and monitored by PM. (Jun
2011)
Consequence
Likelihood
Technical Risks
Comments
Program Health
R1
Benefit
Technical Issues
Continue focus on contractor’s SCM and make parts (ongoing)
2. Structural Repair Manual late to need
Expedite approval of DL&T‘s (ongoing with NAVAIR)
Opportunities
O1. Capture lessons learned; best
practices; store in command library
Likelihood
1. Production parts; spares
R2
O1
Low investment; great benefit for program and NAVAIR
Note: Any item not rated green should be addressed in the issues section. If more space is required, to accommodate the technical risks, address the
“technical issues” in the “SE Issues” or “Program Health” sections. Delete “Opportunities” if not applicable.
38
SAMPLE
APB Summary
Cost Baseline (TY$M)
Objective
 RDT&E
$282.5M
N/A
$9.4M
N/A
$0M
N/A
 Total Acq Cost
$291.9M
N/A
 O&S
$174.9M
N/A
 Total Life Cycle Cost
$466.8M
N/A
Schedule Baseline
Objective
Threshold
 MS B
Feb 2008
Aug 2008
 MS C
Nov 2011
May 2012
 FDD
Nov 2012
May 2013
 FD
TBD*
TBD*
 Procurement
 Acq O&M
* FD date to be set at FDD
Threshold