Program managers (PMs) and product support managers (PSMs) for DoD fleets and equipment have a difficult job: to maximize mission readiness while controlling costs.
Performance Based Logistics (PBL), or performance based life cycle support, is an effective strategy used by PMs and PSMs to maintain weapon systems at warfighting readiness — while also saving time and money on maintenance.
PBL involves a variety of components, including:
- System and process design
- Maintenance schedules
- Location and logistics
- Inventory management
- Connection to product support providers
- Tracking performance metric(s)
- Comparing costs and performance
PBL allows organizations to manage their strategic assets by contracting with Product Support Providers (PSP), including OEMs, ICAs, or the DLA, etc., or product support integrators (PSIs) that deliver on performance metrics – instead of organizations maintaining equipment themselves. In the case of original equipment manufacturers (OEMs), PBLs can provide a competitive advantage over their competition by driving down maintenance costs (or improving metrics at previous costs).
pbl systems need data
Traditionally, PMs developed and implemented PBL support strategies, managing all of the components with hierarchical processes and systems. However, with expanding availability and competition between PSIs and PSPs, PMs have more input to compare than ever. Attempting to minimize cost and streamline logistics while maintaining asset readiness can cause PMs and organizations to struggle to adjudicate all PBL components accurately and promptly.
Weapon systems and supporting equipment require advanced maintenance, often on a short timeline, and with complete accuracy. While conflicts arise, resolve, and reset in record time, it’s the job of project managers and DoD contractors to incorporate PSIs and PSPs during peacetime and before wartime assets are needed. Comparing cost sheets or old data is outdated and undesirable – today’s assets call for immediate information to generate an informed decision.
Decision analysis in a PBL model needs to incorporate all components of a PBL analysis, while also taking into account ever-changing components, such as:
- New or retired assets
- Evolving technology
- Time-dependent maintenance
- Changing budgets
- Operational Tempo
- Condition of assets and components
Operating on old data, or on historical data from relationships with previous PSPs, can lead to delays in necessary maintenance, part availability, and repairs, as well as increased cost and time expenses related to logistics. That’s why a predictive analytic model is ideal for DoD contractors and project managers.
maintain warfighting capacity with pbl analysis
The challenge faced by all parties when it comes to PBL is managing the trade-off decisions involving cost, availability, and effectiveness over the life of the asset. That’s where Clockwork’s PBL analysis model steps in.
Clockwork’s predictive modeling capabilities enable evaluation of competing PBL strategies. Our predictive analysis also informs decisions related to affordability, cost estimates, inventory procurement, and development of maintenance and sustainment strategies.
The predictive model can:
- Assess delivery time thresholds to ensure availability
- Account for updates and advancements in technology
- Quantify incentives and/or penalties
- Maximize performance and minimize costs
- Optimize inventory allocation
- Incorporate schedules and logistical constraints
- Adapt to changing operations and aging equipment
The PBL model we have built focuses on:
- Asset Configuration
The reports generated by our model are customizable, the critical decisions an organization faces. The most important part of advanced predictive analytics is ensuring that you provide the full story in order to project outcomes for the future.
eliminating uncertainty with pbl predictive analytics
In order to make faster, better decisions as a PM, PSI, DoD contractor, or a chief logistician, data is needed to inform and direct. However, without an advanced analytic model and full data histories at your disposal, those decisions will be less effective and potentially incorrect.
Clockwork’s Extract-Transform-Load (ETL) and data conditioning make it easy to consolidate and clean data. We also identify data gaps or inconsistencies, engage data editors, and create dashboards that visualize and interpret data. This way, you can understand the data as it’s processed, and solidify any gaps with better clarity. This process prepares the data for use in the analytics engine.
Clockwork also manages data gaps to overcome challenges related to uncontrolled variables related to PBL and to arrive at accurate predictions despite incomplete data inputs. Clockwork evaluates the impact of data gaps and uncertainty on performance-based logistics, ensuring the best possible outcome for the assets, PSPs, and DoD. After using our unique data conditioning process, you can implement future predictive simulations. From there, the outcomes will detail a number of optimal strategies based on components like schedules and cost.
Our predictive analysis model takes into account organization-wide data (and other necessary data from contractors, PSIs, etc.) to then provide advanced predictive analytics that ensures optimal processes for operational requirements, budgets, and fixed resource management.
Once all of those data points have been explored, the Clockwork model provides a Costs and Risks report over an extended timeline. From there, using different inputs – such as new PSIs or specific budgets – you can explore different Costs and Risks outcomes using our predictive analysis. You can also update your information as necessary, thereby impacting the best PBL strategy or decisions you make in the future.
Clockwork enables the PEO, PM and PSM to apply rigorous predictive analysis in establishing PBL contracts. Our predictive models detail future performance and cost metrics over time. This analysis enables the design of effective incentives and penalties for the implementation of a PBL contract.
mission ready with pbl analysis
While we take into account all historical data, we also collect and organize all data relevant to future decision-making. Thanks to our detailed, accurate predictive results, we can help PMs, PSIs, and OEMs accurately predict:
- Maintenance schedules and changing asset requirements
- Current and future asset readiness
- Future part, labor and shipment costs.
- Future asset configuration
- Part inventory and future requirements
All results from our predictive model are time-dependent and detailed by part number and can be evaluated along the verticals of future cost, availability, and effectiveness. Clients can also customize their results based on target metrics, exploring potential changes in budget, resources, or inventory. Because the Clockwork model can evaluate multiple future scenarios, our clients’ teams can make informed decisions on multiple best possible outcomes.
benefits to psps & oems
While the benefits of a predictive model for the DoD and project managers are clear, the benefits in the provider sector. Adopting logistic processes, costs, and availability that are ideal for DoD contractors can ensure that predictive analytics connect with PBL services.
end user outcomes with pbl analysis
Our predictive analysis supports risk management by enabling the PBL team to:
- Design effective PBL contracts
- Attain consistent readiness targets
- Streamline logistics, delivery, and transportation
- Reduce costs associated with last-minute maintenance
We understand the importance of maintaining an inventory of assets that are ready to go at a moment’s notice. Clockwork’s predictive analytics for PBL eliminates friction in tough times and makes it easier to use systems necessary in conflict.
experience you can count on
With over 20 years of experience working with the DoD, various PSPs, OEMs, and military organizations around the world, Clockwork understands your environment. We have helped not only improve asset readiness and reduce operational risk, but also generate costs avoidance and savings of billions of dollars. Our clients include:
We also work with OEMs, including:
We have extensive experience with DoD fleets including AAV, ITV, HMMWV, M1A1, LAV, MTVR, LVSR, MPC, M9 ACE, EFV, M-ATV, Cougar, Buffalo, M777, and TQGs. UH-1, AH-1, OH-58, V-22, B1, B2, C-135, and F-16.