39th Annual

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OSD Perspectives

• 39th Annual
• Guns Ammunition / Missiles Rockets
• Conference Exhibition
• April 13, 2004
• Anthony J. Melita
• OUSD (Acquisition, Technology Logistics)
• Deputy Director, Defense Systems, Land Warfare
  and Munitions

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• OSD Organization
• DoD Transformation
• Requirements and Acquisition Process Changes

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(No Transcript)
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UNDER SECRETARY OF DEFENSE (ACQUISITION,
TECHNOLOGY AND LOGISTICS) (Acting) Honorable
Michael W. Wynne 695-2381
3E933 ____________________________________________
________ PRINCIPAL DEPUTY Honorable Michael W.
Wynne 697-7021 3E1006
DUSD, INSTALLATIONS ENVIRONMENT Mr. Ray
DuBois 3E792 695-2880
DIR, ACQUISITION RESOURCES ANALYSIS Dr. Nancy
L. Spruill 3E1025 614-5737
DIR, INTERNATIONAL COOPERATION Mr. Alfred G.
Volkman 3A280 697-4172
DIR, ADMINISTRATION Ms. Julie K. Bigler 3D1020
697-2525
EXEC DIR, DEFENSE SCIENCE BOARD Mr. Brian
Hughes 3D865 695-4157
DIR, SPECIAL PROGRAMS RADM(L) Richard P.
Terpstra, USN 3D1064 697-1282
DEPUTY UNDER SECRETARY OF DEFENSE (ACQUISITION
TECHNOLOGY) Honorable Michael W. Wynne
3E1006 697-7021
ATSD NUCLEAR CHEMICAL BIOLOGICAL DEFENSE
PROGRAMS Honorable Dale E. Klein 3E1074
697-1771
DIRECTOR MISSILE DEFENSE AGENCY Lt Gen Ronald T.
Kadish, USAF NAVY ANNEX 695-6344
DEPUTY UNDER SECRETARY OF DEFENSE (LOGISTICS
MATERIEL READINESS) Honorable Diane Morales
3E808 697-5531
DIRECTOR DEFENSE RESEARCH ENGINEERING Honorabl
e Ronald Sega 3E1014 697-5776
DATSD, NUCLEAR MATTERS Mr. Frederick S.
Celec 3C125 697-3060
DIR, DEFENSE SYSTEMS Dr. Glenn F. Lamartin 3E130
697-9386
DUSD, INDUSTRIAL POLICY Miss Suzanne
Patrick 3E1060 697-0051
ADUSD, TRANSPORTATION POLICY Mr. Earl B.
Boyanton, Jr. CGN 210A 601-4461
ADUSD, SUPPLY CHAIN INTEGRATION Mr. Alan
Estevez CGN 210B 604-0098
DUSD, SCIENCE TECHNOLOGY Dr. Charles
Holland 3E114 695-0598
DATSD, CHEM/BIOLOGICAL DEFENSE Dr. Anna
Johnson-Winegar 3C257 693-9410
DIR, DEFENSE PROCUREMENT ACQUISITION
POLICY Ms. Deidre A. Lee 3E1044 695-7145
DUSD, INTERNATIONAL TECHNOLOGY SECURITY Dr. John
A. Shaw 3E1034 693-0011
ADUSD, MAINTENANCE POLICY, PROGRAM
RESOURCES MATERIEL READINESS Mr. Robert T.
Mason 3B915 697-7980
ADUSD, LOGISTICS PLANS PROGRAMS Mr. Louis A.
Kratz 2C263 614-6327
DUSD, ADVANCED SYSTEMS CONCEPTS Ms. Sue C.
Payton 3E144 697-6446
DATSD, NUCLEAR TREATY PROGRAMS (Vacant) Wilson
Blvd 588-1983
DIR, SMALL DISADVANTAGED BUSINESS
UTILIZATION Mr. Frank Ramos RPN Suite 9100
588-8620
DIR, DEFENSE CONTRACT MANAGEMENT AGENCY BG Ed
Harrington, USA 6350 Walker LA 428-1703
ADUSD, LOGISTICS SYSTEMS MANAGEMENT Ms. Laura A.
Faught CGN 406 604-0157
DIR, DEFENSE LOGISTICS AGENCY VADM Keith W.
Lippert, USN FT BEL 767-5200
DUSD, LABORATORIES BASIC SCIENCES Dr. John
Hopps, Jr. 3E114 692-4592
DIR, DEFENSE THREAT REDUCTION AGENCY Dr.
Stephen Younger (IPA) FT BEL 767-4883
DIR, DEFENSE ADVANCED RESEARCH PROJECTS
AGENCY Dr. Anthony Tether VSB 983 696-2400
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DEFENSE SYSTEMS ORGANIZATION
DS Defense Systems
Asst for DS Planning
Director Dr. Glenn
Lamartin Principal Deputy Mr. Mark
Schaeffer
Asst for DS Projects
SE
SA
SMI

Systems Engineering

Systems Acquisition

Systems and Mission Integration
Director Dr. Lamartin
Director Mr. Schaeffer
Director Dr. Garber
Development Test Evaluation
Enterprise Development
Assessments Support
Joint Force Application
Joint Force Integration
Joint Force Operations



Land Warfare Munitions
Treaty Compliance
Air Warfare
Naval Warfare
Missile Warfare
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Transformation
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Transformation
a future force that is defined less by size and
more by mobility and swiftness, one that is
easier to deploy and sustain, one that relies
more heavily on stealth, precision weaponry and
information technologies. George W. Bush
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• The Emerging American Military
• More expeditionary (lighter, more lethal)
• More networked (more interoperability at the JTF
  level)
• Designed to leverage the exterior positions
  (precision from distance as sensors move in)
• Leverages increasingly persistent ISR
• Tighter sensor-shooter timelines (sensing, C2,
  fly-out)
• Values Information Superiority (information
  operations)
• Focused on unmanned capabilities (UAV, UCAV, UUV,
  robotics)

Transforming Defense.General Observations,
Office of Force Transformation
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Strategy for Transforming

• Transformed culture through innovative leadership
• Strong commitment from senior leaders
• Transformed processes
• Reformed capabilities-identification process
  (joint operating concepts)
• Strategic analysis that can identify and assess
  risks for strategic planning
• Transformed capabilities through force
  transformation

Source DoD Transformation Planning Guidance,
April 2003
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Scope of Transformation

• Transforming how we fight
• Joint warfighting concepts
• Doctrine, organization, training, materiel,
  leadership and education, personnel and
  facilities.
• Transforming how we do business
• Legislative reforms
• Requirements generation and acquisition
  processes
• Adaptive war planning
• Transforming how we work with others
• Coordination among agencies (federal, state,
  local)
• Allied and coalition partners

Source DoD Transformation Planning Guidance,
April 2003
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Requirements and Acquisition Process Changes
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Acquisition Decision Support Systems In
Transformation
Revolutionary
Joint Capabilities Integration Development Syste
m (JCIDS)
CJCS 3170.01C 24 June 03
VCJCS/Service Chief Oversight
MID 913 PPBS to PPBE 22 May 03
Evolutionary
Defense Acquisition System
Planning, Programming, Budgeting Execution
Process (PPBE)
Milestone Decision Authority (MDA) Oversight
Emerging
DEPSECDEF Oversight
DoD 5000 Series 12 May 03 Revision
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Joint Capabilities Integration and Development
System

• Summary of Changes
• Enhance methodology to identify and to describe
  capabilities gaps
• Engage the acquisition community earlier
• Better define non-material aspects of material
  solutions
• Prioritize capability gaps and proposals
• Improved coordination with other departments and
  agencies
• Mandate broader review of capability proposals

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Functional Capabilities Boards

• Responsibilities
• Ensure new capabilities are conceived and
  developed in joint warfighting context
• Ensure JCIDS proposals are consistent with
  integrated joint force
• Validate Joint Impact proposals
• Organize, analyze prioritize capabilities
  proposals
• Oversee development and update of Functional
  Concept(s)
• Ensure integrated architectures (as available)
  reflect functional area
• 7 Chartered by JROC
• Command Control (JFCOM)
• Battlespace Awareness (J2)
• Force Application (J8)
• Focused Logistics (J4)
• Protection (J8)
• Network Centric (J6)
• Force Management (J8)

More Efficient Use of Scarce Department Resources
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Functional Capability Area Portfolios

• Battlespace Awareness
• JS J-2
• Portfolio
• All source intel collection
• Environmental data collection
• Knowledge management
• Predictive analysis

• Command Control
• JFCOM J-8
• Portfolio
• SJFHQ
• DJC2
• Collaborative Information Environment
• Integrated Fires/Targeting (Combat ID
  Integrated Ops Pictures
• Effects-based Ops/Planning
• Joint Commander Impact Issues (C2)

• Force Application
• JS J-8
• Portfolio
• Land, maritime, air space ops
• Joint targeting
• Conventional and nuclear atk
• Close and urban combat
• Joint fires
• SEAD
• Special ops
• Information Operations (CNA/CND/EW/
  PSYOP/Military Deception/ OPSEC)

• Force
• Protection
• JS J-8
• Portfolio
• Personnel and infrastructure protection
• Homeland security
• Air and Missile Defense
• Consequence management
• Proliferation control

• Focused Logistics
• JS J-4
• Portfolio
• Deployment/ distribution
• Mobility
• Sustainment
• Force Health Protection
• Logistics C2

• Net Centric
• JS J-6
• Portfolio
• IT NSS systems and integration
• Warfighting CCE systems
• Cryptographic systems
• National-to-tactical C4 integration

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Oversight Body Comparison
Functional Capabilities Board (FCB)
Joint Requirements Panel (JRP)

• Services
• Combatant Commanders
• USD (ATL)
• USD (I)
• USecAF (Space)
• ASD NII/ DOD CIO
• D, PAE
• DIA Representative (Intelligence Supportability)
• Mission requirements board Executive Secretary
• Advisory Membership
• J-6E/I (Interoperability Advisor)
• J-8 Warfighting Concepts and Architectures
  Integration
• DOD Laboratories Industry

• Services
• DIA Representative (Intelligence Supportability)

Joint Capabilities Board (JCB)
Joint Requirements Board (JRB)
Joint Requirements Oversight Council (JROC)
Joint Requirements Oversight Council (JROC)
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The Defense Acquisition Management Framework

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Revised Policy Objectives

• Streamline
• Increase Flexibility
• Enhance Business Practice
• Emphasize Evolutionary Acquisition
• Integrate Acquisition Business Model with
  transformed Requirements Generation System

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Evolutionary Acquisition

• Two development processes to implement
  Evolutionary Acquisition Strategy
• Incremental Development End-state requirement
  is known, and requirement will be met over time
  in several increments
• Spiral Development Desired capability is
  identified, but end-state requirements are not
  known at Program Initiation. Requirements for
  future increments dependent upon technology
  maturation and user feedback from initial
  increments
• Evolutionary acquisition strategies shall be
  preferred approach to satisfying operational
  needs.
• Spiral development shall be the preferred
  process.

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Planning, Programming, Budgeting and Execution

• Primary Resource Management System for DoD
• Articulates strategy
• Identifies size, structure and equipment for
  military forces
• Sets programming priorities
• Allocates resources
• Evaluates actual output against planned
  performance and adjusts resources as appropriate

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4 Administration Years with 2-year PPBE Cycle
JAN FEB MAR APR MAY JUN JUL AUG
SEP OCT NOV DEC
FY 07-11
Review and Refinement
Program Budget Review
New Admin
Off-year DPG
Year 1
QDR Prep
PCP/BCP
Modify Budget Submission (previous administration)
Budget Execution (previous administration)

Formalizing the Agenda
FY 08-13
QDR to Congress
Program Budget Review
On-year DPG
Year 2
POM/BES
Budget Submission Year 1
Budget Execution Year 1
Execution of Guidance
FY 09-13
Program Budget Review
Off-year DPG
PCP/BCP
Year 3
Budget Submission Year 2
Budget Execution Year 2
FY 06-11
Ensuring the Legacy
Election
Program Budget Review
On-year DPG
Year 4
POM/BES
Budget Execution Year 3
Budget Submission Year 3
We are here!
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Planning Phase
MAY
DEC
FEB
MAR
1st Year
2nd Year
COCOM Combatant Command CPR Chairmans Pgm
Recommendation JPG Joint Programming
Guidance NSS National Security Strategy NMS
National Military Strategy QDR Quadrennial
Defense Review SPG Strategic Planning Guidance
1st year of a new administration
NSS
CPR
SECDEF
JCS COCOMs SERVICES
NMS
SPG
JPG
DRAFT JPG
JCS, OSD, COCOMs, SVC HQs, ETC.
Strategy also reflected in QDR
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Concurrent Program/Budget Review(On-year)
JAN/FEB
NOV
AUG
OCT
DEC
BES Budget Estimate Submission COCOM
Combatant Command CPA Chairmans Pgm
Assessment DRB Defense Resources Board MBI
Major Budget Issues PB Presidents Budget PBD
Program Budget Decision PDM Program Decision
Memo POM Program Objectives Memo
OSD/ OMB
Issue Resolution
POM
SECDEF DRB
PDM
CPA
JCS
Services PEO/PM, SVC HQs COCOMs
OSD/ OMB
Adv Ques/ Hearings
BES
PB
MBI
PBDs
Updates FYDP
Updates FYDP
Services / PEO / PM Answer / Reclama
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Off-Year Program/Budget Review
JAN/FEB
NOV
AUG
OCT
DEC
OSD/ OMB
BCP Budget Change Proposal COCOM Combatant
Command CPA Chairmans Pgm Assessment DRB
Defense Resources Board MBI Major Budget
Issues PB Presidents Budget PBD Program
Budget Decision PCP Program Change Proposal PDM
Program Decision Memo
Accepted PCP Resolution
PCPs
SECDEF DRB
PDM
CPA
JCS
Services PEO/PM, SVC HQs COCOMs
OSD/ OMB
Adv Ques/ Hearings
BCPs
PB
MBI
PBDs
Services / PEO / PM Answer / Reclama
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Program Change Proposals (PCPs)

• Identify areas to take additional risk (offsets)
• Offsets may be used for other initiatives
• Limited to items that exceed 250 million across
  FYDP
• Threshold at individual programmatic issue level
• May address smaller issues if serious
  programmatic problem
• If less than 250 million, may submit as BCP if
  budget year is affected
• Must comply with PDM decisions
• Combatant Commanders may submit up to six
  prioritized PCPs regardless of dollar value
• Full budgetary data submitted for accepted PCPs

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Budget Change Proposals (BCPs)

• Generally limited to fact-of-life changes
• Cost increases
• Schedule delays
• Management reform savings
• Workload changes
• Budget execution experience
• Congressional action
• May involve FYDP years if total cost is less than
  250 million and budget year is affected
• Offsets required
• Backed up with appropriate budget exhibits

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Final Thoughts..Deliver Advanced Technology
Faster

• Improved integration of business practice
• Focus on Joint Capabilities
• Flexible, outcome-based, Acquisition Management
  Framework
• PPBE Interface aligned with JCIDS and Acquisition
  Process

Improved Business Practices meet the 21ST Century
Challenge