CLL 011.pdf

Savings or avoidance of 5 20 percent is possible for

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savings or avoidance of 5-20 percent is possible for programs w ith generally sound adherence to the PBL tenets . Click here to learn more about the Proj ec t "Proof Po int " 1 prog ra m• 20 programs: Pe rfo rmance Improvement •program perfarmance was NO Trelated ta the PBL arrangemen t. I Pa ge4o f 19 Back 5 programs: Only Per formance Improvement 15 pro gr ams : C os t & Performan ce Improvem en t Next No Improveme nt Per fo rmance Improvement Cost and Per formance Improvement
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CLLOll Performance Based Logistics Lesson 1 - Introduction to PBL Table of Contents Proof Point Study Results A ssistant Secreta ry of Defense, Logistics & Mater iel Readiness (A SD (L &M R )) chartered a stud y in the fall of 2010 to analyze the impa ct of PBL on Lif e Cy cle Costs (L CC ), as compared to non-PBL sustainment arrangements. The " Proof Point " stud y conc luded that , when properly structured and ex ecuted , PBL arrangements reduce the Se rv i ces ' cost per unit-of-performance while simultaneously driving up sy stem , subsy stem , or component readiness. The stud y further est imat ed that an average annual cost savings or avoi dance of 5-20 percent is possible for programs w ith generally sound adherence to the PBL tenets . Cli ck here to learn more about the Proj ec t "Proof Po int " L ong D escrip t ion Pie chart illustratin g 20 programs had Performance Improv ement and 1 program had no improv ement . Of the 20, 5 programs only had Performance Improv ement while 15 programs had Cost and Performance Improv ement . The single no improv ement program has a note stating , "program performance was NOT related to the PBL arrangement ." me nt •program pe rfarman ce was NOT relat ed ta the PBL arrangement. I Page4of19 Back Next _____ _.. e I mp rovement Co s tan d Pe r fo rmance I mp rovement
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CLLOll Performance Based Logistics Lesson 1 - Introduction to PBL Table of Contents Tenets of PBL I cou ld sure use some more specifics to understand PBL. I 'v e heard about so-called " PBL tenets ", or basic character isti cs needed to drive opt imal outcomes . W hat are these tenets? For PBL , there are 10 basic tenets ; five of w hich are associated w ith PS As; and five that are associated w ith organ izati ons. Select each type to learn more. - i§,i§ill(#•[email protected] · \ihf l[l[§,h§llf _ ______ T_e_n_e_ t_s_T_i_e_d_t_o_ o_r _, g '-- a_n_i_z_a_ t_ io _n ____ __, • A cqu ir e cl ear ly defined W arfighter-rele v ant outcomes , not just sustainment se rv i ces or replacement equipm ent • Use measurable and manageable metrics that accuratel y assess the product support provid er 's performance against delive ry of targeted W arfighter outcomes • Provide significant in cent ives to the support provid er that are tied to the achiev ement of the outcomes ( for aspects of performance that are w ithin their contro l) • Firm Fi xed Price ( FFP ) contracts are generally the preferred contract type ( Fi xed Price Incenti ve Firm (FPIF) and Cost Plus Incenti ve Fee (CPIF) may be more effect ive) • Provide sufficient contract l ength for the product support provid er to recoup inv
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  • Fall '19
  • Management, Military logistics, Twelve-step program, Title 10 of the United States Code, Performance Based Logistics

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