Naval postgraduate school research summaries
Philip J. Candreva
At the time this is being written, there are 82 Supply Corps officers enrolled in graduate degree programs at the Naval Postgraduate School in Monterey, Calif. This constitutes a fairly large percentage of our lieutenants and lieutenant commanders. Several other active and retired Supply Corps officers serve on the school’s faculty. Just what are they doing and how is it contributing to the country, the Navy, and the Corps?
Most of the students are enrolled in the Graduate School of Business & Public Policy. For the more senior Supply Corps officers reading this, the GSBPP evolved from the former departments of Administrative Science and Systems Management. GSBPP is one of only two graduate schools in the country accredited by the main accrediting boards for both business schools and schools of public administration. GSBPP is awarding primarily the Masters of Business Administration degree and the first full class of M.B.A. students will graduate in summer 2003. Many of the Supply Corps officers are in the M.B.A concentration areas of acquisition, financial management, logistics, and transportation.
Other Supply Corps officer students are enrolled in the Graduate School of Operations and Information Sciences. The two programs in that school attracting most of our students are Information Science and Technology, and Military Operations Analysis and Research.
There are also seven Supply Corps officers on the faculty of NPS. One serves as the business school curricular officer; the others primarily teach: one with the Defense Resource Management Institute, one in operations research, one in information systems, two in acquisition/contracting, and one in financial management. These officers bring a wealth of fleet experience and perspective to the classroom as a complement to the theory and academic rigor the civilian professors with doctorates provide. Additionally, there are several retired Supply Corps officers on the faculty and staff including the Dean of the Graduate School of Business & Public Policy, Dr. Douglas Brook.
In addition to their core academic subjects, most of the Supply Corps students are working on their Joint Professional Military Education (JPME) courses while in Monterey. This fundamental joint education is raising awareness among our junior and midgrade officers of the need to think jointly in order to best support military operations in support of national interests.
This joint perspective is carried back into the core academic program. In the. accompanying list of thesis abstracts, there are several topics that were co-authored by Navy Supply Corps officers and officers of other services. In the M.B.A. program, the thesis requirement is being replaced with a project. The intent of the project is to bring together an interdisciplinary team to work a particular problem. We can expect to see more interservice cooperation in the school.
Historically, the student body has been overwhelmingly Navy … today it’s not uncommon to see uniforms from all military branches and dozens of allied nations. Recent agreements with the Air Force Institute of Technology and the Defense Acquisition Career Manager will result in even more diversity of the student population and joint perspectives in the classroom.
Currently led by LCDR Chris Parker, the Monterey Peninsula Supply Corps Association provides an oppurtunity for the students to network and support one another outside the classroom. From the traditional Supply Corps birthday ball and golf tournaments to hosting the OP Roadshow and distinguished guests, the MPSCA is vital to maintaining a sense of community for the Supply Corps officers in the Monterey area.
Naval Postgraduate School receives its share of distinguished visitors and the senior Supply Corps community is no exception. The students and staff have enjoyed visits in the past year from many of our community leaders including RADM Justin D. McCarthy, Chief of Supply Corps; RDML Robert E. Cowley III, Deputy for Acquisition and Business Management, Assistant Secretary of the Navy (RD&A); Captains Phil Valenti, Kevin White, Marty Brown, Eric Myhre, John Morris, Scott Bethmann, and others.
One of the most important aspects of the NPS experience has been the requirement for a student to complete a thesis (or now an M.B.A. project). The thesis is an opportunity for a student to study in depth a current issue of relevance to DoD. With the support of faculty advisors, the products are also academically sound. Below is a listing of abstracts of theses written by Supply Corps officers who have recently graduated. Anyone desiring more information or a copy of a thesis, should visit the NPS Dudley Knox Library website at http:// library.nps.navy.mil/home/theses.htm.
Please note that due to proprietary or classified content, the distribution of some theses is restricted.
Readers will also note that several topics address current issues within the NAVSUP claimancy. Other topics more directly address fleet readiness concerns. Some deal with the application of technology, some with the contracting and procurement process, and others with fleet logistics. All of them, however, expand the body of knowledge within the Supply Corps and make us collectively more valuable to the Navy.
Sleep Patterns in U.S. Navy Recruits: An Assessment of the Impact of Changing Sleep Regimens
By LT Brian R. Baldus, SC, USN Master of Science in Operations Research-September 2002
The U.S. Navy Recruit Training Command in Great Lakes, Ill., is responsible for training all enlisted personnel, about 50,000 young recruits per year. Demands on these recruits are steep and there is concern that by restricting the amount of sleep, learning efficiency is adversely affected. There are additional concerns about possible increases in attrition and reductions in morale due to sleep deprivation.
Every minute of the 63 day training schedule is closely managed, including the time allocated for sleep. Within recent years, the designated sleep regimens have changed considerably from six hours of sleep (10 p.m. to 4 a.m.) in 2001 to eight hours of sleep (10 p.m. to 6 a.m.) as of June 2002. In the months of April through June, 2002, we collected data on the quantity and quality of sleep received by 31 volunteer recruits in two eight hour time frames: 9 p.m. to 5 a.m. and 10 p.m. to 6 a.m. Using wrist activity monitors, we calculated the actual amount of sleep and contrasted it with the expected amount for each participant. Additionally, comparisons were made between bedtimes (9 p.m. vs. 10 p.m.), gender, different training divisions, nights with and without sleep disruptions (due to watch standing and other factors), and different days of the week.
Evaluation of Enterprise Application Integration (EAI) and Web Services at Fitting Out and Supply Support Assistance Center (FOSSAC) Under NMCI
By Maj. Jeffrey W. Lark, USMC and LT Mark A. Reyes, SC, USN
Information technology has woven itself into the fabric of every organization. As organizations grow and develop specialized needs, specialized software applications emerge to address the needs. Often the business processes take shape around the capabilities of the software applications and the technology infrastructure, until the two are inseparable from one another.
When an organization decides to incorporate new processes or upgrade its information architecture, the new system may lack compatibility with the old system. The old, incompatible software is typically referred to as a “legacy application.” In an effort to integrate the old applications with the new, organizations are typically faced with expensive, proprietary Enterprise Application Integration solutions.
FOSSAC is an organization facing a legacy application integration challenge with the implementation of the Navy-Marine Corps Intranet.
This thesis examines the applicability of traditional EAI methodologies for FOSSAC as a way to preserve access to its legacy applications. As an alternative integration solution, this thesis explores the potential of the emerging Web Services architecture. The Web Services architecture employs standard Internet protocols to facilitate application integration and information sharing across a variety of computing-platforms.
Enterprise Resource Planning (ERP): A Case Study of Space and Naval Warfare Systems Center San Diego’s Project Cabrillo
By LCDR Eric Oxendine, SC, USN and Capt. Dean M. Hoffman IV, USA Master of Science in Management–December 2002
This thesis examines the Enterprise Resource Planning (ERP) pilot implementation conducted at the Space and Naval Warfare Systems Center San Diego (SSC-SD), the first of four Department of the Navy pilot implementations. Specifically, comparisons are drawn between both successful and unsuccessful ERP implementations within private sector organizations and that of SSC-SD. Any commonalities in implementation challenges could be applied to future ERP implementations in both the DON and Department of Defense.
The findings are based in part upon interviews and data collected. From the comparison, commonalities exist in ERP implementation challenges between private sector organizations and SSC-SD. Additionally the management techniques used to mitigate those challenges are similar.
Finally, due to SSC-SD’s financial management structure and appropriated funding constraints, unique obstacles were identified during the implementation. These unique obstacles will be encountered by other Working Capital Funded organizations planning to implement ERP on the same scale as SSC-SD. This thesis supports that the implementation of ERP at SSC-SD was a success based on industry comparisons, the goals of Project Cabrillo’s business case analysis, and its Chief Financial Officer Act compliancy assessment, January 2002.
Requirements For Digitized Aircraft Spotting (Ouija) Board for Use on U.S. Navy Aircraft Carriers
By LCDR Timothy J. Thate, SC, USN and LCDR Adam S. Michels, USNR Master of Science in Information Systems Management–September 2002
This thesis will evaluate system and process elements to initiate requirements modeling necessary for the next generation Digitized Aircraft Spotting (Ouija) Board for use on U.S. Navy aircraft carriers to track and plan aircraft movement.
The research will examine and evaluate the feasibility and suitability of transforming the existing two-dimensional static board to an electronic, dynamic display that will enhance situational awareness by using sensors and system information from various sources to display a comprehensive operational picture of the current flight and hangar decks aboard aircraft carriers.
The authors will evaluate the current processes and make recommendations on elements the new system would display. These elements include what information is displayed, which external systems feed information to the display, and how intelligent agents could be used to transform the static display to a powerful decision support tool. Optimally, the aircraft handler will use this system to effectively manage the flight and hangar decks to support the projection of air power from U.S. aircraft carriers.
Analysis of General Accounting Office, Armed Services Board of Contract Appeals and Federal Court of Claims Decisions on Protests and Disputes Involving Performance Specifications
By LCDR Philip A. Murphy-Sweet, SC, USN Master of Science in Management-September 2002
This thesis analyzed rulings and court cases from the General Accounting Office, Armed Services Board of Contract Appeals and Federal Court of Claims with respect to contract protests and disputes involving Performance Specifications.
Performance Specifications generally leave the contractor open to decide the best means to accomplish the work of a contract and deliver the product called for in the contract. As compared with Design Specifications, which tell the contractor exactly the processes and materials that must be used to accomplish the task, Performance Specifications only specify the final product to be delivered and the parameters it will fulfill or operate within, and thus leave the contractor open to decide the best processes and procedures to accomplish the task.
The use of Performance Specifications in the Defense acquisition process has been mandated from the Secretary of Defense since 1994. The intent in using Performance Specifications was to provide incentive to the contractor to become innovative and resourceful in performing the contract and hopefully, result in cost avoidances and savings to the federal government. This thesis will examine protests and disputes from the above sources to evaluate the use of Performance Specifications to date and compile any patterns of success or failure that can then be passed on to today’s acquisition work force.
An Analysis of the Effects of Environment and Career Longevity on the Sleep Patterns of Enlisted U.S. Navy Submariners
By LCDR Dionisio S. Gamboa, SC, USN Master of Science in Operations Research–September 2002
This thesis will examine the reported sleep patterns among a sample of U.S. Navy Submarine Force enlisted personnel, and make an initial assessment of their perception of their sleep allowances at sea and ashore. The goal of this research is to determine if a shift in working environment from shore duty (baseline) to the arduous environment of sea duty (underway) has an effect on the sleep patterns of enlisted submariners.
Additionally, any effects of career longevity and “optimal sleep duration (self-reported)” will also be investigated. This thesis will also include a review and discussion of studies in the area of sleep deprivation and cognitive dissonance reduction theory, and will attempt to address the idea that cognitions/attitudes change to accommodate behavior or the external environment, perhaps presenting an explanation for those sleep patterns.
A Comparison of the Operational Potential and Capability of Two Combat Logistics Force (CLF) Alternatives
By LCDR Ronaldo D. Givens, SC, USN Master of Science in Operations Research-September 2002
A recent study by the fleet suggests two feasible near-term CLF alternatives (one with 12 T-AKEs, 18 T-AOs, and four T-AOE#6s and the other with nine T-AKEs, 14 T-AOs, four T-AOE#6s and four T-AOE(X)s and recommends the latter as more flexible. We want to enable decision makers to determine if the latter, more expensive alternative is worth the additional cost.
Previous studies have used, among other techniques, steady-state analysis and simulation to analyze the CLF. Descriptive models, such as simulations, do not allow us to determine the full potential of the force, and steady-state analyses can easily miss critical details such as constraints on scheduling that can significantly impact performance.
We are developing an optimization model that prescribes a near-optimal schedule for shuttle ship deliveries to battle groups for a dual major theater war scenario. We adapt data from the fleet study for use in our optimization model. This includes the force supported, the areas of operation, capacities and consumption rates of DFM, JP5, dry stores, and ordnance. To account for transit times precisely, we present a global sea-route model that shows where any shuttle ship would travel to deliver to any battle group. The results suggest how to employ the shuttle ships, including where they should be prepositioned.
These results also allow us to compare various performance measures evaluated for each CLF alternative in an effort to quantify flexibility. In addition, we compare the combatant off-station times resulting from using a T-AOE station ship versus a T-AO and T-AKE acting as a substitute station ship, and for a 26-knot station ship versus a 20-knot station ship.
An Analysis of Federal Head Contracting Authority (HCA) Decisions Regarding Overrides of Statutory Stays of Contract Award and Continued Performance Resulting From Bid Protests
By LCDR Robert A. Brooks Jr., SC, USN Master of Science in Management-December 2002
This research examines the federal agency source selection process within federal contracting agencies by conducting an analysis of Federal Head Contract Authority (HCA) decisions to override the required statutory stay of contract award and performance, in accordance with the Competition in Contracting Act (CICA) of 1984, resulting from bid protests.
This thesis includes an analysis of the Government Accounting Office (GAO) Comptroller General of the United States findings and independent research data with respect to federal agency decisions concerning suspension of contract award and continued performance resulting from pre-award and post-award bid protests. This research evaluates the effectiveness of the federal agency source selection process via an analysis of HCA and GAO decisions concerning suspensions of contract awards as a result of pre-award bid protests within the previous seven fiscal years.
This research also evaluates HCA and GAO justifications for continued contract performance despite post-award bid protests within the previous seven fiscal years. The objectives are to determine if federal contracting agency decisions are justified because of the source selection process being executed as designed, and to determine if agency judgments to continue performance are supporting the best needs of the government. Although the study contained discrepancies between GAO and independent research metrics, the overall data collection and analysis led to a general conclusion that HCA overrides are justified and that the federal source selection process is functioning as designed. Furthermore, the research led to a general conclusion that protests sustained by the GAO occurred as a result of HCA noncompliance with stated acquisition administrative procedures.
An Analysis of the Requisition Process and Readiness for F/A-18E/F Integrated Readiness Support Team (First) Program
By LCDR Daniel J. Noll, SC, USN and LT Bernard L. Simonson, USN Master of Science in Management–December 2002
Naval Aviation is beginning a transformation into a new era of logistics support. The beginning of a U.S. Navy/industry teaming effort started with the Navy’s F/A-18E/F program. The new aircraft is supported through both standard military logistics programs and a brand new commercial logistics application known as F/A-18 E/F Integrated Readiness Support Teaming (FIRST). The non-traditional contract with Boeing is intended to outsource some of the maintenance, supply and inventory control for the new aircraft onto Boeing. The intended benefits behind the new concept include reduced costs, increased supply responsiveness and greater efficiency through commercial logistics applications. Promising increased aircraft readiness and seamless implementation, both Boeing and Navy representatives have great expectations for the new system.
Our research investigates the impact FIRST is having on F/A-18E/F Operational Availability (AO) through an evaluation of Supply Response Times (SRT) and actual squadron Mission Capability Rates for the period of April 1 through June 30, 2002. Our results suggest that although repairable parts are currently delivered quicker through the FIRST program, the contract measurement of SRT may not reflect any long-term improvements in F/A 18E/F readiness.
Review of Performance Based Logistics Type Contracting Efforts to Improve Supportability of the Seawolf Class Submarine
By LCDR Patrick J. O’Connor, SC, USN Master of Science in Management–December 2002
This thesis examines the effectiveness of the application of Performance Based Logistics (PBL) type contracting efforts to improve product support for the Seawolf class submarine. The study presents a literary review of the history of the Seawolf program, as well as an overall review of the PBL process within the DoD.
Overall, the reduction in the class of ships from an original projection of thirty total to three total coupled with potentially incomplete allowance computation models to create logistics support challenges for Seawolf. Those challenges were addressed in various ways, including the cannibalization of Prospective Commissioning Unit (PCU) Jimmy Carter (SSN 23) to support the two operational units. But, this proved a costly and risky proposition. The Navy worked with Electric Boat Corporation and developed a PBL type effort to improve logistics support for Seawolf. That effort has been largely successful in improving Supply Material Availability (SMA) and overall logistics support for the Seawolf class submarine.
The Strategic Distribution Management Initiative and Its Effects on Inventory Levels and Readiness
By LCDR Jeffrey A. Schmidt, SC, USN and Captain Devon D. NuDelman, Quartermaster, USA Master of Science in Management, December 2002
* Outstanding Thesis Award Winner
Until just a few years ago, no organization was tasked with measuring overall effectiveness, design, or optimization of DoD’s global supply chain management system. As a result, the Strategic Distribution Management Initiative (SDMI) was created as a joint venture between Defense Logistics Agency (DLA) and the United States Transportation Command (USTRANSCOM) charged with enterprise level redesign, streamlining, and optimization of the DoD global supply chain. This thesis examines the affects of the SDMI implementation on the Army’s two maneuver divisions stationed in the Europe. Specifically, it analyzes affects of SDMI implementation on the eight supply support activities located within the two maneuver divisions in United States Army, Europe.
This thesis studies SDMI impacts on inventory levels; inventory turbulence in the SSAs during SDMI implementation; SDMI improvements with respect to readiness; and existing barriers to improving velocity. The research indicates that: (1) expected inventory reductions were not realized following SDMI implementation, (2) inventory turbulence consumes limited resources and is a lucrative target for further improvement, (3) there is no evidence that SDMI increased fleet readiness, and (4) backorder rates and time, along with sub-optimization of pieces of the DoD supply chain, are significant barriers to velocity that still must be broken through.
Ten Years Worth of DoD Procurement Reforms with Specific Attention to Selected DON Programs
By LCDR Bernard D. Knox, SC, USN Master of Science in Management–December 2002
DoD reduced force structure after the Cold War ended. More efficient and sophisticated weapons are necessary to support a smaller force. Acquisition reform legislation is designed to capture savings and usher in a Revolution in Business Affairs. Today a wide array of rogue nations, transnational actors, and domestic terrorism demand weapons procurement reform that is effective against a smaller and much less visible foe.
The DoD’s goal is to deliver modern, high performance weapons systems at lower cost, on schedule and with higher performance. Better weaponry drives the reality that the nation and the department find themselves in, an era of highly unpredictable security challenges. This research paper explores major procurement reforms and their effect on decreasing the amount of time and funds expended on current and future weapons systems. It looks for evidence of how the DON’s budget is impacted and what controls, if any, these reforms will have on future weapons procurement. The link between the executive and legislative branches, DoD, and program managers are examined to determine if procurement reform has helped.
The Evaluation of Appropriateness of OMB Circular A-76 Studies on Revenue-Generating Functions in Defense Working Capital Fund Activities
By LCDR Thomas J. “Jack” Moreau, SC, USN Master of Science in Management–December 2002
This thesis addresses the appropriateness of applying an OMB Circular A76 study process on the revenue generating functions in Defense Working Capital Fund activities. While the thesis acknowledges that subjecting organizational functions to an A-76 process gains competitive efficiencies, the hypothesis is that a Working Capital Fund activity has already realized the efficiencies by competing for business; therefore, a process other than A-76 is more appropriate to gain further cost savings. The thesis looks at the specific example of the Navy Supply Information Systems Activity (NAVSISA), which is a fee-for-service organization that specializes in providing informational technology products and services for U.S. Navy, DoD and foreign allies.
An Analysis of Electronic Commerce Acquisition Systems: Comparison of A New Pure Electronic Purchasing and Exchange System (Electronic Storefront) and Other Legacy On-Line Purchasing Systems
By LCDR Arthur T. Rowe, SC, USN Master of Science in Management–December 2002
This research will evaluate purchasing problems and issues in current online contracting/procurement programs including GSA Advantage, DoD E-Mall, and other current online purchasing programs as they relate to contracting and purchasing of supplies and services.
The issues and concerns with legacy online procurement systems will be compared to a newly developed Pure Electronic Ordering System (Electronic Storefront) recently developed by Prof. Ron Tudor and students at the Naval Postgraduate School. This new program is currently under testing by a prime contractor under the auspices of the Department of Interior. The new online contracting/procurement program will allow federal, state and local government users to purchase supplies and services online through the use of the Internet, through the use of electronic catalogs, and embedded contract templates.
This thesis will consider some of the functions of the new program and how the new program addresses the issues and concerns identified under the current legacy online procurement programs as well as additional benefits the new program will encompass compared to legacy systems.
Analysis of For-Profit Commercial Firm Participation in Technology Investment Agreements
By LCDR Barbara D. Tucker, SC, USN Master of Science in Management–December 2002
In this thesis, data provided in a 1999 Inspector General Audit on “other transactions” as well as Dual Use Science and Technology (DU S&T) Program projects from 1997 through 2001 are analyzed. I find Technology Investment Agreements (TIAs) have attracted for-profit commercial firms that normally do not do business with the government into participating in research projects with the DoD. The average for-profit commercial firm participation rate of DU S&T projects was found to be 26.2 percent. A sample TIA and a sampling of DU S&T project participants are included as appendices.
A “Quick Look” Report on the Navy’s Pursuit of Performance Based Logistics
By LCDR Sonya I. Ebright, SC, USN Master of Science in Management–December 2002
By Under Secretary of Defense for Acquisition, Technology, and Logistics (USD (AT&L)) direction, the PBL strategy must be considered the default logistics support strategy consideration for major systems and components acquisition. This research provides a “quick look” qualitative analysis of the PBL strategy and its measures of success. It gives the reader without any prior knowledge of the PBL strategy a clear understanding of its use, and an appreciation for its potential as a holistic logistic solution.
Since the years of President Eisenhower, the DoD and the military services have been on a pendulum swing of acquisition reform and a constant change of preferred contracting methods. Until now, the traditional approach to logistic support has been a “down stream” approach that has, unfortunately, often resulted in strategic failures and enormous cost overruns, with the military unit bearing the brunt of the support costs for their operational systems. DoD is now in the transition phase of transforming from traditional methods of logistics support to PBL as the methodology of product support for the 21st century.
A Contractor Logistics Support Acquisition Decision Support Model
By LCDR Richard K. McCarthy, SC, USN Master of Science in Management–December 2002
Decreased military budgets mean that aircraft recapitalization occurs only where savings and cost cutting can be realized and funds redirected into new acquisitions. The primary area of cost cutting is lifecycle support costs, and DoD continues to pioneer logistics support concepts in efforts to reduce these costs. We need to ensure that new logistics support strategies are implemented using sound methodology so that actual savings are realized without sacrificing readiness. Without realizing savings and understanding what performance metrics we desire (e.g. operational readiness), we can actually be infusing greater costs into our acquisitions of long-term logistics support.
This thesis examines the Navy’s experience with Contractor Logistics Support (CLS) using the F/A-18E/F Integrated Readiness Team (FIRST) Program as a case study. The goal of this research is to review our policies, understand the issues, and analyze our decision making process for awarding CLS contracts. The results suggest that current decision analysis is not well documented and does not consider all of the significant variables. By considering these additional variables, a decision support model is developed to assist in making more sound judgments regarding outsourcing logistics.
An Analysis of Total Ownership Costs in the Operation and Support of DoD RTOC Pilot Programs
By LT Brett A. Wagner, SC, USN Master of Science in Management–December 2002
Reduction of Total Ownership Cost (RTOC) is a concept designed to determine and reduce the true cost of design, development, ownership and support of DoD weapon systems. At the DoD level, total ownership costs (TOC) are comprised of costs to research, develop, acquire, own, operate and dispose of defense systems, other equipment and real property; the costs to recruit, retain, separate, and otherwise support military and civilian personnel; and all other costs of the business operations of the DoD. At the individual level, total ownership cost is synonymous with the life cycle costs of the system.
The RTOC program was established in response to longstanding concerns about the adverse impact of defense budgetary and operational trends on force structure and readiness. Declining procurement funds are resulting in a rapidly aging (and potentially inefficient and unsupportable) inventory. As these systems age the costs of maintaining them increases, thus operation and support (O&S) costs increase. With decreasing or relatively flat budgets, aggravated by excess infrastructure and inefficient overhead processes, more dollars for O&S means fewer dollars for modernization–leading to increasing costs and decreasing future readiness. As operations tempo and contingency operations take even more money away from O&S our future investments are mortgaged away.
This thesis examines how program managers reduce their weapon systems cost by examining the 30 pilot programs within DoD. This thesis additionally identifies many of the issues and challenges that are managed within the programs.
CDR Phil Candreva is on the faculty of NPS. A graduate of Penn State University and a distinguished graduate of NPS, he served afloat in USS Puget Sound (AD 38) and USS John Rodgers (DD 983). He has served on the staff at Navy Supply Corps School, Business/ Financial Manager at NAVAIR and department director at Naval Supply Information Systems Activity.
Commander Philip J. Candreva, SC, USN
Lecturer, Grduate School of Business & Public Policy
Naval Postgraduate School, Monterey, Calif.
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