Enabling a More Capable Air Force

Ms. Michelle Lowe-SolisAsst Deputy Chief Management Officer

30 Aug 17

Where We Are Today… Insatiable demand for Airpower now and in the future Leading global response against VEOs…still heavily engaged in

Afghanistan Facing a resurgent Russia, a rising China… unpredictable North

Korea, Iran, multiple hotspots Capability gap closing…space & cyber more contested State & non-state actors present transregional, multi-functional, multi-

domain challenges Future will require us to operate in a denied, contested

environment…competitors investing in new technology…fieldingadvanced air defenses and 5th generation aircraft

Air Force…Always There

591,565971971

Deployed vs.

Assigned

37,404

2,00140,523

1,34816,002589

1,07668

Total Force Airmen…175 global locations…27,000 fighting from home…100,000 standing watch around the globe Airmen remain engaged 24/7…aircraft takeoff every 2.8 minutes somewhere around the globe Provide an asymmetric advantage in level of air and space superiority as well as two-thirds of nation’s nuclear triad ISR capabilities…in highest demand by Combatant Commanders…in 2016 MQ-1 and MQ-9 aircrew flew 351,000+ hours Provide 6,000+ intelligence products/day…used by warfighters to eliminate enemy targets…trigger 70% of SOF assaults In 2016, delivered 695 million pounds of cargo to troops and partner nations…equivalent to 100 Egyptian pyramids Air Force GPS technology…used in close to two-thirds of all weapon systems in fight against ISIS Leading the joint fight against VEO’s…70% of 26,000+ coalition airstrikes in Iraq/Syria…more than 32,000 enemy targets Air Force aircraft average 26 strike sorties per day…expended 56,000 munitions against ISIS since 2014 Evacuated 4,300+ patients with 98% survival rate…can be returned to CONUS within 3 days

1,509363

Airmen…Supporting and Leading Joint and Coalition Forces…

Comparisons Over Time

Today55 Squadrons

Declining Readiness47

26 Years ofConstant Demand

We Must Enable a More Capable, Ready Air Force

Defense Reform

“It is my expressed intent to field a larger, more capable, more lethal Joint force.  It is incumbent on each of us to accomplish this task in the most cost‐effective, efficient manner possible.  If we are to ask the American taxpayers to provide more resources to our Nation’s defense, we must do the same—by making our business operations more efficient and freeing up funds for higher priority programs.”

‐ Secretary of Defense Mattis, Establishment of Cross‐functional Teams to Address Improved Mission Effectiveness and Efficiencies in the DoD, 17 Feb 2017

DoD Reform Agenda Elimination/Consolidation: DoD pursuing cross-enterprise

consolidation of business activities to achieve greater efficiency and savingsacross the Department, including the MILDEPs (Budget Guidance, 1/31/17) Drivers: Executive Order/OMB Guidance, SecDef Priorities and NDAA FY2017

Explore efficiencies and consider horizontal consolidations: Human Resource Management Financial Management (To Include Improving Cost Accounting) Real Property Management Acquisition And Contract Management Logistics & Supply Chain Management Health Care Management Base Services (including Retail Operations, Lodging, & MWR Services)

DoD Reform Initiatives“Tier 1” – FY19 Reform Initiatives

Cross Functional Team to Improve Travel within the Department

Lodging

Cross Functional Team for Personnel Vetting

Military Health System (MHS)

Cost Management

Financial Improvement and Audit Readiness (FIAR)

Defense Civilian Personnel Data System (DCPDS)

DoD CIO Efficiencies

Cross-functional teams established; Results due to OMB 15 Sep

Air Force Priorities

“Reduce time on the churn…spend time on the important things.” ‐ SecAF Wilson, Pentagon Town Hall, 9 June 2017

Enabling a More Capable Air Force Cost-Effectively Modernize…to increase lethality of the force Defense Reform initiatives Category Management Improving delivery of business capability Portfolio management of business capability Drive Innovation…to secure our future Establish Air Force Chief Data Officer Air Force Directive Publication Reduction Continuous Process Improvement (CPI) Airmen Powered by Innovation (API)

Category Management Category Management is an industry

best practice and federal approach to buying smarter and more like a singe enterprise Eliminate redundancies, increase

efficiency, deliver savings Goals: Categorize core areas of spend Increase spend under management Reduce contract duplication Achieve volume (rate) and administrative

(process) savings Reduce price variance Enhance transparency Reduce total cost of ownership

Category Mgt Implementation USECAF appointed AF Category

Management Accountable Official Category Managers appointed for 3

Categories Next Steps Establish governance structure and

performance metrics Prioritize appointment of Next Category

Managers (IT, Medical) Integrate CM with other reform initiatives

(e.g., DoD Cost Management)

Business Capability Acquisition Cycle(BCAC – DODI 5000.75)

Why are we doing this? Direction from Congress:

FY2016 NDAA, Section 883 Business systems historically

underperform and are expensive to implement and sustain DoDI 5000.02 milestones and

models do not provide the proper structure for managing business system programs (COTS vs weapon system)

What’s Different? Team approach vs stove-piped,

sequential steps Collaborative, robust market

research once problem/scope defined Info-centric, integrated

governance of programs Authorities to Proceed (ATPs) -

- no longer considered MAIS effective 30 Sep 2017

Improve Delivery of Business Capability

Air Force Business Systems(BCAC – DODI 5000.75)

What’s Next?Piloting with three AF business systemsContinue to gather lessons learned Finalize and release AFMAN 63-144 Launch change management planHASC/SASC engagement on pilots

Improve Delivery of Business Capability

Air Force Business Systems Total business systems: 408 Total Cost: ~$1B annually Pursuing Portfolio Management to accelerate

decommissioning of AF business systems Sustainment costs Training costs Costs to integrate with other systems Costs to secure More difficult to leverage authoritative data By 2024 – AF projects to decommission a total

of 170 business systems

Portfolio Accomplishments

Log‐IT DEAMS AFIPPS PBES CON‐IT

Implementing cloud migration strategy for apps on GCSS‐AF

In the past year, added 10K users at 100+ locations; available in the CENTCOM AOR

New strategy –adding pay moduleto existing Total Force military personnel data system (MilPDS)

Accelerated risk reduction effort –plan to run side‐by‐side with ABIDES for FY20 POM

BCAC pilot –leveraging USDA to implement sprintdevelopment

Enabling a More Capable Air Force Cost-Effectively Modernize…to increase lethality of the force Defense Reform Initiatives Category Management Improving delivery of business capability Portfolio management of business capability Drive Innovation…to secure our future Establish Air Force Chief Data Officer Air Force Directive Publication Reduction Continuous Process Improvement (CPI) Airmen Powered by Innovation (API)

Chief Data Officer

Air Force must take advantage of big data CORONA South 2017 – direction to

establish CDO Interim CDO named July 2017 – Maj

Gen Kim Crider

AF Publication Review SECAF, CSAF memo dated 3 Aug 2017 Directs 24-month effort to review, reduce and clarify

AF publications Problem Statement Overwhelming number of AF-level Directive

Publications (1300+) 41% of publications non-current Objective Eliminate redundancy and AFIs no longer relevant Waive requirements at the lowest appropriate level Mandate – all AF-level directive publications will be

reviewed & updated by Sept 2019

AF Publication Review Four phased approach to improve

AFIs; phase one ongoing Phase 1 is the one-year effort to

eliminate, reduce or consolidate Phase 2 will establish a dedicated

team to review all remaining publications Phase 3 & 4 will develop, test and

implement a new process, leveraging technology

Voice of the Airman API Portal – Feedback on AFIs Survey – How to improve the

process

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398 362 339 290

2094 154 190 213

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7 26 34 38 47

753 756 728 719 702 695

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Apr 17 May 17 Jun 17 Jul 17 Aug 17 Sep 17

Overdue Actioned Published Current

AF Publication Review

AF CPI Objectives Increase productivity of most valued

asset – People Significantly increase critical asset

availability rates Improve response time and agility Sustain safe and reliable operations Improve energy efficiency

AF Doctrine & PolicyAFI 1-2 Commander’s Responsibilities 3.4. Improve the Unit. Continuous process improvement is a hallmark

of highly successful organizations CCs must foster a culture of innovation and challenge inefficiencies CCs must strive for strategic alignment within their organizations Aligning authorities with mission requirements Vision and mission statements should lead to strategic plans Performance metrics…to enable data-driven decisions CCs should strive to leave their unit better than they found it – CPI

Revitalizing the Squadron, CSAF Focus Area #1

Airmen Powered by Innovation

$141.2M in Projected Value of Approved Submissions

Final Thoughts The Air Force must identify ways to save money and redirect toward

readiness and modernization OSD and the Air Force are developing enterprise mechanisms to better

understand costs and make smart business decisions OSD Cost Mgt, Category Mgt, Portfolio Mgt, Chief Data Officer Commanders and Airmen have the ability to influence their sphere

of authority Providing feedback on AFIs, Continuous process improvement, Airmen

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