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MARMC VSRA Brief 20 January, 2009 CAPT Scott Mattingly

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2 MARMC: Mission/Vision MISSION: Deliver cost-wise readiness to the War Fighters worldwide by providing industrial, engineering, technical and contracting services for maintenance and modernization of naval ships and craft. VISION: First in maintaining global Force readiness

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3 Align w CDR RMCs Strategic Planning Session FY09 Goals Comprehensive mentorship program. Change culture in Maintenance Teams to use meaningful metrics (vice reactionary). Build symbiotic relationship with CLASSRONS. Achieve contract output consensus to deliver expected value to Warfighters. (Note: To align under NAVSEA 04 in CY09) EXCEED THE CUSTOMERS EXPECTATIONS

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4 Warfighting now & then.. What statement has been used by both General Custer and Al-Quaida terrorists? 1.One if by land and two if by sea. 2.Damn the torpedoes, full speed ahead. 3.Where are all those tomahawks coming from?

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5 What is READINESS?? DVD Show

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6 MARMC & VSRA => Service to the Fleet Surface / Air / Sub TYCOMs 65+ Surface Ships (All Ship Classes!) 6 Aircraft Carriers 12 Submarines Coverage ~Global 2 nd, 5 th and 6 th Fleets Global Distance Support (Tech Assist)

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7 MARMC CASH-Management.. (NOT all in Tidewater region) How much private sector work did MARMC manage for the Navy in FY08? 1) $565M 2) $1.63B 3) $891M

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8 Data Date: 30 September 08 Data Source: Code 650, NEMAIS, STARS, Code 640 MARMC FY 08 FUNDING $891,733,715 Grand Total Funding (FY-to-date) ~60% Surface Maintenance

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11 MARMCs Norfolk Footprint 1 CEP-200 2 CEP-209 3 LF-18 4 V-58 5 X-70 5

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12 MARMCs Global Footprint 40,000 square mile AOR

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13 MARMC Det. Naples FTA Metrics = 1000+ FTA events/year at both Dets

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14 BRAC Challenge Round !! BRAC law stipulates which of the following for MARMCs future? 1.The I-level facility/capability previously at MARMC must consolidate into NNSY by FY2010. 2.All of MARMC must consolidate with NNSY by FY2010.

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15 NNSY I-Level Organization Fleet Maintenance Submarine (FMB) Deputy Commander C100B CVNCombatant Fleet Maintenance Surface (FMR) Ship Yard Commander C100 Each division includes personnel and capabilities from various Shops and NNSY Codes (PEPM, BSBO, Resource Managers, etc.) to carry out Intermediate Maintenance. Fleet Maintenance Shops (FMS)

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16 Missions: MARMC: Now and Future Missions now: 1) Manage All regional private sector depot work. 2) C.O. for Fwd Dets & USS DYNAMIC DD 3) Fleet Technical Assistance(FTA) and support to Fleet assets in 2nd, 6th and 5th Flts. New MARMC FY10: 1) Manage All regional private sector depot work. 2) C.O. for Fwd Dets & DYNAMIC DD 3) Fleet Technical Assistance (FTA) to Fleet assets in 2nd, 6th and 5th Flts.

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17 Who is MARMC?

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18 MARMC Today FINANCIAL 600 LOGISTICS (Fleet Industrial Supply Center) 500 Mil WATERFRONT OPERATIONS 300(Mil) CONTRACTS (NAVSEA Warrant) 400(Mil) ENGINEERING/ TECH SERVICES (NAVSEA Warrant) 200 BUSINESS DEPARTMENT 1200 COMMAND SUPPORT SVCS 1100 Det Naples Det Bahrain USS Dynamic, Drydock (AFDL-6) COMMANDING OFFICER EXECUTIVE DIRECTOR ENVIRONMENTAL/ SAFETY 106 X.O. (C300)

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19 (Name TBD) Organization Target on Oct 09 NNSY FINANCIAL 600 FISC LOGISTICS 500(Mil) (Partial) MARMC WATERFRONT OPERATIONS 300(Mil) MARMC CONTRACTS 400(Mil) NNSY ENGINEERING/ TECH SERVICES 200 NNSY BUSINESS DEPARTMENT 1200 NNSY COMMAND SUPPORT SVCS 1100 Det Naples Det Bahrain USS Dynamic, Drydock (AFDL-6) EXECUTIVE DIRECTOR NNSY ENVIRONMENTAL/ SAFETY 106 X.O.? C.O.

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20 Data date: 01 Dec 2008 Prepared by: C-1250 Data source: SEA 04XF2 and C-1250 MARMC PRIVATE SECTOR WORKLOAD: Leveling efforts (Oct 2008 Sep 2012)

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21 Navy operating concept: Fleet Response Plan (FRP) Rotational and surgeable Improved AO (LSDs currently have highest AO since commissioning!) Ops sked uncertainty requires different supporting maintenance concept. Old maint business model does not support surge readiness or AO Navy needed a continuous, responsive, accessible, flexible, affordable, 24/7 maintenance delivery process. MSMO is that process. MSMO delivers maintenance more reliably and continuously, and reduces the readiness bath tub effect in a rapidly changing and dynamic environment. MILPERS Reduction Initiative instituted in FY08 relied in part on MSMO contractors as a key source for that workload accomplishment. Why MSMO?

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22 MSMO demonstrates that it supports AO and surge readiness Nearly all MSMO CNO avails complete on time CMAVs have reduced material readiness bath tub effect Emergent response has been very successful: MANY examples.. Technical performance Outstanding No documented operational/mission degrading failures due to MSMO workmanship. Learning Curve performance Class familiarity permits production engineering improvements and maintenance innovations Shaft repairs, Docking costs, MV-22, All-electric upgrade, Hab Mods, Scan Eagle, Rapid Cure Coating, Rudder seal replacements, etc. MSMO Cost: Nearly all availabilities perform under the original negotiated cost More and more partnering evident MSMO Outcomes

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23 Contract Status Awarded Contracts Homeport/ClassAwardedContract NumberAwardee Norfolk DDG Docking20 December 2004N00024-05-C-4404 NORSHIPCO (Now BAE-N) Norfolk DDG (Non Docking)15 February 2005N00024-05-C-4406 MHI Mayport DDG (Non Docking) 15 February 2005N00024-05-C-4413 MHI Norfolk LHA/LHD23 December 2004N00024-05-C-4403 NORSHIPCO (Now BAE-N) San Diego CG24 March 2005N00024-05-C-4409 SWM (Now BAE-SD) Ingleside TX (MCM 1 Class)18 July 2005N00024-05-C-2304 ANTEON (Now GDIT) Puget Sound (FFG/DDG)19 September 2005N00024-00-C-8514Todd Pacific Shipyard San Diego LPD/LSD 5 December 2005N00024-06-C-4402NASSCO Norfolk LPD/LSD Non Docking22 December 2005N00024-06-C-4401Earl Industries (Protested) Norfolk FFG 726 April 2006N00024-06-C-4412METRO (Protested) Norfolk CG 4717 May 2006N00024-06-C-4415BAE Norfolk Pearl Harbor DDG/FFG/CG13 September 2006N00024-06-C-4408BAE Hawaii San Diego LHA/LHD29 January 2007N00024-07-C-4013NASSCO San Diego DDG26 March 2007N00024-07-C-4407BAE Mayport FFG 712 July 2007N00024-07-C-4413 MHI/TECHNICO JV (Protested) San Diego FFG 703 August 2007N00024-07-C-4415NASSCO Norfolk LSD Midlife28 January 2008N00024-08-C-4406METRO (Protested) San Diego MCM14 May 2008N00024-08-C-4405BAE SD San Diego LSD 41 Docker03 July 2008N00024-08-C-4410NASSCO

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24 Change Management We LOVE IT! "What I need is an exact list of specific unknown problems we might encounter." (Lykes Lines Shipping) "This project is so important we can't let things that are more important interfere with it. (Advertising/Marketing mgr, UPS) "We know that communication is a problem, but the company is not going to discuss it with the employees." (Switching spvsr, AT&T Long Lines Division)

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25 Questions ???

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26 NNSY/MARMC Capability / Divestment Plan Surface (FMR): Watertight Door Ship/Pipe Fitters * Gas Turbine Repair Outside Electric, cable way Heat exchanger repair Inside machine Flex Hose Shop AC/R Outside Machine/hydraulic Lock and Key * Fleet Tool Issue Engraving Rigging/Weight Test Valve Repair NNSY I- Level Capabilities Submarine (FMB): Hull repair Welding Pipe shop Outside electric Inside machine AC/R Acoustic Rubber & Plastics Combat Controls Hydraulics Blue text and * indicates Sole Source Capability provider. NNSY FM Shops (were RRCs) Diesel engine repair / Governor Test/Repair Pump overhaul Motor overhaul * Life raft * CIWS & 25mm Dive locker * Regional Cal Lab Divest to Ktrs (MSMO, IDIQ, etc) Sheet Metal fabrication/repairs (NOV 07) Wire Rope and Nylon Safety Nets (MAR 07) Lagging Shop (Aug 07) Small Boat repair (Sep 07) Carpenter Shop (OCT 06) 2M Repair (Nov 07) Radome Repair (Oct 08) External Comms (Oct 09) IC Repair (Dec 08) SISCAL (NSWC)

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27 BRAC Challenge Round #2! Regarding the BRAC Consolidation, who said? "No one will believe you solved this problem in one day! We've been working on it for months. Now go act busy for a few weeks and I'll let you know when it's time to tell them." 1) CAPT Rick Berkey 2) CAPT Scott Mattingly 3) R&D supervisor, Minnesota Mining and Manufacturing/3M

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28 MARMC Goal Enablers (How To) Communications We are open and honest at all times. Value People Build trust. Emphasize both personal and professional development. Continuously strive to improve Our country is at war and demands we perform at our best while getting better!!

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29 Maintenance Team Ships Commanding Officer MARMC Port Engineer (PE) Ship Maintenance Material Officer Maintenance, Modernization & Material Coordinator Norfolk Naval Shipyard-Intermediate Maintenance Facility Ship Superintendent Regional Maintenance Center Type Desk Assistant MARMC Project Manager Additional Ships Company (COs Discretion)

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30 Identify and prioritize work requirements clearly and accurately Determine when and where work will be accomplished Match resources to requirements Manage all ship availabilities Budget responsibility Execute Modernization at TYCOM direction Maintenance Teams Primary Responsibilities

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Back-Up Slides 31

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Prepared By: Financial Analysis Division - Code 650 [DJS]Report Generated Date: 1/14/2009

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