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Core Logistics Analysis (CLA)

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Core Logistics Analysis (CLA)

DAU GLOSSARY DEFINITION

Alternate Definition

In order to achieve milestone decision approval, Major Defense Acquisition Programs (MDAP) must conduct an analysis to estimate core logistics (i.e., organic depot maintenance) requirements. This Core Logistic Analysis (CLA) must also address the sustaining workloads required to support such requirements.

Alternate Definition Source

10 USC 2366a, Major defense acquisition programs: determination required before Milestone A approval

10 USC 2366b, Major defense acquisition programs:  determination required before Milestone B approval

DoD Instruction (DoDI) 4151.20, Depot Maintenance Core Capabilities Determination Process

DoDI 4151.24, Depot Source of Repair (DSOR) Determination Process

DoDI 5000.02, Operation of the Adaptive Acquisition Framework

General Information

Among other requirements, Title 10 USC 2366a, Section (b)(5) states that an MDAP or subprogram "may not receive Milestone [MS] A approval or otherwise be initiated prior to Milestone B approval until the milestone decision authority determines in writing, after consultation with the Joint Requirements Oversight Council on matters related to program requirements and military needs…that planning for sustainment has been addressed and that a determination of applicability of core logistics capabilities requirements has been made.”

Among other requirements, 10 USC 2366b, Section (a)(3)(H) & (I) mandates that “a major defense acquisition program may not receive Milestone B approval until the milestone decision authority...determines in writing that.... life-cycle sustainment planning, including corrosion prevention and mitigation planning, has identified and evaluated relevant sustainment costs throughout development, production, operation, sustainment, and disposal of the program, and any alternatives, and that such costs are reasonable and have been accurately estimated” and that “…an estimate has been made of the requirements for core logistics capabilities and the associated sustaining workloads required to support such requirements.”

Additionally, DoDI 4151.20 requires in para 4.2. that “the DoD Components shall apply the core capability requirements determination process to identify required core capabilities and the workloads necessary to sustain effectively the core capabilities.” It goes on in para 4.3. to state that “required core capabilities, and the depot maintenance workloads needed to sustain those capabilities, shall be calculated by individual DoD Components and then aggregated to determine overall DoD core requirements.”

Enclosure 2 of DoDI 4151.20 contains the DoD “Depot Maintenance Core Capability Requirements Determination Methodology” process, whose use is mandated in para 6.1 of the same document, which states “the DoD Components that perform depot maintenance shall compute core capability requirements and associated workload on a biennial basis” and that “…the computational methodology outlined in Enclosure 2 of DoDI 4151.20 shall be applied to this requirement.”

DoDI 5000.02, Enclosure 6, Para 3.d. also mandates a Life Cycle Sustainment Plan (LCSP) annex for the CLA. Requirements include:

  • By MS A, the DoD Component will document its determination of applicability of core depot-level maintenance and repair capability requirements in the LCSP in accordance with 10 USC 2366a.
  • For MS B, the Program Manager (PM) will attach the program's estimated requirements for maintenance, repair and associated logistics capabilities and workloads to the LCSP in accordance with 10 USC. 2366b.
  • The program's maintenance plan will ensure that core depot-level maintenance and repair capabilities and capacity are established not later than 4 years after Initial Operational Capability (IOC) in accordance with 10 USC 2464, Core logistics capabilities.
  • The PM will ensure that a depot source of repair designation is made not later than 90 days after the Critical Design Review (CDR).
  • Before entering into a contract for Low Rate Initial Production (LRIP), supportability analysis must include detailed requirements for core depot-level maintenance and repair capabilities, and associated sustaining workloads required to support such requirements.

DoDI 5000.02, Enclosure 6, Para 5.b also requires that Independent Logistics Assessment (ILA) “…reviews will focus on sustainment planning and execution, to include the core logistics analyses and establishment of organic capabilities."

Additionally, DoDI 5000.02 Para 2.a.(1)6. also mandates an affordable and effective performance-based product support strategy that also addresses “how and when computer software and computer software documentation (as defined in Defense Federal Acquisition Regulation Supplement [DFARS] section 252.227-7014) and other material and activities required to maintain and sustain the software after Initial Operational Capability (IOC) will be provided to the government for systems that require core logistics support or when depot level software maintenance is required.”

 

Frequently Asked Questions:

  1. What are the differences between the range of Core-related terms contained in DoDI 5000.02 and other DoD references?
    • ANSWER: Throughout DoDI 5000.02 the words 'core logistics' are used as a general term that refers to the mandated capability described in 10 USC 2464. Often these words must be considered in context of their use within 5000.02. With that in mind, this is how they are generally viewed and used in DoDI 5000.02:
      • CLA - Per DoDI 5000.02, Enclosure 6, para 3.d.(2), a Core Logistics Analysis is a body of work (analyses) that begins with the determination whether 10 USC 2464 applies or not, and progresses to estimates of the core requirements. The CLA, at a minimum, should include the determination and the estimates.
      • Core Logistics Assessment -  See CLA.
      • Core Logistics Determination / Core Logistics and Sustaining Workloads Estimate. Defined in the DAU Glossary as “A determination (positive or negative) of whether the weapon system or military equipment being acquired is necessary to enable the armed forces to fulfill the strategic and contingency plans prepared by the Chairman of the Joint Chiefs of Staff. If the core logistics determination is positive, an estimate of those core capability requirements and sustaining workloads are provided, organized by work breakdown structure and expressed in direct labor hours.” The requirement outlined in DoDI 5000.02, Table 2 is not intended to be a term; rather, it refers to the determination that 10 USC 2464 either applies or does not apply. The determination is required for MDAPs prior to MS A approval IAW 10 USC 2366a. In practice, if core applies, this determination would initiate and be an integral part of the CLA. See also the Milestone Document Identification (MDID) tool.
      • Core Logistics and Sustaining Workloads Estimate. Core logistics and sustaining workloads estimate (Ref: DoDI 5000.02, Table 2) is not intended to be a term; rather, it refers to the core estimates, organized by work breakdown structure (WBS) and expressed in Direct Labor Hours (DLH), that are required for MDAPs prior to MS B approval and entry into an LRIP contract as required by 10 USC 2366b and P.l. 112-81, respectively. In practice, these estimates would also be an integral part of the CLA.
      • Core Logistics Support. Per DoDI 5000.02 Enclosure 6, Para. 2.a.(1)(a)6), Core Logistics Support is not intended to be a term; rather, it simply infers the requirements of this paragraph must be implemented to support systems that 10 USC. 2464 applies to.
      • Core Logistics Requirements. Per DoDI 5000.02 Enclosure 6, Para. 2.a.(1)(a)6), Core Logistics Requirements is also not intended to be a term; rather, it simply refers the reader to another para of DoDI 5000.02 that further describes the requirements of 10 USC. 2464.
      • Core Depot-Level Maintenance and Repair Capability Requirements. Per DoDI 5000.02, Enclosure 6, Para 3.d.(2)) is not intended to be a term; rather it further defines what is meant by core logistics capabilities: depot-level maintenance and repair capabilities. This is consistent with DoD's interpretation and application of 10 USC. 2464 to only depot-level maintenance (not to other logistics capabilities) and with the reporting requirement words used in para (d) of 10 USC 2464.
      • Congressional Notification of Core Logistics Commercial Item Exception. Due upon determination that the system or equipment is a commercial item.
  2. Is there DoD guidance, policy or a template that provides the format, content, and approval requirements are for a CLA or a Core Logistics Determination/Core Logistics and Sustaining Workloads Estimate)? Is it a memo from the Milestone Decision Authority (MDA) much like the 2366a/b Certification memo? Or does it take the form of the Core/Candidate Depot letter from the Service Major Command (MAJCOM) during the DSOR decision process which is required prior to Milestone (MS) B?
    • ANSWER: We have drafted an outline for the CLA much like the LCSP outline; however, it has not been widely disseminated because the Services have already developed processes and procedures that include the CLA. Often, the CLA is combined with other analyses. We look for the results: a determination and the estimates, if 2464 applies.
  3. DoDI 4151.20 doesn't specifically make mention of CLA. Is it being updated to provide specific information?
    • ANSWER: DoDI 4151.20 is aimed solely at meeting the reporting requirement of 10 USC 2464. Reporting is a Service/Agency-level requirement. The CLA, and its outputs, are system-level requirements. The CLA could be used as an input to the report but no plans that we are aware of envision defining the CLA in DoDI 4151.20.
  4. DAU currently offers continuous learning module LOG 0230,Title 10 USC 2464 Core Statute Implementation. Jointly developed by DAU and the OSD, this training module focuses on the statute, the theory behind Core calculations, and provides a lesson on "Calculating Core - The Methodology" (which includes a Core WBS worksheet to record core capability requirement calculations). Is this training intended to also train workforce members on conducting a CLA?
    • ANSWER: Not at this time. What needs to be done to compile the report to Congress is not the same as what need to be done for a CLA. This often becomes confusing to program offices as they look to DoDI 4151.20 for guidance on implementing 10 U.S.C. 2464 for their program. DoD encourages programs to first determine if Core applies and then, if it does, develop a bottoms-up estimate by determining how many DLH will be needed to repair each DLR every year.
  5. A DSOR designation is required NLT 90 days after CDR. What DoD policy governs DSOR designation?
  6. Does the designation "Core" mean 100% of the system's workload must be performed by organic depots?
    • Answer: Certainly not. The designation as "Core" only means the government must have an organic capability. As long as that capability is established and sufficient workload is provided to the organic depot to maintain that capability, the letter and spirit of the law is maintained. An item can be designated "Core" and have commercial overhaul/repair activity.