Assessment of Successful Performance-Based Logistics Efforts Report - DTD Sep 09

According to this study, the Department of Defense’s Product Support Assessment Team (PSAT) results (which were subsequently issued by the USD AT&L in November 2009 under the title "Weapon System Acquisition Reform Product Support Assessment") “has identified substantial opportunities for improved product support inherent in the adoption of performance-based logistics (PBL) by the DoD organic logistics community. While there are challenges to establishing PBL structures, the product support assessment recognizes that the benefits for the organic logistics community, in terms of in-creased availability and decreased costs, warrant pursuit.” The report goes on to state “after examining a number of successful PBL arrangements, the report authors concluded that while “organic PBL efforts are successful; however, organic PBL efforts are not as adaptive, flexible, and effective as the contract PBL efforts because of various uniquely organic constraints and challenges. If DoD is to benefit fully from the increased availability and decreased costs that result from PBL strategies, then these challenges to organic PBL efforts need to be removed or relaxed.” IMPORTANT NOTE: This copyright LMI Report #DAC90T1 is posted with permission of the report sponsor, Assistant Deputy Undersecretary of Defense for Materiel Readiness and the report author, LMI. The views, opinions and finding contained in this report are those of LMI and should not be construed as an official Department of Defense or Defense Acquisition University position, policy or decision, unless so designated by other official documentation. The report examines “the types of actions employed in highly successful PBL arrangements that achieve performance expectations, and the common characteristics of the management mechanisms used by commercial firms to oversee and execute PBL efforts. These insights will be used to ascertain what changes are needed within DoD to successfully plan for and manage the execution of (additional organically integrated) PBL strategies.”