USAF ILA Handbook - ACC Practice Center - Defense Acquisition ...

F. Evaluation Criteria for Performance-Based
Logistics (PBL)
F.1 DoD policy states that PMs shall develop and implement PBL strategies that optimize total
system availability while minimizing cost and logistics footprint. Further, sustainment strategies
shall include the best use of public- and private-sector capabilities through government/industry
partnering initiatives, in accordance with statutory requirements. The requirement to pursue a
PBL approach applies to new programs, major modifications and upgrades as well as
reprocurement of systems, subsystems, and spares that are procured beyond the initial
production contract award.
F.2 Product support is defined as a package of logistics support functions necessary to maintain
the readiness and operational capability of a system or subsystem. It is an integral part of the
weapon system support strategy as documented in the LCMP. The PM is the single point of
accountability for accomplishing program objectives for TLCSM, including supportability, and
is directed to consider supportability, LCCs, performance and schedule on a comparable basis
when making program decisions. Planning for operations and support and estimating TOCs
shall begin as early as possible. Supportability, a key component of performance, shall be
considered throughout the system life cycle.
F.3 PMs are responsible for the development and documentation of an AS to guide program
execution from program initiation through retirement – design to disposal. In doing so, they
pursue two primary objectives. First, the weapon system as designed, maintained and modified
should continuously strive to reduce the demand for logistics. Second, logistics support must be
effective and efficient, minimizing the resources required to provide product support while
meeting warfighter needs. As a product support strategy, PBL aims to balance and integrate the
support activities necessary to meet these two objectives. PBL is focused on implementing longterm
support agreements to achieve a performance outcome, such as readiness or availability to
meet warfighter need.
F.4 Initial product support strategies for ACAT I programs will be developed prior to Milestone
B to include definition of metrics that define a program’s ability to meet future logistics and
operational performance requirements. These strategies shall provide the foundation for detailed
PBL Business Case Analysis (BCA) to be completed prior to Milestone C and/or contract award
that are based on the detailed design. BCA estimates shall be accomplished at significant
subsystem/repairable item levels that provide the information necessary to initiate cost-effective
maintenance and repair actions.
F.4.1 For new system BCAs, detailed Milestone C baselines shall be established
considering reliability and maintainability projections at the major system repairable
level. These individual estimates shall be sufficiently detailed to provide the basis for
contractual actions leading to implementable support strategy actions. BCAs will
continue throughout the life-cycle process with oversight to ensure reassessment at
appropriate times, such as LCC updates, Reduction in Total Ownership Cost (R-TOC)
activities and/or continuous improvement actions. PBL performance will be evaluated at
appropriate decision points.
Version 1: Jan 2006 107
Air Force Independent Logistics Assessment Handbook