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LORA Spares - LNMB

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101202UNCLASSIFIED<strong>LORA</strong> and Spare Partsat Thales Nederland1NAVAL SERVICESRob Basten & Cees DoetsTU/e - Gordian & Thales Nederland© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS. THIS INFORMATION CARRIER CONTAINS PROPRIETARYINFORMATION WHICH SHALL NOT BE USED, REPRODUCED OR DISCLOSED TO THIRD PARTIES WITHOUTPRIOR WRITTEN AUTHORIZATION BY THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS, AS APPLICABLE.


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDProduct portfolio Naval Services• Integrated Logistic Support (ILS)• Local Support• In Service Support (ISS)• Capability Sustainment• Long Term Service Agreements (LTSA)5 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDProblem descriptionDetermination of Maintenance and Support concept:• During product development• Tailoring to each Customer specific organisationRequired Tooling:• <strong>LORA</strong>, Level Of Repair Analysis• Optimized concept for replacement and repair of units• <strong>Spares</strong> Scaling• Spare parts stock optimization per location(highest availability at lowest investment)However• No adequate <strong>LORA</strong> tooling• No interaction between both tools6 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIED<strong>LORA</strong> + Spare parts stocking – 17 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIED<strong>LORA</strong> + Spare parts stocking – 28 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDRepair network and Product structureInd. 0RadarLoc. 4Loc. 3ThalesDepotInd. 1Antenna CabinetInd. 2 LRU 1 LRU 2Loc. 2 Base 1 Base 2Ind. 3 SRU 1 SRU 2 SRU 3Loc. 1Vessel 1 Vessel 2 Vessel 3Vessel 4Repair networkInd. 4 Cpt 1 Cpt 2 Cpt 3Cpt 4Product structure10 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIED<strong>LORA</strong>: definitionGiven: repair network & product structureDetermine:• Repair or discard components upon failure• Where to do this• Where to locate resourcesGoal: Lowest costs11 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIED<strong>LORA</strong>: considerationsRepair locally:• Short distance → low transportation costs• Resources at many locations → high fixed costsRepair centrally:• Long distance → high transportation costs• Resources at one location → low fixed costsRepair at OEM / discard:• Long distance → high transportation costs• No resources → no fixed costs; high variable costs12 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDSpare parts stocking: definitionGiven: repair network, product structure,<strong>LORA</strong> decisionsDetermine:• Where to locate which amount of spare partsGoal: lowest inventory costs,at a given target availability13 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDSpare parts stocking: considerationsRepair locally:• Short distance → low lead time → low number ofspare parts• Spare part used at one location → high number ofspare partsRepair centrally / repair at OEM / discard:• Long distance → long lead time → high number ofspare parts• Spare part used at multiple locations → low numberof spare parts14 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDSequential approach15 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDSequential approach: exampleTwo ships, one depot, two components:• Failure rate: 1 (per ship per component)• Variable discard costs: 15 K€• Variable repair costs: 6 K€Resource required: 10 K€ & 25 K€<strong>LORA</strong>A BRepair at ship 32 62Repair at depot 22 37Discard 30 30<strong>Spares</strong>A B- -16 -- 309816 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDSequential approach: problem<strong>LORA</strong> consideration:transportation costs ↔ costs of resourcesResult:repair centrally or discardLeading to:high lead time → high number of spare parts17 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDIterative approach18 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDIterative approach: example<strong>LORA</strong> <strong>Spares</strong>A B A BRepair at ship 32 62 - -Repair at depot 22 37 16 -Discard 30 30 - 3098<strong>Spares</strong>A B- -16 2020 30107<strong>Spares</strong>A B4 -16 1520 308819 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDIntegrated approach20 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDResults case studyInventory costs<strong>LORA</strong>: variable costsSequential Iterative /Integrated<strong>LORA</strong>: fixed costs21 NAVAL SERVICESSequential:Iterative:Integrated:5 seconds1.5 minutes2 days


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDResults theoretical testsCost reduction iterative (compared with sequential):• Average: 3.2%• Maximum: 35%Computation time:• Average: 1 minute• Maximum: 10 minutesCost reduction integrated (compared with iterative):• Average: 0.26%• Maximum: 5%Computation time:• Average: 6 minutes• Maximum: 6 hours22 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageCostUNCLASSIFIEDIteration 13.02.52.01.51.00.50.0Investmentin <strong>Spares</strong>OEMRepairCosts<strong>LORA</strong>Investment inTest EquipmentFor RepairDepot1 2Repair3Costs4 5 6 7iterationSpare CostsTool and Test Eqt. CostDiscard CostsOEM Repair CostsRepair Costs at BaseExchange Labour CostsSOLUTION DETAILS Repair Repair Repair Repair Repair Repair RepairTIMLINK LRUOEMTX-CAL LRUOEMSYNTH LRUOEMRXTILE LRUDEPOTRXINT SRUOEMOCTOPACK LRUOEMCAMERA PACKDEPOTFEMCIM LRUOEMTX_SUP SRU(OEM)RX_SUP SRU(OEM)TTE ALLOCATIONRXTILE TesterCam Alignment Tool23 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageCostUNCLASSIFIEDIteration 23.53.02.52.01.51.00.50.0Iteration 2 compared to iteration 1<strong>LORA</strong>Investmentin <strong>Spares</strong>HigherOEMRepair Costs1 2 3 4Higher5 6 7iterationDiscard CostsHigherInvestment inTest EquipmentFor RepairHigherDepot Repair CostsLowerSpare CostsTool and Test Eqt. CostDiscard CostsOEM Repair CostsRepair Costs at BaseExchange Labour CostsSOLUTION DETAILS Repair Repair Repair Repair Repair Repair RepairTIMLINK LRU OEM DiscardTX-CAL LRU OEM DEPOTSYNTH LRU OEM OEMRXTILE LRU DEPOT OEMRXINT SRU OEM (OEM)OCTOPACK LRU OEM DEPOTCAMERA PACK DEPOT OEMFEMCIM LRU OEM DEPOTTX_SUP SRU (OEM) (OEM)RX_SUP SRU (OEM) (OEM)TTE ALLOCATION RXTile Tester TANGO Test BenchCam Alignment Tool TxRack setFEMCIM Testbench24 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageCostUNCLASSIFIEDIteration 3Iteration 3 compared to iteration 2<strong>LORA</strong>3.53.02.52.01.51.00.50.0Investmentin <strong>Spares</strong>LowerOEMRepair Costs1 2 3 4 Lower5 6 7iterationDiscard CostsHigherInvestment inTest EquipmentFor RepairLowerSpare CostsTool and Test Eqt. CostDiscard CostsOEM Repair CostsRepair Costs at BaseExchange Labour CostsSOLUTION DETAILS Repair Repair Repair Repair Repair Repair RepairTIMLINK LRU OEM Discard OEMTX-CAL LRU OEM DEPOT DiscardSYNTH LRU OEM OEM DiscardRXTILE LRU DEPOT OEM DEPOTRXINT SRU OEM (OEM) (OEM)OCTOPACK LRU OEM DEPOT OEMCAMERA PACK DEPOT OEM DEPOTFEMCIM LRU OEM DEPOT DEPOTTX_SUP SRU (OEM) (OEM) (OEM)RX_SUP SRU (OEM) (OEM) (OEM)TTE ALLOCATION RXTile Tester TANGO Test Bench RXTile TesterCam Alignment Tool TxRack set Cam Alignment ToolFEMCIM Testbench FEMCIM TestbenchDepot Repair CostsHigher25 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageCostUNCLASSIFIEDIteration 7Iteration 7 compared to iteration 33.53.02.52.01.51.00.50.0<strong>LORA</strong>1 2 3 4 5 6 7iterationInvestmentin <strong>Spares</strong>LowerInvestment inTest EquipmentFor RepairSpare Costs EqualTool and Test Eqt. CostDiscard CostsDiscard CostsOEM Repair Lower CostsRepair Costs at BaseExchange Labour OEMCostsRepair CostsHigherDepot Repair CostsHigherSOLUTION DETAILS Repair Repair Repair Repair Repair Repair RepairTIMLINK LRU OEM Discard OEM OEM OEM OEM OEMTX-CAL LRU OEM DEPOT Discard OEM OEM OEM OEMSYNTH LRU OEM OEM Discard OEM OEM OEM OEMRXTILE LRU DEPOT OEM DEPOT DEPOT DEPOT DEPOT DEPOTRXINT SRU OEM (OEM) (OEM) (OEM) (OEM) (OEM) (OEM)OCTOPACK LRU OEM DEPOT OEM OEM OEM OEM OEMCAMERA PACK DEPOT OEM DEPOT DEPOT DEPOT DEPOT DEPOTFEMCIM LRU OEM DEPOT DEPOT DEPOT DEPOT DEPOT DEPOTTX_SUP SRU (OEM) (OEM) (OEM) (OEM) (OEM) (OEM) (OEM)RX_SUP SRU (OEM) (OEM) (OEM) (OEM) (OEM) (OEM) (OEM)TTE ALLOCATION RXTile Tester TANGO Test Bench RXTile Tester RXTile Tester RXTile Tester RXTile Tester RXTile TesterCam Alignment Tool TxRack set Cam Alignment Tool Cam Alignment Tool Cam Alignment Tool Cam Alignment Tool Cam Alignment ToolFEMCIM Testbench FEMCIM Testbench FEMCIM Testbench FEMCIM Testbench FEMCIM Testbench FEMCIM Testbench26 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDApplication of <strong>LORA</strong>+spares ToolClassical• 2-indenture (LRU-Part) and 2 repair locations• Limited optimization solutions for <strong>LORA</strong>• Repair by end-user decision = strategic, not economicalModern• Multi-indenture and 3 repair locations• What-if and Optimization for <strong>LORA</strong>&<strong>Spares</strong>• Iterative appraoch fulfills• Multi-indenture en multi-echelon• Pooling of spares and repair locations by customers• Further deveolpment of <strong>LORA</strong>&<strong>Spares</strong> Tool?27 NAVAL SERVICES


© THALES NEDERLAND B.V. AND/OR ITS SUPPLIERS Subject to restrictive legend on title pageUNCLASSIFIEDQuestionsRemarks

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