Operational availability back in focus
Systecon's President Robert Hell writes about how availability is back in focus.
In recent years there has been much talk about the changing and deteriorating security situation in the world. For instance, in the Swedish Government's recently submitted proposal to the State budget for 2017 the international development is commented: "After the illegal annexation of Crimea and Russia's actions in general, the deteriorating security situation in 2015 has consisted with no apparent improvement."
The changed security situation poses higher demands
In Sweden, this has meant a sudden awakening and a much greater focus on national defense and to strengthen the operational capabilities here and now. This means that we need to have equipment and units operationally available to a greater extent than before. I hear similar signals from several other parts of Europe as well. You could almost get the impression that it was not so important to have the expensive defense systems available earlier. Less operation of course provides lower costs.
When I was at a conference in the United States last spring, for example, they talked a lot about readiness problems on the F18 fleet. This was mainly due to the lack of spare parts. From Denmark, I have heard that they have similar challenges with their F-16 aircraft and here at home in Sweden, the discussions, among other things, have been about long repair queues on vehicles and gaskets that stops the Gripen aircrafts from flying. The list of examples can certainly be made much longer. In most cases there are certainly good reasons why the situation has become as it is. The natural reaction is to look here and now and urgently attempt to fix the problem, i.e. remove the symptoms of something that actually has a deeper cause. I would argue that the causes of lack of availability usually can be found in the lack of a systematic long-term work to analyze and understand how the overall system delivers availability and where the limitations are. This also leads to that it is hard to understand how to adapt the system or the logistics support solution to meet new needs due to changes in the surrounding world or in the own requirements.
Life Cycle Management (LCM) provides the answers
To be cost effective in the long term, you need to work with LCM in a proactive, structured and continuous manner. This assumes of course that you clearly commit to doing so in strategies, processes and skills development. You also need to ensure that you have the means to manage all data required and that are available in different forms at different stages of a system's life cycle. You also need an ability to analyze and predict the future. Without forward-looking analysis capabilities – predictive analytics – you may find yourself leading by the tail.
Based on analyses you will become wiser and have a better ability to adjust your operations, your systems and your maintenance solution to new realities. And as said in the words of Charles Darwin: "it's not the strongest who survive, nor the most intelligent, but the one that is most adaptable to change."
Systecon contributes to increased understanding
To do our share and contribute to a better understanding, we conducted the first edition of our new Executive Life Cycle Management Program at the end of September. The purpose of this training is to provide policy-makers a deeper understanding of LCM in general and logistics analysis in particular. Read more about the course, which was a real success among the participants. Stay tuned and sign up early to get a seat next time.
Life Cycle Cost (LCC) in Germany
I have previously written about the German Defences that through the organization BAAINBw had begun using the Opus Suite in their LCC work. In our latest newsletter, our partner at the German Defence market, Mr Heiko Grossmann from AltenBach Consult, develops his view of LCC methodology in Germany and how it is applied in the ongoing MKS 180 procurement. Read the article.
We expand our international collaboration
Systecon's international work is continuing and I feel, as I've written in previous columns, that interest in LCM and Opus Suite continues to increase. Recently, we have been in India, Poland and Brazil, among other places where the indication is clear that they want to get better in LCM. In Norway we have been in business for a long time in the defence market, and here both the FMA (Forsvarsmateriell) and Kongsberg are Opus Suite users. Norway has a very large and qualified petroleum industry and when oil prices are low the operators' need to become more cost effective. To improve our outreach to these customers, we have recently decided to begin a collaboration with Cervino a/s. Together, we see great opportunities in being able to offer a greater local presence and a broader palette of services.
Systecon's method development in award-winning study
Finally, I would also like mention that the NATO report SAS-099 "Economics for Evaluating Fleet Replacement" has been awarded the 2016 Scientific Achievement Award by the NATO Science & Technology Organization. Why do I mention that? Well, Systecon has supported Swedish Defence Materiel Administration (FMV) in the development of this report. Systecon's involvement with methods development have been crucial for the theoretical part of the report. Aside from being proud that our abilities in methods development gets this type of recognition, the issue of how to make an economically optimal replacement of systems is a theme that I am going to come back to in a future newsletter. If you have questions within this area and feel that you need help to find the right answers, then don't hesitate to contact Systecon.
Robert Hell
President, Systecon AB