NAVSEA Lean Transforming the Way We Work

1

E A NL

NAVSEA LeanTransforming the Way We Work

Presented by

Mr. Jim Brice

SEA TFL

18 Nov 2005

2

E A NLNAVSEA Lean Journey

Organizational Level

Connected to Local Value Streams

5 % of the Business

2001-2003 2004-mid 2005 mid 2005-2007

NUWC KEYPORT

SUPSHIP SAN DIEGO

Maine

Pennsylvania

NSWC Ship Systems EngineeringStation

Washington

Indiana

NSWC CRANE

SUPSHIP BATH

PUGET SOUND NSY & IMF

NAVAL SEA SYSTEMS COMMANDShore Activities

California

Naval Sea Systems Command (NAVSEA)Naval Shipyard (NAVSHIPYD)Supervisors of Shipbuilding (SUPSHIP)Surface Warfare Center (NSWC)Undersea Warfare Center (NUWC)Other NAVSEA ActivitiesActivities Managed by PEOs

Guide

Virginia

Washington DC

NAVSEA HQ & PEOs

NSWC CARDEROCK

Maryland

ConnecticutRhode Island

NUWC HQSUPSHIP GROTON

New Jersey

AEGIS Technical Rep

NAVSHIPYD NORFOLK

Florida

Mississippi

SUPSHIP JACKSONVILLENSWC Coastal Systems Station Naval Experimental Diving Unit

SUPSHIP GULF COAST

South Carolina

Naval Nuclear PowerTraining Unit

New Hampshire

NAVSHIPYD PORTSMOUTH

As of Apr 04

Organizational changes in process

PEARL HARBOR NSY & IMF

SUPSHIP PUGET SOUND

NSWC CORONA

NSWC PORT HUENEME

Naval Sea Logistics Center

NUWC NEWPORT

Submarine Maintenance Engineering, Planning & Procurement

NSWC HQ

NSWC INDIAN HEAD Naval Ordnance Safety &

Security ActivityNaval Explosive Ordnance

Disposal Technology Div

SUPSHIP PORTSMOUTH

SUPSHIP NEWPORT NEWSNSWC DAHLGREN

NSWC Combat Direction Systems Activity

Surface Combat SystemsCenter

SEASPARROW ProjectSupport Office

2003

3




5 % of the Business

TFL – August 2004

Command Level Central Coordination

Connected to National Value Streams

30 % of the Business

2001-2003 2004-mid 2005 mid 2005-2007

NUWC KEYPORT

SUPSHIP SAN DIEGO

Maine

Pennsylvania


Washington

Indiana

NSWC CRANE

SUPSHIP BATH



California


Guide

Virginia

Washington DC

NAVSEA HQ & PEOs

NSWC CARDEROCK

Maryland



New Jersey

AEGIS Technical Rep

NAVSHIPYD NORFOLK

Florida

Mississippi


SUPSHIP GULF COAST

South Carolina


New Hampshire


As of Apr 04



SUPSHIP PUGET SOUND

NSWC CORONA

NSWC PORT HUENEME


NUWC NEWPORT


NSWC HQ




SUPSHIP PORTSMOUTH





NUWC KEYPORT

SUPSHIP SAN DIEGO

Maine

PennsylvaniaNSWC Ship Systems Engineering

Station

Washington

Indiana

NSWC CRANE

SUPSHIP BATH



California


Guide

Virginia

Washington DC

NAVSEA HQ & PEOs

NSWC CARDEROCK

Maryland



New Jersey

AEGIS Technical Rep

NAVSHIPYD NORFOLK

Florida

Mississippi


SUPSHIP GULF COAST

South Carolina


New Hampshire


As of Apr 04



SUPSHIP PUGET SOUND

NSWC CORONA

NSWC PORT HUENEME


NUWC NEWPORT


NSWC HQ




SUPSHIP PORTSMOUTH

SUPSHIP NEWPORT NEWS

NSWC DAHLGREN




2003

2005

4




5 % of the Business

TFL – August 2004

Command Level Central Coordination

Connected to National Value Streams

30 % of the Business

Enterprise Level

Connect to Navy Value Streams

100% of the Business

2001-2003 2004-mid 2005 mid 2005-2007

NUWC KEYPORT

SUPSHIP SAN DIEGO

Maine

Pennsylvania


Washington

Indiana

NSWC CRANE

SUPSHIP BATH



California


Guide

Virginia

Washington DC

NAVSEA HQ & PEOs

NSWC CARDEROCK

Maryland



New Jersey

AEGIS Technical Rep

NAVSHIPYD NORFOLK

Florida

Mississippi


SUPSHIP GULF COAST

South Carolina


New Hampshire


As of Apr 04



SUPSHIP PUGET SOUND

NSWC CORONA

NSWC PORT HUENEME


NUWC NEWPORT


NSWC HQ




SUPSHIP PORTSMOUTH





NUWC KEYPORT

SUPSHIP SAN DIEGO

Maine

PennsylvaniaNSWC Ship Systems Engineering

Station

Washington

Indiana

NSWC CRANE

SUPSHIP BATH



California


Guide

Virginia

Washington DC

NAVSEA HQ & PEOs

NSWC CARDEROCK

Maryland



New Jersey

AEGIS Technical Rep

NAVSHIPYD NORFOLK

Florida

Mississippi


SUPSHIP GULF COAST

South Carolina


New Hampshire


As of Apr 04



SUPSHIP PUGET SOUND

NSWC CORONA

NSWC PORT HUENEME


NUWC NEWPORT


NSWC HQ




SUPSHIP PORTSMOUTH

SUPSHIP NEWPORT NEWS

NSWC DAHLGREN




2003

2005

Maturing-Growing-Connecting

5

E A NLTask Force Lean (TFL) Implementing Lean Six Sigma across the Diverse

NAVSEA/PEO Enterprise – 30 Organizations Key Objectives

World Class Performance – Safety, Quality, Reliability Improve Productivity and Return on Investment Mainstream Lean into the Line Organizations Delight Customers and Employees

Navy’s Burning Platform Current Capability – Cost-wise Fleet Readiness Future Capability – Build More Ships and Planes

Culture of Continuous Process Improvement

6

E A NLLean – The Business Strategy

NAVSEA Lean

Improving the Business- Lean/Six Sigma/TOC- Rapid Improvement- Improve Agility and Speed

Running the Business- Disciplined Processes- Data Driven Decisions- Way of Thinking & Working

Philosophy

ProblemSolving

People and Partners

Process

A 4P Model of the Toyota Way from “The Toyota Way” by Dr. Jeffrey K. Liker

Navy National Value Streams

Effectiveness Efficiency

7

E A NLLean Process Chart

Executive Planning Session (EPS)

Value Stream Analysis (VSA)

Rapid Improvement Plan (RIP)

Rapid Improvement Events (RIEs)

(7 Week cycle)

Projects

(3-6 months)

Just Do Its

5S Standard Work

Flow Pull

Lean Principles*

Customer/Value

Map the Value Stream

Create Flow and Pull

Seek Perfection

*From

“Lean Thinking”

by James T. Womack

Cost Reduction Reports (CRRs)

D

M

A

I

C

8

E A NLHWT Torpedo Lean Cost Reduction

Heavyweight Torpedo Lean Savings

1568

0

200

400

600

800

1000

1200

1400

1600

1800

Months

FY

07 C

ost

Red

uct

ion

($K

)

Cumulative Dollar Savings Goal

Afterbody RIE (Completed)

Load / Disassembly RIE (Completed)

Warshot RIE (CRR Pending)

Nose Array RIE (Completed)

Production Control RIE (CRR Pending)

Value Stream Target FY07 Cost Reduction of $1375K

9

E A NLNAVSEA/PEO EPS

Goal Reduce Costs by $250M in FY 07 Across all of NAVSEA/PEO In Addition to Intelligent Targets

Lean Implementation Plan Issued by Formal Letter 14 Jan 05

Initial Value Streams Surface System Combat Systems Product Area 688 Class Major Availabilities Torpedo Maintenance (PEO Sponsored) Engineering (LOB) Support to Current Navy

N A VS E A S

ub

s

Ca

rrie

rs

Gu

ns

Sy

ste

ms

Mis

sile

s/

To

rp.

Su

rf

Sh

ips

P E OC V

P E OIW S

P E OL M W

P E OS H IP S

P E OS U B

B u i l d & B u y I n - S e r v i c e / L e g a c y S u p p o r t

I n i t i a l V a l u e S t r e a m s

N u c l e a r P r o p u l s i o n

H u m a n S y s t e m s I n t e g r a t i o nW a r f a r e S y s t e m s E n g i n e e r i n g

S h i p D e s i g n , I n t e g r a t i o n & E n g i n e e r i n g

U n d e r s e a W a r f a r e E n g i n e e r i n g

E N G I N E E R I N G

M a i n t e n a n c e / L o g i s t i c s

S U P S H I P N e w C o n s t r u c t i o nS U P S H I P R e p a i r – t r a n s f e r t o R M C

S h i p y a r d s

I N D U S T R I A L O P E R A T I O N S

C o m m a n d O p s / I TC o n t r a c t i n g

C o s t E n g i n e e r i n gF M / C o m p t r o l l e r

B U S I N E S S O P E R A T I O N S

1 2 A l i g n e d P r o d u c t A r e a s a c r o s s t h e N A V S E A W a r f a r e C e n t e r s

T E C H N I C A L O P E R A T I O N S

L I N E S O F B U S I N E S S

E A NL

10

E A NL

Establishes Formal, Disciplined, Standard Process for Change

Strong Alignment and Support

11

E A NLMajor Value Streams Technical Operations

AEGIS, SSDS, ACDS, Small Arms, Mk125 Ordnance, Ranges, Torpedoes, Periscopes, Large Scale Model Testing, Electronic Warfare Systems, Financial Management, Procurement, Plant Maintenance, IT

Shipyards CVN, SSN, SSBN CNO Avails; Project Mgt; Cranes; Trng

Logistics and Maintenance SCN Outfitting, Calibration, Configuration Mgt, JEDMICS, RADIAC

Engineering Remote Monitoring, MGT, Paint Teams, Environmental, LCS Naval Vessel Rules,

SUBSAFE Processes

Business & Ops Financial Execution and Contracting, IT Support

PEOs CVN 77 Const, CVN 21 Design, Mine Warfare, MSMO, Common Logistics, VA

Class Const, Working with WC Value Streams

Over 100 VSAs Engaging

Major Value Streams

Almost $8B in Value – FY05

12

E A NL

12390

118

24

99

97

119

29

0

200

400

600

800

1000

1200

1400

1600

1800

2000O

ct-

04

Nov-0

4D

ec-0

4Jan-0

5

Feb-0

5M

ar-

05

Apr-

05

May-0

5

Jun-0

5Jul-05

Aug-0

5

Sep-0

5O

ct-

05

Nov-0

5D

ec-0

5

Jan-0

6F

eb-0

6M

ar-

06

Apr-

06

May-0

6

Jun-0

6Jul-06

Aug-0

6

Sep-0

6

FY

05In

FY

05

FY

06

FY

07

Nu

mb

er

of

RIE

s &

Pro

jec

ts

$0

$50

$100

$150

$200

$250

$300

$350

$400

Inve

stm

ent

/ Co

st R

edu

cti

on

in M

illio

ns

The Lean Deployment Model Vs Actual

CRRs - Lean

CRRs - Other

Implementation Plan Model

Number of RIEs & Projects (Actual)

Number of RIEs & Projects (Projected)

Actual

Model

Investment - Lean

Investment - Other

CostReduction

FY05, 06, 07($ Millions)

FY05 Investment($ Millions)

13

E A NL

All Employees

• Provide data and voice of customer inputs to VSA, RIE, and Projects

• Apply concepts to their own jobs and work areas

• Owns vision, direction, business results• Leads change• Allocates Resources• Owns Value Streams

• Owns Rapid Improvement Plan

• Owns Redeployment Plan

• Owns financial results• Removes Barriers

• Experts on principles and tools

• Leads larger projects • Coaches Green Belts• Full-time position

• Lead small-moderate projects

• Support Rapid Improvement Teams

• Full time or part time role

• RI Team or Project specific support

• Part time

• Heads Lean Office• Owns Deployment Plan• Owns Communication

Plan• Captures Metrics

Lean ChampionLean ChampionValue StreamValue Stream

ChampionsChampions

TeamTeamMembersMembers

ExecutiveExecutive LeadershipLeadership

Green BeltsGreen Belts

Black BeltsBlack Belts

• Trains Black Belts / Green Belts

• Leads Complex Projects • Full-time position

MasterMasterBlack BeltsBlack Belts

Team LeadersTeam Leaders

•RI Team or Project specific support•Part-time

Lean Deployment Roles

Model taken from “Lean Six-Sigma” by Michael George

166

1

746

19,773 Basic Training

1015

ALL

14

E A NLBlack Belt Graduating Class

BB Trained & Practicing 100

BB in Training 59

Total by end of FY 05 159

NAVSEA/PEO Organizations Total NAVSEA/PEO Organizations TotalWCs LOB - NSWC/NUWC Ind Ops LOB - SEA 04Carderock Division 1 Norfolk NSY 3 Philadelphia 1 Pearl Harbor NSY&IMF 2CRANE Division 2 SUPSHIP Bath 1DAHLGREN Division 8 SUPSHIP Newport News 1 Panama City 6 NSRO Norfolk 1 Dam Neck 1 NSRO Puget 1INDIAN HEAD Division 11 Ind Ops Total 9PORT HUENEME Division 1 Engineering LOBKEYPORT Division 3 SEA05 1NEWPORT Division 2 SUBMEPP 1

WC Total 36 ELOB Total 2Bus&Ops LOB Fleet PartnersSEA 00I 1 MARMC 4

Bus&Ops Total 1 RMC Total 4GRAND TOTAL 52

15

E A NLContinuous Learning

Army Material Command - Lean Focus - Master Sensei

GE Presentation - Everything is a Process - Q x A = Effectiveness - BB are Future Leaders

Boeing 737 Moving Line - Value Stream Focus

Raytheon Visit - Leadership Involvement - BB Project Selection - Metrics, Speed, Celebrate

SWRMC – 25MM Gun Shop

NI NADEP – Pulsed Line

Todd SY – WL Fluctuation

NGNN – Value Stream Focus

Sumitomo SY Visit- 20 years of disconnected Lean events not yielding results- 2 years of focused TPS across total VS reducing cycle times- Tours – No idleness, good visual control, low inventory

16

E A NLEmployee Participation

Power of Lean Approach – Drives the Culture Change Teams of People Who Do the Work Define Current & Future State – Make the Process Changes

Seeing Results Private Industry – ROIC Navy – Readiness per Invested Capital – Hard to Measure

Motivation Challenge Private Industry – Growth Navy – Getting Smaller

Command Pledge No One Will Lose Employment Due to Lean Efforts

17

E A NL

SUBMARINE OVERHAUL

Multiple Value StreamsMultiple Value Streams

• Improved Process Flow• Created Visual Controls • Contingent Repair Instructions• Continuous Improvement

PNS Ball Valve Repair:

• Machine Fixturing• Workplace 5S• Satellite Epoxy Work Cell• Standard Work Instructions

Model Line

PNSY - Ball Valve RepairPNSY - Ball Valve Repair

18

E A NLPNSY - Ball Valve RepairPNSY - Ball Valve Repair

““Implementation of Lean Manufacturing Techniques in the Ball Valve Shop is Implementation of Lean Manufacturing Techniques in the Ball Valve Shop is the first and most mature example of a process that is the best in class at the first and most mature example of a process that is the best in class at PNS and throughout NAVSEA.” PNS and throughout NAVSEA.”

- Inspector General Report, March 2004- Inspector General Report, March 2004

Average Ball Valve Cycle Time per QuarterAverage Ball Valve Cycle Time per Quarter

Quarter Quarter 1 2 3 4 1 2 3 4 1 2 1 2 3 4 1 2 3 4 1 2

Cycle Time (days)Cycle Time (days) 208 176 148 140 100 82 61 53 54 45208 176 148 140 100 82 61 53 54 45

FY 2002FY 2002 FY 2003FY 2003

Goal = 20 DaysGoal = 20 Days

FY 2004FY 2004

95% Decrease in Overtime Hours95% Decrease in Overtime Hours

28% Increase in Throughput28% Increase in Throughput

92% Increase in Productivity per Labor Hour92% Increase in Productivity per Labor Hour

60% Improvement in Cycle Time60% Improvement in Cycle Time

Process Improvements FY 2002 - FY 2004Process Improvements FY 2002 - FY 2004

19

E A NLSSN DMP Value Stream Analysis

PlanPlanning & Support VSA

Work Scoping

Job Summary Development

Material Ordering

TWD Writing

Work Packaging

Multiple Value Streams

IsolateTemp Services VSA

Temp Services Kitting

System Take-Down VSA

Re-InstallSystem Turn Back VSA

Problem Resolution

Material Kitting

TestOperational Test Planning

TWD Certification

Improving Engineering & Planning Performance

Improving Tank Maintenance & RepairImproving Crane

Availability

Electroplating

Portal and Bridge Crane Maintenance

Tank VSA

Tank Inspection / Cleaning

Sea Water Sys VSA

Rip-Out & RepairStaging Set Up

Hose Fabrication

Ball Valves

Shafts

Hydraulics

Bench Machining

Structural Fab

Focus areas to date…

20

E A NLPSNS & IMFEngineering Planning & Support Services

Material Ordering Cell Projected Improvement92% Flow Time Reduction

Reduced duration from 8 Days per JML to 4.5 Hours per JML

44% Productivity Improvement

Reduced from 0.9 MD / JML to 0.5 MD / JML

($123,000 per DMP, $182,000 per DPIA)

TWD Writing Cell Projected Improvement75% Flow Time Reduction

Reduced duration from 50 days/TWD to 12.4 Days/TWD

34% Productivity Improvement

Reduced from 2.25 MD/TWD to 1.48 MD/TWD

($160,000 per SSBN, $344,000 per SSGN, $98,400 per DPIA, $49,200 per PIA)

$389,000 per DMP$539,200 per PIA$600,400 per DPIAFY05: 37 people redeployed to other critical work

Total Cost Reductions for Entire Value Stream

21

E A NLPSNS & IMF

Lifting and Handling

Portal CranesReduced Crane Maintenance from 98 to 37 Days

Reduced Overtime Costs from $180K to $0

Portal Crane Annual Maintenance Savings $960K/Year

Increased Crane Availability has Allowed for Net Reduction of 2 Category I Portal Cranes

New Portal Crane procurement Cancelled

Inventory Reduction Applied to Movement of 2 Portal Cranes to IMF Cost Avoidance FY 2010 $25M

Bridge Cranes Category II Bridge Crane Savings $400K/YR

88% Reduction in Maintenance Cycle Time from 30 to 7 days

Eliminated Work Backlog

22

E A NLPSNS & IMF

Tank Maintenance & Repair

Value Stream Map (Current State, Jul 04)

Sample Results:Ballast tanks• Open thru wash (688CL): 4 days (vice 3-4 wk avg)• Open thru paint (726CL): 138 days (baseline: 281)

Reserve feed tanks• Blasting (CVN): 47% mhr reduction (720 to 380)• Painting flow time (688CL): Avg savings = 30 days (down from 52 to 22)

OPEN/CLEAN

BLAST PAINT RE-INSTALL

CLOSURESTAGE INSPECT RIPOUT REPAIR BLASTPROTECT

1 SP5

1 SP5

1 SP5

1 SP5

1 SP5

1 SP5

1 SP5

1 SP5

1 SP5

1 SP5

Lean Flow Cells Developed and Implemented

Improvements made:• Restructured & standardized work sequence for flow

• Assembled cross-functional Cell teams

• Cells flow continuously through the tanks

23

E A NLPNSY – SSN 720 EOH – TGI Flow

Boeing Moving Line SSN 720 TGI Flow

Fundamental Change in Ship Availability Management

Multiple Value Streams

24

E A NL

Key Actions Implemented

• TGI Supermarket to Control WIPTGI Supermarket to Control WIP

• Shipboard Engineering Trouble DeskShipboard Engineering Trouble Desk

• Dockside Material Consumables TrailerDockside Material Consumables Trailer

• Improvements in Communication & CoordinationImprovements in Communication & Coordination

SSN 720 EOH Metrics

Equivalent Metrics at Three Months into the Availability

Projected Cost Reduction: $22M

Metric SSN 719 EOH SSN 720 EOH Percent Imp

Avg No of People 440 346

Avg TGI WIP 785 551

Jobs Complete 1304 1163

Avg Job Cycle Time 13 Days 8 Days

Cost Performance 0.97 1.04

25

E A NL

Carrier Carrier NVSNVS

Project Project Management NVSManagement NVS

Platform NVS (Tier-One)Platform NVS (Tier-One)

Lifting & Handling Lifting & Handling NVSNVS

Resource Resource Management NVSManagement NVS

Industrial Process Industrial Process NVSNVS

Training NVSTraining NVS

Material NVSMaterial NVS

Pro

ces

s/F

un

cti

on

al N

VS

(T

ier-

Tw

o)

Pro

ces

s/F

un

cti

on

al N

VS

(T

ier-

Tw

o)

SSN 688 SSN 688 NVSNVS

SSBN/SSGN SSBN/SSGN NVSNVS

Standardizing Across PlatformsStandardizing Across Platforms

Sta

nd

ard

izin

g A

cro

ss

S

tan

da

rdiz

ing

Acr

os

s

NS

Ys

NS

Ys

(1) Integrating & Aligning (1) Integrating & Aligning

(2) Creating Accountability(2) Creating Accountability

National Value Stream (NVS) Network

Shipyards

Structural920

Machine930

Electrical950

Piping960

Service970

Key

/Sup

port

Pro

cess

esB

ud

ge

t; S

che

du

le;

Pa

pe

r; M

ate

rial

FY06 Lean Execution Strategy:

SSN CVN SSBN/GN

“Just in Time”Delivery

Example:Submarine

Structural FabCost Reductions

FY05 $0KFY06 ~$575KFY07 ~$767K

Cost ReductionsFY05 ~$444KFY06 ~$455KFY07 ~$468K

Cost Reductions Submitted Reported (To-Date) FY05 FY06 FY07 3-Year Total

Cost Reductions: $10.8 M $11.4 M $12.7M $34.9 MillionRedeployment: 75 MPD 39 MPD 26 MPD 140 Men Per Day

• 21 Black Belts; 42 Green Belts - 14 Value Stream Analyzed - 58 Rapid Improvement Events - 16 Projects

DrivingDown

Cost$$$

Example:Supply Chain

CostPerformance

SchedulePerformance

QualityPerformance

SafetyPerformance

eee aaa nnnLLL eee aaa nnnLLL

Core Mission

USS HAMPTON (SSN-767) FY05 DMP USS CHARLOTTE (SSN-766) FY06 DMP

USS TRUMAN (CVN-75) FY06 DPIA

FY06 FY07

USS GEORGIA (SSBN-729) FY05 ERO/CONV USS ALASKA (SSBN-732) FY07 ERO

NNSY Process Improvement Program:“Transforming to Better Support the Fleet”

FY05 Lean Execution Summary:

Supportingthe Work

Executingthe Work

Support

1. Hotwork/Firewatch, C920

2. New Work, C1200

3. Resource Allocation, C900

4. Prioritization, C300

5. Topside Work Control, C246

6. Supervision/DSS, C900P

Execution MDs1. Shafting, C930 9K2. Hull/Sea Valves, C930 4.7K

Reboiler Retube, C930 3.1K3. Blow Down Trunks, 970 3.4K4. Reserve Feed Tanks, C970 5K5. A/C Conversion, C960 11K6. Smart Carrier, C950 9K

Focused Initiatives to Get There:

Norfolk Naval Shipyard Lean Transformation:“Providing More Maintenance for the Manday”

Bottom Line To Customer:Customer: ____MD reduction or “more work” NNSY NOR: Improved CP & FP Performance

Cost Performance(against barebones)

Schedule Performance(against CNO completion date)

920(structural)

930(Machine)

950(Electrical)

960(Piping)

970(Service)

7 K

ey

Pro

cess

es14

Sup

port

Pro

cess

es

CVN-68 Class Avails

CostPerformance

SchedulePerformance

QualityPerformance

SafetyPerformance

DrivingDown

Cost$$$

eee aaa nnnLLL eee aaa nnnLLL

USS TRUMAN (CVN-75) FY06 DPIA

Cost Schedule Quality Safety

WorkingToward

FRE

WorkingToward

FRE0.95

0.96

0.97

0.98

0.99

1.00

1.01

1.02

1.03

CVN-73FY98DPIA

CVN-71FY00PIA

CVN-73FY01PIA

CVN-75FY01PIA

CVN-71FY02PIA

CVN-73FY03PIA

CVN-75FY03PIA

CVN-71FY04DPIA

Scheduled Delivery

0.90

1.031.05

1.07

0.97

0.900.94

0.86

0.70

0.80

0.90

1.00

1.10

1.20

1.30

CVN-73

FY98DPIA

CVN-71

FY00PIA

CVN-73

FY01PIA

CVN-75

FY01PIA

CVN-71

FY02PIA

CVN-73

FY03PIA

CVN-75

FY03PIA

CVN-71

FY04DPIA

CP > .95(PMC/

Barebones)

SP > 1.0Meet or beat allMSs and KEs

20% Reduction in Deficiencies per 1000MDs

5% Reduction in Lost Workday Accident Rate

Good

Good

28

E A NLKeys to Success Engage Value Streams – Enterprise Level Focus on Results

Accomplish the RIEs and Projects – Change the Processes Redeploy People – Capture Cost Reductions

Formal Implementation Plan Roadmap – Standard / Consistent Implementation Creates Alignment and Support

Broad Focus Fundamental Business Strategy Way of Thinking – Culture Change

Training is Important – Build Self-Sufficient Infrastructure Sustained Leadership is Crucial

THINK LEAN

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NAVSEA Lean Transforming the Way We Work

Education