Clothing & Textiles

Update to AAFA

COL Paul Diamonti, USADirector

Why We’re Here ……

I MEF Protection Initiatives

Why We Need Your Support …

SALES:

FY 01 - $1.2BFY 02 - $1.5BFY 03 - $2.1BFY 04 - $2.6BFY 05 - $2.5B

INVENTORY:

FY 01 - $1.2BFY 02 - $1.1BFY 03 - $1.0BFY 04 - $1.4BFY 05 - $1.4B

PEOPLE:

Customers – 14,000

Vendors – 220

Employees – 295(+ 2 Europe, + 50 interns)

MAGNITUDE:3,600,000 orders per year-31,000 different items-$2,000,000,000 spent each year- FY$2.08B

FY05 – The C&T Big Picture

50

100

150

200

250

300

350

400.0450.0500.0550.0600.0650.0700.0750.0

800.0850.0900.0

Net Demands @ Cost 189.5 194.8 110.7 153.3 184.2 212.9 105.3 125.9 94.7 122.1 176.5 292.1

Net Sales @ Cost 174.7 203.7 164.5 172.4 144.1 210.9 159.9 176.5 176.5 181.3 207.7 250.0

Backorders @ Cost 846.6 837.6 783.9 764.8 805.0 807.0 752.4 701.8 620.1 560.8 529.6 571.7

OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP

Demands/Sales/Backorders @ Cost

C&T – FY05 Budget ExecutionC&T – FY05 Budget ExecutionC&T – FY05 Budget ExecutionC&T – FY05 Budget Execution

Backorders @ Cost (9/30/04)… $831.8M

Month Only

Cumulative Balance

FY05Net Demands @ Cost.… $1,962.1M Net Sales @ Cost……… $2,222.1MBackorders @ Cost……… $571.7M

C&T sold off some of their backorders

0

25

50

75

100

Oct-0

4

Nov-0

4

Dec-0

4

Jan-0

5

Feb-0

5

Mar-0

5

Apr-0

5

May-0

5

Jun-0

5

Jul-0

5

Aug-0

5

Sep-0

5

Oct 04 23.3 K

30 K

Sep 05 14.7 K 10 K

ThousandsThousands BO Goal: 75.9KBO Goal: 75.9K

BO > 180 Goal: 15.3KBO > 180 Goal: 15.3K

Oct 04 650 M

800 M

Sep 05 524.8M

450 M

Backorders $$Backorders $$

Backorders > 180Backorders > 180

Data Source: EIS PortalOct 04 – Jan 05 backorders are from the R3 DORRA interface

Backorders On Hand

Logistics ChallengeOEF / OIF

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

O03

N D J F M A M J J A S O N D J04

F M A M J J78.0%

80.0%

82.0%

84.0%

86.0%

88.0%

90.0%

92.0%

94.0%

96.0%

Demands Supply Availability

Demand is Erratic

Average Monthly Demand

Item Prior to OEF FY 04 FY 05Boots Hot Weather Desert 5,000 82,600 36,674

Coat/Trousers Desert 17,250 160,000 125,335

Boots Intermediate Cold Wet 9,392 24,000 7,648

Hat Camouflage Desert 7,000 90,000 19,253

Clothing & TextilesThe BIG Picture

PGC Net Sales Item1 02780 $92.0M Insert, Small Arms Protective2 02637 $46.4M Parka, ECWCS, Desert3 02934 $43.9M Body Armor, Outer4 21266 $32.5M Modular Sleep System5 01973 $19.7M Helmet, Ground Troop6 02671 $18.8M Trousers, Cold Weather7 02147 $15.4M Boots, Hot Weather8 02665 $14.5M Shirt, Cold Weather9 20187 $ 6.9M Tent, Personnel, Ext Mod

10 02926 $11.9M Boots, Combat

OEF / OIFTop Sales Items

• Currently Working– ‘Chocolate Chip’ Desert Uniform

• Initial Requirement: 280K sets Coats/Trousers• 242K sets delivered; shipping 40K sets/month thru Oct 2005

– 50 other items• Boots, Helmets, Cold Weather Items,

Tents, Gloves, Duffel Bags, Berets, ECWCSBerets

Delivered 172K ($1.7M)Flash removal – 25K/month

Winter Aviator Gloves

164K order; RFI Item; Delivered 4K ($153K)

Delivered 80K Trousers, 88K Parkas

($21.8M of ECWCS)Delivered 131K

($8.7M)Hot Weather Boots

Totals to date:$136M ordered / $90M filled

Delivered38K ($1.3M)

Poncho Liners

Delivered 47K ($2.2M)Ponchos

" I wanted to thank you for DLA’s assistance in helping advance the ball so substantially. DLA has been a key element in what we’ve been able to accomplish, and the progress in recent months had been particularly noteworthy. Purchasing stocks through DLA channels has consistently provided us with high quality items that are delivered on time and to the desired location. " - LTG David Petraeus, April 22, 2005. . . Email to VADM Lippert, Director, DLA

Support to MNSTC-I

• DSCP solution:• Use an existing web-based program which currently supports 631,000 Guard/Reservists

Serves 360K Army National Guardsmen ANG saving $10M / year

•Test Case: 7 Units deployed in Iraq• Ran from Jun-Oct 2004• Very Successful – all orders filled complete

• 311 orders worth $36K• Expansion on-going

• Afghanistan (16K soldiers) & Horn of Africa (100 soldiers); 78 units ordering• 100% Fill Rate, CWT of 15-17 days –Next Step• Phase 2 expansion underway• Sustainment vehicle; OCIE CONUS support

28 total items: Boots, Caps, Hats, Cold Weather Coats,BDU Coats/Trousers, Helmet Covers & more…

1. Deployed Soldier Needs

Item

3. Places OrderVia Army

KnowledgeOn-Line

2. AccessesInternet

4. Order ReceivedStateside at DSCP site(KyLOC)

5. Items Picked;Patches / Insignia

Sewn on

6. Order ShipsVia US

Postal SystemTo Individual

Soldier

CSA authorized a test of Internet ordering capability

Additional Desert Patch awards allowing GuamNatl Guard unit in Horn of Africa to order/ receive.Prior sustainment was of void of approx 8 months.

Army Direct Ordering (ADO)Web-Based Logistics

BSM Update

D/DD DSCP

Army Recruit Cell

Navy Recruit Cell

USMC Recruit Cell

AF Recruit Cell

USCG Recruit Cell

Army CIF Cell

USMC, Navy, USCG OCIE Cell

Recruit Customer Facing Division

Clothing Sales Stores Cell

National Guard & Reserves Cell

AF IEE Cell

Dress Clothing IPT

Field Clothing IPT

Organizational Clothing IPT

Individual Equipment IPT

Clothing & Textiles Customer Operations DirectorateDirector Paul C. Diamonti, Mil 0-6

Deputy Director Gary Shute, GS-15

OCIE Customer Facing Division

Other Customer Facing Division

Other C&T Customers Cell

Operating Forces Support Team

Other & FMS Support Team

Installation Support Team

Item Planning Division

Customer Support DivisionSee DSCP Customer

Operations Directorate

Left Side

Clothing & TextilesCustomer Operations

Gloves/Wet Weather IST

D / DD DSCP

Dress Uniforms IST

Outerwear IST

Dress Shirts/Headwear

Footwear IST

Battledress IST

Accessories IST

Chemical IST

Product Services Branch

Organizational Clothing Division

ECWCS

Individual Equipment Division

Safety IST

Individual Equipment IST

Tentage & Shelters IST

Heraldics IST

Product Services Branch

Product Services Branch

Product Services Branch

Non-NSN IST

Coverall/Special Purpose IST

Dress Clothing Division Field Clothing Division

Supplier Support DivSMSG

Clothing & Textiles Supplier Operations DirectorateDirector Dennis Dudek, GS-15

Deputy Director Sally DiDonato, GS-15

RightSide

Clothing & TextilesSupplier Operations

Release 1.0 (Aug 2002) Included sampling of most of DLA business C&T was NOT included due to distribution methods

Release 1.1 – Battledress Uniform (and Subs) Went live: 1 December 03 For C&T, 700 NSNs, $220M

Release 2.1.1 Flags & Insignia Went live: 1 Jan 05

Release 2.1.2 Chemical Suits Went live: 1 Apr 05

Release 2.1.3 Tents Went live: 1 Jul 05

What’s Next? Nov 05 – Accessories

The FutureBusiness System Modernization

What’s Left?

Mar 06 – OCIEJun 06 – Dress ClothingAug 06 - Footwear

Dollars, and Sense…

Recruit CBU PlanKey Drivers $M

As of Oct 7

ACU $395.5

Footwear $296.8

PT/PFU $95.7

Dress Clothing $61.7

Other $36.7

BDU/DCU $35.4

MCCU $28.7

Total $950.5

OCIE CBU PlanKey Drivers $M

As of Oct 7

SAPI $175.2

MOLLE $97.0

OTV $78.8

ECWCS $71.9

ABDU/Coveralls $61.6

Others $56.8

Helmets $54.5

Carriers/Trunks $53.0

Mod Sleep Sys $46.0

Gloves $42.0

WW Gear $19.0

Mattresses $10.0

Safety Gear $7.2

Total $773.0

Readiness CBU PlanKey Drivers $M

As of Oct 7

JSLIST $373.7

Tents $178.0

Other $6.7

66P Coveralls $6.6

Chem Gloves $1.0

Total $566.0

• Professional Dedicated Workforce

• Professional Dedicated Industrial Base

• Collaborative Industrial Base Management

• Aggressive Supply Chain Execution – Tailored Logistical Support

Focus on getting the Warfighter what they need, when they need it, wherever they need it

Clothing & TextileWhat We Like to Leave You With …