AnApproachtoLife-CycleManagementofShipboardEquipmentBradleyMartin,RolandJ.Yardley,PhillipPardue,BrynnTannehill,EmmaWesterman,JessicaDukeCORPORATIONFormoreinformationonthispublication,visitwww.rand.org/t/RR2510LibraryofCongressCataloging-in-PublicationDataisavailableforthispublication.ISBN:978-1-9774-0144-1PublishedbytheRANDCorporation,SantaMonica,Calif.©Copyright2018RANDCorporationR®isaregisteredtrademark.Cover:HullMaintenanceTechnicianFiremanCherryBrowngrindsmetalaboardtheUSSArleighBurke(U.S.NavyphotobyMassCommunicationSpecialistSeamanRaymondMaddocks).LimitedPrintandElectronicDistributionRightsThisdocumentandtrademark(s)containedhereinareprotectedbylaw.ThisrepresentationofRANDintellectualpropertyisprovidedfornoncommercialuseonly.Unauthorizedpostingofthispublicationonlineisprohibited.Permissionisgiventoduplicatethisdocumentforpersonaluseonly,aslongasitisunalteredandcomplete.PermissionisrequiredfromRANDtoreproduce,orreuseinanotherform,anyofitsresearchdocumentsforcommercialuse.Forinformationonreprintandlinkingpermissions,pleasevisitwww.rand.org/pubs/permissions.TheRANDCorporationisaresearchorganizationthatdevelopssolutionstopublicpolicychallengestohelpmakecommunitiesthroughouttheworldsaferandmoresecure,healthierandmoreprosperous.RANDisnonprofit,nonpartisan,andcommittedtothepublicinterest.RAND’spublicationsdonotnecessarilyreflecttheopinionsofitsresearchclientsandsponsors.SupportRANDMakeatax-deductiblecharitablecontributionatwww.rand.org/giving/contributewww.rand.orgPrefaceNavyshipsareacomplexcombinationofdifferentsystemsandpiecesofequipment,rangingfromhullstructuretotankagetoindividualcomponentsofcombatsystems.Allthesesystemshavemaintenance,training,andsupplyrequirements,someofwhichareknownandsomeofwhichariseunexpectedly.Navyprocessesformanagingthesesystemlifecyclesarenotefficientlyorganizedandresultinseamsbetweenshipsinnewconstructionandthosealreadyinservice.Thisreportreviewsandassessesthelife-cyclemanagementofequipmentinstalledonU.S.Navyships,andrecommendsmanagementproceduresforimprovingthereadinessofthisequipment,increasingitsefficiency,andreducingsustainmentcosts.ThisresearchwassponsoredbyProgramExecutiveOffice(PEO)ShipsandNavalSeaSystemsCommand(NAVSEA)andconductedwithintheAcquisitionandTechnologyPolicyCenteroftheRANDNationalDefenseResearchInstitute,afeder-allyfundedresearchanddevelopmentcentersponsoredbytheOfficeoftheSecretaryofDefense,theJointStaff,theUnifiedCombatantCommands,theNavy,theMarineCorps,thedefenseagencies,andthedefenseIntelligenceCommunity.FormoreinformationontheRANDAcquisitionandTechnologyPolicyCenter,seewww.rand.org/nsrd/ndri/centers/atporcontactthedirector(contactinformationisprovidedonthewebpage).iiiContentsPreface.................................................................................................iiiFiguresandTables...................................................................................viiSummary..............................................................................................ixAcknowledgments...................................................................................xvAbbreviations.......................................................................................xviiCHAPTERONEIntroductionBackgroundandPurposeTheOrganizationalChallengeReportOrganizationCHAPTERTWOEmpiricalTrendsinLife-CycleManagementComponentsofShipLife-CycleCostWhatDoWeKnowAbouttheSustainmentPhaseofLife-CycleManagement?CHAPTERTHREENewShipConstructionTheNewShipConstructionProcessTheLinkBetweenNewConstructionandSustainmentNewConstructionIssuesAffectingLife-CycleManagementCHAPTERFOURImprovingtheShipEquipmentLife-CycleProcessTheOrganizationalProblemDataCompatibilityIssuesFundingandIncentiveStructuresOrganizationalStructureMakingtheCaseforConsideringSustainment:ARolefortheSurfaceMaintenanceEngineeringPlanningProgramv