Home' Army Acquisition Logistics and Technology Magazine : Army ALT January-March 2012 Contents 136 Army AL&T Magazine
Business transformation ini-
tiatives within the Assistant
Secretary of the Army for
Acquisition, Logistics, and
Technology (ASAALT), aimed at in-
creasing process efficiencies, improving
quality, and achieving significant cost
savings and cost avoidance, gained service-
and DoD-wide distinction Nov. 29, 2011,
at a Pentagon Lean Six Sigma Excellence
Award Program (LEAP) ceremony.
The ASAALT team received an HQDA
Level Organizational Deployment Award
for outstanding achievement of excep-
tional process improvement; Program
Executive Office Ammunition (PEO
Ammo) won the AR10-87 Level Orga-
nizational Deployment Award; and PEO
Combat Support and Combat Service
Support's Project Manager Joint Combat
Support Systems won an Enterprise Level
Project Team Award for Special Tools
Accountability, recognizing the team's
achievement of $92 million in financial
benefits and significant operational ben-
efits for maintainers.
"These awards recognize the work that has
resulted in real savings and getting busi-
ness processes to produce much better.
The challenges we face over the next few
years are pretty significant, so we need to
get our business processes better aligned
to gain greater efficiencies, employ best
practices, and gain lessons learned. Future
managers will benefit from their success,"
said Under Secretary of the Army Dr.
Joseph W. Westphal.
SAVINGS AND AVOIDANCE
Overall, ASAALT has been able to docu-
ment $19.4 billion in cost savings and cost
avoidance for FY11, broken down as $9
billion in savings and $10.4 billion in cost
avoidance, said Dr. Nancy A. Moulton,
Director for Business Transformation in
the Office of the ASAALT (OASAALT).
"We've been able to transform our
process and achieve high-level results.
We've doubled our quality in terms of
process output, and we have improved
the speed of our processes by a range
of 30 to 90 percent. We've significantly
improved quality, increased speed, and
reduced cost," said Moulton.
The bulk of the savings and cost avoid-
ance achieved in FY11 can be directly
attributed to the Better Buying Power
program spearheaded by the Office of
the Secretary of Defense (OSD). Better
Buying Power is a DoD-wide effort to
increase efficiency throughout the acqui-
sition process by building affordability
measures into the structure of programs,
increasing competition, improving pro-
ductivity, and lowering costs wherever
possible, Moulton explained.
"You can't improve and have savings with-
out fully understanding the processes
involved. You have to understand who
influences which parts of the process and
see what part you play in the process,"
said Lee Thompson, Deputy Assistant
Secretary of the Army for Strategy and
In total, $18.5 of the $19.4 billion in sav-
ings and cost avoidance was achieved as
a result of the implementation of Better
Buying Power practices.
"Better Buying Power is definitely gener-
ating unprecedented results. Leadership
is driving specific actions that are getting
done. There is emphasis from OSD, the
Army, OASAALT, and Ms. [Heidi] Shyu,
Acting ASAALT. Leaders have provided
specific targets, which were set---such
as the goal of achieving 3 percent effi-
ciency each year. This focus on results
and leadership engagement, combined
with workforce proficiency in continuous
improvement, united the whole organiza-
tion," Moulton said.
Army business transformation efforts
have been improved through use of a
single, central repository designed to
document all Army efficiencies, business
initiatives, and other quality improve-
ments. It is an information system known
Individual PEOs contributed substan-
tially to ASAALT's overall achievements
by implementing Better Buying Power
measures to improve the business manage-
ment of acquisition programs, eliminate
redundancies where possible, and maxi-
mize efficiency throughout groups of
PEO Aviation s effort to quickly field Raven
unmanned aircraft systems (UAS) was an LSS
project that contributed to the Army s cost sav-
ings and cost avoidance. Here, SPC Randall C.
Stone, Raven operator with the 1-148th Infantry
Regiment, 37th Infantry Brigade Combat Team,
launches a Raven UAS during training at the
National Training Center at Fort Irwin, CA, Dec.
9, 2011. (Photo by SGT Kimberly Lamb.)
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