Value Management Unit
Land and Maritime Value Management & Engineering (VE)
The Defense Logistics Agency (DLA) established this program to embrace numerous cost saving initiatives that have proven beneficial to the federal government, industry, the military services, and taxpayers. The VM program embraces initiatives directed at analyzing the functional requirements of systems, equipment, facilities, procedures, and supplies for achieving essential functions at the lowest total cost, consistent with the needed performance, safety, reliability, quality, and maintainability. Terms such as value analysis, value engineering, and value control are considered synonymous and the benefits of VM include:
. Improved competitive position
. Enhanced performance
. Better quality
. Relative ease of repair and replacement
. Elimination of unnecessary materials
. Standardization or simplification of operation
. Lighter weight
. Reutilization of materials
. Technology insertion
Land and Maritime Value Management & Engineering (VE) Programs
Additive Manufacturing (AM), often referred to as 3D printing, is the process of joining materials to make objects from 3D model data, usually layer upon layer, as opposed to subtractive manufacturing. Potential benefits include sourcing complex parts and those that are hard to source with traditional manufacturing techniques. AM can accelerate innovation by reducing cycle times and help remove barriers to entry. This technology has the potential to transform current supply chains and DLA is investing in various AM projects to support the integration of AM into the supply chain.
Phone: DSN: 850-7339 Commercial: 614-692-7339
The Organic Manufacturing (OM) program within DLA utilizes the OM process as a supplemental tool to the spares procurement process. The decision to use an in-house or organic source of supply may be based on high costs for low quantity purchases, long production lead-times by private industry, diminishing manufacturing sources, lack of bids from private industry, and material shortages (DMSMS). This program assists the Procuring Agency in establishing relationships with defense manufacturers, assesses expertise, confirms quality assurance and technical protocols for public manufacturing organizations and oversees project order implementation.
Phone: DSN: 850-7861 Commercial: 614-692-7861
Site: Organic Manufacturing Site Module
Note: Access required via AMPs
request. Call or email program for AMPs assistance or submission.
Request AMPS Role: VESTARS Prod - Organic Manufacturing Site VESTARS-113
Casting and Forging
Casting and Forging (CF) is a ManTech Research & Development program. Participants include DLA Land and Maritime, Aviation, military services, and members of the American Metalcasting Consortium (AMC). The consortium develops new metal-casting technology and processes to support DLA in the design, manufacture, and procurement of cast parts. AMC aligns metal-casting engineers and research institutions with its industrial partners to meet DLA’s need for reduced lead times, improved quality, and lower costs for military weapons systems.
View Casting and Forging Charts
Assistance Request Form
Phone: DSN: 850-8857 Commercial: 614-692-8857
Sustaining Engineering (SE) refers to technical activities that reduce the total ownership cost to improve the readiness of existing weapon systems. These activities can include updating designs, introducing new materials, or revising product, process, and test specifications. Many items require this type of engineering due to lack of sources, low reliability (high failure rates) and long production lead times. These efforts within DLA result in improved support and lower total ownership costs to the Military Services.
Phone: DSN: 850-8657 Commercial: 614-692-8657
Reverse Engineering (RE) is a process used to gather required data to adequately determine how an item is manufactured. This process involves a variety of engineering disciplines to evaluate structural, dimensional, and functional properties of a component or technology. This allows DLA to better understand a system's form, fit, and function. DLA parts are examined and analyzed to determine how they are manufactured for the development of a complete technical data package (TDP) to make the item more competitive and provide better value to the warfighter.
Phone: DSN: 850-5845 Commercial: 614-692-5845
Value Engineering Proposals
A Value Engineering Proposal (VEP) can be initiated and implemented in three ways. One type originates and is implemented solely within the federal government. The second type is a contractor proposal and may be achieved as a unilateral contractor action. Contractor proposals consist of alternate items or technical data packages based on contractor reverse engineering efforts. The third avenue is where a contractor is hired to perform VE for the government.
Value Engineering Proposals Form (Form 118)
Phone: DSN: 850-5751 Commercial: 614-692-5751
Value Engineering Change Proposals
A Value Engineering Change Proposal (VECP) is a formal recommendation submitted by a contractor under a current contract that suggests a change and must meet two primary requirements:
• It must require modification of the contract under which it is submitted
• It must provide an overall cost savings to the federal government, if accepted and implemented.
This program was created to stimulate contractors to perform VE and to develop and submit their proposals. The contractors’ enthusiastic participation is the vital ingredient to the success of our program. DLA wholeheartedly encourages contractors to share with us the benefits of VECPs and thereby create opportunities to earn profit savings.
Replenishment Parts Purchase or Borrow
Replenishment Parts Purchase or Borrow (RPPOB) commonly referred to as the Bailment Program permits a U.S. Domestic business to visually inspect, borrow, or purchase government owned material to replicate (reverse engineer) the item and become an alternate source of supply. May result in a Source Approval Request (SAR).
View RPPOB Process Charts
The RPPOB Candidate List
is a list of Potential RPPOB candidates identified by the DLA Land and Maritime Value Management office. This list will be updated regularly with NSNs that DLA Land and Maritime would like to increase competition for.
Users can access the public site in requesting parts and check current status by accessing the RPPOB Site. Note: Access required via AMPs
request. Call or email program for AMPs assistance or submission. Request AMPS Role: RPPOB Prod - RPPOB Vendor RPPOB-100
Phone: DSN: 850-3235 Commercial: 614-692-3235
Site: RPPOB Site
Source Approval Request
Source Approval Request (SAR) package is an assembly of information required of a prospective new supplier for a specific item that is currently procured as other than full–and–open. A SAR contains all technical data needed to demonstrate that the prospective contractor can competently manufacture the item to the same level of quality or better than the approved source. SAR package submittals need to be in accordance with the SAR guide checklist.
Source Approval Information
View SAR Charts
View SAR Basic Flowcharts
View Source Approval Request (SAR) Guide
View Source Approval Request (SAR) Template
SAR Opportunities/Limited Source NSN Listing
The below Limited Source NSN Listing was created to identify items where the government would like to develop competition. The list excludes AMSC T (mil-spec) or AMSC G (complete data package). The list contains NSNs with only 1-2 Listed Manufacturers with FSC and NIIN, Item Name, Stock Availability and Open Purchase Requests with Corresponding Quantities. Note: All NSNs have an Annual Demand Value (ADV) >$10K, and do not currently have an Open Value Engineering Project.
COMPLETE LIMITED SOURCE NSN LISTING
The purpose of Breakout is to break away from sole source procurement. This program involves the technical review (screening) of an item that may result in an improvement of its acquisition status. The Breakout objective is to reduce costs through the use of competitive procurement methods or the purchase of parts directly from the actual manufacturer rather than the prime contractor. The integrity and quality of the item is maintained to ensure the safety and reliability of the systems and equipment into which it will be installed.
Price Challenge (PC) program raises the overall awareness of potential material overpricing/overcharging. The program puts the customer first through a process that allows individuals to submit suggestions, questions, or recommendations on issues of procurement actions or pricing. Price challenges allow the Defense Logistics Agency (DLA) customers to alert the Inventory Control Points about possible overpricing which enables continuous improvement of DLA processes by acting upon this customer feedback. In addition, the program improves customer satisfaction in meeting readiness and weapon system acquisition support requirements at the lowest possible cost.
Phone: DSN: 850-8840 Commercial: 614-692-8840
Site: Price Challenge Submission Form
Note: Access required via AMPs
request. Call or email program for AMPs
assistance or submission.
Should Cost (SC) are independent government estimates to determine the cost for manufacturing the part. Through this process, various scientific, engineering, and other technical disciplines determine the estimated reasonable price of an item. This determination considers, among other factors, the materials used in the item, the processes used to manufacture, assemble, inspect, preserve, and the labor resources (skills/numbers) to produce the item. The program seeks to ensure the contracting officers will initiate all procurement actions with sufficient price data to assess the reasonableness of any offers.
Phone: DSN: 850-7784 Commercial: 614-692-7784
Site: Should Cost Submission and Lookup Form
Note: Previous Should Costs can also be looked up with this form. Access required via AMPs
request. Call or email program for AMPs
assistance or submission.
In-Direct Cost Reduction Savings
In-Direct Cost Reduction Savings are actions taken by individuals outside of VE that contribute toward government/taxpayer savings. These claim submittals pertain to sole source breakout, utilization of surplus/excess material, drawing/specification changes, price negotiations, cancellation of material, etc. Each individual within DLA is recognized for their contribution at different million dollar saving thresholds under the Million Dollar Club.
Engineering Support Program offers engineering and technical assistance on Land and Maritime managed NSNs. Some of the services offered to our internal and external customers pertain to military service collaboration, weapon system upgrades, integration of new technology, reconcile testing discrepancies, expertise in the areas of production /manufacturing processes, commodity logistics support, Source Approval Request management, etc.
Forms & Program Information
- Increase Competition - The Limited Source NSN Listing was created to identify items where the government would like to develop competition. The list excludes AMSC T (mil-spec) or AMSC G (complete data package). The list contains NSNs with only 1-2 Listed Manufacturers with FSC and NIIN, Item Name, Stock Availability and Open Purchase Requests with Corresponding Quantities. Note: All NSNs have an Annual Demand Value (ADV) >$10K, and do not currently have an Open Value Engineering Project.
- NOTICE: New DLA Land & Maritime contracting guidance establishes a preference for multiple awards when an alternate source is approved through the SAR process on an item that was previously purchased non-competitively. Multiple awards will be considered if, after considering the additional administrative costs and other relevant factors, it is in the Government's best interest to do so. Additional information about this award preference will be included in solicitations in which the preference applies.
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Last Updated: 11 JUL 2018