Supplying Principles and Practices > USPS Supplying Practices Process Process Step 5: Measure and Manage Supply > Implement Life Cycle Support Plan
Implement Life Cycle Support Plan
Typically, life cycle support plans are used when the Postal Service
purchases products, not services, and span the time from product conception
to product retirement, with more than 80 percent of the total cost of
ownership being in the postpurchase phases. The life cycle support plan is a
component of the purchase plan, and is a dynamic document that guides the
project throughout its entire duration and is revised as more detailed
information becomes available.
The Purchase/SCM Team determines which products call for the
development of a life cycle support plan in the Develop Life Cycle Support
Plan topic of the Develop Sourcing Strategy task of Process Step 2: Evaluate
Sources. It is essential to note that a life cycle support plan is not appropriate
to all purchases, but should be developed for products of considerable
nature, scope, and complexity (e.g., for high-value and very complex
products). Whether such a product is purchased from a supplier or made by
the Postal Service, during its life cycle development, quality, cost, schedule,
and user requirements must be considered at all phases. The plan is
continuously updated as more detailed information becomes available.
A life cycle support plan clarifies the project lifespan of the product. An
effective implementation of a life cycle support plan:
• Enables the Postal Service to reduce complexity, decrease life
cycle costs, and allow for the focusing of all efforts toward
providing best value to the Client
• Is instrumental in the development of the statement of work
(SOW) and, if applicable, the decision analysis report (DAR)
• Assists the planning of future purchases
A cross-functional team, comprising the Purchase/SCM Team and members
of the areas appropriate to the product, implements the activities in the life
cycle support plan. This Team is commonly referred to as the "Life Cycle
Management Team." The Life Cycle Management Team comprises
approximately 5-10 members and typically includes:
• Market Analysts
• Pricing Analysts
• Item Managers
• Individuals from Quality Assurance, Finance, Sales, Supply
Management, and Engineering (whose functions include
hardware/software design, configuration management,
acceptance and performance testing, maintenance, and process
development)
Degrees of management and responsibility for the plan will transfer to these
different members, depending upon the phase of the process.
The Life Cycle Management Team creates an integrated, well-planned
deployment of the product that can be economically and efficiently supported
throughout its life cycle. During the Production and Deployment phase, the
life cycle support plan is revised to reflect actual operational experience.
Detailed maintenance support plans are prepared during the production and
deployment phase. As information becomes available from the testing and
operation of the product, the life-cycle support plan is validated and revised to
reflect the most effective operation and support. All members of the Team
implementing the life cycle support plan participate in this effort to ensure an
integrated approach to issue resolution.
The Life Cycle Management Team collects data on the asset's performance;
improvements are suggested, made, and managed; and new operational
data are collected. Operations continue while a decision is made to redeploy
or dispose of the product. If the product is modified or overhauled, life cycle
support planning reenters the planning cycle in the concept phase, and the
plan is updated to include overhaul or modification schedules. If there are
plans to retire or relocate the asset, the asset's life cycle enters the
Relocation/Disposal Planning phase.
The life cycle support plan incorporates the information gained during the
deployment of an asset or from a modification, specifically information
relating to maintenance, reliability, parts provisioning, and training. These
data and operational data are compiled and included in the finalized life-cycle
support plan.
Disposal is the final phase of the life cycle and can pose significant economic
and social risks to the Postal Service.
The Life Cycle Management Team will meet to develop a disposal plan that
will be added to the life cycle plan. A method of disposal is chosen because
assets, especially physical assets, can still offer value from resale,
remarketing (selling back to the Supplier), or even donation to social
organizations or international postal partners.
There are a number of ways for the Postal Service to dispose of assets,
which are summarized in the Dispose topic of the Implement Investment
Recovery Plan task of Process Step 6: End of Life.
Develop Life Cycle Support Plan topic, Develop Sourcing Strategy task,
Process Step 2: Evaluate Sources
Dispose topic, Investment Recovery task, Process Step 6: End of Life
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