News

The Road to a Billion and beyond: Robins contributes nearly $120 million to AFSC initiative

  • Published
  • By Jenny Gordon
  • Robins Public Affairs
Since the "Road to a Billion and Beyond" initiative began in early 2013, Robins Air Force Base has continued finding ways to be more efficient and cost-effective.

To date, a total of $119.94 million has been saved at Robins, with $103.9 million from the Warner Robins Air Logistics Complex, and $16.04 million from the 78th Air Base Wing. 

It's been an ongoing effort to incorporate a cost-conscious culture within Robins, and it's agreed that the base is headed in the right direction.

"We're doing well because this is changing the culture of our workforce," said Tim Avera, WR-ALC Financial Management director. "What this initiative has done is giving people the understanding that every action has a financial implication." 

Based on the workload produced during fiscal 2014, it cost the maintenance complex $1.5 billion to do business last year.

In the complex during fiscal 2014, operating that business resulted in about a $45 million savings, most of that through material requisitions, and reviewing and reconciling ordering procedures to make sure charges were correct. 

For example, $10.8 million in government material obligations was saved as a result of an analysis of aged material backorders. 

And direct and overhead labor costs contribute to some of the largest expenses at Robins. 

"If we can streamline processes so that we can eliminate one hour a day of non-value added work or waste within a process, that's a 12-percent improvement," he said. 

"If we can operate to get one extra hour of productive time versus non-productive time ... that's massive when you look at the magnitude of what we do here." 

With limited resources going forward, by increasing this productivity and generating more revenue for the base, it reduces future year sales rates. This AFSC initiative is one that can influence the sales rates. 

"How we've looked at this is by asking the question - is the culture that we're changing having and impact here?" he said. "Ultimately the best sign of success is asking how can I reduce my future rates to my customers?" he said. 

According to Avera, the complex was able to reduce its fiscal 2016 sales rates to its customers by 8.9 percent. That is a composite number of several different factors, including various rates charged for airframes, commodities, software, etc.  

"What that gives the Air Force is additional buying power. The more we can reduce our sales rates, the more air power that can be inducted into the depot," he said. "The whole Road to a Billion and Beyond culture is really the end product of 'Can I give the Air Force more buying power?'" 

Taking a look in the 78th ABW, validated initiatives for fiscal 2014 stood at $2.84 million.

Dollar amounts are measured by hard savings, cost avoidance or cost opportunity savings.

Among recent projects: A $1.32 million cost avoidance from the 78th Civil Engineer Group by changing 12 generator status permits from 'peak energy shaving' to 'emergency-use only' generators, avoiding costly modifications to generators not used in peak energy shaving.

Another project included $460,000 in combined cost avoidance and maintenance cost savings to eliminate an outdated aircraft arresting system; $450,000 in annual cost savings from the 78th Logistics Readiness Squadron by providing vehicle operations through organic resources instead of contracted maintenance; and lastly, a $400 cost avoidance in fuel transportation reductions by using a closer pump house.

Each of those efforts was initiated at the lowest echelons in the organizations by individuals making every dollar count and using continuous process improvement in everyday operations. 

Overall, the Air Force Sustainment Center has reached a cost-savings, cost avoidance of more than $1.08 billion.