Life Cycle Management: Life Cycle Cost of Warships in Naval Programs of Italian Navy

PAOLO TRESCA

Italian Navy

ABSTRACT

INTRODUCTION
Budgets for defense equipment are shrinking and human resources are becoming more critical,while the life cycle needs to face new threats are increasing. This requires a life cycle management approach for Warshipsdevelopment, production and in-service support,in order to achieve the best balance between effectiveness and costsall along the life cycle.Since this objective can be embodied by the “ratio” between the Operational Availabilityof the Primary System(e.g. the ship) and the Life Cycle Cost of the Operating System (e.g. ships plus associated support system), these two figures were identified as requirements and control measures for the "through-life management" of the Fleet.

LCC
Current acquisition programs of complex systems such as a new warships or aircraft should be based on a LCM paradigm because it has become increasingly important to be able to evaluate, from the concept/design phase, all the support needs - in terms of data, materials, personnel andtraining, and tools & means, facilities etc. - together with associated financial resourcesin order to make them availablewhen needed during the life cycle.
That is to evaluate and provide for the financial sustainability of the operating system (e.g. the ship plus support system).
The Italian Navy, for the latest generation of “Operating Systems”such as FREMM, PPA, LSS etc., took up the ambitious goalto evaluate and measure their sustainabilitystarting from the acquisition phases, as well as to purse it throughout the entire operating life of the Ships.
The Italian NavyLogistic Command, together with national naval industry, has developed innovative methods and skills for the assessment of the "life cycle cost" of the Naval Instrument.