SBIR-STTR Award

Stock Churn in Allowance Lists
Award last edited on: 3/26/2019

Sponsored Program
SBIR
Awarding Agency
DOD : Navy
Total Award Amount
$83,319
Award Phase
2
Solicitation Topic Code
N88-052
Principal Investigator
William J O'Leary

Company Information

Optagon Systems Inc

5 Signal Hill Road
Cherry Hill, NJ 08008
   (609) 424-3298
   N/A
   N/A
Location: Single
Congr. District: 02
County: Ocean

Phase I

Contract Number: N/A
Start Date: 00/00/00    Completed: 00/00/00
Phase I year
1988
Phase I Amount
$48,345
A navsea fyb7 evaluation of cosal allotment shows up to 660m change in cosal may be unnecessary. This stock churn is a prime target of this study. Excess stock churn represents waste in the form of reduced readiness and ineffective investment. Stock churn will never be completely eliminated as long as there is change to the systems supported. However, an understanding of the causal factors in stock churn can lead to the identification of unnecessary change. Elimination or minimization of churn deriving from the unnecessary is the path to waste reduction. Success of this project would be manifested by an integrated managment system directed to the elimination of the causes of unnecessary chrun in the cosal generation and maintenance processes. The specific output of the project supportive of this objective would Include; decision criteria, standards, controls for input data, data quality procedures, and management change recommendations.

Phase II

Contract Number: N/A
Start Date: 00/00/00    Completed: 00/00/00
Phase II year
1989
Phase II Amount
$34,974
The conclusion of the Phase I tasks are that there is strong evidence of substantial churn associated with NIIN adds and deletes. It was further determined that this source of churn could be further focused by directing attention to a few key characteristics, namely: parts with a churn of + or - one spare and a unit cost greater than $1000. The cost impact of the addition and deletion of part number between the two years accounted for 75% of approximately 6 million churn dollars. This churn can be attributed to design change as evidenced by RIC changes or by part number (NIIN) changes. Phase II is directed to a further analysis of the NIIN changes and the definition of corrective action in the form of procedures, modification of management responsibilities and improvement in group interrelationships. Success of this project would be manifested by an integrated management system directed to the elimination of the causes of unnecessary churn in the cosal generation and maintenance processes. The specific output of the project supportive of this objective would include: decision criteria, standards, quality procedures, and management change recommendations.