Fri, Apr 04, 2014
Airplane Manufacturer Gets A Pat On The Back For $11.5 Billion Cost Reduction ... And A Kick In The Behind For Slow Deliveries
Called the most expensive conventional weapon program history, the Lockheed Martin F-35 program has managed to reduce its costs by $11.5 billion, according to the Government Accountability Office’s definitive annual Assessment of Selected Weapons Report. Lockheed Martin got a pat on the back for cost reductions, but the GAO is not happy with delivery delays.
Here’s what the GAO had to say, “The contractor uses statistical process controls as one means to assess critical manufacturing processes. Twenty five percent of those processes are currently judged capable of consistently producing quality parts at the best practice standards. Production efforts have improved as the production line continues to show efficiencies and quality metrics show positive trends.” This was the “pat on the back” part of the report.
On the other hand, you know you’re in trouble when the word, “however,” shows up in a report. The report continues, “However, in 2013, problems with engine hoses, engine turbines, and specialty metals halted production deliveries for three months. In 2013, 35 planes were delivered to the government—eight less than originally planned. Aircraft deliveries were postponed for one month while the runway at the final assembly facility was resurfaced.”
It looks like Lockheed Martin has gotten out of the $1,000 toilet seat and $800 wrench business. Now they just need to learn how to read a calendar.
(USAF Image)
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