VIRGINIA Class Submarine

Cost Reduction Effort

Presented by Joel Binder

December 5, 2007
EMSE 231
Program and Project Management
Professor Jim Collins

Approved for Public Release

 Introduction to Submarines
Ballistic Missile Submarine
(SSBN)
– OHIO Class
• Length: 560 feet
• Beam: 42 feet (10.1 meters)
• Displacement: 18750 t
submerged
– Patrols oceans on strategic
deterrence missions
– Four SSBNs converted to
SSGNs
Fast Attack Submarine (SSN)
– VIRGNIA Class
• Length: 377 feet
• Beam: 34 feet (10.1 meters)
• Displacement: 7800 t
submerged
– Open ocean and littoral missions
– Cost Reduction Program
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 Fast Attack Submarine Classes

LOS ANGELES Class SEAWOLF Class VIRGINIA Class

Length: 360 feet (109.7 meters)
Beam: 33 feet (10.1 meters)
Displacement: 6,900 t submerged Beam: 40 feet (12.2 meters)
Speed: 25+ knots
Ships: 688 and 688(I) – 46 total
Crew: 153 (total) 134 (deployed)
(14 Officers, 120 Enlisted)
Length: 353 feet (107.6 meters)
USS JIMMY CARTER - 453 feet
Displacement: 10,248 t submerged
USS JIMMY CARTER - 12,151 t
Speed: 25+ knots
Ships: USS SEAWOLF (SSN 21)
USS CONNECTICUT (SSN 22)
USS JIMMY CARTER (SSN 23)
Crew: 145 (total) 134 (deployed)
(14 Officers, 120 Enlisted)
Length: 377 feet (114.91 meters)
Beam: 34 feet (10.36 meters)
Displacement: 7,800 t submerged
Speed: 25+ knots
Ships: USS VIRGINIA (SSN 774)
USS TEXAS (SSN 775)
USS HAWAII (SSN 776)
Seven ships under construction.
Crew: 134 (total) 118 (deployed)
(14 Officers, 104 Enlisted)

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Design Requirements:
• Design for stealth
performance equal to
SEAWOLF Class
• Make the design flexible
enough to adapt to changing
missions
• Build in capability to accept
future technology upgrades
• Be affordable; Required
trading off speed, depth, and
payload capacity
Platform Description
Characteristics:
• Length: 377 Feet
• Beam: 34 Feet
• Displacement: 7800 LT
Submerged
• Test Depth: > 800 Feet
• Speed: > 25 Knots
• Weapons Launchers:
4 Horizontal, 12 Vertical
• Accommodations: 119
total berths; 118 crew
deployed
Features: Key Performance
• Lock-in/Lockout Trunk Parameters:
• Next generation • Radiated noise
propulsor • Active target strength
• Reconfigurable • Electro-magnetic quieting
torpedo room • Non-acoustic signatures
• Modular Isolated Deck
• Flank speed
Structure (MIDS)
• Torpedo launch rate
• Payload
• VLS missile cells
• Test depth
• Endurance
• Net ready
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 New Technology on the
Baseline VIRGINIA Class

Advanced Seal Delivery System Capable DDS Capable Weapons

Lock-In / Lock-Out Chamber Logistic Shipping
Plug Trunk Hatch
Universal
(LPT) Modular Masts
Lockout
Logistic Escape Trunk Trunk
(LET) (LOT)
Sail
Array
Sonar
Sphere

Wide Aperture
Array Panels High Frequency
Chin
Array
Reconfigurable
12 Vertical
Torpedo Room SOF Control Launch System
Station Canisters
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 Multiple Mission Capability to Counter
Multi-Faceted Threats

Supporting Sea Power 21 concepts: Sea Shield by control of the seas and sustained littoral access;
Sea Basing as a sovereign platform capable of deploying Special Operations Forces (SOF); and
Sea Strike through information superiority and flexible strike capabilities.

Sea Shield Sea Basing Sea Strike

Anti-Surface Ship Warfare Covert Mine Warfare Battle Group Support

Anti-Submarine Warfare Covert Intelligence/ Covert Insertion, Support & Power Projection
Surveillance & Extraction of SOF
Reconnaissance

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 VIRGINIA Program Overview

• Innovative design and construction arrangement

– Integrated Product and Process Development (IPPD) environment
– Shipbuilders―General Dynamics, Electric Boat (EB) and Northrop
Grumman Newport News (NGNN) are the design and construction
team; EB is prime contractor

• Thirty ship program

– 10 ships under contract including 3 ships delivered and 6 ships under
construction

• Cost Prohibitive
– Target price was to be $1.8 Billion per ship compared to the $2 Billion
SEAWOLF
– Actually cost $2.4 Billion in 2005 dollars.

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 VIRGINIA Class Submarine Cost Reduction

3 Element Strategy
• 7 Ship Multi-Year Procurement
Contract (Block III)
– Legislative Proposal along with
Presidential Budget
• Construction Performance
– 84 to 60 months
– Capital Expenditure Program
• Design for Cost Reduction
$600M FY08-FY13 Program

Reducing Cost Without Reducing Capabilities

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 VIRGINIA Cost Reduction Status

Target is $2B in FY05$ by FY12

Milestones (FY05$)
$2.4 B 7 Ship MYP Contract (Block III)
Transition to 2/yr VA in a MYP contract with EOQ material buys
$200M Anticipated to achieve savings of $150M to $200M per hull
No further initial investment required to achieve this savings
Confidence this savings can be delivered is high

Proposed Potential Realized

$2.2 B Investment /ship /ship
Construction Performance
$150M Work Share Allocation: NA $50M $10M
Producibility: NA $10M $5M
Capital Expenditures (CAPEX) NA $15M $8M
Construction Span Reduction (84 to 60) $15M $55M $0M
NPES Initial Outfit $10M $20M $0M

$2.1 B
Design for Proposed Potential Realized
Cost Reduction Investment /ship /ship
$150M Capability Neutral ~$500-600M $150M $9.2M
Capability Reduction $TBD $TBD $0M

$2.0 B

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 Construction Performance
CAPEX (Capital Expenditure) Project
• Special incentive in Block II contract
– Provides $91M (funds available) for shipyard
projects that facilitate reduced construction cost
• 9 projects approved to date, 4 complete
• Total cost $61.2M on approved projects; total savings of
$416.2M on approved projects
VIRGINIA
Project
Class
Project Description Locn Investment
Savings
($ in Millions) ($ in Millions)

Sheetmetal Light Fabrication Facility Project EB $9.4 $31.0

NGNN Modular Outfitting Facility Upgrade NN $7.1 $41.2

Module Transportation Project EB $13.1 $98.6

Horizontal Machining Center Upgrade NN $0.6 $4.7
Quonset Point Coating Facility Project EB $9.3 $139.5
Pre-launch Final Assembly Facility (B260)
EB $18.2 $81.3
Upgrade Module Transportation Project Sheetmetal Light Fabrication
Multi-Purpose Portable Enclosures NN $2.1 $8.7 Facility Project
AMI Clamp-On Welders NN $0.9 $7.4
"To Fit Work" (TFW) Machining Facility NN $0.5 $3.8
C-Seam Welding Machines NN $1.8 $5.8

7:1 Return on Investment through FY20 Ship

Saving $8M/Ship on Block I & II Ships
QP Coating Facility Project 10
 Construction Performance
“84 to 60” Schedule Reduction

Current VIRGINIA Class Ships Under Construction LEGEND

Months From Construction Start Construction Start

12

24

36

48

60

72

84

96
0

Contract Delivery
SSN 775 Scheduled Delivery
SSN 776
EB Construction
SSN 777
NGNN Construction
SSN 778
Early Delivery
SSN 779
SSN 780 Late Delivery
SSN 781
SSN 782
SSN 783
60-Month Construction 72-Month Construction
Span Trend Span Trend
36

48

60

72

84
12

24
0

96
Months From Construction Start

FY09 Ship at 63 Months; $30M-$50M Price Reduction

Increased Velocity Through the Construction Cycle will Lower Cost
and Deliver Ships Sooner to the Operational Commander

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 Program Methodology

The Navy and the Shipbuilder agreed that a new

approach was required to produce an affordable
submarine for low rate production
– Integrated Product and Process Development (IPPD) or
Design/Build Concept
• Requires early selection of a Designer/Integrator
• All stakeholders - Government and Shipbuilder Design,
Planning, and Production trades work together from the start
• Integration of all aspects of design, planning, and construction
• Streamlines design process

Maximize advantage of computer technology

– CAD/CAM electronic design
• CATIA and IGRIP interactive design tools
• 3-dimensional design instead of traditional engineering drawings

Fully integrated electronic data throughout the life of the program, from design
concept to construction to lifecycle maintenance
– Single database supports all applications
• Links design with production and business operations; lead yard with follow yard
• Fully integrated electronic data throughout lifecycle

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 VIRGINIA Bow Redesign

• 2 Large (7 ft dia) VA Payload Tubes (VPT) replace

12 VLS tubes
• Large Aperture Bow (LAB) array replaces spherical array
• FY12 Hull Savings: ~$40M per ship
– LAB array: $11M
– VPT: $8M
– 25 Associated design changes: $20M
• Will be part of the Block III RFP and go aboard the FY 09
boat, SSN 784

VIRGINIA Payload Tubes (VPT)

Large Aperture Bow (LAB) Array

Large Payload Volume and Adaptable Electronic Interface

Provide an Open Architecture Payload System
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 VIRGINA Payload Tubes

FY 09 VIRGINIA Current
Payload Tubes Bow Design

• Two SSGN Multiple All-Up Round Canisters (MAC) replace 12 VLS Tubes
– Payload volume increased from 1,200 ft3 to 2,300 ft3
– Interoperable with future SSGN payloads

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 Large Aperture Bow Array

Medium
Frequency
Active

Passive
Array

• Water-backed Geo/Conformal array replaces air-backed spherical

array to reduce construction and life cycle costs
– Improved passive, equal active, capabilities
– Removes 1,000+ SUBSAFE openings
– Utilizes proven, life of the hull sensors

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 Tracking the Savings

Plan to Book Design and Construction Improvement Savings

$2.25 in time to Support VIRGINIA Class Block III Contracting
$200M (FY05$) costs targeted in
baseline ship systems and construction
processes
$2.20 Producibility and
Projected FY12 Ship Cost (FY05$B)

Propulsion Plant related

improvements booked in
March 07

$2.15
Initial savings reaped from
Propulsor & Construction
related improvements Machinery and Bow savings
booked in September 07
timeframe
$2.10
LAB Array savings
booked in
August 07 timeframe

$2.05 Expect to book minimum goal

of $200M (FY05$) savings by
Planned Glide Slope March 08
Booked Glide Slope

$2.00
Aug-06 Sep-06 Oct-06 Nov-06 Dec-06 Jan-07 Feb-07 Mar-07 Apr-07 May-07 Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08

Date RFP Proposal

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 Milestone and Current Production Schedule
FY95 FY96 FY97 FY98 FY99 FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13

MSII Prog Review - Production Prog Prog Prog Prog MS III

MILESTONES LRIP Readiness Review Review Review IOC Review Apr 09
Review OIPT OIPT OIPT Mar 07 OIPT
Block III
IPPD 96 Contract Block I Block II Conversion to
Contract
CONTRACTS Class Design & Construction Construction Mult-Year
Oct 08
Construction Contract Contract

TEST AND DT: DT-I DT-IIA DT-IIB DT-IIC IID

EVALUATION IIE IIF

OT: EOA (OT-I) OT-IIA OT-IIB OT-IIC OT-IID IOT&E/OPEVAL

CONSTRUCTION USS VIRGINIA (SSN 774) EB Lead Ship Construction Oct 04 PSA

FIRST USS TEXAS (SSN 775) NGNN Lead Ship Construction Jun 06 PSA
FY98 to FY02
BLOCK USS HAWAII (SSN 776) Dec 06 PSA
4 Ships
NORTH CAROLINA (SSN 777) 90% Dec 07 PSA

NEW HAMPSHIRE (SSN 778) 78% Oct 08 PSA

SECOND 5-ship Multi-Year Contract NEW MEXICO (SSN 779) 71% Apr 10 PSA
FY03 to FY08
BLOCK mod signed 29 Jan 04 SSN 780 48% Apr 11 PSA
6 Ships (FY04 to FY08 ships) SSN 781 34% Apr 12 PSA

Blocks I & II: 10 Ships Under Contract SSN 782 19% Apr 13

3 Delivered; 6 Under Construction SSN 783 Apr 14

THIRD SSN 784

FY09 to FY13
8 Ships BLOCK SSN 785
Next MYP Contract
Contract Award in FY09 SSN 786

SSN 787
LEGEND:
SSN 788
Milestones
SSN 789
Contracts
SSN 790
DT Developmental Test
OT Operational Test SSN 791

FY95 FY96 FY97 FY98 FY99 FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13
Percent complete data as of 22 June 07 weighted for material and labor SSN 777 & 778 delivery dates are current PM estimates; 779 through 783 are contract dates. Updated 29 Sep 2007

Notional Build Rate (FY09 OSD Submit)

FY98 FY99 FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 Total
1 1 0 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 0 30
Block I Block II Block III Block IV Block V

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Questions?

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