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Lockheed Martin To Support Andersen Consulting Defense Supply Chain Modernization Effort

OWEGO, NY, September 28th, 2000 -- Lockheed Martin Systems Integration - Owego has been chosen as a major subcontractor under Andersen Consulting's five-year, $389.8 million Defense Logistics Agency (DLA) Business Systems Modernization (BSM) program. As a primary subcontractor for a five-year, multi-million dollar contract, the company's Systems Solutions business unit will help replace several DLA legacy systems with a Commercial-Off-The-Shelf (COTS)-based, fully integrated, automated system capable of speeding items more quickly along the supply chain.

The re-engineered COTS-based supply chain management system will allow military procurement and logistics staff to move beyond strictly buying and selling supplies to collaborative, web-enabled, long-range planning, forecasting and negotiating. As a seamless method for processing supply requests, BSM will provide the means for:

- Spotting supply chain trends
- Anticipating precise delivery dates
- Forecasting future supply needs, and sharing that information with other military branches
- Minimizing the risk of overpayments, back orders and extended waiting periods for supplies

Lockheed Martin will be responsible for data interfaces, data migration, security, disaster recovery and interoperability with other Department of Defense (DoD) legacy systems. Integrated DoD systems will include the Global Combat Support System (GCSS), Global Transportation Network (GTN) and Defense Finance and Accounting Service Corporate Information Infrastructure (DCII). Lockheed Martin also will participate with Andersen Consulting in implementing and integrating the SAP Enterprise Resource Planning (ERP) and Manugistics Advanced Planning & Scheduling (APS) COTS software supporting BSM.

"The Business Systems Modernization program establishes Lockheed Martin as a primary subcontractor in the first major DoD integration of COTS products as replacements for key legacy systems," commented Steve Lubniewski, senior vice president, Systems Solutions. "Through the use of standard, off-the-shelf products, the DoD will realize a cost-effective method for modernizing its current computer systems."

BSM will replace the agency's legacy Standard Automated Materials Management System and Defense Integrated Subsistence Management System at DLA headquarters at Fort Belvoir, Va. More than four million items will be indexed into the new logistics system - ranging from food, fuel and medical supplies to boots, uniforms and office supplies to hardware and weapons systems spare parts. The new system will link defense suppliers, government agencies and military customers together. As part of the DLA's innovative BSM contracting approach with Andersen Consulting, software and services will be ordered in modular task orders off the General Services Administration (GSA) Federal Supply Schedules.

Noted for excellence in quality and process management, Lockheed Martin Systems Integraton - Owego has attained the Carnegie Mellon Software Engineering Institute (SEI) Capability Maturity Modelsm (CMMÃ’) Level 5 rating, the highest rating for a company's software development capability. The SEI CMMÃ’ Level 5 is the level that allows improvements to existing processes and illustrates excellence in the evaluation, adoption and integration of new processes and technologies.

Systems Solutions provides system architecture, software development, integration and sustainment services for organizations such as the Department of Defense (DoD), the automotive and healthcare industries and telecommunications. With a focus on developing Open Systems Environment (OSE) products, Systems Solutions supplies the processes and tools that facilitate cost effective e-Business implementation and legacy systems modernization for DoD and civilian agencies, as well as commercial and industrial companies. Systems Solutions is a business unit of Lockheed Martin Systems Integration - Owego.

Lockheed Martin Systems Integration - Owego is a leader in providing advanced-technology products, services and systems integration solutions for defense, civil and commercial customers worldwide. Systems Integration - Owego employs more than 4,300 people at facilities in the United States, Canada and the United Kingdom and is a unit of Lockheed Martin Corporation with headquarters in Bethesda, Md.

Capability Maturity Model is a service mark of Carnegie Mellon University.
CMM is registered in the U.S. Patent and Trademark Office.

Charlie Carrington: (607) 751-2598, e-mail: charles.carrington@lmco.com
Mike Drake (607) 751-2598, e-mail: mike.drake@lmco.com



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