United States Air Force Selects PTC Service Parts Management to Optimize its Supply Chain



NEEDHAM, Mass. – January 31, 2017 – PTC (NASDAQ: PTC) today announced that the United States Air Force (USAF) has selected the PTC Service Parts Management (SPM) SaaS solution to deliver integrated supply chain planning and enhance weapon systems support at Air Force Sustainment Center (AFSC) locations around the globe. PTC SPM SaaS is part of the Servigistics® suite of Service Lifecycle Management solutions.

The USAF is highly respected for managing one of the most complex supply chains in the world with over 5,000 aircraft, 650,000 items, and supports weapon systems in 1,500 locations across a global theatre of operations. PTC Service Parts Management, delivered as a SaaS model, will enable the USAF to more efficiently manage its supply chain, as well as improve the inventory performance of its operations.

PTC Service Parts Management SaaS will enable the USAF to improve demand forecast accuracy, reduce planning workload, implement comprehensive supply planning with supportability, achieve near real-time supply chain metrics, improve logistics cost estimation, and optimize aircraft availability by location. By leveraging the solution in the PTC Cloud, the USAF will be able to collaborate and share information in a safe and reliable DoD compliant environment. The scalable Service Parts Management SaaS solution was built leveraging many years of experience in the Aerospace and Defense industry. The solution will enable the USAF to improve warfighter support through agile and integrated planning processes across the following capabilities:

  • Demand Planning to generate independent (unscheduled) and dependent (scheduled) forecasts, including the expert selection of forecasting algorithms, and the application of causal factors such as flying hours.

  • Inventory Optimization to achieve specified weapon system availability while simultaneously minimizing inventory investment and adhering to financial constraints, combining Readiness Based Sparing (RBS) principles, aircraft uptime, and fill rate optimization along with other business rules.

  • Supply Planning capabilities to produce a supply and distribution plan to correlate repair, purchase, and (re)distribution orders with current or future demands. Distribution planning aligns assets to support weapon system availability and to proactively manage material shortages at maintenance/operating locations.

  • Exception Management with robust error reporting and event management capabilities to alert users to pertinent information, and make autonomous recommendations to reconcile exceptions within discrete planner work queues for demand planning, inventory optimization and supply planning.

  • Performance Management capabilities with analytics, data stratification, metrics, reporting, and dash-boarding capabilities to support root-cause and what-if analyses.

“The USAF has one of the largest, most complex supply chains in the world,” said Jim Heppelmann, president and CEO, PTC. “We are honored that PTC technology will be supporting the USAF as they modernize their highly respected logistics infrastructure.”

PTC Service Parts Management is also being used by leading aerospace and defense organizations, such as the United States Navy, United States Coast Guard, Lockheed Martin, and Boeing. With PTC Service Parts Management, the United States Coast Guard has improved Coast Guard aircraft availability by 6%, reduced mission incapable supply by 4%, improved on-time delivery by 40%, and achieved 91% service levels – all while reducing operating costs. The United States Navy also achieves significant savings every year using PTC Service Parts Management.

Additional Resources

The announcement of a customer’s selection of PTC software is not necessarily indicative of the timing of the related booking, recognition of related revenue, or the amount of revenue for any particular period, or that any related applicable implementation and deployment activities are complete.

About PTC (NASDAQ: PTC)

PTC has the most robust Internet of Things technology in the world. In 1986 we revolutionized digital 3D design, and in 1998 were first to market with Internet-based PLM. Now our leading IoT and AR platform and field-proven solutions bring together the physical and digital worlds to reinvent the way you create, operate, and service products. With PTC, global manufacturers and an ecosystem of partners and developers can capitalize on the promise of the IoT today and drive the future of innovation.

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