Korea Selects Boeing to Support Readiness for Three Critical Defense Platforms

Boeing [NYSE: BA] has received three performance based logistics (PBL) contracts from the Republic of Korea's Defense Acquisition Program Administration (DAPA) to manage sustainment of Republic of Korea Air Force (ROKAF) F-15K fighter jets and Airborne Early Warning & Control (AEW&C) aircraft, and Republic of Korea Army (ROKA) CH-47 Chinook helicopters. The five-year contracts will improve aircraft availability by using performance data to inform logistics and supply chain management activities.

"Our partnership with Korea is continuing to grow as we shift from transactional support approaches to customized models driven by agreed-to readiness outcomes," said Thom Breckenridge, senior director of Far East Programs for Boeing International Government & Defence. "These agreements enhance the value of PBL contracts that have delivered high mission-capable rates and improved parts forecasting and procurement of the ROKAF's F-15K fleet for more than a decade, and will extend benefits to the AEW&C and CH-47 fleets as well."

Boeing will execute the contracts in partnership with local industry, using its proven integrated logistics model to coordinate supply chain forecasting, procurement, delivery, maintenance training and risk-management practices in support of ROKAF and ROKA objectives. The PBL model will also improve the ability to adapt logistics quickly and cost effectively to support emergent issues and unanticipated events. In addition to executing the PBLs, Boeing will examine how data analytics can further improve the effectiveness of its PBL approach.

"Through the data they generate, these platforms are already telling us how to extend the life of parts and components, when to defer or elevate maintenance activities and how to focus training on actions that are most imminent," said Torbjorn Sjogren, vice president and general manager for Boeing International Government & Defence. "Applying data analytics to these PBLs is a very practical yet powerful way to maximize our customer's investment and support successful military operations in a critical region."  

For over 70 years, Boeing has enjoyed a strong and productive partnership with the Republic of Korea. Boeing is committed to supporting the growth of the Korean aerospace industry with a spend of over $5 billion in the past 15 years with local companies. As a reliable partner in the commercial aircraft and defense business sector, Boeing Korea continues to further strengthen its relationships with over 50 local industry partners, and employs more than 200 employees.

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