OPTIMIZING GOVERNMENT RESOURCES
2011 ANNUAL REPORT
TABLE OF CONTENTS 3 4 5 6 10 14 18 20 22 22 23 25 27
Letter from the Chairman of the Board Letter from the CEO Improving Government Outcomes by Optimizing Resources Advanced Analytics Semantic Technology Organizational Networks LMI Research Institute Corporate Governance Corporate Officers Regional Directors Program Leaders Consulting Services Financial and Other Data
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Michael A. Daniels, Chairman of the Board, and Nelson M. Ford, President and Chief Executive Officer.
Letter from the Chairman of the Board In 2011, LMI celebrated our 50th anniversary by reconnecting with our roots and celebrating some of the people who played such important roles in the early years of the organization, including Paul Ignatius and Bill Tuttle. As I saw these men and other founders being introduced to a new generation of LMI employees, I was confident that all those who had a hand in LMI’s formation would be proud of our growth and of our people today. A half-century ago, when Secretary of Defense Robert S. McNamara conceived the idea for LMI, he launched a new approach to government management—one in which the concentrated talents of logistics experts would amplify government’s effectiveness by improving the people, processes, and technology behind its mission. And so began LMI’s history of providing prudent, implementable solutions to the problems facing the public sector. My fellow directors and I are immensely proud of how our staff continues to uphold LMI’s reputation as a company of the brightest minds, dedicated to serving the government’s interests. Their careful stewardship further underscores our ability to produce impressive results—for our clients and for our stakeholders—no matter how daunting the task. We’re enthusiastic to be a part of this organization as it moves forward toward another 50 years of success. We know that, despite our remarkable history, LMI’s best days aren’t in the past, but in the years ahead.
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Letter from the CEO I have lived and worked in Washington since the early 1970s and understand the way government operates. But even I, a former OMB budget examiner, could not have envisioned a national debt approaching $16 trillion. We are no longer asking ourselves how we got here, and it is clear that many share the blame for our unsustainable situation. All paths to solvency require broad-based solutions with much shared pain. We can’t expect federal revenues of 15 percent of GDP to cover federal expenses running at 24 percent of GDP. But in addition to our fiscal irresponsibility, it should be noted that the government’s approach to managing our taxpayer dollars is archaic. The slog of bureaucratic process and regulation is on timetables that don’t align with the pace of business in the digital age. Agency budgets are tied to a given fiscal year, with little recognition of the long-term utility of large capital expenditures or incentives. The question we must ask now is, how are we going to get ourselves out of this quagmire? In these daunting times, all governments face difficult tradeoffs. What programs to cut? How to raise revenues? Where to commit valuable (and diminishing) resources? Whether to invest in a long-term project or address an immediate crisis? Agencies must take cold, hard looks at their operations, pare their activities to those that are essential to their mission, and consider whether their organizations are up to the tasks at hand. Thanks to advances in technology and management, many traditional limits of physical location, information access, and business process can be lifted. While many bureaucratic organizations are loath to change direction, it is possible for them to exploit these advances, reconsider the broader mission, and develop new solutions to meeting their goals. At LMI, our business is to help government become better focused on essential tasks and to suggest ways of providing key services more efficiently. I am confident our talented and capable staff has what it takes to help our federal clients rise to the occasion.
Improving Government Outcomes by Optimizing Resources Our nation’s government is operating within a new reality of fiscal uncertainty. The combination of reduced tax receipts and sharply higher spending has led to a growing deficit and a budget crisis that will be difficult to resolve. The foreseeable future holds much of the same, as a slow economic recovery is coupled with the projected rapid increases in entitlement spending associated with the Baby Boom generation entering retirement. Similarly, defense spending (despite the drawdown of forces in both Iraq and Afghanistan) steadily increases as many weapon systems reach the end of their useful lives and new threats emerge in Africa, Asia, and the Pacific Rim. The problems of government management are tougher and more complex than ever before. Finding the right solutions will depend on our ability to clearly identify the desired outcomes and understand how changes in processes and resources will affect those outcomes. We must optimize the use of available resources. Such optimization will require wholly new strategies that take advantage of the rapid advance of information technology. At center stage will be three technology-enabled approaches: ❖
Advanced analytics will help us make better decisions that are based on data-driven modeling.
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Semantic technology will help us extract valuable information from unstructured information, such as policy documents and maintenance manuals.
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Organizational networks will help us integrate the otherwise isolated contributions of people and organizations to achieve a common purpose.
Over the past few years, LMI and the LMI Research Institute have created and matured innovative tools and methods that align with these areas of study. We have been applying these tools and methods—either alone or in inventive combinations—to develop unique, yet practical, solutions to the most challenging problems facing government managers.
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Advanced Analytics Advanced analytics has become central to the government’s ability to generate insights that lead to better decisions. Over the years, our analytical tools have become more complex, developing from simple spreadsheets to complex specialized software suites. The tools have been developed to support many different goals (for example, to identify financial or identity fraud, to evaluate the effectiveness of different health protocols, or to highlight savings opportunities by evaluating spending patterns). Regardless of the goals, advanced analytics allows government managers to make their decisions based on facts, rather than bias, instinct, or anecdotal evidence. Using our wide array of advanced analytic techniques and tools, LMI frequently helps government decision makers address complex problems and challenges in an environment that is placing a stronger priority on optimizing performance against the backdrop of diminishing resources. We continue to push the boundaries of analytics, and our results have helped many agencies significantly improve their performance.
SysLinks™ is the first practical method for linking reliability and maintainability models with spares optimizations for complex networks.
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Modeling Complex Systems LMI has used advanced analytic methods to construct predictive models of a country’s greenhouse gas emissions. LMI computational methodologists, working together with energy and environmental experts, leveraged multiple databases on country indicators of social and economic activity. They then used econometric and statistical methods to model how these indirect indicators might relate to a country’s GHG emissions. The LMI team used these methods to predict (or proxy) a country’s true emissions given their level of economic activity and implementation of green measures. In this manner, the team showed that through the use of advanced analytics in conjunction with large amounts of data, nontraditional methods of measuring emissions can prove to be an effective tool for verifying and evaluating GHG emitters.
Optimizing the Supply Line LMI developed two powerful tools that help managers decide what to buy when demand for parts is either highly variable or sporadic. The Next Generation Inventory Model, or Next Gen, abandons customary mathematical assumptions about safety stock and buy quantities. Instead, Next Gen bases its decisions about when and how much to buy directly on the times between customer demands and the de-
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mand quantities. Next Gen’s revolutionary algorithms make full use of the information in the demand stream. A new computational approach makes these algorithms fast enough to be practical. The payoff is a reduction of up to 50 percent in inventory investment and up to 20 percent in replenishment actions (number of buys)—relative to the best known approaches—without sacrificing customer service. Alternatively, Next Gen can reduce customer wait time 30 to 50 percent, without increasing inventory investment. For critical items with sporadic demand, LMI developed Peak Policy. Peak Policy uses a simulation-based hedging strategy that balances the risks of either being out of stock or overinvested in stock. Peak Policy can reduce customer wait time by 20 to 50 percent without increasing long-term inventory investment. Alternatively, Peak Policy can reduce inventory investment by as much as 10 percent without affecting customer service. Competing approaches, such as Croston’s forecasting method and bootstrapping, increase inventory investment by as much as 50 percent relative to Peak Policy, and for the same level of customer service.
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Finding Meaningful Patterns in Data LMI’s analysis team supporting the healthcare sector leans heavily on its expertise in operations research, computer science, statistics, engineering, and mathematics to develop quantitative methods for classifying and understanding patterns in data. The team’s work is yielding valuable insights into better predicting data abnormalities and outliers. For example, using LMI-developed techniques, we are helping a federal agency assess the likelihood that healthcare utilization data submitted for risk adjustment (and payment) purposes are inaccurate. By detecting such outliers early, we can prevent overpayment to healthcare plans and can better identify likely candidates for audits.
Quantifying the Effects of Funding Cuts The Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics asked LMI to develop a mathematical model to analyze the behavior of major defense acquisition programs that experienced a decrease in funding (below planned levels). LMI leveraged advanced analytic methods to develop a new model of the cost and time required to complete a development program phase, incorporating such variables as staff productivity, costs of dividing effort into tasks for individuals or teams, costs of coordinating the work of individuals and teams, overhead, and costs of purchased materials. This new staffing efficiency model yields reliable and specific predictions about the effect of funding reductions.
Linking Modeling and Simulation Methods to Gain a Holistic Perspective Modern engineering systems are complex and heavily interrelated. These systems have become macrosystems (sometimes referred to as systems-of-systems or networked systems) that depend on the complementary performance of their components to achieve a larger common objective. In the past, analysis of the combined behavior of macrosystems was impractical—if not impossible—because of the required complexity of the associated modeling. LMI’s recent advances in both modeling and computational capabilities allow us to help our clients consider a system’s availability as a whole, not just as a sum of its parts. Advanced analytics professionals from LMI worked with a team from Georgia Tech to develop the System Optimization and Network Linkage™ method. SysLinks is the first practical method for linking reliability and maintainability models with spares optimizations for complex networks. It leverages multiple modeling and simulation methods. Each method in isolation provides an element of insight; when combined, they provide logistical and operational decision makers with dramatically more relevant and holistic analyses that can help them build highly available and highly reliable macrosystems.
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Semantic Technology Large amounts of public-sector information are available through searchable databases and data management systems; however, significantly more information remains locked away in prose, graphics, video, and other media that cannot be manipulated or searched. That unstructured information represents an untapped treasure-trove of knowledge, but unlocking that data still requires rudimentary keyword queries and laborious page-by-page and picture-by-picture searches. Enter semantic technologies—the automatic linking of information from multiple sources (structured and unstructured) and the assembly of search results in a way that is meaningful to the information consumer. LMI is developing a suite of semantic search methods and tools to help our clients quickly gain access to information that will help them cut costs and improve performance. Our value comes from our expertise in our clients’ respective domains of practice. Decades of experience enable us to build sophisticated domain-specific vocabularies (known as ontologies) and semantic search rules that help our clients realize tangible efficiencies.
OpenPolicy™ unlocks information in manuals, policy, guidance, and other documents.
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Finding the Hidden Data The annual cost of corrosion to the Department of Defense (DoD) is estimated to be between $10 billion and $20 billion. LMI has been helping the Office of Corrosion Policy and Oversight study the cost-, safety-, and availability-related effects of corrosion on our military’s weapon systems and facilities. Unfortunately, the information we need to study resides in millions of maintenance and financial records. Much of the data is contained within unstructured text fields. The challenge is how to extract this valuable information reliably from those fields, despite varying levels of detail and many forms of creative spelling. With input from maintenance technicians across the military services, we developed a computerized search algorithm that examines each unstructured text field to determine whether the work was corrosion related. We enhanced the ontology by extracting the actual words and phrases used in the maintenance records and then reviewing each to determine its relationship to corrosion. Our work developing this word- and phrase-driven ontology brought new accuracy in understanding the larger picture of corrosion-related maintenance activities. In addition, this information is now fed back to the acquisition community so that future designs can account for potential corrosion issues.
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Validating Bid Assessments Each year, healthcare contractors offer Medicare Advantage plans or Section 1876 cost plans by electronically submitting a “bid” to the Centers for Medicare and Medicaid Services that prices the healthcare plans’ benefit offerings, describes the healthcare benefits, and outlines the enrollee cost sharing. During the annual review process, analysts must evaluate thousands of benefit packages for accuracy and compliance, relying heavily on an LMI-developed software tool, AskMarty™, to analyze the bids. To further enhance the efficiency and accuracy of our analyses, LMI implemented text analytics to mine structured information from the notes in the benefit packages and a semantic search to ensure bid compliance with ever-evolving Medicare regulations and policies. The result is an on-screen comparison of plan benefit information that is easily deciphered by CMS analysts. The tool flags potential errors that otherwise would have to be identified through manual inspection, improving the efficiency of the analytical staff and the accuracy of results.
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Accessing Knowledge Locked within Regulations, Manuals, and Instructions We have applied semantic technologies to search and retrieve information from DoD supply chain policy issuances, manuals, and instructions for the Deputy Assistant Secretary of Defense for Supply Chain Integration. We employed OpenPolicy, LMI’s semantic search tool, to tackle this seemingly impossible task. Our supply chain experts quickly developed a 3,000-item ontology of words, phrases, abbreviations, synonyms, and other related concepts specific to DoD’s supply chains. We then joined the ontology with the client’s large body of supply chain documents through our automated semantic tagging process. The result was documents that were made “smarter,” because they are associated with expert knowledge captured in the ontology system. It is now possible to quickly identify similarities and differences among multiple documents.
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Organizational Networks Whether the objective is rapid emergency response or optimized supply chain management, collaboration within and across networks is critical, because it promotes efficiencies and helps to overcome the hierarchical or bureaucratic boundaries that can get in the way of mission effectiveness. For government, managing organizational networks presents specific challenges, including confusion over expectations, a natural desire to operate independently, reluctance to share capabilities, and a general lack of awareness of the roles and responsibilities of other members and organizations. LMI helps our government clients overcome these challenges and maximize their operational efficiency. Among the tools we use is LMI’s proprietary Organizational Catalyst for Effective Networks™ (OCEN™) framework, which identifies the roles and responsibilities of key network members and integrates interagency efforts and activities. We have applied this framework, as well as other stakeholder engagement and program management capabilities, in efforts across government. No matter the engagement, LMI’s work helping government improve its organizational networks leads to greater mission effectiveness.
LMI’s proprietary OCEN™ framework identifies the roles and responsibilities of key network members and integrates interagency efforts and activities.
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Safeguarding Critical Assets LMI is helping the Assistant Secretary of Defense for Health Affairs implement the Defense Critical Infrastructure Protection program to protect DoD assets and enable effective response to natural and man-made disasters. To implement a risk management program, LMI worked with a network of military departments, combatant commands, and healthcare experts to identify the physical, personnel, and information management elements vital to successful operations. We then connected DoD to risk management, research and development, information sharing, and cybersecurity work groups in a national program run by the Department of Health and Human Services. These connections are helping DoD develop better policies and procedures for monitoring the effectiveness of the medical response network and its ability to support disaster relief operations.
Optimizing Training Resources The Office of the Assistant Secretary of Defense for Reserve Affairs asked LMI to develop the Regional Integrated Training Environment, a network of installations that support total force training requirements through coordinated training resources. The challenge was to gain
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DoD-wide acceptance for the RITE concept and then to build collaboration among department leaders and managers and establish an effective governance structure to drive success. LMI used the OCEN framework to illustrate network relationships, identify key DoD stakeholders, and find the best way to garner acceptance among senior leaders. We also reviewed other DoD governance structures and identified an existing governance body and structure suitable for overseeing the implementation of RITE.
Linking the Vendors, Storage Sites, and Users Managed by the Centers for Disease Control and Prevention, the Strategic National Stockpile is designed to provide a continuous supply of essential medical items (such as antibiotics, vaccines, antidotes, and other critical medical equipment and supplies) in the event of a major natural or technological disaster. Since the SNS’s inception 13 years ago, LMI has provided SNS leaders with strategic and innovative thinking about how to integrate logistics, technology, procurement, and acquisition to improve disaster preparedness and response planning. Currently, we are integrating automatic identification technologies (such as bar codes and radio-frequency identification tags) into the program’s Oracle-based enterprise re-
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source planning system. These automatic identification technologies will act as the informational “glue� that links the dispersed network of vendors, storage locations, and organizational components into a more cohesive, efficient whole.
Improving Acquisition Management To improve its stewardship of taxpayer funds, the Department of Commerce asked LMI to evaluate its acquisition environment across all 12 bureaus. We found the bureaus lacked a comprehensive approach for overseeing and managing acquisitions. We developed an acquisition project management framework and worked with representatives from various Commerce bureaus to network and integrate major functional areas. The resulting framework provides a disciplined, repeatable, and comprehensive process for managing all Commerce acquisitions. Between each project phase are milestone reviews during which we help bring together the network of affected stakeholders to assess project readiness and risk before seeking authorization to begin the next phase. With multiple stakeholders engaged, minor issues can be resolved before they become costly problems.
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LMI Research Institute The LMI Research Institute funds LMI’s innovation activities, including research projects, academic partnerships, and outreach. Through the Institute, LMI continually works to identify leading practices and develop practical applications for our clients. This year, the LMI Research Institute undertook projects to refine the tools and methods we use in advanced analytics, semantic technology, and organizational networks, as well as to advance innovation in other areas.
The LMI Research Institute has funded projects to advance innovation in many areas, including modeling the National Airspace System.
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Refining our Proprietary Tools and Capabilities All LMI Research Institute projects are led by members of the LMI consulting staff. Their indepth expertise is combined with ideas from academia and leading private-sector companies to solve the challenges facing our government. The Institute manages the overall innovation project portfolio to bring cross-functional expertise to bear.
Partnering with Outside Experts The LMI Research Institute brings in thought leaders from top universities and industry to work with LMI in partnerships. Our academic partnerships give us access to leading research in supply chain, enterprise architecture, engineering, sustainability, infrastructure management, and other areas. In addition, students and faculty members at our partner universities have opportunities to work with us on the real-world problems of our clients. These partnerships are an important source of new ideas and leading-edge research for LMI; they have provided direct value to our clients. The Institute also invites experts to speak to our staff about pressing government challenges and future possibilities for improvements. For example, in 2011, we invited speakers to discuss the National Academy of Engineering’s Grand Challenges, with seven recognized leaders discussing the challenges in their respective fields. The excellent slate of speakers provided new perspectives for LMI to consider as we develop solutions for our clients.
Investing in Research Research is an essential part of the value we bring to our work and our clients, and we continue to invest heavily in it. We are expanding our network of academic partners to bring more ideas to bolster our own expertise, and we are continuing our distinguished visiting speaker series with experts to share their experience on “Leadership Challenges When Resources Are Constrained.” Undoubtedly, these efforts will inform our future research and advances in our tools and methods. LMI’s mission is to help our clients find better ways of doing business to better serve their customers—the public. The work we do at the LMI Research Institute helps us move our clients toward a future of new possibilities—a future in which innovative ideas and solutions improve the effectiveness of government services and save the federal taxpayer money.
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Corporate Governance
Seated, left to right: Robert Dail; Nelson Ford; Michael Daniels, Chairman of the Board; and Patricia McGinnis. Standing, left to right: Jonathan Perlin; Douglas Bereuter; Kenneth Krieg; Robert Raggio; Steven Kelman; and Dave McCurdy.
At the beginning of FY11, Michael Daniels became LMI’s Chairman of the Board. He has more than 30 years of experience in the science and technology sector. In his role as Chairman, he helps direct the corporation in expanding into such areas as healthcare and technology. In 2011, two directors retired from the Board, Douglas Bereuter and Alice Maroni. Mr. Bereuter joined the Board in 2005 and served on the Human Resources and Compensation Committee and the Governance and Nominating Committee. He was most recently the President and CEO of The Asia Foundation. Ms. Maroni joined the Board in 2007 and served on the Audit and Finance Committee and the Governance and Nominating Committee. Ms. Maroni, currently working for the Congressional Budget Office, was previously a visiting Distinguished Fellow at The Henry L. Stimpson Center and the former Chief Financial Officer of the Smithsonian Institution.
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Members of the FY11 Board Michael A. Daniels, Chairman of the Board and Chair of the Executive Committee. Former Chairman of Network Solutions, former Chairman and Chief Executive Officer of Mobile365, former Chairman of the Northern Virginia Technology Council, and former Senior Vice President of SAIC. Robert T. Dail. President of Supreme Group, USA. Former Director of the Defense Logistics Agency and former Deputy Commander, U.S. Transportation Command. Nelson M. Ford, President and Chief Executive Officer. Former Under Secretary of the Army, former Assistant Secretary of the Army for Financial Management and Comptroller, former Principal Deputy Assistant Secretary of the Army for Financial Management and Comptroller, and former Deputy Assistant Secretary for Health Budgets and Financial Policy. Steven Kelman. Weatherhead Professor of Public Management at the John F. Kennedy School of Government, Harvard University. Former Administrator of the Office of Federal Procurement Policy in the Office of Management and Budget. Kenneth J. Krieg, Chair of the Audit and Finance Committee. Founder and Head of Samford Global Strategies. Former Under Secretary of Defense for Acquisition, Technology, and Logistics. Dave McCurdy. President and Chief Executive Officer of the American Gas Association. Former President and Chief Executive Officer of the Alliance of Automobile Manufacturers and former U.S. Representative from Oklahoma. Patricia McGinnis, Chair of the Governance and Nominating Committee. Distinguished Professor of Practice at George Washington University’s Trachtenburg School of Public Policy and Public Administration. Former President and Chief Executive Officer of the Council for Excellence in Government and advisor to the White House on Presidential Appointee Leadership Programs during the first 2 years of the Obama administration. Jonathan B. Perlin, Chair of the Human Resources and Compensation Committee. Chief Medical Officer and President, Clinical and Physician Services Group, HCA. Former Under Secretary for Health, Department of Veterans Affairs. Robert F. Raggio. Executive Vice President of Dayton Aerospace. Former Commander, U.S. Air Force Aeronautical Systems Center.
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Corporate Officers
Front row: Donna Bennett, Senior Vice President, Resource Management; Nelson Ford, President and Chief Executive Officer; and William Moore, Executive Vice President, Infrastructure Management. Back row: Manik Rath, Senior Vice President, General Counsel, and Corporate Secretary; Jeffery Bennett, Senior Vice President, Logistics Management; and Anthony Provenzano, Senior Vice President, Chief Financial Officer, and Treasurer.
Regional Directors
Left to right: Eric Stephens, Director, Southwest Region; Linda Novak, Director, Northeast Region; Rich Turner, Director, Midwest Region; and Mike Carden, Director, Southeast Region.
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Program Leaders
Christopher Alligood
Debra Deville
Roger Ervin
David Gallay
Eric Gentsch
John Handy
Thomas Hardcastle
Shahab Hasan
W. David Helms
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Program Leaders
William Ledder
Sue Nicholas
Raymond Schaible
Robert Schmitt
John Selman
Dennis Wightman
Joseph Zurlo
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Consulting Services LMI’s corporate officers guide and direct all of our activities. We provide our consulting services through three operating units: Infrastructure Management, Logistics Management, and Resource Management. This section highlights the general structure and capabilities of those units.
Infrastructure Management Center for Health Reform, W. David Helms, Director. Areas of focus are business solutions and services (such as accountable care organizations, insurance exchanges, healthcare payment reform models, and highrisk pools) for federal and state agencies. Energy and Environment, John R. Selman, Program Director. Areas of focus include energy program planning and management, climate change and sustainability, greenhouse gas management and reporting, chemical and biological program support, environmental and safety management systems, and occupational health and safety planning and management. Health Information Technology, Maria E. Gaboury, Director. Areas of focus include program management, strategic planning, business case and alternatives analysis, acquisition, contract management, budget and finance, and process management for implementations. Health Systems Management, John B. Handy, Program Director. Areas of focus include analysis and assessment of the Medicare Advantage program, medical logistics planning and support, public health emergency planning and response, agricultural emergency planning and response, management of healthcare services delivery, wounded warrior support programs, and healthcare management. Infrastructure and Engineering Management, David R. Gallay, Vice President. Areas of focus include facilities management, construction project management, engineering economics and cost engineering, infrastructure outsourcing and privatization, federal installation management, and military base operating support. Intelligence Programs, Christopher L. Alligood, Program Director. Areas of focus include intelligence capabilities within national security organizations, use of Government 2.0 social software in the Intelligence Community, tradecraft and analytic methods, training in core Intelligence Community functions, and intelligence program management and policy advice. International, Commercial, and Civil Government, Roger M. Ervin, Vice President. Area of focus is strategic business development to expand LMI consulting services into new markets ranging from federal, state, and international civil government segments to commercial opportunities in which LMI offers competitive products.
Logistics Management Logistics Analysis, Eric L. Gentsch, Program Director. Areas of focus include logistics research and development, logistics business case analysis, acquisition logistics strategy and implementation, integrated logistics support planning, logistics engineering, performance-based logistics design and implementation, operations and support cost analysis, and emergency management logistics. Logistics Services, William S. Crowder, Director. Focus areas include operational contract support integration; worldwide logistical doctrine development, planning, and operations support; logistics concepts of operations and sustainment for new technologies; advanced statistical analysis for casualty estimation; logistics war gaming; and modeling and simulation.
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Logistics Technology, William R. Ledder, Program Director. Areas of focus include distribution and transportation business processes, automatic identification technology, satellite and other in-transit tracking applications, asset visibility, and logistics information system program support. Maintenance and Readiness Management, Dennis J. Wightman, Program Director. Areas of focus include weapon system and equipment maintenance policy, requirements, and operations analysis; corrosion impact assessment; public- and private-sector integration and partnering; sustainment industrial base analysis; manufacturing resource planning; repair capability establishment; and weapon system readiness analysis and reporting. Operational Logistics, Raymond A. Schaible, Vice President. Areas of focus include force projection and distribution policy; strategic mobility programs and studies; interagency, multinational, and coalition logistics; defense export and cooperation policy; defense strategy and policy; capacity development; and support of Department of State and Department of Defense transition planning in Iraq and Afghanistan. Strategic Logistics, Debra L. Deville, Program Director. Areas of focus include logistics strategic planning, logistics transformation planning and program support, joint logistics capability portfolio management, logistics force design and development, and National Guard and Reserve equipping and resourcing analysis. Supply Chain Management, Robert W. Schmitt, Program Director. Areas of focus include design, execution, and control of supply chain resources; supplier relationship management; green procurement; supply chain risk management; spares optimization; demand forecasting; inventory modeling; costing and level setting; material management information technology solutions; supply chain performance management and metrics; and supply chain training.
Resource Management Financial, Acquisition, and Resource Management, Shahab Hasan, Program Director. Areas of focus include resource management strategies, acquisition and grants policy, standardization, financial management, financial system requirements and compliance, accounting classification structure, cost analysis, operations research, economic analysis, statistical analysis, modeling and simulation, analysis of alternatives, and cost-benefit assessments. Information Management, Thomas P. Hardcastle, Program Director. Areas of focus include information technology program management, independent verification and validation, enterprise architecture, capital planning and investment control, strategic planning and business case analyses, earned value management, data management, and information assurance. Organizational Improvement, Sue E. Nicholas, Program Director. Areas of focus include strategic planning, organizational design and assessment, continuous process improvement, human capital strategic planning, workforce planning and modeling, training and leadership development, performance management, communications and change management, and graphic facilitation. Systems Development, Joseph M. Zurlo, Program Director. Areas of focus include life-cycle software development, systems integration, mobile and social computing, “big data� analysis, semantic technology, cloud migration and cybersecurity, virtual data center consulting, scientific surveys and data collection, and economic and statistical analysis.
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Financial and Other Data Revenue
$190 $176
$182
$163 $145
Note: Revenue is in $ million. FY07
FY08
FY09
FY10
FY11
Locations
Dayton, OH Aberdeen, MD
Honolulu, HI
hanicsburg, PA altimore, MD ashington, DC Newport News, VA Petersburg, VA sville, AL Montgomery, ntgom y, AL San Anttonio, is, MO
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Clients Other Civilian 18% Energy and Environment 5%
DoD 53% Healthcare 7% Other National Security 7% Intelligence 10%
Staff Education Other 7%
Bachelor’s 27%
Master’s 60%
PhD 6% Note: Includes consulting staff only.
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LMI Offices
Headquarters 2000 Corporate Ridge McLean, VA 22102-7805 703.917.9800 800.213.4817 Information@LMI.org
Satellite Offices 7104 Ambassador Road, Suite 280 Baltimore, MD 21244 4696 Millennium Drive, Suite 200 Belcamp, MD 21017 130 Temple Lake Drive, Suite 2 Colonial Heights, VA 23834 6767 Old Madison Pike, Suite 275 Huntsville, AL 35806 5010 Ritter Road, Suite 123 Mechanicsburg, PA 17055 11837 Rock Landing Drive, Suite 200 Newport News, VA 23606 1777 NE Loop, Suite 808 San Antonio, TX 78217 703 Seibert Road Scott AFB, IL 62225
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