Feral Jundi

Monday, June 28, 2010

Publications: GAO Report On DoD’s Progress And Challenges For Logistics In Afghanistan

     Thanks to David Isenberg for identifying this report and pointing out all the goodies. What was interesting to me was how absolutely vital contractors are to the logistics of the war in Afghanistan.  Especially for the routes coming out of Pakistan, because US military forces are not allowed to escort that stuff.  Nothing new, but as you go through this report, you get the idea of how essential we really are.  It also signifies how important it is that we get a handle on how to manage it all, because logistics is going to be big…. really big.

   Some of the things that jumped up at me as obvious fixes for some of the problems, is to stop depending on Fedex type tracking measures and gadgets, and start depending on humans as the tracking mechanism of this stuff. Because Afghan and Pakistani companies will do all they can to get rid of those GPS trackers, or not even care about these tracking mechanisms.  What matters to them is money and their ability to pilfer the cargo and blame it on a combat loss or whatever. No one is there to stop them or witness them doing this, and they will do whatever they want.  I say put competent expat companies in charge of these deliveries, with expat convoy leaders and teams, and use local Pakistani or Afghani drivers and guards as the manpower/interpreters.  This is the optimum set up if you cannot use the military to escort this stuff, and especially on the Pakistan side.

     The point is, is that you need a human that you can trust on these convoys, because gadgets can be defeated. But you also need something else that is lacking for these convoys.  And that is communications, appropriate fire power and support.  In order to have communications, appropriate fire power and support, you need folks who can help facilitate that.  Because without these basic tools for the defense of convoys, you will continue to see them get attacked and pilfered.

     As more troops pour into Afghanistan, the stability of logistics will be crucial and the current set up is unacceptable. I say put expat companies in charge, set up Pakistani QRFs and air support on their side, and US military QRF and air support on the Afghan side, and call it a day.  These forces are purely dedicated to protecting the contractor led convoys in Pakistan, and if we want, we attach military escorts as they cross into Afghanistan. Hell, we might actually kill a few bad guys along the way, and use these convoys as decoys. If the enemy wants them that bad, they will have to pay a price to get them.

     Or we can allow our logistics to be torn apart by the enemy, and we can allow untrained, mismanaged, corrupt and undisciplined Afghani or Pakistani companies to do whatever they want with that stuff. They will continue to pilfer, they will continue to shoot wildly into towns and villages as they protect convoys, and they will continue to pay off the enemy for safe transport.  That is unacceptable to me, and there is a better way.

     Might I also add that we put expat companies in charge of convoys in Iraq, and that arrangement works far better for any kind of unity of effort between civilian and military forces sharing the roads. Companies like Armorgroup definitely bet their lives on the delivery of goods and people, and they did an outstanding job(they also lost a lot of guys due to their brave work). Our lessons learned from Iraq were also built on this concept of expats being in charge, and not the other way around with Afghanis or Pakistani companies in charge of this stuff.

     Hell, in Iraq, you would see military convoys join in the protection of a expat convoy operations.  But when it came to all Iraqi security companies, military convoys or patrols would have nothing to do with them because they had no way of communicating and they really didn’t trust them. It pays to have expats in charge of operations, and it really pays when those expats have all the tools and support necessary to be successful for those convoy operations.

    I also mentioned in an earlier post about the aviation side of logistics.  The report further emphasized the difficulties that come with aviation logistics in Afghanistan.  It seems we do not have enough space on runways to handle these large transport aircraft. It will take a massive effort to construct more landing strips that can handle the large aircraft, because unfortunately, that stuff requires modern and durable runways.  In Iraq, this wasn’t an issue, but in Afghanistan this is definitely an issue. That is why I thought the STOL aircraft/paracargo contract was interesting. That is the kind of capability that can answer the call for immediate cargo or transport needs, when the troops are in trouble and things are locked up at one of the big air bases. Small and many versus the few and large for logistics. Well, check out the report and let me know what you think. –Matt

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GAO: Preliminary Observations On DoD’s Progress And Challenges In Distributing Supplies And Equipment To Afghanistan

June 25, 2010

Within Afghanistan, cargo is moved to forward operating bases primarily by means of contractor-operated trucks, though military trucking assets are used in some instances.

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Because no U.S. military transportation units operate in Pakistan, DOD must rely solely on private contractors to transport supplies and equipment along ground routes through the country and to provide security of the cargo while in transit. Privately contracted trucks can transport cargo through Pakistan via two routes: the northern, which crosses into Afghanistan at the border town of Torkham, and the southern, which crosses at the border town of Chaman.

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Limitations on what items can be transported through Pakistan and the amount of damage sustained by cargo transiting through Pakistan also can delay the delivery of necessary supplies and equipment to U.S. forces in Afghanistan. Private trucking contractors do not transport sensitive equipment on the Pakistani ground routes. Instead, such equipment must be flown into Afghanistan and then be installed onto the vehicles in Regional Command-East.

(more…)

Monday, June 21, 2010

Publications: Warlord Inc.– Extortion And Corruption Along The U.S. Supply Chain In Afghanistan

     Relatively unknown before U.S. forces arrived in Afghanistan in fall 2001, Ruhullah is “prototypical of a new class of warlord in Afghanistan,” the report said. Unlike more traditional warlords, he has no political aspirations or tribal standing but “commands a small army of over 600 guards.”

     The “single largest security provider for the U.S. supply chain in Afghanistan,” Ruhullah “readily admits to bribing governors, police chiefs and army generals,” the report said. In a meeting with congressional investigators in Dubai, he complained about “the high cost of ammunition in Afghanistan — he says he spends $1.5 million per month on rounds for an arsenal that includes AK-47s, heavy machine guns and RPGs,” or rocket-propelled grenades. It added: “Villagers along the road refer to him as ‘the Butcher.’ “

*****

   $1.5 million a month for ammunition?  Wow, that’s impressive.  Or maybe that is just another over inflated number to add to the stack of corruption accounts in this report.

   I guess all I have to say about something like this is what you get when you don’t care about how companies operate.  You must have adult supervision and you must have enough of that oversight manpower to effectively watch over these folks.

   One of the things I thought was interesting about this report was the idea of ‘going outside the wire’ to get a feel on what is going on with these contracts.  That is fine and all, but you still will have no way to really get a feel for what is going on with them.  I like the surprise inspection thing or the ride along thing, but in my opinion, you need ride-a-longs every time.  In other words, have an expat company that is required as that source of supervision and make those guys responsible for how the operation is conducted.  That is how it was done in Iraq, and that is how it should go down in Afghanistan and Pakistan.  That kind of arrangement would ensure some adult supervision is on scene, and at all times.

   That brings up the other issue I have with the way contracting is done these days.  Why are we not requiring companies to be bonded?  This was common practice with privateers back in the day, and it something we should consider now. If you want a company to play straight, then having them put their money where their mouth is, is just one way to keep them in line.  Fines are another means.  But really, you need someone riding with these convoys at all times to check on the whole process.  These guys will get away with whatever they can if we don’t.

   We could call them liaison officers or whatever, and they could be contractors, military, or federal employees. I say make them contractors, and ensure they are expats with secret clearances at the least.  Then these DoD inspectors can go outside the wire and actually talk with a guy that has been watching the whole process.  That inspector can use that liaison officer to great effect, and that would be a far better arrangement than just trying to surprise that company every once in awhile.

   Plus, assigning expat liaison officers to these convoys could allow supervision all the way into Pakistan or whatever country they are in.  US military would not have the same ability to cross into Pakistan.  Federal employees would be too high of a target in Pakistan as well.  But having expat contractors doing this kind of thing is feasible, and it has already been happening on numerous contracts over the years.  Just make it mandatory, and pay the extra amount for this supervision and contract stipulation. I would also allow these liaison officers to be managed, armed, equiped and paid by their expat companies, and not by the Afghan company they are riding along with. That will make things a lot more simple for that contractor assigned to such a duty.  I also think that liaison officer should be paid a top salary, because such a job would be extremely dangerous.

    Finally, I think these convoys should be looked at as bait to lure out the enemy with. The more assets that can be assigned to overwatch and QRF, the better. Communications between that force and the liaison officer on these convoys could help in that process as well. Especially if drones in the area see any enemy movement or if the enemy attacked a convoy or military patrol earlier in the day on that road the convoy is on. There are a number of things we could do to help out these convoys with survival and with killing the enemy. Hell, our armed drones should be tracking every square inch of these convoy routes, and use these weapons as tools to really go to town on the enemy up in the mountain passes. Those are my thoughts on the matter. –Matt

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Recommendations of the report Warlord Inc.

There are numerous constructive changes that could be made to the U.S. military trucking effort in Afghanistan that would improve contracting integrity while mitigating corrupting influences. As the Department of Defense absorbs the findings in this report and considers its course of action, the Subcommittee on National Security and Foreign Affairs Majority staff makes the following recommendations:

1. Assume Direct Contractual Responsibility for Supply Chain Security Providers.  If the United States is going to use small armies of private security contractors to defend its massive supply chain in a war zone, the Department of Defense must take direct responsibility for those contractors to ensure robust oversight.  Trucking companies are wholly incapable of overseeing this scale of security operations.  The U.S. government needs to have a direct line of authority and accountability over the private security companies that guard the supply chain.

2. Consider the Role of Afghan National Security Forces in Highway Security.  To be sure, the ANP and ANA will ultimately have a role in ensuring safe passage on Afghanistan’s roads.  However, that would likely require a medium-term, if not long-term, transition. Numerous witnesses in this investigation have expressed extreme skepticism at any plan to rapidly transfer convoy security to the Afghan security forces due to concerns about capacity, competence, and corruption.  Proposals to reform the convoy security scheme ought to take into account the Ministry of Interior’s vision of a future role of Afghan security forces in highway security.  If there is to be no immediate role for the ANA in convoy security, a plan must be developed to reach that goal with credible security alternatives that address immediate U.S. military logistics needs.

3. Inventory Actual Trucking Capacity Available to the Department of Defense.  The Department should conduct a survey of the available trucking capacity in Afghanistan under the HNT contract to ensure that its needs will be met with the additional forces under orders to deploy to Afghanistan.  Where there is information to suggest that there is a finite pool of trucks some owner operated, some as tribal assets, some owned by second or third-tier subcontractors adding prime contractors does not necessarily add to the pool of available trucks.

4. Draft Contracts to Ensure Transparency of Subcontractors.  Contracts between the Department of Defense and its trucking and/or security prime contractors need to include provisions that ensure a line of sight, and accountability, between the Department of Defense and the relevant subcontractors.  Such provisions should make clear the subcontractors’ obligations, including full Department of Defense inspection and audit rights.  Such provisions should also mandate the Department of Defense’s obligation to have visibility into subcontractors critical to its wartime supply chain.  There should also be robust and verifiable incident reporting requirements.  Where Department of Defense regulations already require such provisions, the Department needs to enforce them.

5. Oversee Contracts to Ensure Contract Transparency and Performance.  Similarly, the Department of Defense needs to provide the personnel and resources required to manage and oversee its trucking and security contracts in Afghanistan.  These are not contracts that can be managed responsibly from a desk in Bagram or Kandahar alone.  Contracts of this magnitude and of this consequence require travel ‘outside the wire.’  For convoys, that means having the force protection resources necessary for mobility of Department of Defense personnel to conduct periodic unannounced inspections and ride-alongs.

6. Analyze Effect of Coalition Contracting on Afghan Corruption.  The national security components of the U.S. government, including the Department of Defense, the Department of State, the U.S. Agency for International Development, the Department of Justice, and the Intelligence Community, need to begin to systematically track and analyze the effects of U.S., NATO, and other international donor funds on corruption in Afghanistan.  Corruption is smothering the nascent efforts at Afghan governance that are fundamental to our strategy in Afghanistan.  The effects of billions of dollars in development projects and security aid for Afghanistan, combined with billions of dollars spent in support of the U.S. and NATO military footprint in Afghanistan, need to be at the center of any analysis of metrics of our performance in the Afghan effort.  Public reports in early June 2010 suggest that U.S. intelligence assets have been assigned to analyze Afghan corruption and governance.  The U.S. government needs to devote sufficient assets to the endeavor, and the mandate should include an analysis of the effects of coalition contracts.

Download report here.

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U.S. indirectly paying Afghan warlords as part of security contract

By Karen DeYoung

Tuesday, June 22, 2010

The U.S. military is funding a massive protection racket in Afghanistan, indirectly paying tens of millions of dollars to warlords, corrupt public officials and the Taliban to ensure safe passage of its supply convoys throughout the country, according to congressional investigators.

The security arrangements, part of a $2.16 billion transport contract, violate laws on the use of private contractors, as well as Defense Department regulations, and “dramatically undermine” larger U.S. objectives of curtailing corruption and strengthening effective governance in Afghanistan, a report released late Monday said.

The report describes a Defense Department that is well aware that some of the money paid to contractors winds up in the hands of warlords and insurgents. Military logisticians on the ground are focused on getting supplies where they are needed and have “virtually no understanding of how security is actually provided” for the local truck convoys that transport more than 70 percent of all goods and materials used by U.S. troops. Alarms raised by prime trucking contractors were met by the military “with indifference and inaction,” the report said.

(more…)

Wednesday, May 26, 2010

Industry Talk: U.S. Army Seeks Contractor To Transport Cargo Through Pakistan And Afghanistan

     The contractor must provide personnel capable of facilitating, coordinating, obtaining, and reporting critical movement control data and information from the appropriate US government personnel at qualifications in transportation movement control procedures and operations. They shall have the ability to obtain necessary identification (i.e. CAC) to gain access to base camps within Afghanistan without escort. Personnel must have a valid US Secret Security Clearance and speak and write in fluent English. The contractor provided personnel shall be able to respond to such request within a 72 hour period. 

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     I want to thank Cannoneer #4 for sending me this goody via Twitter.  With this contract, there are two key points to focus in on.  The first one is that using contractors is a way to bypass the whole ‘we will not deploy US military troops to Pakistan‘. The second point in which the first point is built on, is that this solicitation requires a US citizen to escort these convoys. That’s unless they plan on issuing CAC cards and Secret Clearances to non-citizens?(I doubt it)

     This is nothing new in the context of contracting in this war.  In Iraq and Afghanistan, expat contractors run teams of local nationals or third country nationals all the time.  What is interesting with this solicitation is the amount of work this thing could bring.  5,000 movements per month is a whole lot of road work.  I certainly hope that these convoys will be running with some heavy armaments and some decent vehicles.

    I also understand the reasoning behind having expats as escorts for these convoys.  They can effectively manage these convoys and insure there are no payments going out to warlords or tribes along the way. They can also insure the goods get from A to B in one piece without being ransacked.  With the amount of cargo being transported to support the thousands of troops surging into Afghanistan, every last bit of cargo needs to be accounted for.  Having some adult supervision on these convoys is a good thing.

     Finally, if the Pakistani Taliban and Afghan Taliban have a bounty system on NATO and US soldiers, I fully expect that contractors will be next.  If attacking forces know that there is a US citizen on some ‘5,000 movements a month’, well then I could see the potential interest in that by the enemy.  Which further emphasizes the idea that adequate protections should be given to these convoys.  Especially for the Pakistani side of things.  That’s unless the Pakistani military or drones will be used to provide overwatch and QRF’s? Other than that, these convoys have to be self sufficient. Here is the link to the solicitation here. –Matt

Edit: 5/27/2010 -One of my readers has pointed out that non-US contractors have received CAC cards and clearances in this war, so it is possible that the US Army could use non-US contractors for this stuff.  It is hard to say what the specifics are, and maybe someone from the team that put this solicitation together could confirm for us what is required?

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Here is a quote from the solicitation ‘Pakistan Third Party Logistics Support Services’ detailing what they require.

16 March 2010 Page 3

The 831 DDSB requires a large Third Party Logistics (3PL) contractor presence in the combined areas of Pakistan and Afghanistan in order to provide / perform the below services:

a) Cargo movement reporting at designated locations throughout both countries – to include the submission of daily operational reports

b) Sealing operations (bolt, cable, or other) at locations throughout both countries

c) Radio Frequency Identification (RFID) / Container Intrusion Detection Device (CIDD) operations at pre-determined locations where appropriate training and equipment has been provided by the US Government

d)  IBS-CMM (Integrated Booking System – Container Management Module) status updates

(more…)

Sunday, May 9, 2010

Industry Talk: KBR To Get No-Bid Army Work As U.S. Alleges Kickbacks

     “Odierno said, ‘I’ve got three million pieces of equipment I’ve got to get out of Iraq, I’ve got 100 or so bases to close, I’ve got to move 80,000-plus people out of here and you want me to change horses in the middle of the stream?’” Casey recounted.

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   Interesting news.  I thought the current administration made a point of limiting the practice of no-bid contracts in this war? Reality sets in I guess…..

   My only thoughts on this whole deal is that the DoD realizes that they actually need KBR for the massive draw down in Iraq, and the build up in Afghanistan.  It is a crucial time period, and it could be costly and time consuming to switch companies during this time period.  The bottom line–the DoD and the administration needs KBR, if they want to be successful in their current strategies. Hell, the numbers and facts speak for themselves and we are more vital than ever before to the current war effort. –Matt

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KBR to Get No-Bid Army Work as U.S. Alleges Kickbacks

May 06, 2010

(Updates with General Casey’s comment in 10th and 11th paragraphs, McCaskill comment in third paragraph from end.)

By Tony Capaccio

May 6 (Bloomberg) — KBR Inc. was selected for a no-bid contract worth as much as $568 million through 2011 for military support services in Iraq, the Army said.

The Army announced its decision yesterday only hours after the Justice Department said it will pursue a lawsuit accusing the Houston-based company of taking kickbacks from two subcontractors on Iraq-related work. The Army also awarded the work to KBR over objections from members of Congress, who have pushed the Pentagon to seek bids for further logistics contracts.

The Justice Department said the government will join a suit filed by whistleblowers alleging that two freight-forwarding firms gave KBR transportation department employees kickbacks in the form of meals, drinks, sports tickets and golf outings.

(more…)

Sunday, April 18, 2010

Black Swan Events: Volcano Illustrates World’s Interconnectedness

   What we call here a Black Swan (and capitalize it) is an event with the following three attributes. First, it is an outlier, as it lies outside the realm of regular expectations, because nothing in the past can convincingly point to its possibility. Second, it carries an extreme impact. Third, in spite of its outlier status, human nature makes us concoct explanations for its occurrence after the fact, making it explainable and predictable. I stop and summarize the triplet: rarity, extreme impact, and retrospective (though not prospective) predictability. A small number of Black Swans explain almost everything in our world, from the success of ideas and religions, to the dynamics of historical events, to elements of our own personal lives. –Nassim Nicholas Taleb, author of The Black Swan

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   I have decided to add a new category that actually talks about events that have far reaching effects.  Natural disasters and war are examples, and the reason we need to talk about that here is that contractors are very much needed in order to deal with these kinds of events.  Contractor operations are also impacted by these events, and this stuff can really screw up the logistics for some global operation. As I speak, there are contractors waiting to go home who can’t, or guys in airports just waiting around for their flight.  Logistics for the wars will be impacted as well.  That is why we need to care.

   BSE (Black Swan Events) can also arise from political upheaval or coups.  A BSE could be something small like a extremely deadly virus, or something odd that changes the dynamic.  Drones could be considered BSE’s, because they are something new to warfare that is forcing everyone to rethink strategies.

   I also don’t want to get in the habit of calling everything new a BSE.(I will use Nassim’s three attributes for BSE’s) This category will be for only the big stuff, that really shakes the world.  This volcano is one of those events, much like the Haiti earthquake or the Polish leadership getting killed in a plane accident.  Thanks to Matt for giving me the heads up and cluing me in on the BSE potential. –Matt

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Volcano illustrates world’s interconnectedness

By MICHAEL TARM

April 17, 2010

CHICAGO — A volcano erupts in Iceland, and the effects ripple around the globe: A mom in Romania frets about making her son’s wedding in Texas. A florist in New York worries shipments won’t arrive. Patients awaiting treatment in Nigeria have to wait another week for the doctors.

The fallout from the ash cloud looming over Europe illustrates just how interconnected our world has become.

Thousands of planes fly millions of passengers and tons of cargo each day, providing the economic lifeblood of nations and businesses. The flights deliver products for sale or items as small as a specialized tool that lets a factory keep operating.

The planes also bring medicines to hospitals and food aid to earthquake or hurricane victims. And they bring war and peace. Soldiers are often transported to and from hot spots by air.

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