Management Control Activity Process for the Army

February 2011Kerrie Washington

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Purpose

To brief GFP Working Group on updates to Army Management Control Activity (MCA)

procedures within the Logistics Modernization Program (LMP)

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AGENDA

• MCA Organizational POCs

• Purpose and Objectives of MCA

• Key Gaps

• MCA GFM

• MCA Functionality

• LMP MCA Process Flow

• Summary

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• Program Design Responsible Officers: HQ DA: Kenneth Deans

(Commercial 703-692-9834) HQ AMC: Renee Mosher

(Commercial 703-806-8894) Supply Business Team Lead: Ms. Carmen Hess

(Commercial 256-955-7130) Supply Business Area Lead: Ms. Maxine Townsend

(Commercial 256-313-4250)

Management Control Activity Organizational Points of Contact

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Purpose and Objectives of MCA

TASKS LMP Capable

Maintain record of contractor Government Furnished Materiel (GFM) requirements

Provide authorization checks on contractor requisitions for GFM

Track recovery of actual GFM costs associated with commercial repair

Help the Army Audit Agency audit stocks of GFM to verify contract compliance

Ensure obligations of Non-AWCF funded contracts

Control contractor access to Army inventories to reduce waste, fraud and abuse

Most requisitions from contractors or “push” requisitions will have to go through the MCA validation

Maintain an auditable record of contract, requisition and shipment status

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LMP MCA Key Gaps

• No automated MCA process exists for Class V items within the Logistics Modernization Program

• Mandatory quarterly reports cannot be produced• LMP does not obligate or commit AWCF funded requisitions• LMP cannot capture AWCF expenditures for forecasting and

budgeting for MCA requirements

Trouble tickets have been submitted and are in work

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LMP MCA Government Furnished Materiel

• Limited MCA operations are performed within the Logistics Modernization Program (LMP) which resides at the U.S. Army Aviation and Missile Command (AMCOM), U. S. Army Tank and Automotive Command (TACOM) and U. S. Army Communications and Electronics Command (CECOM).

• Effort is underway to establish ammunition community on an automatic MCA process. The current functionality in our LMP platform for the Joint Munitions and Lethality Command (JM&LC) and other Class V items is validated manually.

• We have deployed LMP to all of our Commands. Some of the functionality being used is:

MCA process in SAP can handle validations MCA table is set up in SAP for all GFM requirement details by contract Obligation and commitment of SOMARDS funded requisitions

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LMP MCA Functionality

• An MCA table was built in LMP and is designed to provide management data, visibility and validation against wholesale inventories by contractor DoDAACs for authorized material, quantities and funding data of GFM in support of commercial contracts.

• Creation of MCA table, X88 header, begins with the receipt of the DoDAAC data from LOGSA. However, this capability is not working correctly in LMP and a trouble ticket has been submitted.

• Some of the fields populated on the MCA table are:• DoDAAC•Commercial and Government entity (CAGE) code• Contract /delivery order number and effective date• Contract/delivery order expiration date

• An authorized user can create, change, or delete authorized data for a contract that includes GFM.

• A customer order is not deliverable or billable until validation is complete. Its purpose is to run the MCA validation against the MCA table and return the status to the SOS.

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LMP MCA Process Flow

LMP

Sales order-A0A

MCA Validations/Command Checks

FAILED

BLOCK / REJECT

PASSED

COMMAND/SOS CHECK

Internal MCA RIC <> SOS ExternalMCA RIC <> SOS & both on LMP

FUNDING BLOCK FUNDING BLOCK

PR/PO

AWCF/SOMARDS

PR/PO

AWCF/SOMARDS

A0A

NO FUNDING BLOCK

SOS

REMOVE FUNDING BLOCK REMOVE FUNDING BLOCK

DELIVERY & no BILLINGDELIVERY & BILLING

A

X

1

MCA RIC = SOS & both on LMP

DELIVERY & no BILLING

Reject A0A on 16th Day if no Funding available

ZZ BLOCK

EXTERNAL MCA RIC not equal to any SOS on LMP

DELIVERY & BILLING

A

X

1

MCA NOT on LMP

DAASC

Sales order-AX1

AX2

A

X

2A

X

2

Specifically Negotiated License Rights (SNLR)

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Summary

• Army continues to update MCA capability within the Logistics Modernization Program

• Several gaps have been identified within the LMP MCA process and trouble tickets have been submitted to correct those issues

• LMP effort is underway to establish the ammunition and other Class V communities on an automated MCA process