Presentation to NDIA Ground Robotics Division

2 September 2010

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Agenda

• Who We Are

• What We Do

• Enterprise Initiatives

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Setting the Strategy

Our MissionWe provide Contract Administration

Services to the Department of Defense Acquisition Enterprise and its partners to ensure delivery of quality products

and services to the warfighter; on time and on cost

Our VisionDoD’s leading experts in Quality

Assurance; Cost, Schedule, and Supply Chain Predictability; and Contract

Administration; enabling our partners to achieve contract objectives

Our Core ValuesIntegrity, Service, Excellence

Worldwide Acquisition Impact Worldwide Operations

Scope of Work- $2,547B Face Value of Contracts- $1,458B Obligated

-18,946 Contractors- 330,532 Contracts- $229B Unliquidated Obligations- ACAT 1 and 2 programs: 182- Flight Operations (862 Aircraft/yr)- $153B Gov’t property in plant- $9B Progress Payments- $32B Performance Based PaymentsSpan of Control

- 10,334 civilian professionals- - ACOs, PI, QA, Engr, IS, Prop

- 525 military- 409 Active Duty, 116 Reserves

- 900+ locations- 49 major field commands- $1.2B budget authority- $145M reimbursable target w/FMS- Combat Support Agency

.

.HQ DCMA

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DCMA Authorities

• FAR 42.302 (a), (b), and sometimes (c) • Contracts, Pricing, Rates, Negotiations, Progress Payments,

Government Property, Small Business

• Engineering, Processes and Technical contract compliance • Systems Engineering, Software Engineering, Manufacturing, Production

Readiness, On-Time Delivery

• Quality• Product Acceptance, Quality Management Systems

• DFARS 242.302, OUSD(AT&L) Delegation as EVM Executive Agent

• United States Code, Title 10, Chapter 144 – Major Defense

Acquisition Programs; Section 2440 – Technology and Industrial

Base Plans

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New Organization Structure

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Contracts Directorate (AQ)

Contract Executive Directorate (AQ)

Executive DirectorDeputy Director

Contracts Policy

Division

Procurement Management

Review Division

ProcurementDivision

Small BusinessDivision

Cost & Pricing Center

BusinessOperations

Center

Procurement Center

Small Business Center

Mission Support Office

CIPRCenter

Planning & Performance Assessment

Division

CSPR

Plant Clearance

Terminations

PropertyCorporate

Administrative Contracting Officer

Proposal Analysis

Forward Pricing and Indirect Cost

Data Analysis, Training &

Recruitment

Property Policy

DAR Council

Cost & Pricing Policy

FIRMCenter

Finance & Payment Policy

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FunctionsPolicy, Training, and Tools

• Procurement Mgt Reviews• Small Business Program Management• Contractor Purchasing System Reviews• Contractor Insurance and Pension

Reviews• Plant clearance• Contract terminations• Property management• Cost and pricing

Engineering & Analysis Directorate (EA)

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Engineering & Analysis Directorate (EA)

Executive DirectorDeputy Executive Director

Systems & Software Engineering

Division

Manufacturing Engineering and

Assessment Division

Program and Analysis Integration

Division

Mission Support Office

Earned Value Management

Center

Industrial AnalysisCenter

Software Engineering Branch

Systems Engineering Branch

Program Integration Branch

Analysis Integration Branch

Supply Chain Predictability

Branch

Manufacturing & Production Branch

Earned Value Systems Compliance and Earned Value Training

Industrial Base Vulnerability Analysis Defense Infrastructure Criticality List (DIBS)

FunctionsPolicy, Training, and Tools

• Systems Engineering Technical Management and Process and Reviews

• Software Engineering Technical Process Reviews• Manufacturing and Production Technical Process Reviews• Predictive Program Risk Assessments (IEAC, Schedule, Technical)• Earned Value Management System Compliance• Industrial Base Analysis

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Quality AssuranceExecutive Directorate (QA)

Executive DirectorDeputy Executive Director

Process Management

Division

Resource Management

Division

Information Management

Division

Quality Engineering

Division

NASA Audit Division

Logistics Safety Center

Mission Support Office

Quality Assurance Directorate (QA)

FunctionsPolicy, Training, and Tools

• Quality Assurance• Product Acceptance• Quality Mgt System Surveillance•

Portfolio Management & Integration Directorate (PM&I)

Integration SupportDivision

Portfolio Management & Integration Executive Directorate (PI)

Executive DirectorDeputy Exec DirectorMission

Support Office

Navy Service DeskArmy Service Desk Joint & Non DoD Service Desk

USAF Service Desk PEO Integraton

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Functions• Customer Engagement• Represent Agency in OSD/DAB, DAES Process• Customer Focal Point for OSD and SAE MOAs •

Operations Directorate (O)

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OperationsDirectorate

(DCMAO)

SES (2) Tier II/IMIL Dep 0-6 (Rotational)

Mission Support Office

Contracts Division

Engineering Division

Quality Division

Air Operations Division

Sector Divisions

Eastern Region

0-6

Western Region

0-6

Central Region

0-6

PrimaryCMO

StreamlinedCMO

PrimaryCMO

StreamlinedCMO

PrimaryCMO

StreamlinedCMO

Mission:• Led by the Chief Operating Officer (COO) and Deputy, manages three Regional Commands (Eastern,

Central and Western) and four Product/Specialized CMOs (APO, AIMO, NSEO, NPO). • Accountable for the full spectrum of contract management functions, consistent integrated

performance management, resource and budget planning. • Accountable to the Agency Director for successful Regional/CMO mission execution and

performance. • Will ensure all customer requirements and Agency Performance Indicators are successfully met in

cooperation with the appropriate Headquarters Directorate. This involves ensuring adequate strategies and corrective actions are in place to meet customer requirements and Agency goals.

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Western CMOs

• Carson (Headquarters)• Denver• Boeing Huntington Beach• Lathrop• Lockheed Martin Denver• Boeing Long Beach• Los Angeles• Palmdale• Phoenix• Santa Ana• Lockheed Martin Sunnyvale• Raytheon Tucson• NPO

New Geographic Alignment

Central CMOs

• Chicago (Headquarters)• Dallas• Dayton• Detroit• Huntsville• Lockheed Martin Forth Worth• Bell Helicopter Forth Worth• Boeing St. Louis• Twin Cities• AMP• AIMO

Eastern CMOs

• Boston (Headquarters)• Atlanta• Baltimore• Garden City• Hartford• Manassas• Lockheed Martin Marietta• Lockheed Martin Moorestown• Orlando• Philadelphia• Boeing Philadelphia• Sikorsky Aircraft• Springfield• Raytheon Tewksbury• APO• NSEO

Special Programs

• Special Programs East

• Special Programs South

• Special Programs West

Our International Presence

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MaterialSolutionAnalysis

TechnologyDevelopment

Engineering & ManufacturingDevelopment

Production &Deployment

Operations &Support

A B C IOC FOC

Pre-Systems Acquisition Systems Acquisition Sustainment

FRPDR

AcquisitionPlanning

Support &Services

Engr Concept DevR & D ContractsS/W Design/Dev

Systems ReviewFinal Engr Design

Mfg PlanQuality SystemsEMD Contracts

S/W Dev & Proof

Prod SurveillanceQuality ControlEngr Support

Prod Contracts

Follow On ContractSpares

Upgrades

DC

MA

FA

R 4

2.3

02

C

ontr

act

A

dm

inis

trati

on

Acquisition StrategyIndustrial AssessmentsPast PerformanceIPT PricingSmall Bus Plan

Program IntegrationEarned Value Mgt.Systems ReviewRisk ManagementFwd Pricing RatesS/W & Systems Eng.

Quality AssuranceProduct AcceptanceProduction SchedulingPropertyUCAsPayments

Contractor Depot Maint.SustainmentCritical SparesSupplier ManagementRepairs

CloseoutFinal RatesPlant Clearance

Involvement by Acquisition Phase

DCMA Initiatives

• Proactive Customer Engagement• Program Office – Monthly Risk Assessment Reports

• Contracting Office – Proactive Delivery Status, On-Time Delivery

• SAEs / PEOs – Sector Portfolio and Industrial Base Analysis

• OSD – Program Assessment Reports to support DAB / DAES• Technical, Cost, and Schedule Risk

• Earned Value Trip Wire Analysis

• Integrated Analysis• Cross Functional multi-disciplined contract surveillance resulting in

predictive risk assessments providing insight across the supply chain

and provided to PMs and other customers to support program execution

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Integrated Analysis Strategy

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Sub Contract

Sub Contract

Sub Contract

Supplier

Supplier

Supplier

Sub Contract

Supplier

Supplier

Supplier

CMO B

CMO C

CMO D

CMO ZCMO A

Integrated Analysis starts by surveillance and assessment of individual contracts

Development contracts- Development Processes

- Development Control Mechanisms- Development Deliverables

- Business Systems

Sustainment Contracts- Delivery Quality and Timeliness

- Business Systems

Contract ZyContract BxContract An

Integrated Analysis: Hierarchical

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Contract A1 Contract B1 Contract Z

Contractor Site A Contractor Site B

Contract Z1

Contractor Z

CMOs- Business Systems Surveillance at contractor site level (EV Systems, MMAS, etc)- Technical Surveillance at Contract

Level- Program status and assessment

reports- Contract Compliance Assessments- Product delivery status- EV Data Analysis of Program Data to

identify Risk Areas- Integrated Assessment of EAC,

Schedule, and Technical- Capacity Assessments- Contracts progress payments,

contract close-out, etc

Sector Leads- Product Sector Analysis

- Cross Company Product Analysis- i.e. Fixed Wing AC, Rotary Wing

AC, Ground tactical vehicles, etc)- Supply Chain Analysis- Industrial Base Analysis

- Corporate Level Analysis of Contract compliance (Systemic analysis of a corporation)

- Capability Assessments

Corporate Level

Product Sector Level

Integrated Analysis depends on establishing

structure and relationships between the

data elements and leveraging Contract

compliance assessments, Program Assessment Reports, Formal and Informal Surveillance

Activities

Integrated Analysis: MDAP View

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Sub Contract Sub Contract Supplier

Prime Contractor

Tier 1 Major Sub-Contractor

Tier 2 Sub-Contractor / SupplierSupplier

Supplier

Sub Contract Supplier Supplier Supplier

Tier 3 Sub-Contractor / Supplier

Through Letters of Delegation (LODs) surveillance is done

across the supply chain

Sub Contract

Industrial Base

ReportsCorporate

ProfileReprots

CMO Commander

Reports

DCMA Surveillance

Systems Engineering

Software Engineering

Manufacturing/SCP

Earned Value

Program Integration

Contract Receipt and Review

Develop Surveillance Plan

Functional Surveillance

Quality

Contracts

Collect and Analyze Performance Indicator Data

Develop and Publish Monthly Functional Assessment

Integrated Monthly Program

Assessment Report

Program / Contract Surveillance

Business System Surveillance (Annual Risk Based Surveillance)Accounting PurchasingEstimating PropertyEarned Value MMAS Progress Payments Billing

DCMA Participation in DoD Initiatives

• WSARA• PARCA – Program Assessment Reports and Earned Value Analysis to

support root cause analysis

• OSD/PSA – Earned Value Assessments and Technical Risk Assessments

to support OSD DABs, DAES, and Special Reviews

• AT&L Affordability Initiatives• Director DCMA on Steering Committee

• Actively participating in several of the 5 committees

• Sec Def Efficiency Initiatives• Conducting Agency zero based review

• Working with AT&L to Identify areas of efficiency improvement within

DCMA and across acquisition community

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