NEW DCMA

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NEW DCMA CONCEPT OF OPERATIONS
THOMAS
E. WATKINS EAST DIVISION
CHIEF SMALL BUSINESS OPERATIONS CENTER
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OUTLINE

• THE DEFENSE CONTRACT MANAGEMENT AGENCY
• SUBCONTRACTING PLANS
• SMALL BUSINESS REPORTING REQUIREMENTS
• - SF 294S
• - SF 295S
• ELECTRONIC SUBCONTRACTING REPORTING SYSTEM (eSRS)
• PREPARING FOR PROGRAM REVIEWS

3

• Who We Were
• Who We Are Today
• Small Business Realignment
• Whats Next

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Previous CONUS Alignment Strategy

• Geographically organized
• Diffused Corporate knowledge
• Little focus on commodity-specific skill
  development
• No single focal point for major programs or
  customers
• HQs, Districts Field Offices with redundant
  functions/specialties

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• Why We Are Realigning?
• To meet the needs of our customers better
  to position the Agency to provide our
  customers with the best possible service
• What Will Change?
• Better service to the Service Program Executive
  Officers their program managers
• Four new product divisions that will focus on
• Aeronautical Systems
• Naval Sea Systems
• Space and Missile Systems
• Ground Systems and Munitions

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Overall New DCMA Direction

• Develop a strategy that places the customer at
  the center of our processes, activities and
  culture
• Align ourselves to better support customers
• Execute Customer Engagement Strategy
• Teaming Communications

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DCMA SMALL BUSINESS OPERATIONS CENTER
Why Are We Changing It?

• To achieve more efficiency and effectiveness
• To align reviews to customer focus and objectives
• To make a difference in the DoD small business
  goals
• What Will It Look Like?
• Assignments based on buying command versus
  geographic location of contractor
• Contractor assigned to buying command with
  preponderance of work
• Reviews conducted via a more defined risk-based
  approach
• Emphasis on what customers need to improve
  overall small business performance of their
  contracts
• Emphasis on contractors not meeting contract
  goals or traditional goals
• Contractors exceeding contract/traditional goals
  will never have onsite review
• Subcontracting plans will be assigned based on
  buying command POCs
• PTAC reviews will be completed based on
  geographic location

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CHANGES TO DCMA SMALL BUSINESS OPERATIONS

• Comprehensive Division
• Work with current POCs on negotiations
• Develop plan for year long engagement with
  respective contractors
• Engage with customer to develop metrics for
  success
• Perform year end 640 and Final Review after 295s
  are submitted
• Report on progress against metric quarterly
• East and West Divisions
• Engage with customer to develop metric for
  success
• Division members start executing their individual
  work plan w/engagement of buying activities
• Mentor-Protégé Division
• Engage with customer to develop metrics for
  success
• Division members start mentor-protégé reviews
• Report on progress against metric quarterly

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Small Business Center Geographic Organization
Chart
C. Noah/Last update 9-13-05
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WORKLOAD DISTRIBUTION
Individual Assignments

• East Division
• CECOM- Yvette Wright
• AMSAM- Ann Howell
• WR ALC, OKC ALC, AFLC- Larry Williams
• WPAFB / ASC, AFMC-Floyd Goodson
• TACOM- Phil Varney
• OC/ALC Tinker - Ben Artis
• AMCOM - Ralph Vinciguerra
• Air Force AFRL - Chris Travers
• All Other Primary Procuring Activities - Ben Wong
• In addition to Subcontracting Plan, CPSRs and
  PTAC reviews for respective assigned contractors

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WORKLOAD DISTRIBUTION
Individual Assignments

• West Division
• ONR-Charles Sharp DSCP
  - Charles Sharp
• NAVAIR- Audrey McCoy SPAWAR -
  Audrey McCoy
• NAVSEA, DSCC- Jose Santana FISC / NAVICP-
  Romy Allas
• All Naval Surface Warfare Centers - Laura Robello
  
• DECA and all other Defense Agencies - Diane
  Reeder
• DLA except DSCP - Alice Richards
• In addition to Subcontracting Plan, CPSRs and
  PTAC reviews

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Concept of Operations Mentor-Protégé Major
Changes

• DCMA to approve all Credit Agreements
• Protégé Contacts for Annual Review
• Develop Protégé Post Agreement Review Form
• Reviews to provide more analytical data and
  recommended corrective actions
• Division will conduct reviews on both Mentor and
  Protégé
• More involvement with the Customer on agreements
  and performance

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Concept of Operations Comprehensive Program
Division

• Program Managers
• Lockheed Martin Micole Stephens
• Raytheon, Northrop Grumman ACS/ESS Luz Vasquez
• Harris, L3, General Dynamics Elaine Howell
• Sikorsky, Pratt Whitney, General Electric
  Linda Dowers
• Bell Helicopter, Textron, Hamilton Sundstrand,
  BAE Willis Jones
• Program Managers will perform full review
  themselves all year long w/focus on
• Methodology for developing forecast
• Analysis of how what is subcontracted is changing
  
• Outreach effectiveness
• Progress on initiatives to improve performance
• Mid-year, year end and 640 reviews still required
• Copy goes to PCO, Military Service and OSD
• Program manager briefs review results to Military
  Service and OSD
• Objective Reviews and negotiations done in IPT
  fashion

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SUBCONTRACTING PLANS

• TYPES
• INDIVIDUAL
• MASTER
• COMPREHENSIVE
• COMMERCIAL

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INDIVIDUAL PLANS

• SEPARATE PLANS FOR EACH SOLICITATION/CONTRACT
• EACH STANDS ON ITS OWN MERIT
• REVIEWED BY DCMA
• FINAL APPROVAL BY PCO
• MUST HAVE SEPARATE GOALS FOR EACH OF THE
  SOCIO-ECONOMIC CATEGORIES (SB/SDB/WOSB / HUBZONE
  / SERVICE DISABLED VETERAN OWNED)

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INDIVIDUAL PLANS (CONTINUED)

• Two times a year during the life of the contract,
  the contractor is required to submit an SF 294
  (subcontracting report for individual contracts)
• The reports gives a summary of the
  contractors cumulative dollars and percentages
  for the time period.
• When the contract is complete, the contractor
  submits a final SF 294, with cumulative dollars
  and percentages along with any remarks.

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MASTER PLANS

• PLAN MAY BE ESTABLISHED ON A PLANT OR DIVISION
  WIDE BASIS
• FULLY DEVELOPED PLANS WILL ADDRESS ALL REQUIRED
  ELEMENTS OF A INDIVIDUAL PLAN - MINUS GOALS
• PLAN PREVIOUSLY APPROVED BY ACO CAN NOW BE
  APPROVED BY A WARRANTED DCMA SML. BUSINESS SPEC.
• GOALS ARE SUBMITTED FOR EACH QUALIFYING ACTION -
  INCLUDE LIST OF ITEMS AND TYPES OF BUSINESSES
  USED

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MASTER PLAN (CONTINUED)

• MASTER SUBCONTRACTING PLAN - EXPIRES IN 3 YEARS
• IT HAS NO GOALS ATTACHED
• THE ACO, WITHIN 90 DAYS OF THE MASTER PLAN
  EXPIRING, SHALL NOTIFIED THE CONTRACTOR TO
  PREPARE ANOTHER MASTER PLAN FOR REVIEW.
• IF AN ANNUAL REVIEW IS PREFORMED THE SMALL
  BUSINESS OFFICE NOTIFIES THE CONTRACTOR DURING
  SMALL BUSINESS REVIEWS.

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COMPREHENSIVE PLAN

• STILL REGARDED AS A TEST PROGRAM
• NEGOTIATED ON AN ANNUAL BASIS BY DCMA
• INCORPORATED BY THE DCM CACO INTO ALL ACTIVE DOD
  CONTRACTS WHICH REQUIRE A PLAN
• USED BY ALL DOD PCOS
• YEARLY PLAN LASTS THE COMPANYS FISCAL YEAR OR
  DATE APPROVED BY CACO

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COMPREHENSIVE PLAN (CONTINUED)

• CONTRACTOR DOES NOT REPORT ON SF 294s FOR
  INDIVIDUAL CONTRACTS, NOR DO THEY REPORT A SF
  295, IF THEY ARE NOT THE HQ OF THE COMPANY.
• THE CORPORATE SBLO OF THE COMPANY IS RESPONSIBLE
  FOR ENSURING THE WRAP UP OF ALL DOLLARS FOR EACH
  DIVISION IS RECEIVED AND REVEIWED.
• DCM OF THE COMPANYS HQ IS RESPONSIBLE FOR THE
  SF 295 AND SMALL BUSINESS SUMMARY

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COMMERCIAL PLANS

• PCO MAY ACCEPT AN ANNUAL COMPANY OR DIVISION WIDE
  PLAN
• YEARLY PLAN LASTS THE COMPANYS FISCAL YEAR
• COMMERCIAL PRODUCT - PRODUCT IN REGULAR
  PRODUCTION, SOLD IN SUBSTANTIAL QUANTITY
• CATALOG OR INDUSTRY ESTABLISHED

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COMMERCIAL PLANS (CONTINUED)

• COMMERCIAL SUBCONTRACTING PLAN - EXPIRES IN 1
  YEAR
• THE APPROVING PCO FOR THE PLANS MIGHT CHANGE YEAR
  AFTER YEAR - IT IS UP TO THE PCO TO NOTIFY THE
  ACO OF THE APPROVING OFFICER FOR THAT YEAR
• IF DCM HAS THE ADMINSITATION OF THE PLAN, THE
  CONTRACTOR IS TO SUBMITT A SF 295, THIS IS THE
  Contractor's TOTAL SMALL BUSINESS SUMMARY FOR THE
  ENTIRE YEAR- COMMERCIAL AND DOD- OTHER
• SF 294S ARE NOT REQUIRED

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UPDATE ON eSRS

• Information contained a letter dated August
  23, 2006 from the Small Business Programs Office,
  Mr. Frank Ramos, Director indicated that
  although DoDs implementation was targeted for
  fiscal year 06, implementation will probably not
  occur until sometime in fiscal year 07.
• Contractors will be formally notified at
  least 60 days prior to eSRSs availability for
  prime contractor and subcontractor use.

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PROGRAM REVIEW INFO

• PART 1 GENERAL INFORMATION
• PART II CONTRACTORS SUBCONTRACTING PERFORMANCE
  
• SUBCONTRACTING
  PERFORMANCE FACTORS
• ( Compliance with FAR requirements in this
  part establish the basic requirements for an
  acceptable rating )
• PART III CONTRACTORS SMALL BUSINESS PROGRAM
• ADMINISTRATION
• PROGRAM ADMINISTRATION
  FACTORS
• ( Compliance with FAR requirements in this
  part establish the basic requirements for an
  acceptable rating )
• PART IV SUPPLEMENTAL DATA
• ( Validation of information in this part may
  be used to justify higher ratings)
• PART V SUMMARY AND RECOMMENDATIONS

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QUESTIONS
DCMA Small Business Center Toll Free Number
1-877-662-3960 SmallBusinessCenter_at_dcma.mil