SPP EVMS and Science Investigation Team Participation

1. SPP EVMS and Science Investigation Team Participation Howard Hunter 11/15/12

2. Agenda • EVMS Implementation on SPP • CAM Responsibility • Project Manager (PM) Involvement • Monthly EV Feedback • Monthly EV Workflow Cycle • Integrated Baseline Review • JHU/APL EVMS Architecture • Science Investigation Team (SIT) Participation • Illustrative Trace Example • Science Investigation Team EVM Challenges • EVMS Going Forward

3. EVMS Implementation on SPP • Using Microsoft Project 2010 • Transitioning to a Project Server Environment • EVM Pilot Program • Start March 2013 • Ramp up for 12 months prior to KDP-C

4. CAM Responsibility for EVM Integrated point of responsibility – Organizational Breakdown Structure & Work Breakdown Structure intersection Establish and maintain the schedule and budget (Budgeted Cost for Work Scheduled — BCWS) Report performance / assess earned value (Budget Cost for Work Performed — BCWP) Monitor all costs charged to the control account (Actual Cost of Work Performed — ACWP) Generate an Estimate at Completion (EAC) quarterly via Op Plan update Perform variance analysis Develop and implement corrective action(s), as required

5. Project Manager Involvement in the EVMS • Project Manager • PM is the single point of integrated responsibility for technical, schedule and cost performance • EVMS provides PM with a consistent, standard framework for assessing project performance • EVMS provides PM a sound program management tool that generates data in a format enabling management by exception • EVMS provides the PM with early detection of problems, enabling the PM to understand the potential cost and schedule impact of a problem(s) and be able to correct the problem(s) prior to it becoming a major issue • PM responsible for review, acceptance and sign-off of the Operating Plan and Variance Analysis Reports • PM signs off on final monthly EV data submittal to sponsor

6. Monthly EV Feedback • Schedule status update • Negative slack or potential project impacts will be discussed immediately with the CAM and PM • Reporting threshold at Control Account level • Thresholds set for SV and/or CV at $25k +/- current, $50k +/- cumulative, $100k +/- VAC • If the CAM is unable to explain the reason for a variance, the CAM and/or Science Investigation Team will be asked to participate in the explanation process • Cause, Impact, Corrective Action • Contract Performance Reporting • Monthly review to be held with sponsor

7. Monthly EV Workflow Cycle Week 1 Cutoff for Cost & Schedule Baseline as well as WBS & WBS Dictionary changes; MS Project schedules statused including final BCW”P”; preliminary accounting data available Science Investigation Team schedule updated and forwarded to JHU/APL monthly (by the 5th calendar day of the month) Week 2 First run of EV data. Contract Performance Reports delivered internally. Estimated actuals due (based on SUBC preliminary accounting data). Queries run on schedule and cost data. Initial analysis completed. Op Plan delivered to CAM. Identify required VAR Science Investigation Team estimated actuals report at WBS level submitted by 10th business day of the month Week 3 Project teams prepare and review VAR. Review final CPR and VAR with JHU/APL CAM Science Investigation Team participate in VAR process - called in on an exception basis Week 4 JHU/APL reporting to sponsor delivered electronically

8. Integrated Baseline Review • Demonstrate an adequate baseline at the Mission level • Assure the technical content of SPP defined work is consistent with the Statement of Work • Demonstrate the relationship of planned effort with the IMS • Cost and schedule integration • Assess the sufficiency and time-phasing of resource budgets • Assure that objective meaningful earned value methods are used • Documentation • Responsibility Assignment Matrix (RAM) • Integrated Master Schedule (IMS - master through detail) • Control Account Plan (CAP) • Work Breakdown Structure (WBS)/WBS Dictionary • Project Management Control System for the EVMS • Assure the identification of significant technical, schedule and cost risks • All Subsystems and Science Investigation Teams involved

9. EVMS Architecture Upgrade Proposed EVMS Architecture ACWP BCWS RMIS wInsight Cobra Data Warehouse Integration with Manufacturing Resource Planning System BCWP VE – ERP System Simplified collaborative multi-user environment

10. Science Investigation Team Participation • Capable of working with JHU/APL to meet the intent of the guidelines • Define the authorized work elements (WBS) for the project • Develop a schedule that reflects the key contractual requirements, significant decision points and key milestones • Provide a logical link from where the work is being performed to project level (vertical dependencies) • Provide for identification of product-oriented interdependencies supporting contractual effort (horizontal dependencies) • Maintain a time-phased budget baseline – Performance Measurement Baseline (PMB) • Establish a project baseline summary of the time-phased budgets for all control accounts plus applicable indirect budgets • Record direct costs in a manner consistent with the budgets • Ensure accumulation of costs is consistent with the way the work is planned and budgeted in the EVMS • Provide JHU/APL a monthly estimated actuals report • Actuals – 533 • Estimated Actuals – for work completed but not yet hitting the ledger • Provide JHU/APL with a Milestone Schedule (IMS) • The establishment of the IMS and weighted M/S allows JHU/APL to have the ability to accurately measure performance (Budgeted Cost of Work Performed – BCWP) • JHU/APL and the Science Investigation Teams have worked together to determine the proper level of granularity for the establishment of these milestones • Work with the CAM to provide a Variance Analysis Report (VAR) for any cost, schedule or at completion variance exceeding the established variance thresholds

11. Science Investigation Team EVM Process Flow Requirements Cost & Schedule Reporting Requirements Flow-down Matrix Subcontract SOW & CDRL Prime Contract NNN06AA01C Development WBS Detailed Schedule & Cost Plan Weighted Milestones Baselined Cost & Schedule Management Schedule Updates EVM & 533 Reports EV Data Processing EV Report & Analysis

12. Key Delivery Dates

13. Monthly Estimated Actuals Report

14. “EV Capable” – Goal for Science Investigation Team • Capable of working with JHU/APL to meet the intent of the guidelines • Define the authorized work elements for the project (WBS) • Schedule that reflects the key contractual requirements, significant decision points and key milestones • Logical link from where the work is being performed to project level (vertical dependencies) • Provide for identification of product oriented interdependencies supporting contractual effort (horizontal dependencies) • Maintain a time phased budget baseline - PMB • Project baseline summary of the time phased budgets for all control accounts plus applicable indirect budgets • Record direct costs in a manner consistent with the budgets • Accumulation of costs is consistent with the way the work is planned and budgeted in the EVMS

15. Budget Allocation • Budget flows from the Contract Task Order Award into the project CTC and ultimately, its Control Accounts • The Project Manager identifies any Management Reserve, which is held at the Project level • The CAM budget is recorded in the WSA • The CAM’s and Project Manager’s signatures on the WSA reflect its nature as an “internal contract”— a commitment by the PM to provide that much support, and by the CAM to do the work for that amount

16. Work Planning and Resource Allocation • The CA work is further detailed into Work Packages • Work Packages are then defined by Subcontractors’ resources • Labor • Materials/Procurements • Other Direct Charges (ODCs) • Travel • The Activities are assigned an EV type according to the type of work, duration, and the way it can be measured. Discrete methods are used wherever possible • Consistent with the SOW, a bottom-up BOE was developed based on the technical understanding of the work. A resource estimate was developed to include: • Labor resources allocated by month • ODCs time-phased • Subcontracts/subcontractors are identified and incorporated through established JHU/APL processes

17. APL Process Illustration Trace Account Discussion Control Account 3.7.U – PRIO Development and Flight ASICS (Power Remote Input Output ASIC chip)

18. Process Overview • Planning • WBS • Work Definition/WBS Dictionary • Baseline Schedule • Budget Allocation • RAM • Work Planning & Resource Allocation • Resource Allocation • Baseline Control – BCR, Log, Schedule update • Performance Measurement • Execution • Cost Performance Reporting • Variance Analysis and Corrective Action Planning • Review • Management Review

19. WBS

20. Work Definition/WBS Dictionary

21. 3.7.U Control Account Schedule - Baseline

22. APL Responsibility Assignment Matrix

23. Work Statement Authorization Document (WSA)

24. Baseline Change Request Form Budget

25. Baseline Change Request Form

26. 3.7.U Control Account Schedule (Updated)

27. Control Account Plan (CAP)

28. 3.7.U LABR Control Account Schedule Status (through 6/30) Weighted Tasks

29. 3.7.U LABR Control Account Schedule Status (through 6/30) Schedule Status

30. 3.7.U LABR Control Account Schedule Status (through 6/30) Earned % = 30.36% BCWP = 30.36% x $206,784 = $62,780 for Labor

31. Variance Analysis Report (VAR) • Required when CV,SV, or VAC exceed variance thresholds • Required at the Control Account level, can be done at higher levels • Memo for the record • Not cheap when done properly • More expensive when done poorly

32. Science Investigation Team EVM Challenges • Start-up hurdles • Understanding the capabilities of the financial system at each institution • Learning curve for each institution and their major subcontractors • Setting up weighted milestones that are appropriate for each team which provide enough insight to produce useful EV data • Short turn-around time for processing and analyzing data • Procurements lag time into the system • Invoicing lag time

33. EVMS - Going Forward • Continue working on implementation for SPP. Current efforts include: • Setting up control logs (CBB, MR, UB & BCR form) • Working with Instrument Providers to set up IMS, weighted M/S, Est. Actuals • Meeting with Instrument Providers at their facilities • Finishing the IMS for Phase B • Initiate workshop-type formats for CAM training • Training Group Supervisors and CAMs • Setting up VAR workshops • Finalize testing of subcontractor and material performance methodology