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Breakout Session #606 Gino Magnifico, Deputy Program Manager, SPS April 11, 2006 2:45-3:45 pm

Business Process Success: A Case Study of the DoD’s Standard Procurement System . Breakout Session #606 Gino Magnifico, Deputy Program Manager, SPS April 11, 2006 2:45-3:45 pm. Talking Points. DoD Acquisition Vision and Business Transformation What is SPS?

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Breakout Session #606 Gino Magnifico, Deputy Program Manager, SPS April 11, 2006 2:45-3:45 pm

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  1. Business Process Success: A Case Study of the DoD’s Standard Procurement System Breakout Session #606 Gino Magnifico, Deputy Program Manager, SPS April 11, 2006 2:45-3:45 pm NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  2. Talking Points • DoD Acquisition Vision and Business Transformation • What is SPS? • SPS’ Role in E-Business, Strategic Acquisition • Challenges We Faced • Solutions We Employed • SPS and the Warfighter • Enabling Strategic Acquisition • Questions/Discussion NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  3. DoD Acquisition Vision Transforming Acquisition • Transformation of the acquisition workforce to strategic acquirers • Tools • Information (business intelligence) • Knowledge • Focus on people, process, technology • Meet departmental mission • Draw links between acquisition and procurement NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  4. DoD Business Transformation Agency VisionThe Business Transformation Agency will be recognized as the champion for driving and accelerating improvements to business operations across the Department of Defense. We will serve as a magnet to attract talented, dedicated professionals, creating a model for transformation leadership across the Federal Government.MissionThe mission of the Business Transformation Agency is to guide the transformation of business operations throughout the Department of Defense and to deliver enterprise-level capabilities that align to warfighter needs. “Our challenge is to transform not just the way we deter and defend, but the waywe conduct our daily business. Let’s make no mistake. The modernization of the Department of Defense is a matter of some urgency. In fact, it could be said thatit’s a matter of life and death, ultimately, every American’s.” - U.S. Secretary of Defense, Donald H. Rumsfeld NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  5. What is SPS? Standard Procurement System • Automated contracting system • Standardizes procurement processes across DoD • 23,000 users, over 800 locations worldwide • Used in FY05 to purchase more than $93B in goods and services • Establishes framework for business intelligence tools • Will replace 70+ legacy systems • Only BMMP-approved IT system • Cornerstone of DoD Acquisition Domain • Only standard business solution in DoD NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  6. SPS: Enabling Strategic Acquisition PEOPLE Federal Procurement Data System – Next Generation (FPDS-NG) Federal Integrated Acquisition Environment (IAE) Federal Business Opportunities (FedBizOpps) eCatalogs Federal Technical Data Solution (FedTeDs)* Past Performance Information Retrieval System (PPIRS)* Business Partner Network (BPN)* Intragovernmental Transaction Portal (IGTP)* TECHNOLOGY Department of Defense Financial Systems (DFAS) Electronic Document Access (EDA) Wide Area Workflow (WAWF) Defense Acquisition Management Information Retrieval (DAMIR) Standard Procurement System (SPS) Defense EMALL DoD EMALL Logistics Systems (ERP) Planning Solicitation Award Performance & Management PROCESS Improved Program Management Acquisition Oversight Acquisition Data Business Intelligence Strategic Acquisition Procurement Data Spend Analysis DATA Asset Visibility Unique Identifier (UID) Asset Tracking Clean Audit NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  7. Challenges of Implementation • External to Program • Standardization at Department Level • Internal to Program • Customers • Processes • Communication …One solution solved BOTH types of challenges NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  8. External Program Challenges Challenges DoD Standardization • Integrate with myriad systems across multiple domains • Acquisition • 155 Acquisition and charge card systems • 48 Systems partner with Logistics • 69 Systems partner with Finance and Accounting • 24 Systems partner with other Domains • Finance, Accounting, Operations & Financial • Human Resources • Installations & Environment • Logistics • Strategic Planning & Budgeting • Technical Infrastructure • Stovepiped systems in each Domain All Department-wide standard business systems must address these challenges NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  9. Internal Program Challenges Changing expectations • Desktops • OSD Leaders • Congress Continuing process improvement • Software quality • Configuration management Establishing communication channels to serve multiple customers • 3 Communities • 4 Services • 13 Agencies Challenge: normalize the system to address all needs NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  10. One Solution: Joint System Configuration Management Database • Centralized, up-to-date repository • Accessible to all participants 3-Tiered Review Process with all communities • Result: All stakeholders included in process, system meets DoD’s goals Governance Contracting and Procurement IPT Joint Requirements Teams NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  11. Implementation Solutions Increment 2 (Version 4.2.2) • Improved Interfaces & Data Sharing • Performance & Security Enhancements • Enhanced Contract Admin • Windows/Office XP Compatibility Increment 3 (Version 4.2.3) • Web-based and Scalable with Open Architecture • Data Centric - Formless • Archiving • Role-Based Security SPS-Contingency • Enables Warfighters to focus on mission vs. clerical activities • Easily and rapidly captures, sorts, and transfers contract data • Standardizes contingency contracting process NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  12. SPS on the Front Lines SPS - Contingency • Mobile Contracting • Saves time, money • Contracting: anytime, anywhere • Afghanistan • Iraq • Kuwait • Turkey • Saudi Arabia • Qatar • And More… NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  13. Electronic SF44: It’s About Time • Standardized tool for joint contingency contracting • Based on cross-Service userrequirements • Convenient and user friendly • Transportable and secure • Rollup capability • Low error rate • No handwriting to decipher • Digital signature acceptance • Leverages commercially available software and hardware • Automatically synchronizes data in field with master station • Receipt capability via mobile thermal printer or wireless connection FromManual … … To Digital NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  14. In Summary: Enabling DoD’s Vision SPS supports E-Business • Standard business system crossing multiple, stovepiped Domains • Provides common link to logistics, procurement, financial management systems • Provides tool to capture and use business intelligence • Allows Department Leaders to apply principles of strategic acquisition NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

  15. Cornerstone of DoD’s Acquisition Domain “The Department recognizes in the current threat environment, business operations must be equally flexible, responsive and capable, in order to effectively support our Armed Forces • Deputy Under Secretary of Defense for Business Transformation Paul A. Brinkley NCMA World Congress 2006 : Achieving High Performance in Global Business: Leadership, Outsourcing, & Risk Management

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