Acquisition Planning

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(No Transcript)
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Acquisition Planning Project Management
Keeping Contract Award on Schedule
Breakout Session 101 Jo Cunningham July 19,
2010 1115 am 1230 pm
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Acquisition Planning

• Pre-contractual process includes Purchasing
  Project Management Team
• Team coordinates integrates comprehensive plan
  for fulfilling requirements that meet schedule,
  at a reasonable price or cost.
• It includes developing an overall strategy for
  managing the acquisition.

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Acquisition PlanningYour Key to Success!

• BENEFITS
• Enhanced partnering
• Creates the foundation
• Provides confidence in procurement timeframe /
  knowledge
• Documented roadmap
• Provides assurance that all requirements have
  been addressed
• Creates a broader understanding of the program
  the need supports

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Acquisition Planning Your Key to Success!

• CONSEQUENCES
• Delays to the program schedule
• Loss of confidence in procurement organization
• Unforeseen issues or unintended consequences
• Increases the timeline of the procurement
• Propagates procurement is a paper-pusher
  organization mentality

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Acquisition Planning Spectrum

• BASIC QUICK, UNWRITTEN, AND INFORMAL
• Any additional items required from Requester
• Special approval / documentation requirements
• How long it will take to place
• COMPREHENSIVE, WRITTEN, AND FORMAL
• Shared with others in the process to gain buy-in
• Addresses all elements that might affect a
  procurement
• Provides a formal timeline for the overall
  acquisition including those out of procurements
  control
• Not just documentation, but the strategy

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Why Learn Project Planning

• Rigorous disciplined approach you can modify for
  your needs/situation
• Examples everywhere for you to review and mirror
• Fully developed discipline with lots of resources

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Acquisition Planning Project Planning

• Similar End-Goals
• Project completed on-time and on-budget
• Contract Placed on time
• Contract meets needs of customer

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Tools for Project and Acquisition Planning

• PROJECT TOOLS ACQUISITION TOOLS
• Scope Control Scope Control
• Project Charter Statement of Work
• Schedule Control Schedule Control
• Project Plan Acquisition Plan
• Phases Phases
• Milestones Acquisition Milestones

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Project Planning

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Project Management As A Tool

• Identifies Key Performance Milestones
• Tracks Progress and Expenditures
• Helps keep project on schedule and within
  budget!

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PROJECT PLAN DEVELOPMENT

• Project Manager Responsibilities Include
• Influencing the factors that affect change
• Ensuring that change is beneficial
• Determining when changes occur, through his
  tracking processes
• Looking for alternatives to changes

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PROJECT PLAN DEVELOPMENT

• Project Manager Responsibilities Include
• Minimizing the negative impact of changes
• Notifying stakeholders affected by the changes
• Managing changes as they occur

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Comprehensive Project Plans

• Incorporate the following
• Identifies Project Team
• Identifies cradle to grave requirements
• Identifies project milestones and critical path
• Budget other resource constraints

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Project Plan Development

• Project plan begins with asking these questions
• What tasks need to be accomplished?
• What is the order of activities for performing
  these tasks?
• How much will these tasks, people, and resources
  cost?
• To what standards must these tasks be
  accomplished?
• What people will be needed in performing these
  tasks?

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Project Plan Development

• Project planning - Asking questions continued
• 6. What information will be required to perform
  these tasks?
• What is the degree of uncertainty to perform
  these tasks?
• What external resources will be required?
• 9. How will all these actions and resources be
  coordinated?

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Project Plan Development

• Project plan development includes the following
• Project Plan and the Work Scope
• Use the Project Plan Schedule to refine the
  Work Scope
• Incorporate Milestone events
• Identify sub-milestone requirements execution
  timeframes
• Identify Critical Path
• Incorporate Budget constraints as they relate to
  milestones

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Project Plan Development

• Project plan development continued
• Integrated Change Control
• Meet performance baselines
• Make changes
• Coordinate changes across the knowledge areas
• Controls must include Scope, Schedule, Cost,
  Quality,
• Performance Measuring Reporting, and Risk
  Monitoring.

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Keeping The Plan on Track

• Controls for Managing a Project Plan Include
• Scope
• Project Charter, No changes without PM approval
• Schedule Control
• Milestones
• Phases

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Keeping The Plan on Track

• Controls for Managing Project Plans Continued
• Cost Control
• Estimates based on WBS improved accuracy
• Use historical information to estimate
• Costs (also scope, time, resources) should be
  managed to Project Plan
• Earned Value Management Analysis measures
  performance by integrating cost, time scope
  estimates

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Acquisition Planning
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What is the Acquisition Plan

• Your Game Plan for
• execution and management
• of the contract
• Our customers project
• success is heavily
• dependent on Procurement
• success

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Comprehensive Acquisition Plans

• Incorporate the following
• Identify the acquisition team
• Identify essential cradle to grave requirements
  of the acquisition (purchase)
• Identify acquisition milestones and timeline
• Defines responsible party for major milestones

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Acquisition Plan

• It IS a project plan in and of itself.
• It ensures the acquisition milestones and
  deliverables are accomplished and the PO is
  placed as planned and on-time
• Plan for controlling milestones and deliverables
  to achieve the expected outcome on-time
• Requires front-loaded involvement by SCR
  acquisition team members

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Acquisition Plan

• Actual plan is the end result of Acquisition
  Planning
• Not merely documentation - your tool to keep the
  acquisition on track.
• Plan documents your analysis
• Tasks to be completed
• Obstacles that must be overcome
• Risks that must be mitigated

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Keeping Your Acquisition Plan on Track

• Discuss expectations with customer upfront and
  frequently!
• Scope
• Get acceptable SOW and Sourcing Information from
  customer as early as possible
• WBS or equivalent SOW with Defined Deliverables
• Milestone Schedule or Phases

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Keeping Your Acquisition Plan on Track

• Schedule
• Build a Acquisition Plan Schedule
• Get commitments!!
• Walk through schedule with your customer weekly
• Customers must understand Their delays equal
  Day-for-Day Slips

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Keep in Mind

• Plan is a dynamic and evolving document
• Impacted by new inputs and strategy developments
• Control revisions and keep clear notes on
  changes.
• Make the plan and its revisions accessible.
• Changes require impacted sections to be updated.
  
• Changes that have an impact on the actual
  contract document (RFQ) should be incorporated.

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Creating an Acquisition Plan Schedule

• Start from the end date and develop time estimate
  for completion
• Define the phases for performing pre-contract
  activities
• Develop time estimate to complete each phase

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Impacts to Cycle Time

• Preaward audit
• Site Visits prior to award
• Certified cost or pricing data
• Security classified work, badges, access,
  FOCI/Individual Security Plan (ISP) can range
  from 10 days to 12 months
• Opportunities website posting 5 days over
  100K competitive and 500K sole source
• Buy American Determinations

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Impacts to Cycle Time

• Negotiation of Terms and Conditions can add
  significant time
• Subcontracting plan review and approval
• EEO Preaward Clearance
• Quality Significant Inspection Plan review and
  approval
• Quality Audit of contractors facility
• Internal and Government required approvals
• REMEMBER Many activities can be performed in
  parallel

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Acquisition Plan Schedule - Phases

• EXAMPLE Greater than 25k, Less than 500k
  Competitive Best Value
• Prepare Evaluation Criteria 1 week
• Issue RFQ through Contractor Response 4 weeks
• Proposal Review 1 week
• Best Value Evaluation 1 week
• Cost / Price Review 1 week
• Clarifications, Obtain Supporting Documentation,
  Negotiations, Request for Revised Proposals 2
  weeks
• Final Determination of Recommended Contractor 1
  week
• Prepare Award Package 2 weeks
• TIME ESTIMATE 13 WEEKS

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Creating an Acquisition Plan Schedule

• Start from the end date and work backwards
  develop time estimate for completion
• Define the phases for performing pre-contract
  activities
• Develop time estimate to complete each phase

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Creating an Acquisition Plan Schedule

• Write out all the steps required to complete each
  phase
• Assign responsibility for completion of each task
• Keep in mind the factors that may impact the
  cycle time and educate the individuals who may
  affect those factors

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Acquisition Plan Schedule Examples

• Attached is a Just-In-Time Agreement Acquisition
  Plan
• It begins with the end of the process
  Transition from old to new PO
• Buyer backs into the schedule, to understand
  where he or she must begin with the planning
  process.

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Developing a Simple Time Line

• Example 1 All Tasks are End-to-End
• Time 13 weeks End date is 2/9/09

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Developing a Simple Time Line

• Example 2 Overlapping Tasks

TIME 11 WEEKS END DATE IS 2/5/09
TWO WEEKS OF SCHEDULE GAINED
Schedule was pulled-in to the left.
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Developing a Simple Time Line

• Example 3 Overlapping Tasks With Delays

TIME 14 WEEKS END DATE IS 2/26/09
EVEN WITH THE 2 GAINED WEEKS, THERE WERE 3 WEEKS
OF DELAYS
Schedule was pushed-out to the right.
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Acquisition Plan Example

• Attached is a more complex Acquisition Plan.
• It covers the Scope, Schedule, and Estimated
  Cost/Budgetary Requirements.
• It also covers Sourcing, Facilities, Priorities,
  Accounting requirements, and other potential
  issues that may arise.

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Conclusion

• Project Management Acquisition Plans
• Disciplined approaches to plan, organize,
  manage, control resources, and motivate your team
  
• Enable completion of specific project goals, on
  time, and within specified cost, quality and
  performance objectives.
• Procurement professionals greatly contribute to
  project success by intelligently integrating
  comprehensive acquisition plans into the larger
  project plan.

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Conclusion Continued

• References
• Everglades Master Program Management Plan 8-2000
  US Army Corps of Engineers, 188 pages
  http//www.evergladesplan.org/pm/program_docs/mpmp
  .aspx
• FL Statewide Systems Engineering Management Plan
  https//acc.dau.mil/CommunityBrowser.aspx?id1
  9532langen-US
• EI Toolkit Phase 4, Stage 1 Program Management
  Plan https//acc.dau.mil/CommunityBrowser.aspx?i
  d155492
• Geospatial Line of Business (LoB) Program
  Management Plan https//acc.dau.mil/CommunityBrow
  ser.aspx?id153015langen-US
• Program Management Plan Template
  http//www.calrhio.org/crweb-files/docs-hietools/P
  rogram_Management_Plan_Template.doc
• Project Management - Free Management Library
  http//managementhelp.org/plan_dec/project/project
  .htm

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• QUESTIONS?