Acceptance Criteria

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Acceptance Criteria

• Presented to Suncoast Chapter NCMA
• Dr. William C. Pursch, CPCM

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Definition
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Acceptance

• The act of an authorized government
  representative (buyer) by which the government
  (buyer) assents to ownership of existing and
  identified supplies, or approves specific
  services rendered, as partial or complete
  performance of a contract.

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Conditional Acceptance
Acceptance of supplies or services that do not
conform to contract quality requirements, or are
otherwise incomplete, that the contractor is
required to correct or otherwise complete by a
specified date.
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Who should establish the acceptance criteria?
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When should the acceptance criteria be
established?
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It Depends !
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The Process
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Contract Management Process - Buyers and
Sellers steps
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Contract Management Process Preaward Phase
Buyers steps
1. Procurementplanning
2. Solicitation planning
3. Solicitation
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Procurement Planning
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Solicitation Planning

• Involves preparing the documents needed to
  support the solicitation

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Solicitation
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Contract Management Process Preaward Phase
Sellers steps
1. Presales activity
2. Bid/no-biddecisionmaking

• Bid or proposal preparation

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Presales Activity

• Is the process of early involvement with
  potential buyers, understanding and
  influencing their needs, plans, and
  expectations

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Bid/No-Bid Decision Making

• Is the process of evaluating risks vs.
  opportunities and making an informed and
  intelligent decision

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Bid or Proposal Preparation
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Contract Management Process - Buyers and
Sellers steps
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Contract Management Process Award Phase
Source Selection- Buyer
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Contract Management Process Award Phase
Contract Negotiation and Formation- Seller
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Contract Management Process - Buyers and
Sellers steps
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Contract Management Process Postaward Phase
Contract Administration- Buyer Seller
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Contract Management Process Postaward Phase
Contract Closeout

• Buyers and sellers steps
• Contract closeout involves both product
  verification and administrative closeout

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Policy Manual
Acceptance or Rejection of work Final acceptance
marks the point at which we assume care,
custody, and control of the work. When work is
completed, the seller submits a notice of
completion. The contract administrator
determines whether the seller has fulfilled all
obligations and complied with all agreement
terms, including any acceptance criteria.
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Contract Management Process - Buyers and
Sellers steps
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Where are the Criteria?
Specifications Statement of Work Quality
Assurance requirements Evaluation
Criteria Negotiation Memorandum Preperformance
Conference Minutes Reports Data input Metrics
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Performance Based Contracting
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Statement of Objectives (SOO)
Use of a SOO is an emerging methodology that
turns the acquisition process around and requires
competing sellers to develop the statement of
objectives, performance metrics, and quality
assurance surveillance plan, all of which should
be evaluated before contract award.
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• Performance-Based Measurements Metrics Best
  Practices
• Review the success determinants.
• Rely on commercial quality standards.
• Have the seller propose the metrics and the
  quality assurance surveillance plan.
• Select only a few meaningful measures on which
  to judge success.
• Include contractual language for negotiated
  changes to the metrics and measures
• Most importantly, consider the relationship.

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Case Study

• Facts
• Specification called for phillips head screws to
  be used in production
• Drawings produced by vendor showed slotted screws
• Customer accepted the drawings
• Seventeen items were manufactured and accepted by
  the customer

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Problem
A new customer inspector discovered the screws
were not phillips head and wants the error
corrected on all work to be produced and also the
first 17 items corrected. What do you suggest
to resolve this issue? Do you need additional
information? How could this have been prevented?
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If you always do What you always did, You will
always get What you always got!!