MICC - Transforming business through the use of Better Data
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2 Breakout Session C03: MICC - Transforming business through the use of Better Data Managing Contracting Organizations Brigadier General Jeffrey A. Gabbert Commanding General, Mission & Installation Contracting Command COL Maria Schneider, DoD Procurement and Policy December 12, :05pm 5:20pm
3 Are you in the right meeting? All personnel within my organization have a clear understanding of our core capabilities Our external customers and team mates have a clear understanding of how to request our services and/or integrate within our operation All business processes within my organization are integrated, streamlined, and have measures of effectiveness that help drive the conversation All information technology within my organization works really well and provides value to all 3
4 MICC Transformation From , the Mission and Installation Contracting Command (MICC) underwent a comprehensive transformational journey creating business efficiencies and optimization focused on bringing people, business processes, and technology together through the establishment of a sound digital business ecosystem, known as MICC Marketplace, in order to deliver efficient, relevant and agile procurement support to Army activities, while providing fiscally responsible alternatives to the United States Government and taxpayers. 4
5 Army Contracting Relationships Army Commands Supporting Contracting Organization Army Contracting Command 6 ACC Centers Expeditionary Contracting Command Mission and Installation Contracting Command Army Materiel Command Military Surface Deployment & Distribution Command U.S. Army North 412 th Army Acquisition Support Center MICC-419 th Second Army MICC-Ft. Eustis U.S. Army Corps of Engineers U.S. Army War College MICC-Ft. Eustis Army Service Component Commands U.S. Army Space & Missile Defense Command/Army Strategic Command U.S. Army South 410 th U.S. Army Central 408 th Forces Command MICC-419 th U.S. Army Special Operations Command MICC U.S. Army Africa 414 th U.S. Army Pacific 413 th Direct Reporting Units U.S. Army Military District of Washington MICC-419 th U.S. Army Criminal Investigation Command MICC U.S. Army Military Academy MICC-Ft. Eustis Arlington National Cemetery MICC-419 th U.S. Army Accessions Support Brigade MICC-412 th Training & Doctrine Command MICC-Ft. Eustis U.S. Army Cyber Command MICC-Ft. Eustis U.S. Army Europe 409 th U.S. Army Installation Management Command MICC U.S. Army Test and Evaluation Command MICC-418th U.S. Army Medical Command Ft. Sam Houston U.S. Army Intelligence and Security Command Supporting Contracting Organization U.S. Army Corps of Engineers Contracting Medical Command Contracting U.S. Army Reserve Command MICC-412th National Guard Bureau
6 MICC Organizational Structure 412th CSB FDO-Fort Eustis 418th CSB 419th CSB 6
7 What started the journey? Assessment (Are we good team members?) Assumption of Command (November 2013) Getting answers to basic questions was challenging 7
8 Getting to know our business What are we buying? How are our offices resourced? What has changed? Are there Strategic Souring opportunities? What tools are we using? What is their workload ratio? How are we doing? Is there a way to integrate policies & training into our BI system to mitigate our Mentorship ratio? Are there enterprise problems? Who can help? 8
9 Idea: MICC Marketplace 9
10 Example: Transforming our customer interface 10
11 Agile Proficient Trusted Transforming Our Customer Interface Basic Tenants Behind Marketplace 1. Gateway Where do we go? 2. Operations What are we doing? 3. Analytics Are we effective at strategic sourcing? Not everything that can be counted counts, and not everything that counts can be counted. Albert Einstein, Physicist What are the Basic Tenants behind MICC Marketplace? Where do we go? Creating a Gateway portal that points customers to the right place to meet their needs; needs can be a myriad of requirements (Examples: Contract Actions, Training, Planning, Dashboards, etc) How are we doing? Integrate the Contracting Tactical Operations Center (CTOC) focused on managing day-to-day and predictive procurement operations with Gateway and Analytics Are we being effective? Implement Big Data principles & metrics within overarching business ecosystem to create valuable measures of effectiveness Contracting for Soldiers 11
12 Agile Proficient Trusted MICC Marketplace Customer Focus General The Small Business Goals have been updated. Welcome to the MICC Marketplace The Marketplace is a single point of entry for AMC customers requiring purchasing support. This website will guide you through the process, policy, and responsibilities of buying supplies, services, and minor construction. More about the Marketplace CLOTHING, I NEED TO INDIVIDUAL PURCHASE I NEED TO PURCHASE TRAINING AIDES I NEED RECREATIONAL TO PURCHASE / OFFICE FURNITURE LAB IT EQUIP OFFICE SUPPLIES OTHER SUPPLIES EQUIPMENT SUPPLIES. SERVICES. & DEVICES MINOR ATHLETIC CONSTRUCTION. EQUIP Template Updates 30 December 2015 The inherently Governmental Function Determination template has been updated More News Download the 2016 cutoff dates Contracting for Soldiers 12
13 Agile Proficient Trusted MICC Marketplace Customer Focus PWS Search Training Aides & Devices Templates These are standardized MICC templates for common TRADOC supply buys. Training Aides & Devices Templates $150K > $150K New Supply Buy Templates - Training Aides & Devices >$150K Most Downloaded Supply Buy Templates - Office Furniture $150K More News > $150K Download the 2016 cutoff dates Contracting for Soldiers 13
14 Agile Proficient Trusted MICC Marketplace TRADOC Focus PWS Search PWS Search This page contains a variety of commonly used TRADOC Performance Work Statements developed within MICC standard templates. Explore this repository of historical PWS s by category New PWS Additions - ARCIC Mission Support ID/IQ PWS - ARCIC Mission Support Task Order PWS - SCoE Instructor & Training Support Services ID/IQ PWS - SCoE Instructor & Training Support Task Order PWS Most Downloaded PWS Templates - ARCIC Mission Support Task Order PWS More News Download the 2016 cutoff dates Contracting for Soldiers 14
15 Agile Proficient Trusted MICC Marketplace TRADOC Focus Contracting for Soldiers 15
16 The MICC is a Learning Organization with a Culture of Innovation Reverse Auctioning automated solution Introduction of 1105/1106 into workforce Government Purchase Card (GPC) integrated tool kits, training, and central portal Automation of Department of Army Procurement tool kits as a training tool Leveraging commercial off the shelf communication tools from DIUX for reading rooms Marketplace communications portal 16
17 Take-away Leadership sets the tone and helps set the conditions for a learning organization & culture of innovation Transformation requires patience, deliberate planning, and commitment Integration of people, processes, and tools is a recipe for success Measure often and let the data be the conversation starter 17
18 Contact Information Brigadier General Jeffrey A. Gabbert Commanding General, Mission & Installation Contracting Command Colonel Maria D. Schneider Director, Contingency Contracting
19 Agile Proficient Trusted MICC Portfolio FY16 GRAND TOTALS Awards $1B, 13K Actions SAP PURCHASES Modifications $347M, 13K Actions $5.4 Billion Obligated, 609K Actions [CELLRAN GE] [CELLRAN GE] [CELLRANGE] 14,395 Award Actions 17,687 Modification Actions 577K Transactions [CELLREF] [CELLREF] $150K or Less [CELLREF] [CELLREF] Commercial $150K-$7M [CELLREF] [CELLREF] $150K or Less [CELLREF] [CELLREF] Commercial $150K-$7M SERVICE SUPPLY ABOVE THE SAP PURCHASES $3.2B, 9.2K Actions [CELLREF ] [CELLREF ] [CELLREF ] [CELLREF ] Awards Modifications SERVICE SUPPLY MODIFICATIONS Other, 3% Other Change Administrati Order, 6% ve Action, 30% Supplement al Agreement / within scope, 13% Exercise an Option, 15% Close Out, 12% Funding Only Action, 20% Lower Complexity Higher Complexity CONTRACT OBLIGATION DISTRIBUTION 12,514 Contract s* $1.4B Obligati ons 268 Contract s* $3.3B Obligati ons 30% of FY16 Obligations 70% of FY16 Obligations *Count of Base Contract Numbers Contracting for Soldiers 19
20 Agile Proficient Trusted Tying it Together; Using Predictive Analysis Workload model assists Commanders in understanding the health of their workforce Provides leading indicators to analyze potential reasons for shortfalls Provides historical gains and losses to project new hires Contracting for Soldiers 20
21 Agile Proficient Trusted Command Contracting Operations Metrics (CCOM) Contracting for Soldiers 21
22 Agile Proficient Trusted The MICC GPC Program Overview Statistics MICC HQ GPC PMO FDO EUSTIS 412th CSB 418th CSB 419th CSB Ft Eustis Ft Sam Houston Ft Hood Ft Bragg Ft Benning Ft Buchanan Ft Bliss Ft Belvoir Ft Gordon Ft Jackson Ft Carson Ft Campbell Ft Leavenworth Ft Knox Ft Irwin Ft Drum Ft Lee Ft McCoy Ft Riley Ft Polk Ft Leonard Wood Moffet Field JBLM Ft Stewart Ft Rucker Dugway PG Ft Sill Yuma PG Carlisle Barracks Presidio of Monterey West Point MICC HQ GPC Program Management Office located at Fort Sam Houston, San Antonio, Texas 3 Contracting Support Brigades (CSB) and 1 Field Directorate Office (FDO) 31 Installations with 64 Installation A/OPCs (Primary and Alternates) The Army s Largest and Most Complex GPC Program $739M in Spend Volume (FY16) 577K Transactions (FY16) 12,791 GPC Accounts 13 GPC hierarchy structures to support external MICC customers HQ GPC PMO highest Span-of- Control in the Army Provides GPC support to 30+ Army Command (ACOM) customers 4,500+ ACOM Billing Official Accounts 8,000+ ACOM Cardholder Accounts MICC REBATES EARNED FY14 FY15 FY16 1Q $1,519,000 $1,782,000 $2,004,000 2Q $2,194,000 $2,265,000 $2,427,000 3Q $2,828,000 $2,288,000 $2,431,000 4Q $2,928,000 $2,569,000 $2,574,000 Earned ACOM Customers over $9.4M in Rebates (Increase of $532K over FY15) Reduced Lost Rebates by over $179K (Decrease of 33% compared to FY15) MICC DELINQUENCIES Reduced delinquencies by $461K (Decrease of 74% compared to FY15) Reduced Prompt Payment Interest (PPI) penalties by $31.9K (Decrease of 50% compared to FY15) FY14 FY15 FY16 1Q $4,734,110 (3.32%) S542,146 (0.35%) S74,659 (0.13%) 2Q S145,813 (0.08%) S4,177 (0.002%) $9,878 (0.015%) 3Q S136,346 (0.05%) $28 (0.0001%) $19,232 (0.033%) 4Q S221,758 (0.1%) S73,405 (0.121%) $54,770 (0.07%) Accomplishments / Contributions Implemented Army s new GPC Automated Clearing House (ACH) rebate payment process across all MICC and ACOM customer GPC accounts. GPC rebate credit transactions no longer post to GPC cardholder accounts. Consolidated ACH payment made to customer top-level fund center. Participation in DoD-led working groups for electronic processing of Certifying Officer (DD Form 577) and A/OPC appointment letters within DoD PCOLS. Contributed to the DoD-led updating of DAU CLG-001 Government Purchase Card training (Basic and Refresher). Participation in Army DASA-P led working group to standardize Program Management Review (PMR) process and checklists across the Army GPC community. Provided best-practice solution of Travel Central Bill Account for lodging and subsistence expenses, reducing contract labor and increasing mission support. Uncovered over $750K in uncashed US Bank credit checks dating as far back as 2010 now available for ACOM customer usage. Contracting for Soldiers Initiatives Developed reporting tools (Risk and Catalyst) to streamline translation of US Bank GPC data to support MICC internal and ACOM external reporting requirements. Developed MICC GPC App Tool to increase efficiencies in support of MICC metrics program, reduction of delinquencies and increase of rebates. Development of MICC Market-Place GPC portal to provide ACOM customers with streamlined access to MICC GPC training, policies, guidance and resources. Progression toward 100% paperless solutions for both GPC transaction and program management supporting documents (within US Bank and DoD systems). Reorganizing MICC GPC hierarchy and management of accounts to more effectively support ACOM customer portfolios. 22
23 Team Sport Agile Proficient Trusted Contracting Workforce A True Business Advisor Industry A Focus on Performance Agile, Transparent Processes Contracting Process Pursuing Excellence: Completing Military & Civilian Growth Developmental Assignments Communities of Practice Performance Metrics Industry Executive Council & Forums Standard Tools & Better Communication Customer Service Contracting for Soldiers Commitment to all Phases Customers Team Ownership Dividends: A Stronger Understanding of Full Picture United Front for the Warfighter Plans That Account for all Considerations Solutions NOT Pursued in a Vacuum What we Need and When we Need it Holding Vendors Accountable Involvement end-to-end
24 Agile Proficient Trusted U.S. Army Mission and Installation Contracting Command Focus: Customer/ Stakeholder Engagements Phase 1: Shape the Idea - Design with Customer in Mind - Focus on Ease of Use, Time, & Experience - Provide Common Level Support Templates - Provide Standardized Acquisition Training Phase 2: Phase 3: Build Portal Automated Purchase Focus: Enterprise-wide Visibility - Office to Executive Level Management - Common Operational Picture for Stakeholders - Tracks Workload Migration - Supports MICC CCOM Program - Augments Purchase Agent Training - Integrates Oversight Toolkits - Leverages AMC existing Information Technology Tools Focus: Mission Command via Sound Analytics - Insight into Buying Trends, Risks, etc. - Campaign Planning - Improved Strategic Sourcing - Effective Workload leveling - Common Level Services Portfolio - Improved support to Small Business Administration, and Government Purchase Card - Common Understanding (Strategic, Operational and Tactical level units) Contracting for Soldiers 24
25 Agile Proficient Trusted CCOM Successes Have improved from 14 to 24 Green offices and from 1 to all 4 Green CSBs/FDO. Surpassed all 5 Small Business Goals 2 years in a row (FY15 was first time ever). Closed out 30,800 contracts Decreased overdue CPARS by 67% Contracting for Soldiers 25
26 Agile Proficient Trusted 3 Initiatives Based on Analysis 1) Command Contracting Operations Metrics 2) Command Tactical Operations Center 3) MICC OEF CCOs Deployed OIF CCOs Deployed Fraud Starts Gansler Commission - Not enough People - Too Little Training - Antiquated System ACC (Provisional) Activated MICC Activated MICC Integrates Soldiers on TDA MICC 2025 MICC Full Implementation Contracting for Soldiers 26
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