Procurement Evaluation and Re-Engineering Team (PERT)

Peer Reviews

2011 Peer Reviews

2

Review Site

Los Alamos National Security

River Corridor Closure Servces

Strategic Petroleum Reserve

Argonne National Labortaory

Lawrence Livermore National

Labortaory

Stanford National Linear Accelerator

Laboratory

Dates January 24-29 April 25-29 May 2-6 June 13-17 August June 13-17Team Lead

John Robinson - ORP

Pat Marmo - CH2M Hill PRC

Amber Romero - SNL

Rod Templon - PPPL

Joe Collins - FNAL

TeamCeceila Rowe -

ORNLTodd Hanson -

DOE/HQDave Ferguson -

NNSA/SSOPaul Biagioli

KCP Steve Law NNSA/HQ

Kim Gallegos - NNSA/SC

Barbara Stearrett NNSA/NA-63

Jay Johnson -SRNS

Kelly Miller - LLNL

Bob Gordon DOE/BSO

Cheryl Thompson DOE/HQ

Eileen Nasto - LBNL

Carol Elliott NNSA/SRSO

Don Rawlings - BNL

Dan Saiz - NNSA SC

Steve Law NNSA/HQ

Sam Felix - SNL

Dennis Wilson DOE/CH

Bob Dykes Brown & Root

Karl Duke - ANL

Tony Quadagni - BNL

Mary-Faith Healey - BNL?

Mellie Cannady SNL

Sonny Rogers - ORNL

Lori Wright - SRNS

Mike Duboisi - BNL

Kristin Palmer - DOE/ASO

Maria Robles - DOE/BSO

Lori Wright - SRNS

Mark Waite JLAB

Mike Depeel - PRC

Don Trybul - Bechtel

Evelyn Landini - DOE/BSO

Sergio Martinez DOE/ASO

INL (?) Lisa Rogers - DOE/FSO

Randy Combs NREL

Carolyn Lucas KCP

Strengths and/or Best Practices across multiple Sites◦ Internal customers involved in Acq. Planning (3)◦ Leveraging buying power (2)◦ Controls for rapid purchasing techniques (3)◦ Integration of ES&H, Security, etc. (4)◦ Use of Automation (1+1)◦ Internal customer education on required inputs (2)◦ Controls for specialized purchasing methods (3 BP)◦ Protection against Fraud, Waste, Abuse (1+1)◦ Specialized Purchasing: Policies & training (1+1)

2011 Peer Review Trends

3

2011 Peer Review Trends

Isolated Best Practices◦ Specialized Purchasing Methods conforming

to requirements and good business practice Weaknesses across multiple Sites

◦ File Documentation Best overall criteria performance

◦ Reduction of subcontract performance risks & facilitation of quality relationships

Worst overall criteria performance◦ No overall “Weakness” in any major criteria

area

4

2011 Isolated Weaknesses

◦ Requiring activities and purchasing involved together in effective purchase planning

◦ Pre-award cost/price analysis◦ Analysis of options before exercising◦ Copies/compliance of insurance certificates◦ Internal customer education on required

inputs◦ Minimizing Sole Source awards◦ Periodic audit of cost reimbursement and

post-award cost/price issues◦ Frequency/timing of procurement training◦ Post award administration records

5

Strengths◦ Advanced Procurement Planning◦ Small Business Outreach◦ Robust Training Programs Customers◦ Succession Planning◦ Self Assessment Processes◦ Corrective Actions in Response to Lessons Learned and Findings from

Prior PEER Reviews Weaknesses

◦ File Documentation◦ Cost and Price Analysis ◦ Lack of Resources (personnel)

Best Practice◦ Contractor Labor Time Reporting (CTLR) System◦ Purchasing System Policies: Requirements of Prime Contract, Applicable Laws,

Regulations◦ Relationship with Subcontractors and Suppliers◦ System in Place to Prevent the Award of a Construction Subcontract to

the A&E Company or Affiliate Who Prepared the Design

2010 Review Trends

6

2009 and 2008 Peer Review Comparisons

2008 Review Trends◦ Strengths and Best Practices

Leveraged Buying Power

Rapid Purchasing Techniques Strategic sourcing

Advanced Procurement Planning

Subcontractor Performance Evaluation Systems

Use of Technology for Efficiency: Electronic Certified Payroll, Contract Audit System

Robust Assessment Programs Customer Feedback for Continuous Improvement

Small Business Outreach Acquisition Process Internal Cost/Price

Analysis Teams◦ Weaknesses

No Trended Weaknesses

7

2009 Review Trends◦ Strengths - Rapid Purchasing

Techniques, Advanced Procurement Planning, Use of Technology for Efficiency, Small Business Outreach, Robust training programs customers

◦ Best Practices - Use of Technology for Efficiency: Ariba electronic workflow requisition, Open Rating’ database, Advanced Procurement Plan (APP). NSE Roof Asset Management Program contract (RAMP)

◦ Weaknesses - File Documentation, Cost and Price Analysis

Observation Comparison FY08-FY11

8

  FY08 (9) FY09 (8) FY10 (9) FY11 (6)

Best Practices 5 5 6 7

Strengths 82 65 43 42

Weaknesses 19 19 25 13

9

Team Leads: Ensure you are using the current version of the Assurance Criteria

ANL: Received “Strength” in File Documentation

LANS: Specialized Purchasing Methods (P-Card, Rapid Purchasing, etc.) policies, procedures and controls: YOU ROCK!!!!

Discussion item: “raising the bar” as improvements are realized at multiple sites

Wrap-Up