DoD Procurement eBusiness Roadmap

Defense Procurement and Acquisition Policy

March 2010

Procurement Data/Reporting and Financial Transparency

Federal Financial Accountability and Transparency Act (Grants, OTs, Loans, Contracts) – monthly reporting; quarterly data verification and validation requirement

American Recovery and Reinvestment Act reporting• Taking Contract Award and Modification Documents

to data (beyond PDFs) using – – XML data standards– Data sharing – Reliance on standard transactions

A traceability solution involving Electronic Document Access to prepopulate the line of accounting for all contracts in Wide Area Work Flow (WAWF)

June 2010

Financial Management

2132020.00000 5X-6X20 123456.00000 662G 25POLI P68EY78945J123 POLI25 123456

Lines of Accounting

2132020.00000 5X-6X20 123456.00000 662G 25POLI P68EY78945J145 POLI25 123456

DoD Budget Submission

Appropriations

Total Government Contractor Total Government Contractor

14-Aug-00 60 60 - 100 100 - 16-Oct-00 118 118 - 955 955 - 1-Nov-00 165 165 - 1,160 1,160 - 1-Dec-00 246 246 - 1,631 1,631 -

21-Dec-00 543 310 233 1,721 1,721 - 25-Jan-01 840 449 391 2,900 2,900 - 5-Feb-01 941 465 476 3,624 3,624 - 1-Mar-01 1,225 549 676 6,928 6,050 878

29-Mar-01 1,504 678 826 9,827 8,787 1,040 4-May-01 1,766 800 966 11,504 10,328 1,176

11-Jun-01 2,130 890 1,240 13,000 11,648 1,352 6-Jul-01 2,326 979 1,347 14,356 12,864 1,492

3-Aug-01 2,757 1,056 1,701 16,234 14,536 1,698 31-Aug-01 3,136 1,083 2,053 18,199 16,182 2,017

5-Oct-01 3,595 1,150 2,445 19,902 17,357 2,545 2-Nov-01 3,985 1,214 2,771 21,558 18,791 2,767 7-Dec-01 4,481 1,265 3,216 23,373 20,245 3,128 4-Jan-02 4,695 1,237 3,458 24,122 20,840 3,282 1-Feb-02 5,109 1,212 3,897 25,964 22,232 3,732 1-Mar-02 5,515 1,216 4,299 29,541 25,626 3,915 5-Apr-02 6,132 1,325 4,807 32,652 28,392 4,260

Users Assessments Retrieved

Commitment

Total Government Contractor Total Government Contractor

14-Aug-00 60 60 - 100 100 - 16-Oct-00 118 118 - 955 955 - 1-Nov-00 165 165 - 1,160 1,160 - 1-Dec-00 246 246 - 1,631 1,631 -

21-Dec-00 543 310 233 1,721 1,721 - 25-Jan-01 840 449 391 2,900 2,900 - 5-Feb-01 941 465 476 3,624 3,624 - 1-Mar-01 1,225 549 676 6,928 6,050 878

29-Mar-01 1,504 678 826 9,827 8,787 1,040 4-May-01 1,766 800 966 11,504 10,328 1,176

11-Jun-01 2,130 890 1,240 13,000 11,648 1,352 6-Jul-01 2,326 979 1,347 14,356 12,864 1,492

3-Aug-01 2,757 1,056 1,701 16,234 14,536 1,698 31-Aug-01 3,136 1,083 2,053 18,199 16,182 2,017

5-Oct-01 3,595 1,150 2,445 19,902 17,357 2,545 2-Nov-01 3,985 1,214 2,771 21,558 18,791 2,767 7-Dec-01 4,481 1,265 3,216 23,373 20,245 3,128 4-Jan-02 4,695 1,237 3,458 24,122 20,840 3,282 1-Feb-02 5,109 1,212 3,897 25,964 22,232 3,732 1-Mar-02 5,515 1,216 4,299 29,541 25,626 3,915 5-Apr-02 6,132 1,325 4,807 32,652 28,392 4,260

Users Assessments Retrieved

Obligation

Expenditure Property, Logistics, and Transportation

Requirement

Contract

Need

Inspection

Delivered Property

Acceptance

Line Item

Requisition

Shipping Notice

Transportation

Receiving

Property Log

Enterprise UID Digital Data Flow

Acquisition

AAI

Voucher #

IUID/RPUID

Contract #&CLIN & SPIIN

LOA

AAI

Transaction ID

TCN

APUIDAPUID

CAGE/IUID/NSN

DoD Procurement Data Strategy Timeline

Publish Procurement Data Standard Phase 2 (Contracts and Orders) – Complete (DPAP website)

Formalize Independent Verification & Validation process- January 2009

Establish Access to Component Procurement Business Intelligence Systems (Army, AF, DLA)

• Electronic Data Access capable of receiving data June 2010

THIS ENABLES DoD TO MAKE CONTRACT DATA AVAILABLE TO LOGISTICS AND INDUSTRY

Performance Data

Contract Business Intelligence

Contract Writing / Ordering Systems

WAWF

EDA (data)

EDA (PDF)Support FFATA expansion

GEX

MOCAS

ERPs

Inventory Systems

Business Intelligence Capabilities•Conformed Contract View•Strategic Sourcing View•Delivery and Payment View•Warranty View•Contract Policy View•etc

Pre-populate DD250 and invoices

Pre-populate mods and orders

6

WAWF Current Process State

GEX

Vendors

WAWF

View Only Users-ContractingOfficer-Payment Clerks

GovernmentWorkflow User-Inspectors-Acceptors-Certifiers

Email notices sent to next workflow user

Vendor EDI

GEX

Vendor FTP

Vendor W

eb

Vendor EDI

Invoice &Receiving

Report

INPUT

Invoice &Receiving

Report

SIGNREJECT

PROCESS

EDAEDA

CCRCCR

DAASCDAASC

IUIDRegistry

LogisticsSystems

• DSS - DLA• Navy ERP• ILSMIS - Navy

EntitlementSystems

• MOCAS - DCMA• SAMMS - DLA• BSM - DLA• One Pay - Navy• CAPS - Army/ODAs• IAPS - AF• Navy ERP

• ACMS - JS• EBIZ - DFAS• SABRS - USMC• Navy ERP• STARS

Invoice &Receiving

Report

VIEW

Invoice &Receiving

Report

VIEW

Property MgmtSystems

WAWF RolesWAWF Roles

AccountingSystems

SPSSPS

Co

ntr

act

Dat

a

Contract

Dat

aD

oD

AA

Cs

(Go

vt

Ad

dre

ss C

od

es)

Co

ntr

act

Dat

a

CAGEs (V

endor

Address

Codes

)

• AFEMS - AF

Unique Identifier

Next Generation Contract Writing

• Integration with ERPs• Defining standards and internal controls• Defining future contract clause management

environment; central serviceCONOPS completeFunctional Requirements Document

complete– Clause logic under development

• First focus – property and payment clauses

Purchase Request Data• Purchase Request Data Standard – pending

policy• Business Intelligence

– Enabling an enterprise view of contract award data; electronic anomaly reports under development

• Receipt and Acceptance/ Miscellaneous Payments/Invoices/Property Transfers– Internal controls with Direct Vendor Deliveries and

receipt documentation; Tri-Domain Working Group– Focus on Destination Acceptance

Line Item Life Cycle – Schema for Requirements

Requirement•Requirement identifier•Item Number•Description•Quantity•Unit of Issue•Specs and Standards•Descriptive Identifiers

(e.g. NSN, Type Designation, PN)

•Delivery date•Ship to•GFP Provided•Funding data

(AAI/LOA)

Contract•Contract Number•Item Number•Description•Quantity•Unit of Issue•Specs and Standards•Descriptive Identifiers

(e.g. NSN, Type Designation, PN)

•Delivery date•Ship to•GFP Provided•Contract Type•Unit Price•Payment provisions•Funding data (AAI/ACRN/LOA)

Delivery•Contract Number•Item Number•Description•Quantity•Unit of Issue•Descriptive Identifiers*

(e.g. NSN, Type Designation, PN)

•Unit Price•Date Delivered•Shipped to•GFP embedded•UII

Invoice•Contract Number•Item Number•Quantity•Unit of Issue•Unit Price•Date Delivered•Contract Type•Unit Price•Payment provisions•Funding data

(AAI/ACRN/LOA)•Invoice Number•Invoice Amount

Government Furnished Property

Phase III - Procurement Data Strategy

Government Furnished Property data structure for –

• Solicitations and Award

• Contractor Acquired Property

• Marking of GFP

Pending in a DFARS case to be finalized this Spring 2010; need to address adoption by contract writing systems

Contractor Acquired Property Property acquired on a cost type contract must

have better controls over property accountability DPAP issued policy memorandum January 2010

directing that procurement officials Establish CDRL requirement for a list of all contractor

acquired property Ensure requiring activities review the list to identify

items to enter the government inventory Ensure those items selected are itemized on an

exhibit; a CLIN established for delivery. The exhibit should itemize: Acquisition Value Placed in Service Date

GFP Management Policy

• Ensure regulatory guidance is efficient and effective– DFARS 245 alignment to FAR 45; final rule published

(July 09)

– A DCMA block change contract impacting about 29K contracts was issued Oct 09; requiring GFE reporting to the IUID registry

• Clarify policy regarding accountability and reporting of Contractor Acquired Property– DoD 7000.14-R Vol 4, Chapter 6 being updated

– DFARS Procedures, Guidance and Instructions pending

Government Furnished Property• Numerous IG and GAO audits underway;

property cannot be accounted for when in the hands of contractors

• DPAP & Acquisition & Logistics leadership kicked off working group Feb 2010– Traceability to Contract Number for outbound property– Tracking to IUID’d and non-IUID’d items– Transparency through transaction reuse– Ensuring contractors can only access the supply

system within authorized limits

GFP Management Capabilities

• Paperless accountability and contract reconciliation of GFP– DFARS Case 2008—D049 Reporting of Government

Property Losses – pending as a proposed rule– Defining existing data and transactions used for GFP

supply transactions – underway– Two GFP process mappings underway – Marines (4

property systems) and Army (PBUSE)• Marking, reporting and data management of

property in the hands of contractors– Establish standard data format to integrate contract

IUID data on GFP; includes IUID marking (PGI case underway)

GFP Management Capabilities • Develop DoD capability for paperless accountability and

contract reconciliation of GFP– DFARS Case 2008—D049 Reporting of Government Property

Losses – pending as a proposed rule– Map/capture GFP supply transactions – IUID Hub Operational

Sept 09– Develop a federated data capability for GFP reconciliation – pilot

underway– Mature WAWF archives capability; redesign underway

• Develop DoD capability for enterprise visibility including reporting and data management of property in the hands of contractors– Supercede DoD 1662 reporting with IUID registry – DFARS

252.211-7007 published Nov 24, 2008– Issue guidance on reporting of property in hands of contractors –

pending as a proposed rule (UII and non UII’d property) (DARS 2009 – D043)

17

Challenges• Adhering to the contract line item rules; enforcing

Procurement Data Standard and use of Electronic Document Access system

• Establishing standard policy for Government Furnished Property management environment

• Marking and managing legacy items; drawing in NATO partners (Netherlands and Canada procurement IUID requirements final or pending)

• Wide Area Workflow Deployment– Deployment across DoD has topped 75%– Receipt vs acceptance

• Training, Training, and Training

Supply

Property Accountability

Financial

Maintenance

Receipt andAcceptance

Procurement

Government Furnished Property Business Management Environment

Quality Assurance

Crossing the Functional Streams

Property Management

is a Team Sport

Authorization, Issuance, & Maintenance

(AIM)

Common Access Card

DEERS

Personnel Systems

Data Mining Vendor

WAWF

IUID Registry

FPDS-NG

Online contract

ordering tools(75% of transactions are via PCard)

Card History

Merchant Banks

Card Association Hubs

Thi

rd P

arty

P

roce

ssor

s (e

.g.

TS

YS

)~

3,00

0 da

ta e

lem

ents

Card Issuing Banks•USBank•Citibank

•JP Morgan ChaseData retained 7 years

Custom ExtractReferred High Risk

Transactions

Daily Feed

Account Setup and Maintenance

DMDC

DMDC

DMDC

DMDC

BTA

BTA

Purchase Card Integrated Business Environment

Vendors

Accountable Property Systems

Accounting & Entitlement

Systems

DAUTraining

Data

GSAFPDS

OperationalRequirements Defined; OPS pendingRequirements Pending

Establishing Authoritative Sources for Contractor Access

Contractors and Grantees

•CAGE Code•DUNS #•Name

Vendors/People•Bank Identification•CEFT(DFAS/TIN)

Employees

ContractsGrants

Other Tran.•PIIN

•CAGE/DUNS

COR List by

Contract

Performance Dates

Self Managed Vendors

JPAS

Pool of vetted individuals

SPOT

Thr

ee t

iers

of

acce

ss r

equi

red

Identify entity requiring access

Connect to business agreement

Security clearance and logical/physical

access requirements

DBIDS

CVS