Strategic Sourcing Strategy Training

Program Operations Division

January 16, 2014

Strategic Sourcing Table of Content

• Course Objectives• Module 1 – Historical Overview• Module 2 – Federal Strategic Sourcing Initiatives (FSSI) • Module 3 – Current NASA Strategic Sourcing Activities • Module 4 – Performance Goals & Cross-Agency Priorities (CAP)

Goals• Module 5 – External Assessments of Strategic Sourcing Activities• Module 6 – Strategic Sourcing Challenges & Objectives• Module 7 – Current Agency Strategic Sourcing Initiatives• Module 8 – Strategic Sourcing Next Step• Back-Up

– OMB 2005 Letter– NASA Signed DDS3 Commitment Ltr– NASA (Bill’s) letter to centers regarding mandatory consideration– Future FSSI Training Opportunities

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Overall Training Objectives

During this training we will ----

• Explore both the Federal Strategic Sourcing Initiatives and Agency Strategic Sourcing Initiatives

• Gain an understanding of the Federal and Agency Strategic Sourcing Process

• Understand the benefits of utilizing Strategic Sourcing vehicles

• Provide an overview of Agency Up Coming Strategic Sourcing Activities

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OP’s Strategic Sourcing Officials

Bill McNally, AA for Procurement, Accountable Official (SSAO)

Monica Manning, Director Program Operations

Diane Frazier, Deputy Director Program Operations

Desiree Sylver-Foust, Procurement Analyst, Working Group Lead Jonathon Wingerberg, Procurement Analyst, Working Group Co-

Lead

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Module 1

Historical Overview & Definitions

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Historical Overview

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In May 2005, the Office of Management and Budget (OMB) announced a government-wide Strategic Sourcing directive, requiring all Federal agencies to implement Strategic Sourcing programs by early FY06.

In Jan 1, 2007, OMB required Agencies to report annually progress of their Strategic Sourcing efforts to include:

– Accomplishments– Improvements in performance– Achievement of socio-economic goals

Strategic Sourcing Definition

Definition:

A collaborative and structured process of analyzing an organization's spend and using the information to make business decisions about acquiring commodities and services more efficiently and effectively.

Purpose:

Reduce duplication, leverage buying power, and improve the management of certain commodities and services

Results:

Sourcing decisions that optimize supply relationships, reduce total costs, maximize quality, and fulfill socio-economic goals.

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Module 2

Federal Strategic Sourcing Initiatives (FSSI)

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OPPORTUNITY ANALYSIS AND ASSESSMENT

PROPOSED SOLUTION SOLUTION EXECUTION COMMODITY MANAGEMENT

Phases

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FSSI - Process

FSSI - Opportunity Analysis & Assessment

Analysis presented to the SSLC at this KDP will provide information on what is being proposed for exploration, why it is an opportunity (e.g., validation of need), and what expertise the agency proposing/recommended to lead the team has. Analysis will include:

Commodity definition and scope Stakeholders Market dynamics Total category spend (overall and by

agency) Savings potential Vendor fragmentation Contract fragmentation Basis for Contract fragmentation Small business participation Value proposition and resources of

identified lead agency Analysis of existing policies

Any interested agency presents analysis of a commodity for exploration.

The Strategic Sourcing Leadership Council (SSLC) determines whether or not a Commodity Team should be formed.

If so: Each of the SSLC agencies commits to

investing resources (time, data, expertise) to support exploration;

Each of the SSLC agencies agrees to identify any significant upcoming acquisitions similar to that being proposed, and defer pursuing new long-term contracts in this area until the team brings back the KDP-2 SLC; and

the SSLC agencies affirm selection of lead agency.

After KDP 1 – commodity team lead will provide regular, substantive updates to SSLC leads and support teams in preparation for KDP 2.

Key Decision Point-1

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FSSI - Proposed FSSI Solution(s)

The strategy for a proposed FSSI solution(s) needs to include key principles presented to the SSLC should include, at a minimum:

Results of market research/ Industry engagement

Defined scope and requirements Inclusion of S2 principles, e.g. tiered

pricing, collection of prices paid, etc. Benefits to agencies Risks Contracting strategy/policy development Individualized recommendations to

Agencies on operational changes that would support adoption

Timeline Critical success factors Performance indicators Small business strategy

The Commodity Team provides detailed information specifying the commodity/service (requirements) and t the proposed strategy to the SSLC.

The SSLC determines if strategy is sound

If so: the SSLC agencies provide the lead

agency with conditional commitment letters; or

*Conditional commitment letters commit an agency’s volume to the solution prior to the solicitation for negotiation and pricing purposes. These letters do not obligate the agency to use the vehicle if the pricing, terms and conditions, etc. are not aligned with expectations.

Key Decision Point-2

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FSSI - Solution Execution

After SSLC approves the FSSI solution strategy or strategies, the Commodity Team will proceed with execution of the approved solution(s) based on analysis: For new procurements, the lead

agency awards new contract(s) with prices and terms and conditions; or

Policy recommendations are implemented after collaboration with stakeholders.

The Commodity Team makes a new award, and presents the key results to the SSLC.

SSLC designation for approved FSSI solution(s) is given if new vehicle proves value.

If approved, these solutions will be

mandatory to the maximum extent practicable.

Key Decision Point-3

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FSSI - Commodity Management

Commodity management is an on-going process through which the lead agency will:

Keep prices competitive Monitor vendor performance Track agency adoption Manage to performance metrics

outlined by commodity team and SSLC Monitor savings Provide reports as required Lead commodity team Track small business achievement

against benchmarks

SSLC Ongoing Efforts

SSLC promotes agency adoption.

SSLC continuously monitors information on performance of solution, commodity manager, and makes any further decisions required.

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FSSI Commodity Team Participation and Commitment Status

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• Laptops/Desktops Team (NASA SEWP Program Office, Federal Lead)• Microsoft Desktop Publishing (OCIO Representation on Fed Team, Participation

letter signed 5/2013)

• HR Services (OP Analyst Representation on Fed Team: Communicated interest 8/2013)

• Furniture (OSI Representation on Fed Team, Communicated interest 8/2013)

• DDS3 (NASA Participation ltr signed 9/2013)

• Cybersecurity/Continuous Diagnostic and Mitigation (NASA OCIO signed MOU 8/2013)

• Wireless Services Contract (NASA Not Participating, Agency IT Procurement Strategy Ongoing)

• Janitorial/Sanitation Supplies (NASA Not Participating, ltr signed 8/2013)

• Operations & Maintenance Supplies (NASA Not Participating, ltr signed 8/2013)

• Laboratory Supplies (Medical & Surgical Supplies, NASA Not Participating)• Oracle License (FSSI Cancelled Initiative; Benchmarking Agencies to identify

lessons learned)

Module 3

Current NASA Strategic Sourcing

Activities

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Effort #1: Software License Consolidation via NASA Enterprise License Management Team

The ELMT maintains licensing and negotiate economy of scale pricing for selected software used by the Agency.

• Continue Expansion of ELMT to consolidate software license agreements:

• Procurement Notice 04-75 Issued April 15, 2013: “USE OF THE ENTERPRISE LICENSE MANAGEMENT TEAM (ELMT) PROGRAM”

FY13 Completed Consolidations FY14 Planned Consolidations

Adobe Desktop Autodesk

Adobe Enterprise Deltek

Altium Designer Google Apps

C&R Technologies Knovel

Exelis VIS Mathworks

IBM TRIRIGA Mentor Graphics

Liferay Mongo DB

SAP Business Siemens

Solid Works

Toad

• Benefits/Risks: Cost avoidance experienced in FY11/12 was approximately $10M per year, however in FY13, due to reduced numbers of licenses, particularly for the ESRI software, the cost avoidance/savings generated dropped to approximately $4M for the ELMT program.

Agency-Wide Strategic Sourcing

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Effort #2 –Web Enterprise Solutions and Technology (WEST)

• Efficiencies • Consolidating of web services for NASA’s diverse web community• Standardizing current systems and applying industry best practices• Improving agility in using tools and implementing services

• Benefits• Upon full performance (May 1, 2013), a 40% reduction in monthly contract costs

will be realized, ($7.2M annually)• Reduced operational overhead for web presence• Collaboration with Centers to consolidate services• Savings are a result of strategic sourcing as well as redefined agency requirement

• STATUS UPDATE: • WEST Prime will be removed from CAP reporting until the newly migrated

environment has stabilized and savings are quantifiable• Administration of the WEST contract will be transferred from the HQ

Procurement Office (at GSFC) to the NSSC in January 2014

Agency-Wide Strategic Sourcing

For NASA Internal Use Only

Effort #3 – Agency Closeout and Procurement Support Services Contract Consolidation of Agency-wide closeout activities for all types of contractual and financial instruments. Contract also allows Centers to purchase non-inherently governmental contract award & administration services.

Benefits:(1) Has the potential for reducing closeout backlog across the Agency, unliquidated obligations, and deobligation of excess funds prior to the expiration of the funding.

(2) Allows Civil Servant acquisition staff to focus on more complex and inherently governmental procurement activities that directly support the Mission.

Effort #4 – Solutions for Enterprise-Wide Procurement (SEWP V)• Multi-award Government-Wide Acquisition Contract (GWAC) vehicle focused on IT products and

product based services • Benefits: A multi-award Government-Wide Acquisition Contract (GWAC) vehicle focused on IT

products and product based services that leverages buying power across the Federal Government.

• Use SEWP contract whenever possible for IT requirements that are NOT provided under the ACES Seat management contract.

Agency-Wide Strategic Sourcing

For NASA Internal Use Only

Effort #5 – Synergy Achieving Consolidated Operations and Maintenance Contract (SACOM)

Consolidation of operations and maintenance for Stennis Space Center (SSC) and the Marshal Space Flight Center, Michoud Assembly Facility (MAF)

• Benefits: Achieve cost efficiencies in the development and implementation of synergies that do not impact the Agency’s missions (i.e., Space Launch System Manufacturing and Testing), by incorporating efficiencies, reducing excessive management burden and duplication in the acquisition process.

Effort #6 – NASA Shared Services Center Support Services Contract

Consolidation and standardization of select business activities from across NASA.

• Benefits: Increase operational efficiencies by consolidating select business and technical services required across the Agency for human resources, financial management, procurement and information technology services.

Agency-Wide Strategic Sourcing

Effort #7 –Stennis Space Center Multiple Award Construction Contract (MACC)

• Efficiencies • Immediate access to highly qualified construction contractors representing the

spectrum of socioeconomic categories• Enhanced ability to meet Agency Small Business goals• Reduced transaction costs/procurement lead times in awarding construction projects

• Benefits• The MACC is a five year, Indefinite Delivery Indefinite Quantity (IDIQ) construction

contract with a not to exceed value of $700 million dollars • Awards are made in the following categories; two each Large Business, HUBZone,

Service Disabled Veteran-Owned Business, (SDVOSB), 8(a) and Small Business (SB) • This unique approach across a broad category of businesses enables maximum

competition while saving scarce Government Full Time Equivalents (FTEs) and commercial bid and proposal resources.

• To date there have been a total of (5) task orders awarded on the MAAC with a combined cost savings of over $22.5 million over the NASA estimates which is a savings of 43.6%

For NASA Internal Use Only

Agency-Wide Strategic Sourcing

Module 4

Performance Goals &

Cross-Agency Priorities (CAP) Goals

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2014 Strategy Performance Framework

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• End-outcome of what NASA wants to achieve to advance its mission and address relevant national problems, needs, challenges and opportunities.

• Timeframe: Long Term

Strategic Goals

• Intermediate outcomes that express more specifically the path NASA plans to follow to achieve or make progress on the broader strategic goal

• Timeframe: 10 years

Strategic Objectives

• Statement of multi-year performance, expressed as a tangible, measurable objective or as a quantitative standard

• Timeframe: 4 years (Strategic Plan horizon)• Includes Agency Priority Goals (2 years)• Cross Agency Priority Goals (4 years)

Performance Goals

• Deliverable, milestone or targeted performance that indicates progress toward a multi-year performance goal

• Timeframe: Single Year

Annual Performance

Indicators

Strateg

ic Plan

Perfo

rman

ce Plan

• Intermediate outcomes (10 + years) that express more specifically the path NASA plans to follow to achieve or make progress on the broader strategic goal

• GPRA Modernization Act of 2010 says: “Each fiscal year, the Office of Management and Budget shall determine whether the agency programs or activities meet performance goals and objectives outlined in the agency performance plans and submit a report on unmet goals…”

• OMB has developed the Strategic Objective Annual Review (SOAR) process to focus on assessments of Agency Strategic Objectives:

• There are six Agency Strategic Goals; the Office of Procurement falls under Goal 3 – “Serve the American public and accomplish our Mission by effectively managing our people, technical capabilities, and infrastructure.”

• Within this Goal, Procurement’s Strategic Objective is to, “Attract and advance a highly skilled, competent, and diverse workforce, cultivate an innovative work environment, and provide the facilities, tools, and services needed to conduct NASA’s missions.”

Strategic Objective Annual Review (SOAR)

Performance Goals

Statement of multi-year performance (4 years), expressed as a tangible, measurable objective or as a quantitative standard

• Performance Goals tie back to OMB Memo A-11• The Office of Procurement has one Performance Goal for both FY14 & FY15;

Performance Goals cover the time horizon of the 2014 Strategic Plan–Updates to future performance planning cycles may occur ad hoc under extreme circumstances or due to major budget changes

• Performance Goals –meet Performance Budget Integration Requirements–expressed in objective and quantifiable terms–measurable and assessable–verifiable and valid data are available to justify the rating throughout the year–achieved in 4 years, the duration of the Strategic Plan

• The Office of Procurement Performance Goal is to

“Achieve savings for the Agency through Acquisition Reforms”24

Cross-Agency Priorities (CAP) Goals

Cross-Agency Priorities (CAP) Goals:

There are two CAP goals both related to the agency strategic sourcing efforts

1.) Federal Strategic Sourcing Initiative (FSSI) Goal

Agencies shall increase their use of FSSI vehicles by at least 10 percent in both fiscal years 2013 and 2014, unless they can establish that their current spending patterns on such products are more cost-effective.

2.) Agency Strategic Sourcing Initiative Goal

Reduce the costs of acquiring common products and services by agencies’ strategic sourcing of at least two new commodities or services in both 2013 and 2014 that yield at least a 10% savings.

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CAP Goal - FSSI Goals & Adoption Rate

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Agencies shall increase their use of FSSI vehicles by at least 10 percent in both fiscal years 2013 and 2014, unless they can establish that their current spending patterns on such products are more cost-effective.

• FSSI Goal and Adoption Status• Express and Ground Domestic Delivery Services (DDS2)• Office Supplies (OS2)

Domestic Delivery Services (DDS2) Total FY12 Total FY13 FY13 Goal FY14 Goal

FSSI Dollars Spent: $160,866 $141,604

Total Commodity Spend: $1,840,668 $1,668,272

FSSI Adoption Rate: 8.7% 8.5% 9.9 10.9%

Office Supplies (OS2)Total FY12 Total FY13 FY13 Goal FY14 Goal

FSSI Dollars Spent: $1,117,741 $1,081,792

Total Commodity Spend: $4,989,372 $4,953,423

FSSI Adoption Rate: 22.4% 21.8% 24.2% 26.6%

CAP Goal - Agency Strategic Sourcing Initiatives

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* FY 13 ** FY 14

Enterprise License Management Team (ELMT)

Solutions for Enterprise-Wide Procurement (SEWP V)

Web Enterprise Solutions and Technology (WEST)

Synergy Achieving Consolidated Operations and Maintenance Contract (SACOM)

Agency Closeout and Procurement Support Services Contract

NASA Shared Services Center Support Services Contract (NSSC)

• Awarded in FY 13 & Expect at least 10% saving in out years** Anticipated Award in FY14 & 15, Expect at least 10% savings in out years

Annual Performance Indicators (APIs)

APIs represent near term statement of performance (two years), expressed as a tangible, measurable objective or as a quantitative standard;

APIs are characterized as deliverable, milestone or targeted performance that indicates progress toward a multi-year performance goal

Principles•communicate what is most important to be performed by NASA in the fiscal year of development, key areas for improvement or areas of interest to our stakeholders•have specific quantifiable targets that are assessed quarterly throughout the year •reflect key internal management and external priorities by OMB and the Congress (such as Strategic Sourcing) and align to internal tactical or operational plans

• Procurement has two APIs :– Achieve savings through increased contract efficiencies and reduced

transaction costs in NASA procurements.– Achieve savings through increased use of both Federal-level and

Agency-level strategic sourcing vehicles.

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Module 5

External Assessments of Strategic Sourcing

ActivitiesInspector General

Government Accountability Office

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Inspector General Assessment Strategic Sourcing

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Objective:

Review Federal regulations and NASA policies and procedures for strategic sourcing initiatives to determine whether NASA has implemented a program that adequately addresses the Federal Strategic Sourcing Initiative and whether the program has resulted in cost savings.

Status:• Preliminary Draft Statement of Facts issued 10/2013. • NASA OP responded to technical and factual statements• Draft Audit report issued: 11/21/13• Responses provided: 12/6/13• Final Report Received: 1/15/14

Inspector General – Draft Recommendations

1. Revise NASA’s Strategic Sourcing Plan to: (a) identify and assign specific responsibilities for individuals, groups, that manage, administer, and report strategic sourcing efforts; (b) include spend analysis methodology; (c) include Agency-wide strategic sourcing identification methodology; and (d) require periodic extraction and assessment of Agency-wide, spending data

2. Perform a comprehensive spend analysis of all procurement activities

3. Define and track uniform performance goals and measures for NASA’s strategic sourcing activities

4. Perform a review to determine if NASA organizations are utilizing strategically sourced commodities, such as office supplies and contract closeout services to the greatest extent practicable.

5. Develop and communicate the existence of a centralized

6. Incorporate into NASA policy the required use of strategic sourcing initiatives to the maximum extent possible

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Inspector General Closeout

Objective:

Review Federal regulations and NASA policies and procedures for closeout of awarded instruments to determine whether NASA has implemented a program that promptly identifies, de-obligate and properly closeout awarded instruments in a timeframes which can help limit NASA’s exposure to financial risk.

Status:• Preliminary Draft Statement of Facts issued 12/2013. • NASA OP responded to technical and factual statements• Draft Audit report: Forthcoming• Responses Due: Forthcoming• Final Report: Forthcoming.

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Inspector General – Draft Recommendations

• Standardize the award closeout process across the Agency to include developing and implementing a policy requiring Centers to maximize use of the closeout contractor and establishing a timeframe for procurement staff to turn instruments over to the contractor.

• Require closeout contractor staff to use standardized procedures across the Centers.

• Review the backlog of instruments in need of closeout and transfer additional work to the closeout contractor as appropriate and consistent with the recommendations of this report.

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Government Accountability Office

Objective:

Determine the ways in which OMB, GSA, and agencies have considered small businesses in their strategic sourcing initiatives; and to determine what data and performance measures indicate about the inclusion of small businesses in these initiatives.

Status:

• Statement of Facts issued: 10/21/2013. • NASA’s initial comments: Provided to GAO.• Draft initial report: Received • Responses provided: 12/6/13• Final report: Forthcoming.

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Government Accountability Office -Recommendations

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Module 6

Strategic Sourcing Challenges & Objectives

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Strategic Sourcing Challenges

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• Not a one Size Fits All Solution• Concerns: Bundling FAR 7.107• Identification of New Initiatives• Identifying and Getting the Right individuals Involved.

Conflicting And Competing Objective

• Small Business, • Existing Contracts, • Ability One, • Green Product, and • GSA Schedules

Strategic Sourcing Objectives

Objective #1: Establish Agency-Wide, Cross-Functional Acquisition StrategiesThe NASA Strategic Sourcing Plan (NSSP) outlines and establishes how the agency will examine the organizational traditionally and current approaches to purchasing supplies and services and, where appropriate, facilitate the collaborative development of Agency-wide or multiple-center wide sourcing strategies. Establish a repository for all NASA Strategic Sourcing Activities to minimize the data calls and increase agency efficiency

Objective #2: Reduce the Total Cost of Ownership for Products and ServicesGain an understanding of all costs related to the acquisition, use and disposal of acquired service, minimize the Total Cost of Ownership (TCO) (Spend Analysis). Costs may be internal to NASA or external costs (i.e. GSA Fees, SWEP Fees). And when appropriate, facilitate the elimination or reduction of perceived excessive cost. Increase participation on already existing Strategic Sourcing Initiatives such as Agency Closeout, ELMT, SWEP

Objective #3: Improve Fulfillment Of Socio-Economic GoalsNASA will continue to ensure the utilization of small and disadvantaged businesses and fulfillment of socioeconomic programs by matching small business capabilities to NASA requirements. 38

Strategic Sourcing Objectives – (Cont)

Objective #4: Standardize Acquisition Business Processes

NASA aims to continue improving the efficiency and consistency of NASA procurements by implementing standardized collaborative acquisition business processes throughout the NASA organization. Communicate and increase use of Agency Strategic Sourcing vehicles.

Objective #5: Improve Skills of NASA Acquisition Community

The NASA will require acquisition professionals to become and think like Business Managers, broadening the current focus on compliance with FAR to incorporating business thinking into acquisitions.

Objective #6: Federal Strategic Sourcing Initiative (FSSI) Goal

Increase NASA participation and use of FSSI vehicles by at least 10 percent in both fiscal years 2013 and 2014, or document how NASA current spending patterns on such products are more cost-effective.

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Module 8

Strategic Sourcing Initiatives

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Reverse Auction - Improving Workforce Skills

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Objectives: • #2 Reduce the Total Cost of Ownership, • #3 Improve Fulfillment Of Socio-Economic Goals,• #4 Standardize Acquisition Business Processes,• #5 Improve Skills of NASA Acquisition Community

Timeline:• RFQ issued December 2nd• Questions are due December 9th • Quotes are due December 16th

• Award January 31st

Award of Reverse Auction Procumbent Tool:• GSA Schedule award – January 31• 4 Centers (GSFC, NSSC, JSC, KSC) Pilot Late February/March • Web Based Program• Training and Support• Goods and Services

Communicate Strategic Sourcing Activities

Objectives: • #4 Standardize Acquisition Business Processes,• #5 Improve Skills of NASA Acquisition Community • #6 Federal Strategic Sourcing Initiative (FSSI) Goal

NASA Strategic Sourcing Website:

https://www.nssc.nasa.gov/portal/site/customerservice/menuitem.1f9c57075eb1c85e8ceb9e2b0788576c/

• Sample Information for Strategic Sourcing Website: – Revise Agency Strategic Sourcing Plan– Identify and Share Current Agency Contracts – Schedule Periodic Meetings– Strategic Sourcing Training:

• Strategic Sourcing Overview Webinar January 16, 2014• Future Strategic Sourcing Specific Training (TBD) (e.g. Spend Analysis) 42

Agency-Wide Closeout

Objectives: • ##2 Reduce the Total Cost of Ownership, • #3 Improve Fulfillment Of Socio-Economic Goals,• #4 Standardize Acquisition Business Processes,

• Closeout– Formation of Agency-wide Closeout Team

• Kickoff Meeting – January 23, 2014• Detail Understanding of Audit Findings• Center Closeout Issues or Concerns• Objective: Increase of Agency-wide Strategic Sourcing Vehicle

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Agency-Wide Strategic Sourcing Working(s) Group

Objectives: • #1 Establish Agency-Wide, Cross-Functional• #2 Reduce the Total Cost of Ownership, • #3 Improve Fulfillment Of Socio-Economic Goals,• #4 Standardize Acquisition Business Processes,• #5 Improve Skills of NASA Acquisition Community • #6Federal Strategic Sourcing Initiative (FSSI) Goal

• Strategic Sourcing Team Formation– Kickoff Meeting – January 23, 2014

• Revise Strategic Sourcing Plan• Identify and Communicate Center Strategic Sourcing Initiatives• Address Audit Findings• Identify and Execute New Agency Strategic Sourcing Initiatives

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Strategic Sourcing Working Group Goals

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Need to Analyze How NASA Can Achieve the Below Goals:

The Federal Strategic Sourcing Initiative Goals:

– Increase Agency Purchasing Power– Improve collaboration with other Federal Government agencies.– Increase use of Federal Strategic Sourcing Initiatives

The Agency-Wide Strategic Sourcing Goals:

– Meet user‘s needs faster; – Reduce user time spent on acquisition-related tasks;– Shorten acquisition lead times; – Minimize contract duplication; – Save resources; – Reduce closeout backlogs;– Reduce Transaction Cost; and – Increase use of Federal Strategic Sourcing Initiatives

Module 7

Strategic Sourcing Next Step

Establish

Implement

Analyze46

Strategic Sourcing Establish

Revise Strategic Sourcing Plan To Include:

1. Identify and assign specific responsibilities for individuals, groups, or organizations within NASA that manage, administer, and report strategic sourcing efforts;

2. Develop a methodology for how often and the process for conducting an Agency-wide spend analysis will be developed, analyzed, and used;

3. Develop a methodology for how often and the process for identifying Agency-wide strategic sourcing opportunities

4. Define performance goals and measures for NASA’s strategic sourcing activities Agency-wide

5. Develop a communication plan to inform everyone of existence of a centralized mechanism for providing the NASA procurement community with Agency-wide strategic sourcing information

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NASA Strategic Sourcing Outline - Draft

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Office of Management and Budget (OMB)

OMBStrategic Sourcing Leadership Council

OMB AgencyCap Goals

Agency Performance Goals & Annual Performance

Indicator

Agency Strategic Sourcing Leadership Council

Office of Chief Financial Officer

Requirements Office Office of Procurement Office of General CouncilOffice of Small Business

Programs

Agency ProcurementStrategic Sourcing Working

Group

Ames Research

Center

Dryden Flight Research

Center

Glenn Research

Center

Goddard Space Flight

Center

Johnson Space Center

Commodity Working GroupEfficiency Review Team

(ERT)

Marshall Space Flight

Center

Langley Research

Center

Kennedy Space Center

Stennis Space Center

NASA Shared Services Center

Strategic Sourcing Implementation

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1. Implement established process included in the strategic sourcing plan;

2. Conduct regular meetings;

3. Conduct agency-wide spend analysis on various commodities and services;

4. Identify commodities & services, which may be good candidates for strategic sourcing;

Strategic Sourcing Analyze

1. Track performance and measure NASA’s Strategic Sourcing activities agency-wide to include:

Commodity definition and scope Stakeholders Market dynamics Total category spend (overall and by agency) Savings potential Vendor fragmentation Contract fragmentation Basis for Contract fragmentation Small business participation Value proposition and resources of identified lead agency Analysis of existing policies

2. Communicate existence of agency Strategic Sourcing vehicles to procurement community

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Agency Procurement - Strategic Sourcing Working Group

• Each Center Identify a Person for Strategic Sourcing

– Participate in Monthly Meeting– Communicating Center Strategic Sourcing Activities– Identify Possible Center Duplications– Receive and Brief other Center’s Strategic Sourcing Efforts– POC for Data Calls – Collaborate with revised plan– Identification and analysis of Agency Commodities and services– Provide information on Center needed Training

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Contact Information

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• Desiree E. Sylver-Foust• Desiree.E.Sylver-Foust@nasa.gov

• (202) 358-2444

Back - Up

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• “How to make FSSI OS2 Purchases on GSA Advantage” instructional video available online at http://gsa.gov/portal/content/141857

• Web Tutorials with instructor from GSA are available as follows:– Wednesday, February 19, 2014 2:00 PM - 3:00 PM EDT

• https://www4.gotomeeting.com/register/892207559– Wednesday, March 19, 2014 2:00 PM - 3:00 PM EDT

• https://www4.gotomeeting.com/register/894992183– Wednesday, April 16, 2014 2:00 PM - 3:00 PM EDT

• https://www4.gotomeeting.com/register/895057943

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Additional FSSI Training

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• OMB 2005 Strategic Sourcing Memo

• NASA’s Commitment letter for the FSSI Commodity

• NASA (HQ Office of Procurement’s) letter to centers regarding mandatory consideration

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