Acquisition Policy Directorate by dnr14440

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									         Acquisition Policy Update




Mr. Larry Thurman
Director, Acquisition and Industrial Base Policy
Assistant Secretary of the Army
(Acquisition, Logistics and Technology)
                                                   1
            AGENDA

• Defense Acquisition Model
• Joint Capability Portfolio
  Management
• Congressional Help (?)
• What’s On The Horizon


                               2
Defense Acquisition Model




                            3
                                  From DODI 5000.2 …
                     User Needs &
                                                                                       • Process entry at Milestones A, B, or C
                Technology Opportunities
                                                                                       • Entrance criteria met before entering phase
                                                                                       • Evolutionary Acquisition or Single Step to
                                                                                        Full Capability


                                                                 (Program
                             A                            B      Initiation)                    C                IOC             FOC
  Concept   Technology System Development                                                             Production &          Operations &
 Refinement Development  & Demonstration                                                              Deployment             Support
                                                                                    Design                       FRP
  Concept                                                                                           LRIP/IOT&E
                                                                                   Readiness                     Decision
  Decision                                                                                                       Review
                                                                                    Review

 Pre-Systems Acquisition                                                           Systems Acquisition                      Sustainment
                                                                                                                               Increment 2


                                                                                                                                  Increment n
ICD                                                   CDD                                      CPD

        : Milestone                         ICD: Initial Capabilities Document
      FRP: Full Rate Production             CDD: Capability Development Document
      LRIP: Low Rate Initial Production     CPD: Capability Production Document
      IOC: Initial Operational Capability
      FOC: Full Operational Capability                                                                                                          4
          What Is Evolutionary
             Acquisition?
• Preferred Strategy for Rapid Acquisition
• Success Depends on Constant and Continuous
  Definition of Requirements and Maturation of
  Technologies
• Approaches to Achieve Evolutionary Acquisition
  Include:                                                Overarching Policy
                                                         NSS/NMS/Joint vision


                                                         Joint Capstone Policy



     Spiral Development          Functional
                                   Area
                                  Analysis
                                                            Functional Area
                                                           Functional Concept
                                                         Integrated Architecture



     Incremental Development
                                                                                                     Feedback
                                  D                                                                                                    MS B
                                  O
                                   T
                                                              Analysis of
                                  M       - Materiel -
                                                               Materiel                                                          CDD                  MS C
                                            Process
                                   L                          Approaches
                                                                                                       MS A
                                   P
                                   F          DOTLPF
                                              Change                                                                            JROC DAB       CPD
                                                                                           AoA

                                                                                         Concept                Technology
                                                                            ICD    CD                                                          JROC DAB
                                                                                        Refinement              Development



                                                                          JROC                         DAB                    Demo             Increment 1


                                                                                                                                               MS B          MS C

                                                                                                                                       Demo             Increment 2


                                                                                                                                                       MS B           MS C

                                                                                                                                              Demo              Increment 3
                                   Oversight

                                                                                            Integrated Decision Meetings                              Acquisition
                                              Requirements
                                                                                                                                                                              5
      Spiral Development
• State of capability:
    Desired capability is identified;
    End-state requirements are not known at
    program initiation.
• Requirements are refined through demos
  and risk management.
• Continuous user feedback.
• Each increment provides user best
  possible capability.
                                              6
            Incremental
            Development
• State of capability:
    Desired capability is identified;
    End-state requirement is known.
• Requirements are met over time by
  developing several increments.
• Each increment dependent on available,
  mature technology.


                                           7
                    What’s The Difference?
            ICD           CDD                    CPD                    Requirements Documents
                                  ≤ 5 years
            A              B                         C                IOC                 FOC
 Concept   Technology System Development                     Production &            Operations &
Refinement Development  & Demonstration                      Deployment                Support
 Concept                                 Design                         FRP
 Decision                                Readiness       LRIP/IOT&E     Decision
                                         Review                         Review
  Pre-Systems Acquisition                Systems Acquisition                         Sustainment

                                                                                   Threshold/Objective
                                  Spiral Development                                  Requirements
   A            B          C

                      Increment 1                                                       DEFINED


                                        Increment N                                   NOT DEFINED


                                Incremental Development
    A             B         C

                      Increment 1                                                       DEFINED

                                         Increment N
                                                                                        DEFINED          8
Joint Portfolio Management




                             9
                                         Getting To
                                   Portfolio Management
            Terms of Reference
              Core Problems                                                                                                    Eight Execution
                                                                                                                                 Road Maps

                                                                                                                                             12 Major Muscle
            Focus Areas                                                                                                                          Movements
                                                                                                                                                     Integrated
                                                                                                                                                   Joint Spec Ops
                                       36 QDR IPT Issues                                                                                            Capabilities
                                       .                                                                                                   Integrated                Integrated
    IPT #1                 IPT #2               IPT #3            IPT #4               IPT #5              IPT #6                         Joint Ground                Joint Air
    Capability               Joint               Roles,           Manning &              Business              DoD                         Capabilities              Capabilities
      Mix                   Enablers         Missions, Orgs       Balancing              Practices          Authorities
• Assured access         • Net centricity    • Combating WMD • Joint total           • Acquisition and   • Authority v.                     Integrated               Combating
  (incl. air dominance                                          force                  support             accountability                 Joint Maritime
                         • Information ops   • DoD HQ                                                                                                                  WMD
  & undersea                                   structures         - Balance the      • Joint             • Building partner                Capabilities
  superiority)           • Persistent ISR                           force              governance          capacity, will
                                             • Interagency
• Chem/Bio Defense         • Space power       operations         - Human            • Medical           • Homeland
• Consequence                                                       capital            transformation      defense
                         • Strengthening     • Building             strategy                                                                Homeland                  Tailored
  management               intelligence        partnership                           • Mobility            authorities                       Defense                 Deterrence
                           analysis                               - Standardize
•Global deterrence /                           capacity             joint training                       • Preventive action
                                                                                     • Strategic
  strike                                     • Roles and      • Interagency &          process           • Rules for
• Homeland defense                             missions for     international          integration         strategic
  posture                                      global war on    mix
                                                                                     • Supply chain        commons                          Space &             Persistent ISR /
• Irregular warfare                            terrorism      • Irregular              logistics         • Seamless access                 Cyberspace            Net Centricity
• Render safe                                • Roles and        warfare                                    to right people,
                                               missions for     language and                               skills
• WMD elimination                              homeland         culture
 • Joint C2                                    defense          training                                                                    Building                 Mobility &
                                             • Strategic                                                                                    Partner                   Agility
                                               communications                                                                               Capacity
                                                                                                                                                          Human
                                                                                                                                                          Capital
          NOTE: issues in blue text = issues that were to be                                                                                              Strategy

           addressed as part of a Major Muscle Movement                                                                                                                             10
                         Execution Roadmaps
                   DoD Lead              DoD Name             Secretariat    ARSTAF Lead       Army O6 / GS15    AQDRO POC            PAE POC
                                                                Lead                                Lead

     DoD           IPT 5 lead         Mr. Krieg & LTG        Ms. Ballard &    BG Twomey,         Ms. Wigham         LTC Ed         LTC Jennings and
 Institutional                             Sharp             MG Sorenson,        PAE              697-8631          Rawlins       LTC Gallup – CIPAD
 Reform and          IPT 3, 6                                  SAALT                                               697-6414
                                                                                                 LTC Grimm
 Governance
                                                                                                  693-0505
  Strategic        IPT 3 lead             Mr. DiRita          BG Cucolo      BG Nuttall, G3-         COL           Mr. Jim        Ms. Taylor-CIPAD
Communication                        (transitioning out) &     OCPA           DAMO-OD            Rhynedance,     Boatner, 695-    MAJ Green-ASPAD
                      IPT 4             LTGen Renuart                                           (301) 677-7272       1103
                                                                                               COL Simon (703)
                                                                                                   695-1864
  Building         IPT 3 lead         AMB Edelman &               NA          Mr. Bechtel,     Mr Jim Freeman    MAJ Myrda,       Ms. Murray- CIPAD
 Partnership                          RADM Sullivan                               G35          Mr. Hartmut Lau    614-0182        MAFPAD-Mr. Fiore
  Capacity            IPT 4                                                                                                            (assist)
                                                                                                  697-3784
                                                                                                                                 LTC Jennings-CIPAD
Sensor-based          IPT 2            Dr. Cambone &          Mr. Wiltsie,   Mr. Agee, G2       Mr. Dan Baker,       LTC          MAJ Green- ASPAD
management of                           LtGen Kehler           SAALT                              695-1788        Beckerman       Mr. Walker-ASPAD
   the ISR                                                                                                         695-1102
  enterprise
  Authorities      IPT 6 lead         Mr. Geren & LTG             N/A             NA             COL Joe         COL McInnis,     LTC Gallup-CIPAD
                                          Odierno                                               McInnis, 695-     695-1446         LTC Litzenberg –
                      IPT 4                                                                         1446                           MAFPAD (assist)

   Irregular       IPT 1 lead        Mr. Henry & LtGen            NA          Mr. Bechtel       COL Klippstein   MAJ Myrda         Mr Fiore-MAFPAD
   Warfare                                Conway                                                  692-8781        614-0182               (lead)
                      IPT 4                                                                     MAJ Escandon                        (MAJ Robinson-
                                                                                                  692-8602                         MAFPAD (assist)

   Joint           IPT 1 lead        Mr. Grimes & LTG         MG Ponder,       Mr. Cooke       COL Dean Hess       Mr. Jim       LTC Jennings – CIPAD
Command &                                  Wood                  CIO                             692-6841        Boatner, 695-     LTC Tate-ASPAD
  Control                                                    MG Sorenson,                                            1103
                 IPT 2, 3, 4, 5, 6
                                                               SAALT
Tag, Track, &         IPT 2          Dr. Wells & VADM             N/A           Mr. Agee        Mr. Dan Baker        LTC          MAJ Green-ASPAD
   Locate                                 Chanik                                                   695-1788       Beckerman       Mr. Walker-ASPAD
                                                                                               Mr. Kobbe, VDAS     695-1102                             11
                             IR&G
                   Joint Capability Test Cases
 Capability*         BA               JC2                    JNO                       JLog
  Proposed         USD(I)      CDRUSJFCOM              ASD NII &                 USD AT&L
   DAWG                          ASD NII            CDRUSSTRATCOM              CDRUSTRANSCO
  Advocate                                                                          M
Action Leads     J-2, DUSD      JFCOM*, NII,        JFCOM, NII*, J-6, J-           J-4, DLA*,
                   (MIP)*          J-6, J-3,          3, STRATCOM                 TRANSCOM
                                 STRATCOM

 • Manage groups of like capabilities across the
   enterprise to:
         Improve interoperability
         Minimize capability redundancies and gaps
         Maximize capability effectiveness

 • Shift to output-focused model that enables progress
   to be measured from strategy to outcomes
* Battlespace Awareness (BA), Joint C2, Joint Network Operations (JNO), & Joint Logistics (JLog)   12
Congressional Help (?)




                         13
       High Impact Statutory
          Requirements
• Force Protection and Survivability Key Performance
  Parameters (KPPs)
    Fiscal Year (FY) 2005 Authorization Act, Section 141
    Implemented through the Joint Capabilities Integration and
    Development System (JCIDS)

• Program Certification prior to Milestone B or
  Milestone C if initiated later
    FY 2006 and 2007 Authorization Acts for 10 USC 2366a
    Milestone Decision Authority (MDA) certification prior to
    signing the Acquisition Decision Memorandum
    Certification sent to Congress with first Selected Acquisition
    Report (SAR)

                                                                     14
             MDA Certifies…
1. Appropriate market research has been conducted
   prior to technology development
2. Technology program demonstrated in relevant
   environment
3. Demonstrates high likelihood of accomplishing
   intended mission
4. Program is affordable in the future-years defense
   program
5. Completed an analysis of alternatives
6. Program is affordable when considering the ability of
   DOD to accomplish the program’s mission using
   alternative systems
                                                           15
             MDA Certifies…
                      (Continued)

7. The Joint Requirements Oversight Council (JROC)
   accomplishes its duties (i.e., JCIDS document
   approval)
8. Reasonable cost and schedule estimates have been
   developed
9. Funding is available to execute the product
   development and production plan through the
   period covered by the future-years defense program
10. Program complies with all relevant policies,
    regulations, and directives of the DOD


                                                        16
What’s On The Horizon?




                         17
               Close To Home

• Army Regulation 70-1, Army Acquisition Policy
     Current edition dated December 31, 2003
     Update pending changes to DODI 5000.2

• Department of the Army 70-3, Army Acquisition
  Procedures
     Current edition dated July 15, 1999
     Final draft update staffed; working comments




                                                    18
          Improving Defense
             Acquisition
• Reshape the process making it more predictable and
  cost effective
• Greater emphasis on the “front end” of the process
    Tri-Chair Concept Decision
    Time-Defined Acquisition
    Capital Accounts
    Evaluation of Alternatives vs. Analysis of Alternatives




                                                              19
                       An Evolving Toolkit

 1. TRI-CHAIR CONCEPT DECISION //
 1. TRI-CHAIR CONCEPT DECISION                         3. TRI CHAIR INVESTMENT BALANCE REVIEWS
                                                       3. TRI CHAIR INVESTMENT BALANCE REVIEWS
  TIME-DEFINED ACQUISITION
  TIME-DEFINED ACQUISITION                             4. PROGRAM BASELINE ASSURANCE
                                                       4. PROGRAM BASELINE ASSURANCE



                                        2. CAPITAL ACCOUNTS
                                        2. CAPITAL ACCOUNTS
                                              MS A
                                                            MS B               MS C           FRP DR
                                              CD
                                                                   B1

           Strategic                        E EOA    TD
           Planning    Joint          JCD   O Rpt           CDD                 CPD
                                                     &                   SDD                       O&S
                     Concepts FAA FNA                                                    PD
           Guidance                         A        RR *          PDR



            OSD/JCS COCOM        FCB


                                                                         7. RESTRUCTURED DAES
                                                                         7. RESTRUCTURED DAES
5. SYSTEMS AND SOFTWARE ENGINEERING
5. SYSTEMS AND SOFTWARE ENGINEERING                                      8. DAB // OIPT OPTIMIZATION
                                                                         8. DAB OIPT OPTIMIZATION
CENTER OF EXCELLENCE
CENTER OF EXCELLENCE
                                                                         9. AWARD FEE POLICY
                                                                         9. AWARD FEE POLICY

                           6. RISK-BASED
                           6. RISK-BASED                                              10. ACQUISITION OF 20
                                                                                      10. ACQUISITION OF
* Technology Development    SOURCE SELECTION
                             SOURCE SELECTION                                           SERVICES
                                                                                        SERVICES
and Risk Reduction
In Summary




             21
         DOD Acquisition Is…

•   Continuing to evolve
•   Defining and implementing Joint
    Capability Portfolio Management
•   Retaining close ties with JCIDS policy
•   Receiving Congressional help “to do it
    right”

…And Your Help Is Essential!                 22
Questions?




             23

								
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