carol scottcowartmcphillipspm challengefinal
DESCRIPTION
TRANSCRIPT
National Aeronautics and Space Administration
PM ChallengeCommercial Crew Program
Managing a Commercial Program
Jon Cowart
Cheryl McPhillips
Carol Scott
February 22, 2012
SAME CREW… NEW RIDE
2
Commercial Program Definition Programmatic Acquisition Insight and Execution
Agenda
3
Commercial Program approach is different then a traditional cost development effort• NASA takes the role of Government investor• Commercial Providers are expected to invest their funds in the
development
Government + Industry Investments
Competition through pre-negotiated, milestone-based agreements that support the development, testing, and demonstration of multiple systems
Transition to a FAR Type Contract for requirement execution and Services
Space Act Agreements first… Contracts laterFunded and Unfunded Partners
Develop CTS certification requirements and strategies ensuring safe transportation for NASA crew
Right Size Insight…. Right time Oversight
What is our Commercial Program?
4
Ensure end-to-end Crew Transportation Systems (CTS) certification requirements Maximize cost effectiveness Enable cost share with fixed government investment Facilitate partner performance management Support partner retention of intellectual property rights Allocate liability between government & partner / indemnify Enable International Space Station services Encourage marketing of products to other customers Minimize administrative overhead Maximize efficiency in cost / financial reporting requirements Allow government-furnished equipment & services
Partnering Goals
CCP is utilizing Government/Industry partnerships showcasing a different way of doing business with the Industry.
CCP is utilizing Government/Industry partnerships showcasing a different way of doing business with the Industry.
5
ProgrammaticProgrammatic
Continuous acquisition team Technical team delivers products to acquisition team Phase execution with feedback to the technical team
Content We Are Managing
6
AcquisitionAcquisition
ExecutionExecution
TechnicalTechnical
6
7
Schedule Cost Technical Political
Program Management
8
Top-level Programmatic No multi-tier schedules Partner is managing their schedule In the Partner’s best interest to stay on their schedule to
receive the next investment installment Keep services contract in front of Partners
Schedule
9
Program cost includes investing in multiple Partners• Programmatic costs are minimal: <15%
SAA with Partners includes a pre-negotiated “installment” payment plan
‘Meet or Don’t Meet’ milestone success criteria NASA can elect to discontinue SAA at anytime
Cost
10
Requirements cannot be levied under an SAA
Partners have to “opt in” Program requirements are
“level 2” only Station has a set of
requirements that Partners can "opt" in as well
Certification phase will invoke the requirement set
Requirements management effects cost management
Technical
11
Top level risks are larger programmatic risks, not necessarily Partners’
Crucial to have awareness of Partners’ risk
Program has separate evaluation of risk associated with the Partners
Insight priorities are built around identified risk
Risk Management
12
Strategic Plan for Communication Keep your Program Sold
• Internal/external stakeholders Communicate, Communicate,
Communicate• Communicate often with the
commercial Industry • Utilize webcasts to limit travel• Open communication with Industry
as a whole, not just Partners• Demonstrate your listening• Communicate ASAP
Embrace Social Media
Stakeholders
Acquisition
13
14
Ensures cost-effectiveness• Incentive for the companies to perform • Government not dependent on sole provider early in the DDT&E effort• Produces lower prices and mitigates the risk of failure of single
Provider Provides an incentive for the companies to share in the cost of
development Providers own financial investment into the development,
• Supplements government funds • Provides strong incentive for the companies to “stay in the game”
when encountering difficulties.
Competition is Key
15
Funded SAAs are more cost effective in the current budget environment than the FAR-based fixed-price contracts.
• Allows more flexibility to fund Providers during the performance period, as funding levels become known
• Provides NASA with limited liability in case we need to terminate or renegotiate the SAA due to funding constraints
• Provider is responsible for determining the best approach to the design and development of its commercial system
SAA Advantages
7 Partners
1 NASA
…Right Size Insight
Execution
16
Insight
TraditionalContracts
Most of us are used to the traditional insight model
17
Insight
18
19
Insight – under an SAA – is very different than what we have
traditionally done
Insight
20
So how’s that working? How does the Government get any value?
Insight
21
Eventually, once we get to the services contract, there will be requirements which must be met
The SAA is intended to be used to nurture a specific technology or technologies
‘Use Agreements’ for use of NASA facilities or equipment are strictly the responsibility of the partners
Safety
Insight
Pit Evolution through CCDev2
This is how it started… This is how it is now…
22
23
Things started out confusing as Program and teams were storming and forming• Roles and responsibilities were not clear• No forums to pass information and communicate issues• Changes were made often leading to confusion and friction
Consistency was found through team meetings, Milestones, Stand-up, and Program meetings• Every PIT has a standing team meeting• Stand-ups on Monday and Thursday with PI Staff meeting on
Tuesday • TRBs and PCBs• Milestones and Quarterly Reviews
Communications Lessons Learned
24
We have had some growing pains and like it or not we are a multi-center, multi-organization Program• “Not being co-located with other members of the core team hinders communication
and slowed the building of trust and team relationships.”
Specify some insight presence in the AFP. At one kick-off meeting there was much happiness and camaraderie, however the next day they were shown the door and told don’t come back until we call you. That improved greatly over time due to charm and wit (and begging), but the fact remains that the SAA permitted it.
For milestones, there is a need to specify “business days” vs. “calendar days” in terms of review time when the review period is very short.
Include words to allow for more insight (i.e., the SAA stated at least one NASA rep, why not be realistic about it the number. Add stipulations for insight visits and offices at partner facilities).
Insight Lessons Learned
Can’t wait to get there…
Summary
25