PIs are appointed to lead PSTs for all DOD ACAT I, II & III programs, and comparable NASA or other civilian agency programs.   

1.  Team Structure - When a major program contract is awarded, CMO management identifies a PI, and based on program objectives, challenges, and desired outcomes, determines the technical specialist support required.  PST members represent the full range of Contract Management disciplines, including the Administrative Contracting Officer (ACO), Contract Administrator (CA), Cost/Price Analyst, Property Administrator, Engineer, Software Engineer, Industrial Specialist, Earned Value Management Analyst, Quality Assurance Specialist, Software Quality Assurance Specialist, Contract Safety Specialist, and Transportation and Packaging Specialist.  If the program requires EVM analysis, every effort must be made to identify and assign overall EVM responsibility on the PST to an individual that has the necessary earned-value management experience/training.  The PI is the PST Leader and is responsible for ensuring the PST functions as a cohesive unit, providing timely insights, actions, and recommendations to the PM.  The PI provides input to PST member supervisors on the level of support provided by the individual toward PST efforts.  PST members may have a matrix relationship with the PI and remain under the supervision of their respective supervisors.  

    1.1. Appointments - CMO Commanders appoint PIs and PST members. Factors to consider in selecting individuals to serve as PIs include: leadership abilities, certification, knowledge and experience in contract and program management, ability to work with the PM at the program IPT level, and specific acquisition program experience. PST membership is dependent on the nature of the contract and specific program requirements and objectives.  
    1.2. Memorandum of Agreement  (MOA) - An MOA is desired for all ACAT I, II & III Programs, as well as non DoD programs of similar magnitude, receiving DCMA program support.  Because the MOA documents our commitment to the PMO, every effort should be made to secure a bilateral document of the agreement.  MOAs need not be extensive.  A typical MOA can be:

• A simple one or two page memorandum executed by the PM and CMO Commander identifying what DCMA will do for the program office, and why those activities are important to the program, forms the core of the MOA.
• An attachment or appendix listing the DCMA resources to be utilized (i.e., the personnel making up the PST and SPST), their roles and contact information, and points of contact within the PMO and the prime contractor's organization, provides the "who" details.
• The surveillance plan comprises the second attachment or appendix, and provides the "what" we will do in support of the program, along with when, where, and how those activities will occur.

        1.2.1. Outcome Based MOAs - The focus of our program support activities revolves around mitigating program risk.  Each program is burdened with a unique blend of risk elements.  PMs face cost, schedule, and technical challenges that endanger their programs.  These challenges result in a watch list for the PM.  There are some risk elements on the list that DCMA can help manage and others that are beyond our ability to influence.  The MOA should identify those risk elements on the watch list where the PM requires our assistance in managing.  In addition to those risks facing a PM regardless of which contractor is selected as prime, there are those risks associated with doing business with a given contractor.  (See the Supplier Risk Management Chapter.)  Those risks are identified by the PST functional specialists and documented in RAMP.  The resulting Risk Management Plan (RMP) documents "how" DCMA will strive to manage supplier risk.  The surveillance plan attached to an MOA, then, is an amalgam of risk management activities derived from the PM's watch list and synopsized extracts from the RMP.
        1.2.2.  MOAs consist of three elements.  The first, the memorandum itself, is relatively static.  The PM's watch list does not change very often, but significant changes in risk and program support scope or direction should result in negotiation of a new memorandum with the CMO and PMO endorsement.  Both the personnel list and the surveillance plan are more dynamic.  Changes to these portions of the MOA can be considered minor and are made with PM concurrence.  The PI is responsible for ensuring the MOA is current and accurately describes the level of support provided to the PM.  At a minimum, the PI must validate MOA currency on an annual basis, and document the date of the last update field in the PI module of E-tools. 
        1.2.3.  When a program managed contract has been awarded to multiple primes, such as in a joint venture or teaming agreement, or is of such a scale that many CMOs have to support it, a lead CMO must be identified.  Determination of the lead CMO must consider the contractual arrangement as well as the PMs priorities.  Upon designation of the lead CMO, the lead CMO PI is responsible for coordinating the development of the overarching MOA with the PM, and the PI/PSTs and Support Program Integrators (SPI/SPST) of the other CMOs.  In these cases, a separate annex to the MOA that is signed by the PM and lead CMO Commander should be executed by the Commanders of the prime CMOs, in order to clarify internal DCMA CMO roles and responsibilities.  District PI Directorates should assist in this process as necessary, particularly on the large programs that cross district boundaries.             

2. Team Management

    2.1. Resourcing - CMO management should strive to ensure that sufficient personnel with the expertise to execute the program plan are appointed to the PST.  During the annual performance planning and budgeting cycle, program requirements have to be prioritized and funded, and during the year adjustments should be made as changes occur. The PI must coordinate with the CMO Commander to ensure the activities outlined in the MOA are supported by the CMO's budget.
    2.2. Direct Access to Management - PIs should hold the grade or rank appropriate to the program acquisition category designation in accordance with the Agency standard position descriptions, and have direct access to CMO senior leadership.  Attendance at Management Council or Executive Steering Committee meetings allows PIs to address acquisition strategy, process risk, resource issues, and contractor required actions.  Influencing contractor-required actions is a critical component of Risk Handling.
    2.3. Authority and Responsibility - The PI and the Team Leader jointly determine the PST skill set requirements and coordinate the identification of team members with CMO management.  This includes defining roles, establishing goals and priorities, and acting as a coach to assigned team members.  The PI should have the authority and responsibility for resource commitment of PST members.
    2.4. Training - PIs, including those covered by dual-function position descriptions (where PI accounts for 51% or more of job responsibilities), must be DAWIA certified in Program Management (Level III for ACAT I and NASA Major Programs, and Level II for ACAT II & IIIs), as well as being fully trained and Level II DAWIA certified in their respective acquisition career field.  ACAT I, II & III SPIs should be DAWIA certified at Level II in Program Management.  PST members, as a minimum, should be fully trained and Level II DAWIA certified in their respective acquisition career fields.  In addition to DAWIA requirements, PIs and SPIs responsible for programs with EVM reporting should complete EVM courses outlined in Section 6.  PST member training requirements should be reflected in their Individual Development Plans.

3.  Team Integration

    3.1. Management Councils - Because of the importance of having established a close management relationship between the CMO, the supplier, and the Program Office, Management Council meetings are a useful forum for addressing issues of mutual concern.  PI involvement in sharing process risk information and PST analytical outputs can drive supplier corrective actions and have a positive impact on the desired outcomes of the PM.
    3.2. Integrated Product Teams (IPT) - Although PST members participate in activities such as Program Management Reviews or Material Review Boards, and interact with their counterparts in both supplier and Program Management organizations, they should also participate in specific program IPTs.   The PI should coordinate the efforts of PST members assigned to working level IPTs. 

4.  Communication
Potential Changes to Criteria for Entry of Program in Program Integration (PI) eTools Application (INFORMATION)
Enhancements to Program Integration (PI) eTools Application (INFORMATION)

    4.1. Real-Time Reporting -  Comprehensive, predictive, and timely information that we provide to the PM should be considered a key function of a PI.  The PI is responsible for ensuring open, real-time communications with the PM.  The PM often assigns specific program office personnel to key subcontractors.  In the interest of promoting real-time, productive communications with the customer, SPIs should establish regular communications links with their counterparts in the program office.  This ensures the timely exchange of information, analysis, and recommendations between onsite SPST members overseeing critical subcontractors and the program office.  (Note: SPIs are required to provide the PI with timely cost, schedule, and technical performance information and analysis so the PI and PST members have a complete perspective on the program as a whole, and the PI can communicate directly with the PM on a real-time basis.  SPI communication with program office personnel assigned to specific subcontractors only enhances the DCMA/customer communication process).  At the beginning of a program, the PI should conduct a joint PST/contractor meeting. This allows introduction of team members, an explanation of how the CMO will implement the terms and conditions of the MOA, perform surveillance, and how identified problems and issues will be resolved. It also provides the contractor an opportunity to discuss potential program and contract cost, schedule, and performance issues.
    4.2.  Periodic Program Reporting - The frequency and content of PI reports to the PM must be addressed in the MOA.  Periodic PI summary reports to the PM serve a number of purposes, but are not a substitute for real-time communications.  In addition to capturing those issues addressed by the PM in the MOA, it provides the PI an opportunity to summarize key program or process issues across the broad spectrum of DCMA support activities and alert the PM to key issues or concerns that are or may impact cost, schedule, and performance areas in the coming weeks.  As emphasized in the PI/PST Process Maturity Model, timely, forward-thinking communications with the PM and Program Office personnel is a critically important aspect of the PST's support to the PM.  The report should not only address the prime contractor's key performance areas, but also information, analyses, and recommendations from the SPI and supporting PST members.  Examples include changes in risk status, information on contractor and subcontractor reorganizations, indirect rate changes, or the status of forward pricing rate agreements. Program reports should solicit customer feedback by referencing the survey website.  Customers can then complete a survey at http://csat.dcma.mil/custsat/customer_sat/main.jsp to help us better support their needs.  The PI, SPI, and PST Members should communicate on a regular basis with the PM, notwithstanding the issuance of periodic written reports.  In-plant presence provides DCMA personnel with information and program perspective that the PM does not have, given the separation of the Program Office from the prime contractor and key sub-contractor locations.  Timely communication with the PM and PM's staff is an essential component of customer support.  For Army programs, periodic program reporting is accomplished through submission of DCMA Assessments via the Army's web-based Acquisition Information Management (AIM) System.
(Revised Army Program Reporting (INFORMATION))
    4.3. Program Status Charts (PSC) summarize the status of multiple prime contracts that contribute to a single overarching program, and they provide CMO Commanders, District and HQ staff a snapshot of program health.  They also provide perspective on key program performance  across each Service and at multiple locations of large defense contractors.  The PSCs are used for a variety of purposes including: identifying program trends, providing assistance to CMOs in assessing program issues, preparing for meetings with Senior Customers (i.e., Service Acquisition Executives, Service Acquisition Staff and Program Executive Officers), preparing for Defense Acquisition Executive Summary (DAES) reviews and determining recent program status when attention is directed to a specific program.
    4.4.  PIs must prepare an internal DCMA PSC in the format shown at Attachment 2 for each ACAT I, II & III program on a quarterly basis. 
(Implementation of the Automated Program Status Chart eTools Application (INFORMATION))
(Automated Program Status eTools Application (INFORMATION))
(Revised Army Program Reporting (INFORMATION))
This chart is for internal DCMA use (Instructions for preparation).  The evaluation of each category on the PSC is an independent DCMA evaluation developed by the Program Support Team.  In order to mirror the DAES process, risk ratings will be determined based on the same criteria as DAES.  The DAES color code rating system, which is explained in the Consolidated Acquisition Reporting System (CARS) Users Guide, is at Attachment 3.  The charts must be sent electronically to the District PI Directorate for all ACAT I, II, III and major NASA programs within five working days following the end of each quarter.  Districts must then submit the charts to HQ DCMA-PIM not later than five working days later.  All PSC Files must be clearly labeled with the program name so it can be easily identified in electronic transmissions.  Occasionally, the Districts or HQ have a need for in-depth program information with a focus on the level and quality of support DCMA is providing.  In addition to those data elements used to populate the quarterly PSCs, PSTs should be prepared to capture those elements used in preparing periodic program review charts for Senior Leadership Team briefs.  Often, issues arise concerning EVM data analysis.  If the program is covered by EVM requirements, the PST needs to be prepared to discuss its methods for developing independent estimates at completion (IEAC), tracking and analyzing management reserve (MR) usage, and variance root cause analysis.
    4.5. For Army programs, the monthly DCMA Assessment input to AIM replaces the PSC submission.  The DCMA Assessment must include all pertinent PSC information, including contract and EVM data.
(Implementation of the Automated Program Status Chart eTools Application (INFORMATION))
(Revised Army Program Reporting (INFORMATION))
    4.6. Periodic Program Reviews occur at DCMA HQ.  DCMA-PIM recommends programs to the Director for review based on program risk.  A Template provides instruction to assist in briefing preparation.  Two hours are allotted for program briefs.  Due to time constraints, briefs are limited to the template requirements, thus ensuring adequate time for discussion, questions, and comments.  The briefs may be delivered in person or via video teleconference and provided by the CMO Commander or the PI.  Cognizant CMOs should deliver their briefing packages to their respective District offices.  The Districts should forward the packages to DCMA-PIM five working days prior to the scheduled brief.
    4.7. Customer Feedback - CMO senior leadership, District, and HQ personnel communicate with the PM on a periodic basis to assure that the PST is functioning well and providing support to the PMO, influencing positive outcomes.  

5. Execution

    5.1. Program Surveillance - Risk Assessment Management Program (RAMP) is the primary tool to be used to develop an integrated Risk Management Plan (RMP), and should be program specific unless there are no unique processes or risks identified beyond the overall facility plan.  As leader of the PST, the PI must ensure that team member RMPs adequately address contractor processes and process results that influence the achievement of desired program outcomes identified in the MOA.   Risk Monitoring shall be conducted for all key processes.  As a minimum, the PI must establish a PST meeting schedule that allows the team to evaluate execution of the plan and contract performance. Surveillance activities can then be adjusted based on performance and assessed risk elements. High risk key processes have a potential impact on readiness since failure to perform has a negative impact on cost, schedule, and technical performance.  The SPI's role is the same as the PI, but at a subcontractor location.  The frequency and content of SPI reports must be addressed in the delegation.
    5.2. Data Analysis - As the leader of a PST, the PI is responsible for accumulating functional inputs into a single, comprehensive analysis.  PST members employ a variety of data analysis tools in their program support efforts.  The goal is to go beyond mere journalistic reporting of program status to assessing what the various bits of data mean to the health of the program, and ultimately to what the results of the analyses imply regarding the future of the program.  An integrated approach to data analysis is necessary.  For example, examination of earned value data can provide a clear picture of what has happened in the past and, assuming current trends remain constant , allow us to make reasoned predictions of what will most likely happen in the future.  This is the basis of the Independent Estimate at Completion (IEAC), an estimate of ultimate program cost.  If we couple EV data analysis with critical path analysis within the master schedule, we are not only able to predict how much the program will cost, but how long it will take to complete.  Root cause analysis assists in determining why something happened, and allows us to make judgments regarding the potential effectiveness of the contractor's proposed corrective actions.  Examination of Technical Performance Measures (TPM) trend lines against glide paths through thresholds to goals can result in predictions on the probability of success against technical challenges.  Thus, we move from reporting of information, through discussing what the information means - to being able to state that, based on what we now know, this is what we think will happen in the future (predictive analysis).

6. NASA Program Integration:

The following are additional, unique requirements for supporting NASA delegations:  PIs must be assigned to the major NASA programs, including programs at the subcontractor level with direct delegations, or re-delegations.  In general, NASA programs should meet the ACAT dollar thresholds contained in D0D 5002 to be considered major programs.  In addition, multi-functional delegations that require support in four or more technical and/or business functions may be considered as major NASA programs. A draft MOD should be submitted to the PM within 60 days (or a mutually agreed upon timeframe) following the receipt of the delegation.