FED BSC FY 2002 rev1

DEPARTMENT OF ENERGY FEDERAL PROCUREMENT SYSTEM BALANCED SCORECARD: 

DEPARTMENT OF ENERGY FEDERAL PROCUREMENT SYSTEM BALANCED SCORECARD PERFORMANCE ASSESSMENT FY2002

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MISSION To provide acquisition and assistance services to support accomplishment of the Department’s programmatic goals and objectives. STRATEGY To change the present system’s culture, management systems, and line processes consistent with the principles of Quality Management, in order to establish and maintain: a customer focus, a sense of urgency, continuous and breakthrough process improvement, and an emphasis on results. VISION To deliver on a timely basis the best value product or service to our customers while maintaining the public’s trust and fulfilling public policy objectives.

BALANCED SCORECARDSTRATEGIC PERSPECTIVES: 

BALANCED SCORECARD STRATEGIC PERSPECTIVES MISSION VISION STRATEGY LEARNING AND GROWTH CUSTOMER FINANCIAL INTERNAL BUSINESS PROCESSES How do our customers see us? What must we excel at? Do we continue to improve and create value? Do we get the best deal for the Government?

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LEARNING AND GROWTH - Access to Strategic Information - Employee Satisfaction - Organization Structured for Continuous Improvement - Quality Workforce FINANCIAL - Optimum Cost Efficiency of Purchasing Operations MISSION VISION STRATEGY CUSTOMER - Customer Satisfaction - Effective Service/Partnership INTERNAL BUSINESS PROCESSES - Acquisition Excellence - Most Effective Use of Contracting Approaches - Streamlined Processes - On-Time Delivery - Supplier Satisfaction - Socioeconomics BALANCED SCORECARD PERSPECTIVES AND OBJECTIVES

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Customer Satisfaction Data Source: Customer Survey Data Generation: Accomplished by using standardized survey instrument. Individual survey responses are entered into Excel Data Reduction Program which calculates results. Data Verification: Procurement Directors are responsible for accuracy of data and retention of Excel Program Reports in accordance with records management requirements. Reports will be made avail- able for compliance and/or HQ reviews. Effective Service/Partnership Data Source: Customer Survey Data Generation: Accomplished by using standardized survey instrument. Individual survey responses are entered into Excel Data Reduction Program which calculates results. Data Verification: Procurement Directors are responsible for accuracy of data and retention of Excel Program Reports in accordance with records management requirements. Reports will be made avail- able for compliance and/or HQ reviews. Timeliness: Extent of customer satisfaction with timeliness of procurement processing; planning activities; and on-going communications. Quality: Extent of customer satisfaction with the quality of goods and services delivered. Extent of customer satisfaction with the responsiveness, cooperation, and level of communication with the procurement office. 85% for FY 2002 We will not measure in FY 2001 and FY 2003 90% for FY 2002 We will not measure in FY 2001 and FY 2003 88% for FY 2002 We will not measure in FY 2001 and FY 2003 CUSTOMER PERSPECTIVE OBJECTIVE MEASURE TARGET

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Acquisition Excellence Data Source: Manager’s Self- Assessment Survey, protest data Data Generation: Accomplished by using standardized survey instrument. Individual survey responses are entered into Excel Data Reduction Program which calculates results. Data Verification: Procurement Directors are responsible for accuracy of data and retention of Excel Program Reports in accordance with records management requirements. Reports will be made avail- able for compliance and/or HQ reviews. Most Effective Use of Contracting Approaches to Maximize Efficiency and Cost Effectiveness. Use of Purchase Cards: Data Source: Card Issuer Reports, PADS, CUTS, local tracking systems Data Generation: Data is tabulated from the listed tracking systems. Data Verification: Procurement Directors are responsible for accurately reporting results and retention of records in accor- dance with records management require- ments. Records will be made available for compliance and/or HQ reviews. Extent to which internal quality control systems are effective, particularly with respect to compliance with laws and regs, vendor selection and performance, contract admin., and subcontractor oversight. Use of Purchase Cards: 1. Number of purchase card transactions as a percentage of total actions under $25,000. 2. Total amount of cost avoidance through the use of purchase cards. (The above two measures will be tracked at Headquarters based on data submitted by the field offices) 85% No sustained protests. 87% $6M INTERNAL BUSINESS PERSPECTIVE OBJECTIVE MEASURE TARGET

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Use of Electronic Commerce: Data Source: Electronic Small Purchase Systems, PADS, CUTS, local tracking systems Data Generation: Data is tabulated from the listed tracking systems. Data Verification: Procurement Directors are responsible for accurately reporting results and retention of records in accor- dance with records management require- ments. Records will be made available for compliance and/or HQ reviews. Performance Based Service Contracts: Data Source: PADS Data Generation: Data is tabulated from PADS. Data Verification: Procurement Directors are responsible for accuracy of data entered into PADS. On a routine basis, HQ will randomly sample pre and post award actions and compare against the FAR PBSC standards. Use of Electronic Commerce: 1. Percent of purchase and delivery orders issued through electronic commerce as a percentage of total simplified acquisition actions. 2. Percent of all synopses (for which widespread notice is required) and associated solicitations posted on FEDBIZOPPS. This measure will be tracked at HQ. Performance Based Service Contracts: PBSCs awarded as a percentage of total eligible new service contract awards (applicable to actions over $100K) . Percent of total eligible service contract dollars obligated for PBSCs (applicable to all actions over $25K). This measure will be tracked at HQ. 33% for FY 2001 50% for FY 2002 60% for FY 2003 100% of actions over $25K. 66% 60% INTERNAL BUSINESS PERSPECTIVE - Cont. OBJECTIVE MEASURE TARGET

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Use of Competition: Data Source: PADS Data Generation: HQ will generate data from PADS. Data Verification: Procurement Directors are responsible for accuracy of data entered into PADS. Streamlined Processes Procurement Administrative Lead Time: Data Source: PADS, local tracking systems Data Generation: Data is generated from PADS and local tracking systems. Data Verification: Procurement Directors are responsible for accurately reporting results and retention of records in accor- dance with records management require- ments. Records will be made available for compliance and/or HQ reviews. Use of Competition: 1. Percent of total dollars obligated on competitive actions over $25,000. 2. Percent of actions competed for actions over $25,000. (The above two measures will be tracked at Headquarters) Procurement Administrative Lead Time (PALT) for Acquisition: Average time from receipt of offer to date of award. PALT for Financial Assistance: 1. Average time from start of the award process (usually the receipt of acceptable PR package) to date of award. 2. Average time from receipt of application to date of award. 75% 90% 123 days for competitive services between $1M and $25M. 49 days for new non-competitive actions. 150 days for new competitive actions up to $25M. INTERNAL BUSINESS PERSPECTIVE - Cont. OBJECTIVE MEASURE TARGET

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Reduction in Overage Instruments: Data Source: PADS Data Generation: Data is generated from PADS. Data Verification: Procurement Directors are responsible for accurately reporting results and retention of records in accor- dance with records management require- ments. Records will be made available for compliance and/or HQ reviews. On-Time Delivery Data Source: Past Performance Data Base, local deliverable tracking systems Data Generation: Data is tabulated from the listed tracking systems. Data Verification: Procurement Directors are responsible for accurately reporting results and retention of records in accor- dance with records management require- ments. Records will be made available for compliance and/or HQ reviews. Percent reduction in overage acquisition and financial assistance instruments. Percentage of contracts where contractual delivery date meets actual delivery/acceptance date. (Note: applies only to procurement actions (not financial assistance) over $1M). 10% of each year’s beginning total. 96% INTERNAL BUSINESS PERSPECTIVE - Cont. OBJECTIVE MEASURE TARGET

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Supplier Satisfaction Data Source: Vendor Survey Data Generation: Accomplished by using standardized survey instrument. Individual survey responses are entered into Excel Data Reduction Program which calculates results. Data Verification: Procurement Directors are responsible for accuracy of data and retention of Excel Program Reports in accordance with records management requirements. Reports will be made avail- able for compliance and/or HQ reviews. Socioeconomics Data Source: PADS, SRS, OSDBU, local tracking systems Data Generation: Data is tabulated from the listed tracking systems. Data Verification: Procurement Directors are responsible for accurately reporting results and retention of records in accor- dance with records management require- ments. Records will be made available for compliance and/or HQ reviews. Extent of supplier (i.e. contractor/vendor) satisfaction with the responsiveness, cooperation, and level of communication with the procurement office. Percent achievement of assigned goals. 95% for FY 2002 We will not measure in FY 2001 and FY 2003 100% achievement. INTERNAL BUSINESS PERSPECTIVE - Cont. OBJECTIVE MEASURE TARGET

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Access to Strategic Information Data Source: Manager’s Self- Assessment Survey (Data Collection) Data Generation: Accomplished by using standardized survey instrument. Individual survey responses are entered into Excel Data Reduction Program which calculates results. Data Verification: Procurement Directors are responsible for accuracy of data and retention of Excel Program Reports in accordance with records management requirements. Reports will be made avail- able for compliance and/or HQ reviews. The extent to which reliable procurement management information systems are in place. Strategic information system that is 100% accurate, timely and efficient. LEARNING AND GROWTH PERSPECTIVE OBJECTIVE MEASURE TARGET

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Employee Satisfaction Data Source: Employee Survey Data Generation: Accomplished by using standardized survey instrument. Individual survey responses are entered into Excel Data Reduction Program which calculates results. Data Verification: Procurement Directors are responsible for accuracy of data and retention of Excel Program Reports in accordance with records management requirements. Reports will be made avail- able for compliance and/or HQ reviews. Organization Structured for Continuous Improvement Data Source: Manager’s Self- Assessment Survey (Mission Goals) Data Generation: Accomplished by using standardized survey instrument. Individual survey responses are entered into Excel Data Reduction Program which calculates results. Data Verification: Procurement Directors are responsible for accuracy of data and retention of Excel Program Reports in accordance with records management requirements. Reports will be made avail- able for compliance and/or HQ reviews. Superior Executive Leadership: Employee’s perception of the organization’s professionalism, culture, values, and empowerment. Quality Work Environment: Employee’s degree of satisfaction with tools available to perform job, with mechanisms in place to ensure effective communications to accomplish job requirements, and with current benefits and job security. Assessment of the level of continuous improvement including existence of an effective quality culture, extent of benchmarking and other improvement initiatives, and strategic planning actions. 84% 85% 81% LEARNING AND GROWTH PERSPECTIVE - Cont. OBJECTIVE MEASURE TARGET

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Quality Workforce Data Source: Career Development data systems Data Generation: Data is tabulated from the listed data systems. Data Verification: Procurement Directors are responsible for accurately reporting results and retention of records in accor- dance with records management require- ments. Submitted results will be compared with data maintained by the Departmental Career Development Coordinators. Percent of all acquisition personnel meeting the qualification standards of the Acquisition Career Development (ACD) program. Percent of certified acquisition personnel meeting the ACD Continuous Learning Requirement. Percent of all financial assistance personnel meeting the qualification standards of the Financial Assistance Career Development program. 90% (exception: individuals receiving a written waiver from HQ) 90% 90% LEARNING AND GROWTH PERSPECTIVE - Cont. OBJECTIVE MEASURE TARGET

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Optimum Cost Efficiency of Purchasing Operations Data Source: PADS, local budget tracking systems Data Generation: Cost to Spend Ratio is calculated from data extracted from listed data systems. Data Verification: Procurement Directors are responsible for the accuracy of the calculated ratio, and for retention of source documents and ratio calculation sheets in accordance with records management requirements. Records will be made available for compliance and/or HQ reviews. Cost to Spend Ratio: Procurement organization’s operating costs (labor plus overhead) divided by procurement obligations. (Note: the costs and obligations associated with M&O actions are excepted). .012 FINANCIAL PERSPECTIVE OBJECTIVE MEASURE TARGET