Joint Meeting February 7, 2012 Paul Bosco Senior Procurement Executive

Joint Meeting February 7, 2012 Agenda Introduction Challenges Alignment Closing Comments & Questions 2

Joint Meeting February 7, 2012 Challenges Actual Estimate 3

Joint Meeting February 7, 2012 Challenges 4

Joint Meeting February 7, 2012 Need better sense of budget stability in both the contracts & project worlds ‘Bite sized’ appropriations Need to reduce the size of work & contracts 5

Joint Meeting February 7,

Joint Meeting February 7-8, 2012 Alignment Aligning Interests How can DOE can better align its interests and incentives with those of its contractors? Government-contractor partnering relationship Balancing risks Need to improve how contracts balance risks and incentives between DOE and contractors Reduce high risk contracts (move from cost plus towards fixed price) Contract and Project Management Need to align contract management with project management GAO High-Risk List Define your requirements up-front Funding profiles Reflect Priorities 7

Joint Meeting February 7-8, 2012 Closing Comments and Questions 8 CREDIBILITY COMMITMENTS COMMUNICATION