1. LESSON 2 Quality Assurance Post Award Orientation Conference
15November2013
Lesson 4: Safety Stock

2. Lesson Introduction
Given a contract, students will be able to perform a Quality Assurance (QA) Post Award Orientation Conference (PAOC).

3. Lesson Objectives
Upon completion of this lesson, you should be able to:
Explain the importance of a PAOC to the acquisition process.
Describe the QA PAOC process.
Determine the need for a QA PAOC.
Identify factors for consideration during a QA PAOC.
Outline the Quality Assurance Specialist (QAS) responsibilities to the QA PAOC.
Lesson 4: Safety Stock

4. Lesson Topics This lesson will cover the following topics:
Importance of PAOC
The QA PAOC Process
Determining Need for QA PAOC
Factors to be Considered
QAS Responsibilities to the QA PAOC

5. WIIFM? This lesson is important because:
Although not required for every contract, QA PAOCs can make a QAS’s job easier, particularly toward the end of a contract period.
Remember that the relationship between a QAS and a supplier is not adversarial.
A QA PAOC is intended to help all involved parties, DCMA and suppliers alike.

6. Overview
A PAOC is a meeting between the DCMA and the supplier in which contract details and expectations are reviewed in detail.
A PAOC can also be:
Conducted virtually (online meeting or teleconference)
A written communication (letter or )
A physical meeting

7. Process Requirements – Federal Acquisition Regulation (FAR)
FAR Subpart Postaward Orientation
Section
Title
Description
42.500
Scope of Subpart
Defines PAOC as a conference or a letter
42.501
General
Explains purpose of PAOC
42.502
Selecting Contracts for Postaward Orientation
Outlines contracting officer’s (CO’s) considerations
42.503
Postaward Conferences
Postaward Conference Arrangements
Lists pre- and post-conference tasks
Postaward Conference Procedure
Explains conducting the conference
Postaward Conference Report
Outlines purpose, contents, and distribution of conference report
42.504
Postaward Letters
Describes using letter instead of conference
42.505
Postaward Subcontractor Conferences
Outlines responsibilities for subcontractor conferences

8. Process Requirements – Defense Federal Acquisition Regulation Supplement (DFARS)
DFARS Subpart – Postaward Orientation
Section
Title
Description
Postaward Conferences
Postaward Conference Procedure
Explains that DD Form 1484 may be used for conducting conference and preparing report; lists other special considerations
DFARS Subpart – Ground and Flight Risk Clause
Section
Title
Description
Ground and Flight Risk Clause
Outlines definitions, stipulations, and special considerations for contracts involving flight hardware

9. Question and Answer
Which Federal Acquisition Regulation (FAR) clause drives the need for a Post Award Orientation Conference (PAOC?)
FAR
FAR
FAR
FAR

10. Importance of PAOC Lesson Topics: Importance of PAOC
The QA PAOC Process
Determining Need for QA PAOC
Factors to Be Considered
QAS Responsibilities to the QA PAOC

11. Topic 1: Importance of PAOC
A POAC is conducted to make certain that all involved parties are aware of the contract requirements including:
Tasks
Technical requirements
Schedule/cost
Management
Expectations
Lesson 4: Safety Stock

12. Communication is Key 1 2 3 4 5 6 7 8 9 10

13. Two Practical Reasons PAOC:
Habit 5: Seek First to Understand, Then to Be Understood.
– Stephen Covey
7 Habits of Highly Effective People
“The single biggest problem in communication is the illusion that it has taken place.”
– George Bernard Shaw
PAOC:
Ensures all required tasks are within scope
Provides clarification for all involved parties
When you lay everything out up front, things are much smoother later on.
PAOC Record
Exactly what was discussed
Potential issues
DCMA and supplier are managing:
Time
Expectations

14. Full PAOC
Per DCMA Contract Technical Review (CTR) Policy, QAS recommendation for a full PAOC under these conditions.
Is new
Has a history of adverse performance
Received negative/marginal preaward survey results
Supplier
Contains First Article requirements
Contains DFARS clause
Involves aircraft operations or Aircraft Launch and Recovery Equipment (ALRE) Critical Safety Item (CSI)
Contract
Is critical
Is technically complex; potentially outside supplier’s demonstrated technological competency
Item or service

15. The QA PAOC process Lesson Topics: Importance of PAOC
Determining Need for QA PAOC
Factors to Be Considered
QAS Responsibilities to the QA PAOC

16. Topic 2: The QA PAOC process
The QA PAOC is the quality assurance portion of the PAOC.
QAS is responsible for QA PAOC process.
Lesson 4: Safety Stock

17. QA PAOC Process Determine if full post award is planned
Participate in full post award conference
Identify need for a QA PAOC
Schedule and conduct QA PAOC
Prepare PAOC report
Assure completion of action items 1 2 3 4 5 6

18. Determining need for QA PAOC
Lesson Topics:
Importance of PAOC
The QA PAOC process
Determining Need for QA PAOC
Factors to Be Considered
QAS Responsibilities to the QA PAOC

19. Topic 3: Determining Need for QA PAOC
QA PAOC may not be required in all situations; however, there are times when a QA PAOC is mandatory.
Certain conditions allow for optional QA PAOC.
Lesson 4: Safety Stock

20. When to Determine Need for QA PAOC
Contract Technical Review (CTR)
Risk
Assessment
GCQA Surveillance Planning
Perform
Surveillance
Product Release
SOW
Tech. Item
System Req.
Schedule/Cost
Exhibits
Data Pkg.
Impact
Performance
Causes
Likelihood
QA Surveillance Methods
System Audit
Process Review
Product Exams
Data Collection and Analysis (DC&A) is part of the Plan, Do, Check, Act (PDCA) cycle.
DC&A
Records

21. QA PAOCs Supplier Contract MANDATORY Item or service
Is new
Has a history of adverse performance
Received negative/marginal pre award survey results
Supplier
Contains First Article requirements
Contains DFARS clause
Involves aircraft operations or ALRE CSI
Contract
ALRE CSI
MANDATORY
Is critical
Is technically complex; potentially outside supplier’s demonstrated technological competency
Item or service
When the Administrative Contracting Officer (ACO) chooses not to conduct a full PAOC, a QA PAOC may be required.

22. Optional QA PAOCs
QA PAOC may not be required under certain conditions:
Repetitive orders are issued with the same supplier
Supplier is performing satisfactorily on identical items
Some QA PAOCs may be conducted:
Virtually (online meeting or teleconference)
Via letter or other written document

23. Question and Answer
Performing a QA PAOC may not be necessary when a supplier:
Is located less than 25 miles from a DCMA regional office
Has been audited by DCMA within the past two years
Provides written assurances of technical capabilities to fulfill the quality requirements of the contract
Is performing satisfactorily on similar items

24. Factors to be considered
Lesson Topics:
Importance of PAOC
The QA PAOC process
Determining Need for QA PAOC
Factors to Be Considered
QAS Responsibilities to the QA PAOC

25. Topic 4: Factors to Be Considered
Factors to consider when planning a QA POAC include:
General considerations
Supplier-controlled factors
Access and disclosure
Product verification requirements
Lesson 4: Safety Stock

26. General Considerations
Hazardous nature exists that requires special precautionary measures
Results of previous PAOCs
Special packing, packaging, and identification, such as:
Radio Frequency Identification (RFID)
Item Unique Identification (IUID)
Other conditions, such as:
New personnel
New processes
Unusual circumstances

27. Supplier-Controlled Factors
Supplier’s Quality Management System (QMS)
Documented supplier commitments:
Staff
Facilities
Supplies
Personnel certifications, such as:
Nondestructive Testing (NDT)
Welding
Soldering
Make or buy decisions

28. Access and Disclosure Factors
QAS must have access to:
Supplier’s written QMS
Technical data, including drawings, specifications, and standards documents
Supplier’s facilities
QAS must be able to conduct surveillance and documentation
Photo
Discussions with supplier’s employees
Mike Sutton (right), DCMA Albuquerque QAS, reviews drawings and contract requirements with Phil Buckner, Quality Control Inspector for Mobile Technical Systems, Inc., during an inspection. (Photo by Matthew Montgomery, DCMA Public Affairs)

29. Product Verification Requirements
Inspection and testing requirements:
Identify test equipment, calibration methods, and reference standards.
Define how inspection and test records will be documented and maintained.
Contract-defined testing, such as First Article and Production Lot testing
Special process controls for material treatments that cannot be verified through subsequent inspections or tests (i.e., nondestructive testing, metal plating)
Counterfeit parts mitigation strategies

30. Provisions Requiring Mutual Understanding
In-process inspection or test verification
Government approval of process procedures
Control of subcontractors for purchased supplies
Control of Government- furnished materials
Parasha Vincent, DCMA Dallas QAS, inspects a Black Hawk aircraft assembly to ensure it meets all specification requirements prior to government acceptance. (Photo by Jo Adail Stephenson, DCMA Public Affairs)

31. Question and Answer Which of the following statements is accurate?
Contracts mandate which testing equipment a supplier must use in order to meet QA requirements.
Suppliers cannot use nondestructive testing methods for inspection because DCMA cannot verify the results.
A DCMA QAS does not have the authority to inspect a supplier’s proprietary engineering documents or materials.
A DCMA QAS ensures the supplier is aware of any special packaging, packaging, and identification requirements for the contracted product.

32. QAS responsibilities to the QA PAOC
Lesson Topics:
Importance of PAOC
The QA PAOC process
Determining Need for QA PAOC
Factors to Be Considered
QAS Responsibilities to the QA PAOC

33. Topic 5: QAS Responsibilities to the QA PAOC
QAS is responsible for the QA POAC including:
Planning
Conducting
Post QA PAOC tasks
To Do List
√ Complete PAOC report
√ Send report internally
√ Send report externally
Ping Mark RE: Test equipment
Ping Debbie RE: Visitor badges
Update calendar
Lesson 4: Safety Stock

34. Planning the QA PAOC Prepare an agenda! Schedule the meeting PAOC!
Time and location
Invite all necessary and optional attendees, including appropriate Contract Management Office
(CMO) and buying activity technical representatives
Conduct a pre-meeting of all involved Government personnel in order to agree upon:
QA PAOC agenda items
Interpretation of quality requirements
PAOC!

35. Conducting the QA PAOC Document everything Stick to the agenda
Attendees
Questions/Issues
Decisions
Action Items
Stick to the agenda
Recap the meeting before adjourning
Summarize the discussion
Verify that all decisions and assigned action items are understood by everyone

36. Post-QA PAOC Tasks Draft a post-QA PAOC report and send to:
All QA PAOC attendees
First Line Supervisor (FLS)
Buying Activity
ACO
Follow-up to ensure:
Questions are answered
Issues are resolved
Action items are completed
Supplier formal concurrence
To Do List
√ Complete PAOC report
√ Send report internally
√ Send report externally
Ping Mark RE: Test equipment
Ping Debbie RE: Visitor badges
Update calendar

37. Tools and Additional Guidance
DD Form 1484: Post-Award Conference Record (optional)
PAOC Record (optional)
Requirement to maintain contract-specific documents in the official contract file [Electronic Data Warehouse (EDW)]

38. Question and Answer
Post QA PAOC tasks include drafting a report and sending to all QA PAOC attendees, the FLS, and what two other parties?
Select the two answers.
CMO Commander
ACO
Vendor
Buying Activity

39. Question and Answer
How are action items and potential issues resulting from the QA PAOC documented?
In the DCMA eTool
In the Postaward Conference Record
In the QA Policy
In the Contract Deficiency Report

40. Summary
The QA PAOC:
Clarifies quality assurance and technical contract aspects/requirements for the supplier and QAS
Helps ensure contract completion to specified requirements and customer expectations
Documents clarifications, resolutions, and follow-up activities
DCMA requirements contained in CTR and QA PAOC policies
Lesson 4: Safety Stock

41. Questions

42. Handout: DD Form 1484
Student materials contain a DD Form (CMQ101_M3_L2_H1_dd1484.pdf)
Optional documentation tools are available in the QA PAOC Policy

43. Exercise: QA PAOC Process
Students work individually
Complete the QA POC Process exercise (CMQ101_M3_L2_E1_qapaoc_process.pdf)
Fill in the diagram using provided list
Be prepared to discuss with class
Time: 5 minutes

44. FAR Subpart 42.5
Return

45. DFARS Subpart 242.5
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46. DFARS Subpart 252.228-7001 http://farsite.hill.af.mil/Vfdfara.htm
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