1. Defense Contract Management Agency Overview
Presented By:
Izzie Mooney
DCMA Customer Liaison ESC, Hanscom AFB ;
16 March 2011
Rev. FY11 1.1

2. Overview Mission and Vision Organization
Why do Contract Administration
Things you may want to know
What we can’t do
How to find a DCMA POC
Summary 2

3. What Does DCMA Do?
Represents the Military Services, other Federal agencies and allied government buying agencies at defense contractors worldwide
Prior to contract award
After contract award
Eyes and ears of the customer
Rev. FY11 1.1 3

4. Mission & Vision Mission Vision
We provide Contract Administration Services to the Department of Defense Acquisition Enterprise and its partners to ensure delivery of quality products and services to the warfighter; on time and on cost
Vision
DoD’s leading experts in Quality Assurance; Cost, Schedule, and Supply Chain Predictability; and Contract Administration; enabling our partners to achieve contract objectives
Updated DCMA Mission and Vision as of September 2008
Rev. FY11 1.1 4

5. DCMA is a Team Member… ...In the defense acquisition community
Secretary of Defense
Under Secretary
Of Defense
(AT&L)
Chairman
Joint Chief of Staff
Buying Commands
Army
Assistant
Secretary of Defense
(Acquisition)
Navy
Combat Support Agency
Air Force
Marines
DCMA
THIS IS A PICTORIAL OF HOW WE FIT IN THE ACQUISITION COMMUNITY. DOD ESTABLISHED THE Defense Contract Management Agency effective March 27, In 1963 under what was then called Project 60 an analysis was completed on the way DoD did post award contract administration. The conclusion of this analysis was that DoD could be better served by establishing a DoD Agency whose sole mission was post award administration, bringing under its cognizance all the AFPROs, NAVPROS, ARPROs, etc. Facing a political battle, the results of this analysis did not come to fruition, however DCSARs were formed, bringing in the commodity based purchases under DLA/DCSARs. This area was again studied under DMRD 916 and in June of 1990, the Defense Contract Management was formed. Given the political climate of downsizing and a declining DoD budget, it was again determined that forming a new agency was too costly, and the remaining post award administration mission was placed under DLA and know as the Defense Contract Management Command. In 1999, under the scrutiny of Dr. Ganzler, the agency concept was again visited and on March 27,2000, Dr. Ganzler signed the paperwork creating the Defense Contract Management Agency – locating all post award administration for D0D in one Agency under the direction and authority of the Under Secretary of Defense (Acq Tech and Logistics).
Contract Administration
DLA
Historical Perspective – Service PROs/DCAS to DLA (1990) to DCMA (2000)
Rev. FY11 1.1 5

6. Organizational Construct
Strategic
Effects
Office of the Director
General Counsel
Chief of Staff
Corporate
Support
EEO
Reserve
Affairs
Office of Independent Assessment
Strategic
Human Capital
Directorate
GS-15
Finance Business Operations
Directorate
SES
Aircraft
Operations
Directorate
0-6
Contracts Directorate
SES
Engineering & Analysis Directorate
SES
Quality Directorate
SES
Portfolio Management & Integration Directorate
SES (2) Tier I/I
Information Technology Directorate
SES
International
Directorate
0-7
Operations
Directorate
SES (2) Tier II/I
Special Programs Directorate
GS-15
Operational
This chart depicts the new organizational construct at the strategic, operational and tactical level. The colors on this chart describe Strategic, Operational and Tactical construct. DCMA plans to implement this realignment over the next months.
The following new organizations are depicted:
A, E&A, Q, the establishment of PM&I and the establishment of the Chief Operating Officer (COO) and three Regional Commands.
International and Special Programs will report to the Agency Director due to the sensitivity of classified programs and in-theater requirements
The three geographic Regions will report to the COO. The COO will report to the Agency Director.
CMOs report to the Regional Commanders
The current four Product/Specialized CMOs will stay intact and report to the COO
This structure will be documented in a detailed integrated Agency-wide CONOPS.
The primary PEO interface will be through Service Desks located within the new PM&I Directorate. The primary PM interface with be through Lead Platform Commanders located within the appropriate Contract Management Office.
Eastern Region
0-6
Central Region
0-6
Western Region
0-6
Tactical
Primary
CMO
Streamlined
Primary
CMO
Streamlined
Primary
CMO
Streamlined
Rev. FY11 1.1 6

7. Operations Directorate
Executive Director
Exec Dir (SES II)
Deputy Dir (SES I)
Mission Support Group
Operations
Administrative
Assistant
Contracts
Air Ops
Eastern Region
Fixed Wing Sector Division
Naval
Sector Division
Sustainment
Sector Division
Fixed Wing
Engineering
Surface Combatant
Submarine
Carriers
ICP’s / DSC’s
GLSC / AMC
Central Region
Space & Missiles
Sector Division
Quality
Rotary
Sector Division
Ground
Sector Division
Western Region
Mission: The Sector Division is responsible for horizontally analyzing both programmatic and sustainment issues across assigned Sectors and develop strategies in coordination with the Contracts, Engineering, and Quality Divisions to achieve operational results.
The Sector Division, led by a YC (GS-15 equivalent) consists of 7 Weapons System Platform sectors. The Sector Group Leaders are supported by 15 Enterprise Platform Integrators and two Sustainment Support Specialists who execute the functions below.
Functions: Acts as Principal Advisor to the COO on Assigned Product Sectors
Maintain Product-level Awareness to Understand Enterprise-wide Impacts on Issues Affecting Multiple Programs/Platforms
Provide Situational Awareness of Key Sector Issues Affecting Readiness
Communicate Customer Priorities and Major Issues from the SEO and other HQ directorates to the Enterprise and Facilitate Resolution of Customer Issues
Identify, Track and Target Systemic Issues Across Product Sectors and Develop Strategies and Measures with Corrective Action Plans
Monitor Regional/Product CMO Performance against Established Sector Performance Indicators and Support Performance Management Reviews
Provide Sector-Wide Supply Chain Analysis and Predictability in Conjunction with Regions/Lead Platform Commander
Provide Timely, Accurate Programmatic Data in Support of DAB & DAES Reviews
Serve as Advisor on Resources within Assigned Product Sector
Engage Regions/Lead Platform Commander/CMOs to Recommend Trades and Adjustments to Resources to Positively Influence Metrics and Program/Sustainment Outcomes
Establish and Operate Forums for Lessons Learned and Best Practices
Support HQ Initiatives and Independent Reviews
Support POM Development
Rotary
Satellite
Launch/NASA
Ground Launch
Air/Sea Launch
Vehicles
Munitions
C4I
Soldier Systems
Directorate is accountable for the execution of all Contract Management functions
- Provides Command and Control of Three DCMA Regional Commands
- Translates Agency Policy and Strategic Direction into Consistent Tactical Execution
- Provides Workload and Resourcing Prioritization
- Ensures Consistent Budget and Resource Execution
- Sector Groups Maintain Product Focus and Specialized Customer Knowledge / Expertise
Rev. FY11 1.1
DATA
ACAT I & II
Sustainment
# PLAS Hrs FY09
241 Programs
4,130,727
PLAS Codes HQXXX
2,220,424 7

8. Special Programs South
Types of CMOs
Special Programs
Special Programs East
Special Programs South
Special Programs West
Geographic Area
Eastern CMOs
Boston (Headquarters)
Atlanta
Baltimore
Garden City
Hartford
Manassas
Lockheed Martin Marietta
Lockheed Martin Moorestown
Orlando
Philadelphia
Boeing Philadelphia
Sikorsky Aircraft
Springfield
Raytheon Tewksbury
APO
NSEO
Major Facility
Central CMOs
Chicago (Headquarters)
Dallas
Dayton
Detroit
Huntsville
Lockheed Martin Forth Worth
Bell Helicopter Forth Worth
Boeing St. Louis
Twin Cities
AMP
AIMO
Western CMOs
Carson (Headquarters)
Denver
Boeing Huntington Beach
Lathrop
Lockheed Martin Denver
Boeing Long Beach
Los Angeles
Palmdale
Phoenix
Santa Ana
Lockheed Martin Sunnyvale
Raytheon Tucson
NPO

9. International Operations
DCMA
IRAQ
DCMA
N. Europe
United Kingdom
Iraq
DCMA
Americas .
Canada
DCMA
Pacific
DCMA HQ
DCMA
S. Europe
Korea
Japan
Germany
Israel
Italy
Singapore
DCMA
Afghanistan
New Zealand
DCMA
Middle East
Afghanistan
Australia
Saudi Arabia
Egypt
Kuwait
Rev. FY11 1.1 9

10. Contingency Contracting Administration Service (CCAS)
Gansler Commission recommendations significantly expanded DCMA’s in-theater role
In-theater presence tripled to 300+
Expanded DCMA Emergency Essential program to 240+ ready to deploy personnel
Stood up new DCMA Command in Afghanistan
Path Forward
Ramping up Afghanistan staffing
Shoring up Subject Matter Experts (SME) and Contracting Officer’s Representative (COR) Support
Working with Military Services and Joint Staff to develop long-term strategy for in-theater Contingency Contract Administration Services
DCMA’s Contingency Contracting Administration Services (CCAS) mission is our agency’s number one priority. DCMA personnel support spans the globe.
Our workload in theater continues to grow with the recent Department of Defense delegation of responsibilities to DCMA to oversee Army contracting in Iraq, Afghanistan, and other Central Command locations.
CCAS office locations and staffing levels fluctuate based on the needs of the customer. For example: DCMA is shifting staffing levels from Iraq to Afghanistan as the threat shifts within the theater of operations.
Rev. FY11 1.1 10

11. Worldwide Acquisition Impact
Scope of Work
$3,212B Face Value of Contracts
$1,514B Obligated
$222B Unliquidated Obligations - 20,098 Contractors
341,787 Contracts
ACAT I and II programs: 214
Flight Operations (2,062 Aircraft/yr)
$134B Gov’t property in plant
$9B Progress Payments
$31B Performance Based Payments
Span of Control
10,661 civilian professionals
535 military (418 Active Duty, 117 Reserves)
730+ locations
50 major field commands
$1.1B budget authority
$136M reimbursable target w/FMS
Combat Support Agency
As of Sept 2010 (Parts A & B / Sections 1 – 4)
Rev. FY11 1.1 11

12. Core Processes (FAR 42.302(a)(b))
Quality Assurance
Manufacturing & Supply Chain Predictability
Cost and Pricing
Earned Value Management
Engineering Support
Software Acquisition Management
Property and Plant Clearance
Contracting
Contract Safety
Transportation
Aircraft Operations
DCMA brings unique knowledge, capability and skills to the DoD Acquisition Enterprise and these abilities form the agency’s core processes. To better leverage DCMA’s expertise, the DCMA leadership team is working to focus DCMA resources and energy on these specific FAR a processes.
Pre-Award
Engaging DCMA early in the acquisition cycle can minimize post award problems. DCMA has; Knowledge of contractor capabilities and risk; Lessons learned from a large acquisition base; Specialized expertise relative to the core process areas shown. Our staff can help; Identify performance risk; Construct more effective solicitations; Develop contracts that are easier to execute; Provide valuable insight into the capabilities and past performance of prospective contractors.
Post-Award
Quality Assurance Considerations:
FAR is know as the “Access Clause” or the “Standard Inspection Clause”. Including this clause in the contract requires the contractor to maintain an acceptable inspection system, gives the Government the right to make inspections and requires contractors to provide corrective action plans when product is found nonconforming. FAR is a higher level quality requirement that is appropriate for contracts for complex or critical items or when technical requirements of the contract require more control. Examples of higher-level quality standards are ISO 9001, 9002, or 9003; ANSI/ISO/ASQ Q ; ANSI/ASQC Q9001, Q9002, or Q9003; QS-9000; AS-9000; ANSI/ASQC E4; and ANSI/ASME NQA-1.
Delivery & Schedule Management Considerations:
FAR – Assignment of Criticality Designator (A/B/C) - Contracting officers shall assign a criticality designator to each contract in the space for designating the contract administration office, as follows:
Critical contracts, including; DX-rated contracts, Contracts citing the authority in FAR (unusual and compelling urgency), and
Contracts for major systems.
Contracts (other than those designated “A”) for items needed to; Maintain a Government or contractor production or repair line,
Preclude out-of-stock conditions or Meet user needs for nonstock items.
All contracts other than those designated “A” or “B.”
DFARS DCMA Production Surveillance level depends on the Surveillance Criticality Designator (SCD) specified by the buying activity in the contract; SCD A & B Contracts – DCMA production surveillance level based on a risk assessment of the on-time delivery likelihood
SCD C Contracts – DCMA Production Surveillance is prohibited on SCD C contracts UNLESS requested by the buying activity
EVMS Considerations:
DoD designated DCMA as the Executive Agent for EVMS to ensure consistent policy implementation and uniform application across Services & Agencies. DCMA validates contractor systems and conducts audits to assure contractor compliance to the 32 EVMS guidelines contained in ANSI EIA Contract Management Offices (CMO) support service program managers by participating in Integrated Baseline Reviews (IBR) as a team member, but the PM and his/her staff is the lead and responsible for accomplishing the IBR. CMOs also ensure that the contractor's EVMS provides accurate, reliable data and they help program managers evaluate program cost and schedule performance. When a contract contains an Earned Value Management (EVM) requirement, DCMA provides EV tripwires in support of Defense Acquisition Executive Summary (DAES) reviews. 
Property Considerations:
FAR 45 requires the contractor to maintain a property system. DCMA approves a contractor’s system and property administrators audit contractor’s compliance to the system.
Contracts Considerations:
DCMA DACO/CACO/ACOs administer DoD contracts. They perform various functions such as issuance of modifications, contract closeout, progress payments, novation agreements, cancelling funds management, etc. DCMA approves of validates seven different contractor systems (Estimating, Accounting, EVMS, Pension, Property, MMAS, Purchasing). DCAA performs audits of many of these systems and provides reports to DCMA. As warranted officers of the Government, DCMA Contract Administrators evaluate audit findings, seek corrective actions/equitable adjustments from contractors and make final determinations.
DCMA provides unique insight throughout the acquisition processes
Rev. FY11 1.1 12

13. FAR/ DFAR States … DFAR 242.202 Assignment of contract administration.
(a)(i) DoD activities shall not retain any contract for administration that requires performance of any contract administration function at or near contractor facilities
FAR   Contract administration functions.
(a) The contracting officer normally delegates the following contract administration functions to a CAO.
70 Standard Functions
i.e. (38) Ensure Contractor compliance with contractual quality assurance requirements
(5) Negotiate forward pricing rate agreements (see ).
(9) Establish final indirect cost rates and billing rates for those contractors meeting the criteria for contracting officer determination in Subpart 42.7.
(11) In connection with Cost Accounting Standards (see and 48 CFR Chapter 99 (FAR Appendix))—
(i) Determine the adequacy of the contractor’s disclosure statements;
(ii) Determine whether disclosure statements are in compliance with Cost Accounting Standards and Part 31;
(iii) Determine the contractor’s compliance with Cost Accounting Standards and disclosure statements, if applicable; and
(iv) Negotiate price adjustments and execute supplemental agreements under the Cost Accounting Standards clauses at , , , , and
“Federal agency” means any executive agency or any independent establishment in the legislative or judicial branch of the Government (except the Senate, the House of Representatives, the Architect of the Capitol, and any activities under the Architect’s direction). 13

14. Why do Contract Administration?
The purpose of contract administration is to ensure the Government receives the supplies and services we are paying the contractor to provide.
We need to ensure:
The supplies delivered meet applicable technical requirements/specifications;
The services provided meet contractual requirements;
The contractor complies with the terms and conditions of the contract.
Document document document 14

15. Focus Areas Contract Receipt & Review Contractor/Contract Surveillance
Contractor Payment
Contract Closeout

16. Things You May Want to Know…
DCMA Support
Things You May Want to Know…

17. DCMA Administered by…

18. Inspection & Acceptance
Indicates Low Risk.

19. 52.246-2 Inspection of Supplies- FP
As prescribed in , insert the following clause:
(c) The Government has the right to inspect and test all supplies called for by the contract, to the extent practicable, at all places and times, including the period of manufacture, and in any event before acceptance. The Government shall perform inspections and tests in a manner that will not unduly delay the work. The Government assumes no contractual obligation to perform any inspection and test for the benefit of the Contractor unless specifically set forth elsewhere in this contract.
Access Clause: Standard Inspection and acceptance clause. This to assure end item meets contractual requirements. If item unacceptable, contractor required to provide corrective action Plan. Id root cause and provide a plan to prevent item for being rejected for same reason.
  Standard inspection requirements.
(a) Standard inspection requirements are contained in the clauses prescribed in through , and , and in the product and service specifications that are included in solicitations and contracts.
(b) The clauses referred to in (a) of this section—
(1) Require the contractor to provide and maintain an inspection system that is acceptable to the Government;
(2) Give the Government the right to make inspections and tests while work is in process; and
(3) Require the contractor to keep complete, and make available to the Government, records of its inspection work.
(Gets your foot in the door….)

20. WAWF

21. Wide Area Workflow What Does WAWF Do?
The goal of WAWF is to support the DoD's goal of moving to a electronic acquisition process.
What Does WAWF Do?
Eliminates lost or misplaced documents - all documents are stored in one place…The Web
Provides accuracy of documents - current problems such as unmatched disbursements, duplicate payments, and payment delays are alleviated
Provides secure & auditable transactions - a user name and password must be used in order to use the benefits of WAWF
Enables Timely & Accurate Payments - What normally took 10 days can now be accomplished in 1 day, if not minutes
Decreases Interest Penalties - since WAWF decreases processing time, the system will greatly reduce the number of Prompt Payment Act (PPA) violations
not a DCMA system, but important to you – WAWF is a system for electronic acceptance and invoicing on DoD Contracts – view/work/print receiving reports and invoices (password required)

22. Role of Administrative Contracting Officer (ACO)
DCMA facilitates payment
Works with DCAA (Defense Contract Audit Agency) & DFAS (Defense Finance & Accounting Service)
DFAS pays, DCAA audits
DCMA
Approves Final “Public Vouchers”
Cost, Time & Material, and Labor Hour contracts
Approves & Manages Various Financing Payments
Progress, Performance Based, and Advanced Payments
Resolves Problems & Issues with
Contractors/DFAS
Has POCs & DCMA Liaisons at DFAS 22

23. ACOs can and do modify contracts
Administrative changes: errors; computations not requiring extra funds; and code or address changes
Novation/Change of name agreements
Deobligating excess funds after contract completion
An ACO contract modification starts with an “A” versus a PCO’s modification starting with a “P” 23

24. Contract Closeout (ACO Roles con’t)
Track/Monitor Mechanization Of Contract Administration Services (MOCAS) Data
Determine if Physically Complete
Resolve Admin/Pay Issues
Notify PCO of Actions, i.e. additional funds
DCMA initiates closeout when a contract becomes physically complete, that is, when all required products and services have been delivered and accepted and all ordering and option periods, if any, have expired.
Closeout involves negotiating final indirect rates, approving final invoice/voucher, disposing of government property and settling patent and royalty issues.
Closeout is considered complete when all administrative issues have been completed, all disputes are settled, and final payment is made.
It can be simple or complex depending on the type of contract and it requires close coordination between the contracting office, the finance office, the program office, auditing office, and the contractor. 24

25. What we can’t do… Closeout Only/Property Only Past-Performance Grading
- No closeout of contracts/property unless we administered
Past-Performance Grading
- We will provide data (e.g. shipping delinquency rate) to
the contracting officer in past performance evaluations, but
we can’t “grade” one contractor over another
We can’t become a “Job Shop”
- DCMA directs the daily activities of our employees
- We must have a measure of independence to act as
a legitimate, unbiased third party
- Generally we don’t “co-locate” our workers with you
We can’t help you with Post, Camp, & Station
- We don’t have the expertise 25

26. Locating a DCMA CMT Member
Where are you ???
When I need you…

27. How to Find Us: https://home.dcma.mil/dcma-pi/customer.htm
1. Click on Customer
2. Click on CMT Locator
Home Welcome to the CAS Component Directory application.   Options Available 
CAS Component Directory (CASD)
Procurement Activities (formerly Appendix G)
Payment Office Information
Points of Contact DCMA Corporate Administrative Contracting Officers, Divisional Administrative Contracting Officers, Defense Corporate Executives
DCMA Organizational Structure

28. How to Find Us- Search by Contract Number
Type in contract Number

29. How to Find Us- Search by Contract Number
CMT Member

30. How to Find Us- Search by CAGE
Type in CAGE 30

31. How to Find Us- Search by CAGE
CMT Members 31

32. DCMA wants your feedback on our services
Customer Feedback
Quick On-line Survey Access
DCMA wants your feedback on our services 32

33. SUMMARY
DCMA is made up of different functional specialists to address DoD’s contractual and program needs (i.e.: Small Business; Engineers; Contracts; Quality; …)
Offices located World – Wide
Focus performance management defined by our customers at no additional cost to the program office for ACAT I/II/III Weapon Systems
Provides “Boots on the ground” at the contractor’s location
Who…
Why…
Where…
What…
When…

34. To learn more about DCMA – http://www.dcma.mil/
QUESTIONS ? 34