1. Internal Information Services Risk Management Team Gay Infanti Northrop Grumman 3 May 2006

2. 2 Agenda Review charter and membership Summarize Accomplishments Report recent activities Summarize future plans Discussion

3. 3 Charter Develop and recommend policy, process guidance, and training to support the integration of risk management with earned value management. Work with the risk management community to achieve process integration.

4. 4 RM Working Group Membership Wayne Abba Ivan Bembers Brooke Browne Tiffany Brunetti Dick Coleman Gary Christle Meredith Murphy Susan Meyer Craig Peterson Tom Rosati Harry Sparrow Deborah Tomsic Wilma Uribe Steve Van Drew Greg Ward Dennis White Gay Infanti and John Driessnack, Co-chairs In addition, WG correspondents/SMEs include Lauren Bone and Val Jonas in the UK, Dave Hulett, Chuck Bosler, Creaghe Gordon, Dave Bachman, and Mike Zsak

5. 5 Summary of Major Accomplishments WG Survey, hosted by DAU White Paper summarizing survey findings and making the case for process integration Conference workshops, seminars and presentations NDIA, PMI-CPM, SCEA Risk SIG, PMI - College of Scheduling International conferences (UK, Japan) Growing interest and momentum for RM/EVM integration DoD Policy, IMS/CPR DIDs, IMP/IMS Guide GAO Cost Guide New Capital Programming Guide WG interaction with APM WG interaction with RM Community Meeting with OSD – AT&L SE re Risk Management Guide Individual company initiatives

6. 6 Recent Activities Decided against another guide in favor of inserting RM/EVM guidance into existing guides Currently drafting high-level process guidance for incorporation into the EVMS Application Guide Preparing for PMI-CPM Spring Conference series of seminars on practical approaches for Integrating Risk Management and EVM Recommending changes to OSD AT&L’s new Risk Management Guide

7. 7 Spring Conference Seminar Series Training Seminar (600D) – Integrating Risk into the PMB (Houser and Driessnack) Followed by a practice seminars addressing the general topic of: Integrating Risk and Earned Value – Practical Approaches John Driessnack, MCR LLC– Linking Risk, EV and Cost Estimating Dan Patterson, Pertmaster Ltd – Using RM to Better Forecast Project Costs Darrell Baker, Northrop Grumman IS – Integration of RM and EVM Val Jonas – Interfacing the Practices of EV and RM Practice seminars include time for audience questions and discussion that will be moderated by Wayne Abba

8. 8 OSD –AT&L Risk Management Guide Background – New Risk Management Guide written by System Engineering organization within OSD AT&L Initially released for comment within DoD Subsequent comments requested from PMI A&D SIG members with “fluent working knowledge of Defense and National Security Space acquisitions” Was not specifically sent to DAU RM CoP members, PMI Risk SIG, or Industry for comment Underlying premise addressed in this guide “Many technical issues can be traced to managing of consequences as opposed to managing risk root causes, tracking risks as opposed to mitigating risks, and not integrating technical risk mitigation into overall risk management.” In its current form, the RM Guide doesn’t support our IPM initiative

9. 9 OSD –AT&L Risk Management Guide (2) Review of guide revealed Quantitative analysis of risk isn’t addressed Opportunities aren’t addressed Focuses on technical risk Lacks references to other policy/guidance documents, both government and industry Contains no mention of process integration RM/EVM integration is critical to improving the acquisition process Risk quantification is critical to linking EVM and RM These comments and others presented by John Driessnack to Col. Anderson at OSD-ATL and meeting arranged with Robert Skalamera, Debbie Tomsic, Mike Zsak, NDIA PMSC WG members (Driessnack/Abba), and PMI RM SIG representatives to discuss them

10. 10 OSD –AT&L Risk Management Guide (3) Meeting resulted in agreement by Robert Skalamera to consider comments of PMI Risk SIG and NDIA PMSC WG Comments requested in one week’s time Risk SIG invited to comment directly (Hulett and Driessnack are doing so) NDIA PMSC comments to be sent to Debbie Tomsic within a week

11. 11 Future Plans Resolve how/where to provide contract-level process guidance that is still needed Determine training approach and develop action plan Continue IPM advocacy role Foster established working relationships with APM, RM SIG, College of Scheduling, and others Continue to provide a forum for discussion/new ideas Promote new ideas that further or improve IPM to NDIA PMSC to obtain action or sponsorship

12. 12 Discussion Questions or comments? Suggestions/other topics that should be added to the working group’s long-term agenda? New ideas, in furtherance of IPM, for consideration by the working group?