Procurement’s Excellent AdventureProcurement’s Excellent Adventure September 14, 2010

Chris Rodgers Lisa PierceChris Rodgers Lisa Pierce Director Branch ChiefDirector Branch Chief

Strategic Acquisition Initiatives Strategic Acquisition Initiatives

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INFORMATION TECHNOLOGY DirectorDeputyDeputy

210 employees, 3,147 transactions,

$1.2B

INFORMATION TECHNOLOGY DirectorDeputyDeputy

210 employees, 3,147 transactions,

$1.2B

WORKFORCE MGMT & SUPPORT SERVICESChief

8 employees

WORKFORCE MGMT & SUPPORT SERVICESChief

8 employees

ELECTRONIC PROCUREMENT

DirectorElectronic Catalog

Automated Systems38 employees

ELECTRONIC PROCUREMENT

DirectorElectronic Catalog

Automated Systems38 employees

STRATEGIC ACQUISITIONINITIATIVES

DirectorSourcing, Measures,

CRM, Quality37 employees

STRATEGIC ACQUISITIONINITIATIVES

DirectorSourcing, Measures,

CRM, Quality37 employees

PROCUREMENT POLICYDirector

TAI36 employees

PROCUREMENT POLICYDirector

TAI36 employees

DIRECTOR, PROCUREMENTDEPUTY DIRECTOR

DIRECTOR, PROCUREMENTDEPUTY DIRECTOR

BUSINESS OPERATIONSDirectorDeputy

147 employees,12,644 transactions,

$657M

BUSINESS OPERATIONSDirectorDeputy

147 employees,12,644 transactions,

$657M

NEW YORK, NY21 employees

2,209 transactions$60M

NEW YORK, NY21 employees

2,209 transactions$60M

DALLAS, TX23 employees

3,552 transactions$60M

DALLAS, TX23 employees

3,552 transactions$60M

ATLANTA, GA20 employees

1,496 transactions$39M

ATLANTA, GA20 employees

1,496 transactions$39M

OAKLAND, CA20 employees

2,562 transactions$38M

OAKLAND, CA20 employees

2,562 transactions$38M

• Obligate $1.9 Billion per year• Spend 17.3% of IRS Budget• 491 people nationwide• Executive agent for major Treasury IT acquisitions: - Treasury Commercial Vehicle (TCV) - HR Connect - Treasury Network (TNET) - Telecommunications Services

Procurement Organizational Structure

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Top 10 Vendors for FY 2009COMPUTER SCIENCES CORPORATION

NORTHROP GRUMMAN INFORMATION TECHNOLOGY INC

ACCENTURE LLP

BOOZ ALLEN HAMILTON INC

APPTIS INC

THE PRESIDIO CORPORATION

LOCKHEED MARTIN MANAGEMENT SYSTEMS DESIGNER INC

THE MITRE CORPORATION

INTERNATIONAL BUSINESS MACHINES CORPORATION

FINANCIAL MANAGEMENT SERVICE44

275Contracting Specialists

96Management

Admin/Support

222 employees 157 employees

$1.278B obligations $669M obligations

3,147 transactions 12,746 transactions

329 transactions > $1M 130 transactions > $1M

Workgroup for IT Buys

Workgroup for Non-IT Buys

Workload at a Glance 491 employees, 15,893 transactions*

$1.947B obligations

275Contracting Specialists

120Specialists (Business,

IT, HR)

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Quality Circles

Baldrige established by Reagan

1987 1995 1997 1998 2000

Quality Timeline

Pre-history – the long and winding road….

Joint Quality Improvement

teams

Total Quality Organization assessment

President’s Quality Award

• we jumped on the bandwagon & rolled out the President’s Quality Award Self-Assessment

• the initial goal was to win an award

• the side effect was the birth of an idea –

continuous process improvement

Head out on the Highway

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Roadmap of Procurement’s Excellent Adventure

Strategic Acquisition Initiatives (SAI) established

Drafted application for Baldrige National Quality Award

Independent review by Baldrige expert – not ready for prime time

Hired organizational performance expert

Review of performance measures program

Initial development of Strategic & Business Plans

Expanded Customer Satisfaction Survey

Performance Measurement & Reporting Branch takes lead on MPEA

Performance Excellence Team

Contractor Survey

Staff participation in MPEA workshops

Conducted organizational assessment

Documented findings in MPEA Assessment

Submitted MPEA Application

1st MPEA Feedback Report

Established Customer Relationship Management (CRM) Program

Customer reps assigned

Executive commitments tied to measures

PDCA applied to CRM outreach sessions & Customer Satisfaction Survey

Adopted 7-step strategic planning process

Executive commitments on strategic and action plans

Discovery Map - mission, vision, values

Redesign measures

Balanced scorecard

Posting monthly measures

Customer service standards

“Did You Know?...”

2005 2006 2007 2008 2009 2010

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What matters most? Tune up and refueling

Hard things What we are doing

Strategic planning • hands-on involvement of entire senior staff

• roll out Discovery Map to share the plan

with entire workforce

Measures • a reassessment is underway• determining what will show our new Deputy

Commissioner that Procurement is operating

efficiently and effectively – getting the best

deal

Process improvement • formalize selection process for PI projects that

incorporates a decision matrix with cost/benefit to

organization

Integrating • use of cross-functional teams for assessments• more aggressively deploying and engaging all of

staff in strategic and business plans in FY 2011

Sustaining • maintain senior managers’ active support• workforce buy-in and involvement

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Into the great wide open….

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IRS Strategic Plan – 5 Year Plan Mission, Vision, Values Identifies the strategies, objectives and strategic

foundations for the organization

AWSS Business Plan – 4 Year Plan Mission, Vision, Goals, Objectives, Strategies Framework that enables AWSS to fulfill its Mission

and Vision Provides a unified strategic direction over a four-year

period

AWSS Program Plan – 1 Year Plan Identifies programs, activities and measures to

support the goals, objectives and strategies identified in the Business Plan

Strategic initiatives and their attendant measures are created to support the objectives and strategies

Strategic Plan

Business Plan

Program Plan

Action Plans

Performance Commitments

Strategic, Business and Program PlansMapping a route for the future

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• Performance Commitments

– Created based on strategic initiatives identified in the Program Plan

– Included in the Performance Plan of the Director, Procurement

– Cascaded throughout the organization via performance plans of subordinate managers

• Action Plans

– Identifies and tracks the actions required to deliver on the strategic initiatives identified in the Program Plan

Strategic Plan

Business Plan

Program Plan

Action Plans

Performance Commitments

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Strategic, Business and Program PlansMapping a route for the future

Challenges (pot holes)

• Maintaining required staffing levels

• Attracting the best talent

• Obtaining voice of the customer and improving customer satisfaction

• Increasing the value of our acquisition service

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On the road again…..just can’t wait to be on the road again….

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Wherever you go, there you are……