online aerospace supplier information system (oasis) pilot...
TRANSCRIPT
Presented By:
One team, one voice delivering global acquisition insight that matters.
Online Aerospace Supplier Information System (OASIS) Pilot Program Update
Michael E. Shields, Jr.
DCMA Executive Director, Quality AssuranceMarch 2018
One team, one voice delivering global acquisition insight that matters. 2
From Vice Admiral David Lewis, DCMA Director:
• Prime contractors are responsible for controlling their subcontractors. Our actions are
diluting the prime's sense of accountability and responsibility and confuses our oversight role
• Intent is to hold the prime contractor accountable, under the terms of their contract with the
Government, and to begin to discontinue the practice of writing letters of delegations (LODs)
unless they meet the intent of the FAR guidance for doing so
• This shift will include a renewed, strong focus on surveillance of the prime contractor's
controls over their subcontractors, to include how they are selected, risk rated and managed
Detection to Prevention (D2P):
a. Supports Better Buying Power
b. Industry/DCMA Collaboration is Critical to Success
DCMA Strategic Direction
One team, one voice delivering global acquisition insight that matters. 3
Guidance
DCMA Strategic Plan
Goal 1: Inform and contribute to affordability decisions
• Objective 1.4: Transition oversight activities from detection to prevention
by focusing limited Agency assets earlier in the acquisition value stream
and by identifying cost saving areas in order to deliver better acquisition
insight.
o Initiative 1.4.2: Leverage 3rd party Quality Management System (QMS) certification
audit results to reduce duplicative DCMA oversight and labor costs allowing DCMA
to refocus limited assets on other high risk areas.
One team, one voice delivering global acquisition insight that matters. 4
Problem Statement
•Decomposition indicated industry has a self-governing Quality Management
System (QMS) certification system
•QMS certification results maintained in Online Aerospace Supplier Information
System (OASIS) system
•Confirmed duplicative system level audits currently being performed by:
o DCMA
o Contractor
o Certification Body
o Buying Command
o Prime – Sub Contractor
Initiative 1.4.2 Decomposed
One team, one voice delivering global acquisition insight that matters. 5
OASIS Pilot Initiative
OASIS Pilot - Leveraging 3rd party QMS audits
• Established several pilots in collaboration with Primes and Major Subs
• Created consensus measures with suppliers that drive improvement
• Using objective supplier / DCMA process and product performance data
o Drive preventative actions, reducing failure costs, improving outgoing quality and
delivery performance
One team, one voice delivering global acquisition insight that matters. 6
OASIS provides QMS contractor certification information, allows for
Customer and Supplier Monitoring & Feedback to Assessors
• DCMA use of Industry Controlled Other Party (ICOP)/OASIS for Risk
Actualization/Reduction
• ICOP approval provides significant industry insight/oversight
• Reaches sub-tier organizations
• OASIS Watch List of Changes in Approvals
• Feedback process use for DCMA Observations
OASIS Concept
One team, one voice delivering global acquisition insight that matters. 7
Pilot Results to Date
Pilot Site activity execution results to date:
• Significant efficiency improvement trending
• Enterprise wide – art of possible:
o 90% improvement
• We believe there is an immediate improvement in the cost of major QMS corrective
actions via OASIS
Baseline DCMA Audit Costs :
• Significant amount of Agency expenditures for AS9100 QMS audits that can be directed
back to DCMA
• Contractor labor costs due to DCMA involvement can be directed back to the contractor,
and may produce customer savings over time
One team, one voice delivering global acquisition insight that matters. 8
DCMA/DCMA Customer Benefits:
Risk Based, focused LODs or LOD avoidance based on DCMA Prime Contract
Management Office (CMO) supply chain data analysis utilizing OASIS as a data
element
Risk Based QMS audit planning using OASIS Level 2 data as an element of QMS
risk assessment in lieu of DCMA QMS audit
CB engagement with CMO during the planning of the onsite
Certification/Recertification and Special Focus audits
CB executed or assisted Corrective Action Verification
Direct feedback
OASIS Benefits
One team, one voice delivering global acquisition insight that matters. 9
OASIS
• Reaches sub-tier suppliers
• DCMA use of 3rd party surveillance for risk actualization and reduction
Supporting Better Buying Power (BBP) and Superior Supplier Incentive
Program (SSIP) initiatives
• Via analysis of supplier risk, based upon 3rd party reviews
o Workforce multiplier
o Mitigation of duplication of effort and cost
o Improved contractor insight and capability analysis
OASIS Impact
One team, one voice delivering global acquisition insight that matters. 10
Success Objectives / Deliverables
Completed:
Gained insight into industry QMS health, confidence and status
Reduced DCMA follow-up and special emphasis audits
Identified QMS risk and adjust oversight strategies
Leveraged OASIS for DCMA Oversight Balance/Reduction
Mitigated DCMA QMS concerns through the use of OASIS
Improved labor ROI by elimination of redundant activities
In-Process:
• Harmonized and Institutionalized Industry and Government Best Practices
• Updated DCMA Policy and Industry Command Media
• Use of ICOP process data generation for Supply Chain QMS performance
One team, one voice delivering global acquisition insight that matters. 11
• Improved technical and business base forecasting
• Increased accountability for accuracy and predictability of technical
support and rates
• Enhanced responsiveness to OSD requests
• Ability to rapidly respond to customer requests for should cost
Unintended Benefits
One team, one voice delivering global acquisition insight that matters. 12
Opportunities
BLUF: Next Phase Is To Eliminate Redundant Audits at the Sub Level
• Expand and Institutionalize DCMA OASIS Pilot programs
• Industry awareness training (OASIS feedback) for DCMA
• Collaborate with the contractor concerning QMS audits and reviews
• Create Agency level process which includes OASIS feedback
• Standardize QMS Data Collection and Analysis/QMS Risk assessment tools
One team, one voice delivering global acquisition insight that matters. 13