August 2005 Newsletter



President's Message

By Captain Thomas McQuire

President, ASMC Washington Chapter

Greetings and Welcome!

It is an honor and a distinct privilege for me to assume the Presidency of the Washington Chapter of the ASMC. On behalf of all of us, I would like to thank Mr. Stephen Bagby and his team of Steve Pawlow and Jerry Bogle for leading our chapter for an extraordinarily successful year…one in which the chapter excelled in every aspect of its achievements! Under Mr. Bagby’s leadership, the chapter won broad recognition and set the pace for the rest of the nation. Thank you from all of us!

Now we embark upon a new year and it promises to be an exciting and challenging one! I am confident that with your support and enthusiasm this will be one of our best yet! We have many challenges ahead; among them continuing to build our membership, boosting the professional qualifications and credentials of our members, broadening the reach of our college scholarship program and preparing for our next PDIs. This month I will be meeting with each of our committee chairmen to map out the way ahead. I look forward eagerly to joining with you at our monthly luncheons and ask for your continued support and participation as we move forward in the months ahead.

See you at the luncheon!

Tom McGuire

|Upcoming Events |

|August 3, 2005 |Executive Board Meeting |

|September 8, 2005 |Executive Board Meeting |

|September 14, 2005 |September Luncheon |

August Luncheon Speaker

The focus for today’s luncheon will be financial management aspects and “lessons learned” from implementing the previous Base Realignment and Closure (BRAC) rounds within the Department of the Army. The discussion will center on the techniques used to “optimize” the use of BRAC resources in cleaning up and transferring BRAC property and how these techniques have led to Business Initiatives throughout the Army. The discussion will also focus on how these “lessons learned’ have been incorporated into the costing models for the BRAC 2005 savings estimates.

ASMC would like to welcome our August Luncheon Speaker:

Jeffery E. Giangiuli

Systems, Inc.

Mr. Jeff Giangiuli is a Vice President with CALIBRE Systems, Inc. Prior to joining CALIBRE, Mr. Giangiuli was Principal and co-founder of Strategic Management Initiatives, Inc. (SMI), a small business management consulting firm, providing strategic management and engineering analyses of the problems facing Fortune 500 companies and the U.S. Government in their management of complex technologies and processes. Mr. Giangiuli is nationally recognized and currently supports the Departments of Defense and Energy with the development and implementation of environmental cleanup strategies for legacy facilities. Under his leadership, SMI was named to Inc Magazine’s List of 500 Fastest Growing private companies for the past two years.

Mr. Giangiuli is a nationally recognized engineering and management consultant with expertise in Risk Management, Environmental Cleanup, Nuclear Operations, and Performance Based Contracting. He is currently supporting senior federal executives within the the U.S. Department of the Army and the U. S. Department of Energy. Mr. Giangiuli and key members of his team have been active in development and implementation of new key federal environmental risk management and cleanup strategies including Environmental Services Cooperative Agreements (ESCAs) and Guaranteed Fixed Price Remediation (GFPR) contracts. Mr. Giangiuli has also been instrumental in the development and implementation of strategies to accelerate the deactivation and decommissioning of former Defense and Energy facilities which have saved the taxpayers millions of dollars in life-cycle costs.

| | | |

|Ellen M Ardrey |Brad J Holtz |Mary Ann Riner |

|Paul Gregory Baca |Peggy P Johnson |Carl J Schulz |

|Edward Bryan Bernard |Lisa Mallory Lonon |Teri G Spoutz |

|Jeffrey Lynn Chapman |Setsuke McGinnis |Shawn B Stith |

|Jeffrey Lynn Doerr |Frankie Fragale Moran |Amira Tann |

|Mark E Easton |Dennis Scott Perry |Sheree Ann Thompson |

|Joseph V Gluth |Keith Joseph Randall |Robert Joseph Young |

|Richard Kenneth Hartley | | |

Mr. Giangiuli is a graduate of the United States Naval Academy with a B.S. in Systems Engineering and holds an M.S. in Engineering Management from Catholic University. Mr. Giangiuli also serves as a Lecturer in the Catholic University Engineering Management Program instructing graduate students in Engineering Risk Management, Decision Analysis, Systems Analysis and Engineering Economics. Prior to transitioning into commercial consulting, Mr. Giangiuli was a commissioned officer in the nuclear submarine service with an expertise in nuclear reactor and nuclear weapons operations. Mr. Giangiuli retired as a Commander from the United States Naval Reserve and currently holds security clearances with the Departments of Defense and Energy.

Mr. Giangiuli and his wife Maribeth reside in New Market, Maryland with their four children Samantha, Stephanie, Jacob and Sydney.

Chapter News and Information

Workshop Opportunities Available:

Leaders and Study Groups Wanted!

Are you interested in learning more about becoming a Certified Defense Financial Manager (CDFM)? What does it take to become a CDFM and why would I benefit from it? Will learning about CDFM be worth my time and energy? Do I have to take classes and will there be an exam? Where can I learn more about CDFM and will it cost me anything?

If you do not know answers to the above questions we are searching for willing candidates to attend a CDFM workshop to learn more information about the program. If you are already a Certified Defense Financial Manager we are looking for willing candidates to share with others about CDFM and serve as a Group Leader.

 

CDFM will hold a mini workshop in the near future at the Pentagon over the lunch hour. For more information contact: bunnellj@ or consult for more details about CDFM.

If there is enough interest at our first workshop we will conduct future workshops at alternate locations. FIRST, we need to hear from you. Contact CDFM today!!

 

Congratulations to these members certified within the last 31 days:

Business Management Modernization Program (BMMP)

Arming the Warfighter Through Business Improvement

Inside Look: Investment Review Process

By Ms. Beth McGrath, Deputy Director

On June 2, 2005, the Defense Business Systems Management Committee (DBSMC)[i], which serves as the highest governing body for the Department of Defense’s (DoD) business transformation effort, approved the Concept of Operations (CONOPs) and established four investment review boards (IRB). These IRBs represent the approval authorities for the DBSMC. These boards are designed to perform business system investment reviews as expeditiously as possible to provide critical support to the Warfighter. Toward this end, the IRB will certify for approval by the DBSMC all defense business system modernization or enhancements that exceed $1million[ii].

Figure 1 depicts the relationships among the IRB and DBSMC, the designated Under Secretary of Defense for each IRB, as well as the business areas for which each IRB serves as certification authority.

[pic]

Figure 1: Governance structure as established by the

NDAA for FY 2005

What are the Responsibilities of the IRBs?

The four IRBs develop policies to be followed by the Office of the Secretary of Defense (OSD). These boards also describe how OSD investment processes will interface with DoD Components—including Military Departments, DoD agencies, the Joint Staff and Combatant Commands.

The IRBs do not prescribe Component investment review processes and business system investment procedures; however, Components are expected to establish their respective investment review processes to manage their business systems transformation initiatives and to ensure compliance with the FY 2005 National Defense Authorization Act (NDAA). These Component investment review processes and procedures must be consistent with applicable laws, regulations, and the IRB Concept of Operations (CONOPS)[iii].

Figure 2 represents the interface between the OSD and Component organizations.

[pic]

Figure 2: IRB Certification Process

The IRBs certify business system modernizations and enhancements that have a total cost in excess of $1million. These boards also certify modernizations and enhancements to systems or business lines that are designated as OSD Items of Interest[iv].

In conducting investment reviews, the IRB will leverage OMB Exhibit 300 reports, as well as existing Major Automated Information System (MAIS) processes.

Who Are the Key Players For the IRBs?

The NDAA for FY 2005 established a governance organization that reports to the Deputy Secretary of Defense (DEPSECDEF) that is responsible for managing the overall business transformation initiative within the DoD.

With representation from the OSD and from DoD Components, this organization will ensure compliance with the FY 2005 NDAA and drive the Department’s business transformation effort. Toward this end, the Secretary of Defense (SECDEF) has established five Core Business Missions (CBM) as an organizing framework to represent the DoD’s strategic business capabilities.

For each of these business missions, the SECDEF has also assigned responsibility for implementing these capabilities to the following Principal Staff Assistants (PSA): the Under Secretary of Defense for Acquisition, Technology, and Logistics (USD (AT&L)), the Under Secretary of Defense for Personnel and Readiness (USD (P&R)), and to the Under Secretary of Defense, Comptroller (USD(C)). Figure 3 illustrates the relationships among the IRB, the CBM, and the PSA.

[pic]

Figure 3: Core Business Missions

Through collaboration and with a unified approach to the Department’s business transformation, these key players will chart a course that will drive the DoD from its current state of business operations to the desired future state of business operations in support of the Warfighter.

What Are the IRBs Seeking To Achieve?

The primary task for the IRBs is to perform business system investment reviews to provide rapid delivery of critical capabilities to support the Department’s ultimate customer—the Warfighter. In achieving this task, the IRB will:

• Ensure that delivered business capabilities support the warfighting mission

• Enable transformation by ensuring that investments align with DoD strategic mission, goals, and objectives and with Core Business Mission (CBM) capabilities

• Enhance compliance with the DoD Business Enterprise Architecture

• Exploit common processes

• Comply with the legislation, regulations, policies, and procedures outlined in the IRB CONOPS

How Does this Process Work?

Consistency and Streamlining

In order to deliver critical capabilities in support of the Department’s warfighting mission, the DoD revised its approach to managing business systems investment process. This new approach establishes a standard review process that promulgates uniform templates and relevant submission forms. It also utilizes an automated central repository of business system investment information that is necessary for investment decision makers.

In leveraging the Joint Capabilities Integration and Development System (JCIDS) and other existing DoD acquisition requirements, this investment review process employs a collaborative effort among the Department’s Core Business Missions, Components, and Program Managers. This collaborative process will enable the IRBs to shorten the processing time while minimizing the workload for key players in the review process.

Appropriate Levels of Review

To attain unambiguous accountability throughout the investment review process, the IRBs have adapted an approach to investment reviews that is based on dividing the planning and management of investments between DoD Enterprise and Component levels. This approach represents the Department’s tiered accountability for investments and is illustrated in figure 4.

| |Component (PCA) |IRB/CA/PSA |DBSMC* |

| | | | |

|Tier 1 |Participates in |Leverages DAS and JCIDS |Approves |

|ACAT 1AM |acquisition |process | |

|(MAIS) and 1D|management process |- IRB members participate| |

| | |in pre-milestone and | |

| | |milestone reviews | |

| | |- CA certifies | |

| | | | |

|Tier 2 |Reviews and |IRB recommends to the |Approves |

|$10M to less |Pre-Certifies |CA(PSA) who certifies | |

|than MAIS or | |compliancy based on: | |

|CA Interest | |- Component | |

|or Enterprise| |pre-certification | |

|System | |- Analysis of the | |

| | |business case | |

| | |- Impacts to enterprise | |

| | |systems | |

| | | | |

|Tier 3 |Reviews and |IRB recommends to the |Approves |

|Greater than |Pre-Certifies |CA(PSA) who certifies | |

|$1M and less | |compliancy based on: | |

|than $10M | |- Component | |

| | |pre-certification | |

| | |- Review of the business | |

| | |case | |

| | | | |

|Tier 4 |Reviews and approves|N/A |N/A |

|$1M or less | | | |

| | | | |

| |Submits review | | |

| |reports to CA | | |

* DBSMC is not required to meet to sign approvals

Figure 4: Tiered Accountability

This tiered review criterion emphasizes individual program scope, cost, and complexity. It also provides IRBs (or Certification Authorities) with the flexibility to designate specific programs as special interest programs.

Reliable Reporting Capabilities

The confluence of consistency, streamlining, and tiered accountability will enable the Department to meet annual reporting requirements without the need for data calls. This will provide DoD leadership with timely, accurate, and reliable investment information for decision making.

What Have the IRBs Accomplished?

As the Secretary of Defense emphasized, “there will be no moment in time when the Department will be transformed…” Rather, this business transformation effort will see continuous improvements in the DoD’s business operations.

This continuous improvement has seen several noteworthy accomplishments for the IRB since their inception. Most notably, the IRBs have delivered a Concept of Operations that provides guidance to be used by Program Managers, Component and DoD Enterprise Portfolio Managers, and IRB chairs and members. This CONOPS elaborates on applicable regulations, defines governance, roles and responsibilities, certification criteria, required reports, processes, and controls. It also includes samples of IRB charters, certification submission templates, and other important documents.

The IRBs have also begun the arduous yet important process of reviewing and certifying for DBSMC approval all defense business systems modernizations or enhancements that exceed the $1 million threshold for obligating appropriated funds to the Department.

i The Ronald W. Reagan National Defense Authorization Act (NDAA) for fiscal year (FY) 2005 established the DBSMC, with core responsibility for reviewing the planning, design, acquisition, development, deployment, operation, maintenance, modernization, and project cost, benefits, and risks associated with defense business systems investments of more than $1million. The DBSMC is chaired by the Deputy Secretary of Defense.

ii The NDAA for FY 2005 states that funds appropriated to the DoD may not be obligated for a defense business system modernization that will have a total cost in excess of $1million unless—

• The approval authority designated for the defense business system certifies to the DBSMC that the business systems modernization is in compliance with the enterprise architecture; is necessary to achieve a critical national security capability, or address a critical requirement in an area such as security or safety; or is necessary to prevent a significant adverse effect on a project that is needed to achieve an essential capability, taking into consideration alternative solutions.

• The certification by the approval authority is approved by the DBSMC.

iii A copy of the IRB CONOPS may be obtained at the official web site for the DoD’s Business Management Modernization Program (BMMP): dod.mil/bmmp/pages/investment.html

iv An OSD Special Interest Program may be based on one or more of the following factors: technological complexity, Congressional interest, a large commitment of resources, and a program that is critical to achieve a capability or set of capabilities—or a joint program. Exhibiting one or more of these characteristics, however, shall not automatically lead to “Special Interest Program” designation.

DID YOU KNOW?

Worldwide we average 75 shark attacks a year resulting in less than 10 fatalities. In fact dogs kill TWICE as many people per year in the United States alone. Your chances of winning the lottery are higher than that of encountering a shark. Even though the risk is minimal experts suggest keeping in mind the following items to avoid a "Jaws"-like experience:

- Don't swim after dusk or before dawn

- Don't wear shiny jewelry that can be mistaken by sharks for fish scales

- Don't swim alone

90% of new cars do not need to run on premium gas. Some cars do need higher octane — older cars that knock, and cars with high-compression, high-revving engines like Ferraris, Bentleys, Jaguars, Acuras, Mercedes and Corvettes. But 90 percent of new cars don't need it — check your owner's manual. The only difference in regular gas versus premium gas is a higher price at the pump…

Swimming right after eating is dangerous and if you do it, you will get a cramp and maybe drown. Dr. Tim Johnson, ABC News medical correspondent, asked a swimming class what they thought about this comment. They believed it. When he told them it was a myth, they didn't believe him. Even Dr. Jane Katz, inducted into the International Swimming Hall of Fame, can't convince a beginner's swim class that swimming after eating isn't dangerous.

Part of this myth is basically comfort. After you eat you always get tired. The reason is of course your circulation is going to the intestines and sometimes if you try to exercise vigorously you get a stitch.

But even if you get a stitch, or a cramp, it's not life-threatening.

Source:

Greetings from….

The July ASMC Luncheon

Washington Chapter Officers for 2005 - 2006

|Name |Title |E-Mail |Phone |

|CAPT Thomas McQuire |President |thomas.f.mcquire@navy.mil |(703)-693-1321 |

|Beverly Velt |Secretary |beverly.veit@navy.mil |(202) 685-6718 |

|CAPT Carlos Ybarra |Treasurer |carlos.yberra@navy.mil |(703) 697-2326 |

|Elizabeth McGrath |OSD Vice President |Elizabeth.Mcgrath@osd.mil |(703) 695-9715 |

|Lucy Williams |OSD Ass't Secretary |lucy.williams@osd.mil |(703) 697-1101, x115 |

|Robert Benefiel |DFAS Vice President |Robert.E.Benefiel@dfas.mil |(703) 607-2848 |

|Sherri Anthony |DFAS Ass't Secretary |Sherri.Anthony@dfas.mil |(703) 607-0588 |

|Jim Anderholm |Army Vice President |Jim.Anderholm@us.army.mil |(703) 692-4982 |

|Mary Williams |Army Ass't Secretary |mary.r.williams@hqda.army.mil |(703) 693-2818 |

|Ednora Armour-Ohanmu |Navy Vice President |ednora.armour-ohanmu@navy.mil |(703) 614-2768 |

|Brenda LaFleur |Navy Ass't Secretary |LaFleurBL@ |(703) 607-7094 x142 |

|Sandra Wright |USMC Vice President |Wrights@hqmc.usmc.mil |(703) 692-5752 |

|Arlillian Coleman |USMC Ass't Secretary |ColemanA@hqmc.usmc.mil |703-614-1045 |

|Tory Weaver |Air Force Vice President |Tory.Weaver@pentagon.af.mil |(703) 614-5398 |

|Major Graham |Air Force Ass't Secretary |Lasheeco.graham@js.pentagon.mil |(703) 697-9784 |

|Warren Cottingham |USCG Vice President |Wcottingham@comdt.uscg.mil |(202) 267-0484 |

|LT Robert Hart |USCG Ass't Secretary |RHart@elcbalt.uscg.mil |(410) 762-6483 |

|Craig Silcox |Corporate Vice President |Csilcox@ |(202) 533-4296 |

|Brian Boshart |Corporate Ass't Secretary |Brian.boshart@ |(703) 813-1900 x7398 |

Wallet-Sized (cut-out below)

|CAPT Thomas McQuire |President |(703)-693-1321 |

|Beverly Velt |Secretary |(202) 685-6718 |

|CAPT Carlos Ybarra |Treasurer |(703) 697-2326 |

|Elizabeth McGrath |OSD Vice President |(703) 695-9715 |

|Lucy Williams |OSD Ass't Secretary |(703) 697-1101, x115 |

|Robert Benefiel |DFAS Vice President |(703) 607-2848 |

|Sherri Anthony |DFAS Ass't Secretary |(703) 607-0588 |

|Jim Anderholm |Army Vice President |(703) 692-4982 |

|Mary Williams |Army Ass't Secretary |(703) 693-2818 |

|Ednora Armour-Ohanmu |Navy Vice President |(703) 614-2768 |

|Brenda LaFleur |Navy Ass't Secretary |(703) 607-7094 x142 |

|Sandra Wright |USMC Vice President |(703) 692-5752 |

|Arlillian Coleman |USMC Ass't Secretary |703-614-1045 |

|Tory Weaver |Air Force Vice President|(703) 614-5398 |

|Major Graham |Air Force Ass't |(703) 697-9784 |

| |Secretary | |

|Warren Cottingham |USCG Vice President |(202) 267-0484 |

|LT Robert Hart |USCG Ass't Secretary |(410) 762-6483 |

|Craig Silcox |Corporate Vice President|(202) 533-4296 |

|Brian Boshart |Corporate Ass't |(703) 813-1900 x7398 |

| |Secretary | |

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[i] The Ronald W. Reagan National Defense Authorization Act (NDAA) for fiscal year (FY) 2005 established the DBSMC, with core responsibility for reviewing the planning, design, acquisition, development, deployment, operation, maintenance, modernization, and project cost, benefits, and risks associated with defense business systems investments of more than $1million. The DBSMC is chaired by the Deputy Secretary of Defense.

[ii] The NDAA for FY 2005 states that funds appropriated to the DoD may not be obligated for a defense business system modernization that will have a total cost in excess of $1million unless—

• The approval authority designated for the defense business system certifies to the DBSMC that the business systems modernization is in compliance with the enterprise architecture; is necessary to achieve a critical national security capability, or address a critical requirement in an area such as security or safety; or is necessary to prevent a significant adverse effect on a project that is needed to achieve an essential capability, taking into consideration alternative solutions.

• The certification by the approval authority is approved by the DBSMC.

[iii] A copy of the IRB CONOPS may be obtained at the official web site for the DoD’s Business Management Modernization Program (BMMP): dod.mil/comptroller/bmmp/pages/investment.html

[iv] An OSD Item of Interest may be based on one or more of the following factors: technological complexity, Congressional interest, a large commitment of resources, and a program that is critical to achieve a capability or set of capabilities—or a joint program. Exhibiting one or more of these characteristics, however, shall not automatically lead to “Item of Interest” designation.

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PO Box 16237,

August 2005 Arlington, VA 22215-1237

A Defense Business System is an information system, other than a national security system, operated by, for, or on behalf of, the DoD including: financial systems, mixed systems, financial data feeder systems and information technology and information assurance infrastructure, used to support business activities, strategic planning and budgeting, installations and environment and human resources management. (NDAA FY2005, Sec. 332 § 2222 (j) (2))

< $1m

Component

Manages

DBSMC

Financial Mgmt

IRB

WS & MSM

IRB

RP &

IM

IRB

HRM

IRB

Automated Submission

Component PCA

Program Manager

> $1m

IRB certification required

Business System Modernization is defined as the acquisition or development of a new defense business system; or any significant modification or enhancement of existing defense business systems (other than necessary to maintain current services). (NDAA FY2005, Sec. 332 § 2222 (j) (3))

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ASMC Washington Chapter

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