Standards and Practices - Federal Center

STANDARDS AND PRACTICES MICHAEL (MIKE) SHOWERS ASSET MANAGEMENT ASSISTANCE, L.L.C. FEDERAL CENTER CHAPTER SEMINAR 1/14/14

HAVE YOU EVER ASKED YOURSELF…. • WOULDN’T IT BE EASIER IF EVERYONE BLANK)?

JUST…(FILL IN THE

• WE COULD DO IT BETTER IF WE JUST….(FILL IN THE BLANK)? • WHAT IS THE TYPICAL REQUIREMENT BLANK)?

FOR….(FILL IN THE

• HOW DOES OUR PERFORMANCE COMPARE • HOW DO OTHER ENTITIES DO THIS?

TO….?

STANDARDS OMB CIRCULAR A-119

• DIFFERENT TYPES OF STANDARDS • PERFORMANCE STANDARD – • SEEKS RESULTS • DOES NOT PRE OR PROSCRIBE METHODS • CONTAINS A CRITERIA FOR MEASUREMENT

• PRESCRIPTIVE STANDARD – • SPECIFICATIONS • METHODS

OR VERIFICATION

VOLUNTARY CONSENSUS STANDARDS • PL 104-113, NATIONAL TECHNOLOGY TRANSFER AND ADVANCEMENT ACT OF 1995 • OMB CIRCULAR A-119 • IMPLEMENTS ACT • REQUIRES

USE BY FEDERAL

AGENCIES IN LIEU OF GOVERNMENT

• DEFINES THE TERM

• PURPOSE • COST REDUCTION • PROMOTE GOVERNMENT

USE OF PRIVATE SECTOR

UNIQUE STANDARDS

DEFINITION OMB CIRCULAR A-119

• “…STANDARDS DEVELOPED OR ADOPTED BY

VOLUNTARY CONSENSUS STANDARDS BODIES, BOTH DOMESTIC AND INTERNATIONAL.”

• AVAILABLE ROYALTY FREE OR REASONABLE ROYALTY BASIS TO ALL INTERESTED PARTIES

FEDERAL ACQUISITION REGULATION PART 45

• ENCOURAGES THE USE OF: • VOLUNTARY CONSENSUS STANDARDS, • INDUSTRY LEADING PRACTICE AND STANDARD • CUSTOMARY COMMERCIAL PRACTICE

NASA POLICY DIRECTIVE (NPR) 4500.1 • FURTHER ENCOURAGES THE USE OF THESE IN NASA CONTRACTS WHEN THEY ARE ADEQUATE TO SATISFY THE

REQUIREMENTS OF THE CONTRACT

• DEFINES INDUSTRY LEADING PRACTICE AND STANDARD

• DEFINES CUSTOMARY COMMERCIAL PRACTICE

NASA POLICY DIRECTIVE (NPR)4500.1 • CUSTOMARY COMMERCIAL PRACTICE: “A DOCUMENTED PRACTICE OR STANDARD ACCEPTED ACROSS AN INDUSTRY DEVELOPED THROUGH A CONSENSUS PROCESS LIMITED TO THAT INDUSTRY”

• INDUSTRY LEADING PRACTICE AND STANDARD “A DOCUMENTED,

PROVEN PRACTICE OR STANDARD THAT EXCEEDS COMMON INDUSTRY PRACTICE OR STANDARD IN PERFORMANCE OR EFFECTIVENESS AND IN COST CONTROL. INDUSTRY LEADING PRACTICES OR STANDARDS PROVE INCREASED PERFORMANCE, OR EFFECTIVENESS IN ADDITION TO DECREASED OR CONSTANT COST THROUGH THEIR ACCEPTANCE AND PUBLICATION IN REFEREED, PROFESSIONAL JOURNALS.”

EXAMPLES OF STANDARDS ORGANIZATIONS • INTERNATIONAL ORGANIZATIONS • INTERNATIONAL ELECTROTECHNICAL COMMISSION (IEC) • INTERNATIONAL TELECOMMUNICATION UNION (ITU)

• INTERNATIONAL ORGANIZATION FOR STANDARDS (ISO) • ASTM INTERNATIONAL

• REGIONAL ORGANIZATIONS

• NATIONAL STANDARDS ORGANIZATIONS • AMERICAN NATIONAL STANDARDS INSTITUTE (ANSI)

ASSET (PROPERTY) MANAGEMENT STANDARDS

• ASTM INTERNATIONAL • E-53 COMMITTEE ON ASSET MANAGEMENT

• ISO 55000

HISTORY • 1998 THE IDEA OF PROPERTY STANDARDS TOOK HOLD, MAJOR BREAKTHROUGH AT NES IN SANTA FE • DEDICATED GROUP RESEARCHED HOW THE PROCESS SHOULD WORK • CHOOSE ASTM, FOUNDED IN 1898, AS THE ORGANIZATION TO MANAGE THE PROCESS OF CREATING VOLUNTARY CONSENSUS STANDARD

• ASTM COMMITTEE E53 PROPERTY MANAGEMENT SYSTEMS WAS FORMED IN 2000 • THE FIRST STANDARDS WERE ISSUED IN 2001

E53 COMMITTEE NAME CHANGE

• E53 COMMITTEE ON ASSET MANAGEMENT • APPROVED ON ADMINISTRATIVE

BALLOT

E53-03 (OCTOBER 2012)

• APPROVED BY THE ASTM COMMITTEE ON TECHNICAL COMMITTEE OPERATIONS (COTCO) APRIL 2013

NEW E-53 SCOPE

THE DEVELOPMENT, MAINTENANCE AND DISSEMINATION OF STANDARD PRACTICES AND PERFORMANCE STANDARDS FOR ASSET MANAGEMENT SYSTEMS AND THE LIFECYCLE MANAGEMENT OF PERSONAL PROPERTY ASSETS

E-53 EXECUTIVE BOARD CHAIRMAN – BILL FRANKLIN, NOBLIS INC.

VICE CHAIRMAN – CINDA BROCKMAN, CONSULTANT A2B TRACKING MEMBERSHIP SECRETARY – KIM DONER, SRA INTERNATIONAL SECRETARY – RICK SHULTZ, JOHN HOPKINS UNIVERSITY/APL MEMBER AT LARGE – AMBER PROPERT, US OFFICE OF UNDER SECRETARY OF DEFENSE ACQUISITION TECHNOLOGY AND LOGISTICS MEMBER AT LARGE – DAVID BARDER, TETRA TECH MEMBER AT LARGE – MIKE SHOWERS, ASSET MANAGEMENT ASSISTANCE, L.L.C. (FORMER NASA)

MEMBER AT LARGE – TAMARA ZAHN, BOEING PAST CHAIRMAN – BOB HOLCOMBE, GSA STAFF MANAGER – KATERINA KAPERNA, ASTM

SUBCOMMITTEES •

E53.01 PROCESS MANAGEMENT

•

SUBCOMMITTEE CHAIRMAN – CAROLYN BUNDY, LEIDOS

SUBCOMMITTEE CHAIRMAN - RICK SHULTZ, JOHN HOPKINS UNIVERSITY/APL •

E53.02 DATA MANAGEMENT

SUBCOMMITTEE CHAIRMAN - CINDY LOCKEN, DCMA •

E53.03 FINANCIAL MANAGEMENT SUBCOMMITTEE CHAIRMAN – RICH CULBERTSON, LOCKHEED MARTIN

•

E53.04 REUTILIZATION AND DISPOSAL SUBCOMMITTEE CHAIRMAN – ROD MILLER, INDEPENDENT

•

E53.05 PROPERTY MANAGEMENT MATURITY

SUBCOMMITTEE CHAIRMAN – ERIC FASSETT, NORTHRUP GRUMMAN CORPORATION

E53.06 TERMINOLOGY

•

E53.07 SUSTAINABLE PROPERTY MANAGEMENT SUBCOMMITTEE CHAIRMAN - OPEN

•

E53.08 MANAGEMENT OF FLEET ASSETS

SUBCOMMITTEE CHAIRMAN – BOB HOLCOMBE, GSA •

E53.10 ISO ASSET MANAGEMENT ACTIVITY SUBCOMMITTEE CHAIRMAN – JIM DIETER, SUNFLOWER SYSTEMS

•

E53.20 UNITED STATES GOVERNMENT CONTRACT PROPERTY MANAGEMENT SUBCOMMITTEE CHAIRMAN – BRANDON KRINER, HARRIS CORPORATION

NPMA AND ASTM • AGREEMENT BETWEEN THE ASTM AND NPMA, • ASTM E53 DEVELOPS AND PUBLISHES THE STANDARDS • NPMA DEVELOPS AND PRESENTS EDUCATIONAL AND CERTIFICATION MATERIAL

• DIRECTOR OF STANDARDS AND UTILIZATION • APPOINTED BY THE NPMA BOARD PRESIDENT AS ONE OF THE NPMA NATIONAL DIRECTORS • LIAISON BETWEEN NPMA AND ASTM • USUALLY BUT NOT ALWAYS CURRENT CHAIRMAN OF E53

ASTM PROPERTY STANDARD COVERAGE

• 27 ACTIVE STANDARDS

• ADDRESS MUCH OF ASSET (PERSONAL PROPERTY) LIFE CYCLE STAGES

• ADDRESS SOME, BUT NOT ALL, OF THE FAR OUTCOMES FOR PROPERTY MANAGEMENT SYSTEMS

OVERALL PROPERTY MANAGEMENT • E2135-10AE1 STANDARD TERMINOLOGY FOR PROPERTY AND ASSET MANAGEMENT • E2279-09 STANDARD PRACTICE FOR ESTABLISHING THE GUIDING PRINCIPLES OF PROPERTY MANAGEMENT • E2452-12 STANDARD PRACTICE FOR EQUIPMENT MANAGEMENT PROCESS MATURITY (EMPM) MODEL • E2675-09 STANDARD PRACTICE FOR PROPERTY MANAGEMENT SYSTEM OUTCOMES • E2936-13 STANDARD GUIDE FOR CONTRACTOR SELF ASSESSMENT FOR U.S. GOVERNMENT PROPERTY MANAGEMENT SYSTEMS

ACCOUNTING

• E2453-13 STANDARD PRACTICE FOR DETERMINING THE LIFE-CYCLE COST OF OWNERSHIP OF PERSONAL PROPERTY • E2378-13 STANDARD PRACTICE FOR THE RECOGNITION OF IMPAIRED OR RETIRED PERSONAL PROPERTY

RISK

• E2495-13 STANDARD PRACTICE FOR PRIORITIZING ASSET RESOURCES IN ACQUISITION, UTILIZATION, AND DISPOSITION • E2608-08 STANDARD PRACTICE FOR EQUIPMENT CONTROL MATRIX (ECM) • E2811-11 STANDARD PRACTICE FOR MANAGEMENT OF LOW RISK PROPERTY (LRP)

RECEIVING, IDENTIFICATION, MARKING • E2605-13 STANDARD PRACTICE FOR RECEIVING ASSETS • E2631-09 STANDARD PRACTICE FOR PHYSICAL PLACEMENT OF AN ENTITYCONTROLLED SUPPLEMENTAL IDENTIFICATION LABEL • E2672-09 STANDARD PRACTICE FOR IDENTIFICATION AND CATEGORIZATION OF TOOLING

• E2606-13 STANDARD PRACTICE FOR RECEIPT NOTIFICATION AS A RESULT OF TANGIBLE ASSET MOVEMENT

RECORDS • E2499-11 STANDARD PRACTICE FOR CLASSIFICATION OF ASSET PHYSICAL LOCATION INFORMATION • E2604-09 STANDARD PRACTICE FOR DATA CHARACTERISTICS OF EQUIPMENT RECORDS • E2812-11 STANDARD PRACTICE FOR UNIFORM DATA MANAGEMENT IN ASSET MANAGEMENT RECORDS SYSTEMS

PHYSICAL INVENTORY

• E2132-11 STANDARD PRACTICE FOR INVENTORY VERIFICATION: ELECTRONIC AND PHYSICAL INVENTORY OF ASSETS

REPORTS AND RELIEF OF STEWARDSHIP RESPONSIBILITY • E2131-09 STANDARD PRACTICE FOR ADDRESSING AND REPORTING LOSS, DAMAGE, OR DESTRUCTION OF TANGIBLE PROPERTY • E2674-09 STANDARD PRACTICE FOR ASSESSMENT OF IMPACT OF MOBILE DATA STORAGE DEVICE (MDSD) LOSS

UTILIZATION (MOVEMENT, AND STORAGE) • E2671-10 STANDARD PRACTICE FOR DEFINING MOVEMENTS, SHIPMENTS, AND TRANSFERS OF TANGIBLE PROPERTY

• E2715-09 STANDARD PRACTICE FOR MOVEABLE PROPERTY STORAGE • E2676-09 STANDARD PRACTICE FOR TANGIBLE PROPERTY MOBILITY INDEX (MI)

• E2497-11 STANDARD PRACTICE FOR CALCULATION OF ASSET MOVEMENT VELOCITY (AMV)

CLOSEOUT AND DISPOSAL

• E2306-13 STANDARD PRACTICE FOR DISPOSAL OF PERSONAL PROPERTY • E2858-12 STANDARD PRACTICE FOR SALES OF PERSONAL PROPERTY • E2607-08(2013) STANDARD PRACTICE FOR CANNIBALIZATION/RECLAMATION OF SERVICEABLE EQUIPMENT COMPONENTS TO SUPPORT DEMAND REQUIREMENTS

UNADDRESSED TO DATE

• UTILIZATION – ACTUAL USE/ASSURING THAT PROPERTY IS USED ONLY FOR THE PURPOSE (CONTRACT) FOR WHICH IT WAS PROVIDED OR AUTHORIZED • SUBCONTRACTOR CONTROL – WORK ITEM SCHEDULED FOR DEVELOPMENT OF A STANDARD THIS YEAR

• PERFORMANCE STANDARDS WITH METRICS

E53 ACTIVITIES/STATUS • COMPLETED GOALS FOR 2013: • UTILIZATION SURVEY RESULTS TO GUIDE DEVELOPMENT OF NEXT STANDARDS • CONTRACTOR SELF ASSESSMENT • TERMINOLOGY REVIEW – COMPARISON WITH ISO 55000 • OUTREACH OPPORTUNITIES – LOCAL CHAPTER, CONFERENCES • EDUCATION – ROLL OUT OF ONLINE “PHASE ONE” CERTIFICATE INSTRUCTION • OPEN OPPORTUNITIES FOR MEMBERSHIP INVOLVEMENT IN THE DEVELOPMENT OF NEW STANDARDS AND REVISION OF CURRENT STANDARDS

• DEVELOPMENT OF E53 SPECIFIC ASTM AWARDS

• DIETER - HESTERMANN AWARD •

NEW SUB COMMITTEE E53.20 US GOVERNMENT CONTRACTOR PROPERTY MGMT.

• REVIEW OF E53 BYLAWS

RECENT ACTIVITY • NEW •

E2936-13 STANDARD GUIDE FOR CONTRACTOR SELF ASSESSMENT FOR U.S. GOVERNMENT PROPERTY MANAGEMENT SYSTEMS

• RENEWED •

E2607-08(2013) STANDARD PRACTICE FOR CANNIBALIZATION/RECLAMATION OF SERVICEABLE EQUIPMENT COMPONENTS TO SUPPORT DEMAND REQUIREMENTS

• REVISED •

E2306-13 STANDARD PRACTICE FOR DISPOSAL OF PERSONAL PROPERTY

•

E2378-13 STANDARD PRACTICE FOR THE RECOGNITION OF IMPAIRED OR RETIRED PERSONAL PROPERTY

•

E2453-13 STANDARD PRACTICE FOR DETERMINING THE LIFE-CYCLE COST OF OWNERSHIP OF PERSONAL PROPERTY

•

E2495-13 STANDARD PRACTICE FOR PRIORITIZING ASSET RESOURCES IN ACQUISITION, UTILIZATION, AND DISPOSITION

•

E2605-13 STANDARD PRACTICE FOR RECEIVING ASSETS

•

E2135-10AE1 STANDARD TERMINOLOGY FOR PROPERTY AND ASSET MANAGEMENT

E-53 PLANS • REVIEW, REVISE AND DEVELOP • MANY CURRENT STANDARDS WILL NEED TO BE REVIEWED AND POSSIBLY REVISED DURING THE NEXT YEAR, VOLUNTEERS FOR TASK GROUPS ALWAYS NEEDED – SEND ME YOUR NAME • WILL NEED SEVERAL

NEW SUBCOMMITTEE CHAIRPERSONS STARTING IN

• DEVELOP PHASE TWO OF EDUCATIONAL

2014

COURSE

• TASK GROUP FORMED FOR SUBCONTRACTOR

STANDARD, LED BY

RICH CUBLBERTSON

• CURRENT WORK ITEMS • PRACTICE FOR FLEET MANAGEMENT – FIRST ROUND OF SUBCOMMITTEE COMPLETED, NEXT BALLOT TO FULL MEMBERSHIP IN EARLY 2014

BALLOTING

STANDARD PROCESS • BEGINS WITH AN IDEA - WRITE IT DOWN • CHECK CURRENT ACTIVE STANDARDS • WORK ALONE OR WITH GROUP - SHARE WORK, PAIN AND GLORY OR GO IT ALONE

• WHICH SUBCOMMITTEE - SUBCOMMITTEE CHAIRMAN MUST APPROVE • REGISTER WORK ITEM - DRAFT STANDARD

IS CLASSIFIED AS A

WORK ITEM

• REVIEW - WORK ITEM GOES THROUGH EDITORIAL TASK GROUP REVIEW • BALLOT - SUBCOMMITTEE FIRST THEN MAIN COMMITTEE • CONGRATULATIONS - IT’S A STANDARD (REVIEW IN FIVE YEARS)

OPPORTUNITIES • SOME DISCUSSION OVER THE NEED FOR ADDITIONAL STANDARDS • NEW SUBCONTRACTING

STANDARD AND FLEET STANDARD BELIE THAT

• CURRENT STANDARDS ARE TYPICALLY STANDARDS OF PRACTICE

• TIME TO BEGIN DEVELOPMENT OF STANDARDS OF PERFORMANCE • ESTABLISH MINIMAL PERFORMANCE STANDARDS FOR PROPERTY MANAGEMENT

• DETERMINE WHAT REAL QUALITY PROPERTY MANAGEMENT • DRIVE CONTINUOUS

IS

IMPROVEMENT ACROSS THE PROFESSION

• BALANCE RISK, PERFORMANCE, AND COST

ISO 55000 • JUST PUBLISHED LAST FRIDAY, JANUARY 10

• HIGHER LEVEL STANDARDS • WORK IN CONJUNCTION WITH ASTM STANDARDS

THOUGHTS

• WOULDN’T IT BE EASIER IF EVERYONE JUST…(FILL IN THE BLANK)? • WE COULD DO IT BETTER IF WE JUST….(FILL IN THE BLANK)? • WHAT IS THE NORMAL REQUIREMENT FOR….(FILL IN THE BLANK)?

• WHAT SHOULD OUR LOSS RATE BE?

STANDARDS CAN HELP ANSWER THOSE QUESTIONS!