Strong or Weak Procurement System~ Department of Defense The Department of Defense (DOD) is notorious for having a backwards system and carries the most complaints from customers on it acquisition process. The complaints seem to be that the process takes longer, cost more, and deliver less than it should. The Defense Board advised on reforming the entire system. This system will make service chiefs more engaged and accountable in the acquisition process. The chiefs are not engaged and the current system is too complex and uncoordinated. Other challenges include a “malnourished” acquisition workforce with inadequate training. With the workforce, not being promoted quickly enough there is a high turnover and goals are lacking for the tenure senior managers. With the board dissecting the issues, they also cited several other items that the DOD needs to fix. The DOD reporting system is frustrating due to the lack of system engineering expertise. When an employee does not understand what the DOD needs and orders, a wrong part this causes headaches and confusion. The department’s inability to modernize its cyber security and information technology to stay up to date with the ever-growing threat in the technology world. The DOD has a lack of sufficient, two-way partnership with industries where the department engages suppliers early on the cost, scheduling and technical feasibility. Overall, the DOD needs to work on their SOPs to become a more efficient industry. The Defense Board recommended that the DOD incorporate a new acquisition system and revamp all directives and regulations. With some push back the new system needs to retain some aspects of the current system, the board suggested that the new acquisition system should train acquisition professionals to identify, quantify, manage, and mitigate risk. Further recommendation is to engage the service chiefs in the process advising them their inputs are vital to ensuring the needs of the military. This will include military engineers to oversee the development of the systems complex weapons systems. This will help on the confusion of wrong parts ordered and money wasted. They will also need to improve their Cyber-security and IT to formulate a system that less vulnerable to threats. With such an issue with the DOD procurement system, some of the larger companies have contracted to the DOD to provide better services to the military. BAE Systems has contracted out these services and they provide such services to assist the DOD, to better improve their system. BAE Systems has a mission statement in place and follow a detailed SOP to ensure all regulations are adhered by. The mission statement is as follows along with the objective of the SOP.
|BAE SYSTEMS MISSION STATEMENT |
|To proactively provide timely and cost-effective solutions to procurement requirements for our internal program customers, while|
|maintaining the integrity of BAE Systems Support Solutions through strict adherence to established procedures and applicable |
|laws and regulations. (2012)
Related Documents: Contracts and Procurement Essay
and an endowment fund. All City of London services involve procurement. Procurement can range from contracting for an entire service to purchasing small assets such as office equipment. The procurement process does not end at the commissioning or contract award stage, but spans the entire life cycle of the product or service from inception and design through to contract management and disposal of any redundant assets. Effective procurement supports the City of London’s aims and objectives, helping…
Procurement Process Deanna Thele CPMGT/302 January 30, 2012 Pamela Hill Procurement Process Procurement management is the processes to purchase or acquire the products, services or results needed from outside the project team to perform the work. Project Procurement Management involves not just purchasing products, services or results, but also ensuring that those that are purchased are right for the project, meets standards and is based on project requirements. This life cycle includes tracking…
PROJECT PROCUREMENT MANAGEMENT Derrick George Professor Project Procurement Management – PMAN641 October 12th, 2014 Project procurement management involves purchasing products and services in order to complete a project. In order to do that effectively, project managers must plan, establish, maintain, and close relationships with venders who provide the goods and services for the project. The definition of project procurement management from the PMBOK Guide is: “The processes necessary to…
Department with approximately 300 people Negotiated procurement – works best for large purchases i.e., equipment, land, or buildings. Companies require negotiation as part of the process in order to lower the cost of the assets as much as possible. This method will often need different competencies from the procurement office. The technology industry typically negotiated procurement process. During the negotiated procurement process, no one can get from the government, a contractor’s…
Two Types Fraud Related to Procurement Cycle Purchasing process of a company handles the procurement of both tangible resources (such as goods) and intangible resources (such as services). Goods that are acquired by a company may consist of materials, components, supplies, fixed assets or intangibles such as patents and computer programs. The processes of purchase can be illustrated as the following chart. According to the article named Examples of Procurement Fraud, one classic type of…
Construction Contracts Introduction For this assignment the writer is going to discuss the nature and types of construction contracts and will explain the legal responsibilities of the various parties involved in the design and the construction process. Using different types of sources an explanation to the basic principles of contract law and how they apply. From doing this there will then be an explanation to what extent standard forms of contract are special types of contract. Contract that has…
select a suitable procurement strategy for a construction project, there are some issues which need to consider. From all of those issues, there are 3 big issues that mainly affect the selection decision which are time, cost and quality. There is several type of procurement strategy available in market that commonly used for construction project and each of the common method will be analyze and compare to find the most appropriate method for this project. The choice of procurement strategy is very…
How can the private sector benefit from the public sector’s e-procurement experiences? Helena Lindskog Department of Management and Economics Linköping University, Sweden. Abstract The private sector is often highlighted as the forerunner when it comes to adoption of new technologies and new methods of work. However, in the field of procurements including e-procurement through the use of information communication technology (ICT), the public sector is probably well ahead of the private…
Tactics and Techniques Outcome 3 Adele "Global procurement enables firms to pursue the full potential of international sourcing by capitalising on the world's best suppliers (Lysons and Farrington, 2006)" Global Sourcing is a practice of obtaining goods and services from various locations. This type of technique would be a huge benefit for our company beneficially and long term as its cost of labour is better off being kept very low as this means that the product that is being sourced is very cheap…
PROJECT MANAGEMENT What is a Project? A project is a temporary endeavor undertaken to create a unique product, service, or result. The temporary nature of projects indicates a definite beginning and end. The end is reached when the project’s objectives have been achieved or when the project is terminated because its objectives will not or cannot be met, or when the need for the project no longer exists. Temporary does not necessarily mean short in duration. Temporary does not generally apply to the…