Air Force Procurement Workforce Transformation: Lessons from the Commercial Sector

Air Force Procurement Workforce Transformation: Lessons from the Commercial Sector
Author:
Publisher:
Total Pages: 110
Release: 2004
Genre:
ISBN:

The Air Force is in the process of significantly changing the way it purchases goods and services, with the goals of reducing costs and increasing performance to better support its missions. A procurement transformation division was created to lead these implementation efforts, and the new division highlighted two related areas for particular emphasis: (1) implementation of cross-functional teams (commodity councils) to develop strategies for individual commodity groups and (2) procurement workforce development to support implementation. This monograph reviews commercial-sector commodity council activities and skills. A preliminary review of the Defense Acquisition University's and Air Force Institute of Technology's curricula indicate that they currently cover a number of the needed skills; however, there are fewer, if any, opportunities to learn some of the more-sophisticated skills associated with the new purchasing and supply management practices the Air Force is implementing. The monograph's literature review and commercial sector interviews suggest that training programs tend to be multifunctional, involving personnel with diverse backgrounds that are relevant to new practices. Training programs are matched to learning goals; structured classroom or web-based learning is used to develop foundational skills whereas more-applied forms of learning such as formal on-the-job training (OJT) and mentoring programs are used to develop higher levels of expertise. Finally, the monograph includes a framework of metrics to track progress and refine procurement-workforce-development efforts over time.

Air Force Procurement Workforce Transformation

Air Force Procurement Workforce Transformation
Author: John A. Ausink
Publisher: Minnesota Historical Society
Total Pages: 122
Release: 2004
Genre: Business & Economics
ISBN: 9780833036483

To assist the Air Force in the process of significantly changing the way it purchases goods and services, this monograph reviews related commercial-sector activities and skills, suggests models for training programs, and includes a framework of metrics to track progress and refine procurement-workforce-development efforts over time.

Implementing Purchasing and Supply Chain Management

Implementing Purchasing and Supply Chain Management
Author: Nancy Nicosia
Publisher: Rand Corporation
Total Pages: 142
Release: 2006
Genre: Business & Economics
ISBN: 0833039857

The U.S. Air Force plans to improve procurement through the implementation of additional purchasing and supply chain management practices. To emulate the success of commercial enterprises, the Air Force is establishing commodity councils to develop proactive, enterprise-wide strategies for purchasing key Air Force goods and services. This monograph helps the commodity councils approach the market research task. This monograph is organized around the process for conducting market research. It begins with background information, proceeds through the how-to steps for conducting market research, and ends with recommendations for next steps. The authors highlight lessons learned from both a literature review and from interviews with personnel at leading commercial enterprises.

Developing Tailored Supply Strategies

Developing Tailored Supply Strategies
Author: Nancy Y. Moore
Publisher: Rand Corporation
Total Pages: 166
Release: 2007
Genre: Business & Economics
ISBN: 0833041207

Purchased goods and services are an increasingly large proportion of public and private enterprise budgets. Historically, purchased goods and services have accounted for less than a third of an enterprise's budget, but today many enterprises spend more than two-thirds of their budgets on purchased goods and services. Similarly, the Air Force and the Department of Defense (DoD) spend nearly half their budgets for purchased goods and services and an additional sixth on weapon procurement (with only a third going to military and civilian personnel costs). (See pp. 1-6.) Because of the growing importance of purchasing, many enterprises have sought to develop supply strategies for their purchased goods and services. This monograph is intended as a resource for procurement personnel developing supply strategies for the Air Force or DoD. It does not analyze current military procurement practices but rather synthesizes academic, business, and professional literature on developing and applying supply strategies. Its core is a synthesis of nearly a dozen different processes found in the literature.

Adopting New Procurement Methods in the U.S. Air Force. What Skills and Training Are Needed?

Adopting New Procurement Methods in the U.S. Air Force. What Skills and Training Are Needed?
Author:
Publisher:
Total Pages: 2
Release: 2004
Genre:
ISBN:

The U.S. Air Force is adopting widely accepted commercial "best practices" to change the way it purchases goods and services, with the goals of reducing costs and improving performance to better support its missions. Part of this effort involves the implementation of commodity councils teams of technical experts and other stakeholders from different parts of the Air Force who develop corporate-wide strategies for purchasing specific categories of commodities such as medical supplies or computers. This practice is intended to replace the functionally oriented approach in which consumers, commodity-specialists, and procurement professionals work largely in isolation from each other and execute specific purchases rather than taking into account demands across the Air Force. Commodity councils will enable the Air Force to leverage its purchasing power and to manage its contracts more effectively. Implementing commodity councils requires a transformation in the Air Force's procurement workforce. A study of commercial sector experiences with commodity councils conducted by RAND Project AIR FORCE (PAF) suggests that commodity councils require members who possess a wide range of skills, including the ability to use computers, teaming/interpersonal skills, business skills such as creative problem solving, core purchasing and supply-management skills such as cost analysis, analytical and technical skills such as statistical analysis, and contracting skills. PAF analyzed procurement training programs in the Air Force and the commercial sector to determine how the Air Force can best prepare its personnel to adopt new purchasing practices.

Air Force Service Procurement

Air Force Service Procurement
Author: Laura H. Baldwin
Publisher: Rand Corporation
Total Pages: 68
Release: 2005
Genre: Social Science
ISBN: 9780833037145

This research is based on a series of interviews with commercial sector purchasing professionals who are respected by their peers for their successful creation and implementation of what are widely accepted as best purchasing and supply management practices, particularly in the area of service acquisitions. The authors also examine such practices through conference participation and a review of the business literature. They find that commercial firms rely on results-oriented metrics that focus on how acquisition activities support corporate objectives to manage their service acquisition activities. While not a commercial firm, the Air Force can learn from commercial firms' experiences in managing its service acquisitions. The authors recommend a balanced portfolio of performance metrics for the Air Force based on the five major categories of results-oriented metrics that appeared most often in their research: cost, quality, supplier satisfaction, implementation of new initiatives, and special interest items. Commercial firms indicated that in addition to the results-oriented metrics, internal management metrics that track internal customer satisfaction, personnel training and retention, and ethics violations are also important. Selected metrics are reported to top-level executives on a regular basis.

Analyzing Contingency Contracting Purchases for Operation Iraqi Freedom (unrestricted Version)

Analyzing Contingency Contracting Purchases for Operation Iraqi Freedom (unrestricted Version)
Author: Laura H. Baldwin
Publisher: RAND Corporation
Total Pages: 116
Release: 2008
Genre: History
ISBN:

This study examines contingency purchases for Operation Iraqi Freedom made in theater during fiscal years 2003 and 2004 and develops a custom database to determine the extent of contractor support and how plans for the organization and execution of contingency activities might be improved to better support the warfighter in future operations.

Implementing Best Purchasing and Supply Management Practices

Implementing Best Purchasing and Supply Management Practices
Author: Nancy Y. Moore
Publisher: RAND Corporation
Total Pages: 234
Release: 2002
Genre: Business & Economics
ISBN:

Because the U.S. Air Force spends over one-third of its budget on nonweapons purchased goods and services, such purchases are a prime target area in which to seek performance improvements and cost savings. Prompted by a need for improved performance from its supply base, the Air Force has become increasingly aware of the advantages of using market research, contract consolidation, supply base rationalization, and other leading purchasing and supply management (PSM) practices in its dealings with suppliers. To aid the Air Force in its PSM efforts, RAND examined how innovative commercial firms implement such practices in their purchases of goods and services. After a review of the academic and trade literature, the study team conducted a series of elite interviews using a structured questionnaire to gather primary data from "best in class" commercial firms. The key findings are that (1) innovative commercial firms are moving to a strategic, goal-oriented approach to PSM, (2) implementing new PSM practices can take a number of years and often requires significant, permanent change throughout the organization, and (3) the Air Force needs strategies to sustain continuity of support for serious PSM change from one leadership team to the next.