DIRECTORATE OF INTELLIGENCE EMPLOYEE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP81B00701R000200290001-1
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 13
• Document Creation Date: December 12, 2016
• Document Release Date: October 18, 2000
• Sequence Number: 1
• Publication Date: October 30, 1974
• Content Type: BULL

? A '? e/ er
Approved For Releas Rlggi/, W&IARRR,Oggpl 200290081c1t, c. ~- A ? 1'
DIRECTORATE OF INTELLIGENCE EMPLOYEE BULLETIN
The following is a transcript cf remarks made by the Deputy
Director for Intelligence, Edward W. Proctor, at an assembly of~
people from the Intelligence Directorate on 30 October 1974.
Good Morning Ladies and Gentlemen:
STATINTL
I'm Ed Proctor, the Deputy Director for Intelligence. I've arranged this meeting
so that I can talk to you about some of the developments that have taken place
in the Directorate over the last year or two, to tell you where I think we stand
now, and to give you some feeling about what is likely to happen in the future.
In 1972 and 1973 ' we were being criticized both from within the Agency
and from the outside for a number of things. First, it was said that our prod-
uct was not relevant to policymakers' needs. It was said that we were reluctant
to test and to adopt new ways of doing business. We were also being criticized
for our management techniques, particularity in the field of personnel. The natural
reaction of many of the old-timers - and I confess that I was one of them -
was to protest, to say that the critics didn't know what they were talking about,
they didn't understand, and to try to point out instances to refute the charges.
Clearly, some of the charges were overdrawn and perhaps unfair. Others were quite
valid and properly taken. Right or wrong, they were the views held by many to
whom we were responsible, and it was necessary for us to take action. We started
to make changes, to be more responsive, and to make the things we were doing
right more visible.
We have made organizational changes to be more responsive to the express
needs of our policymaker consumers. We created the Office of Political Research
and the Strategic Evaluation Center in OSR. The purpose of these two organizations
was to get behind the so-called facts of a situation and to generate a greater
understanding in depth of the forces and factors that determine and influence how
foreign governments make policy. Obviously, a considerable amount of work in
these fields had already been done before our critics descended upon us, but the
very fact of creating these new organizations has made our work in these areas
clearly more visible. And more importantly, I think, their creation has given impetus
and more consistent direction to these efforts and provided an environment in
which this kind of research and work can be carried out more effectively. Even
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
at this stage of development, I am convinced that the changes were wise and that
they have made a real difference in our product and our consumers' reception.
Much the same things can be said about new tools for analysis. I think we
are making good progress in exploring and experimenting with new methodologies -
I don't like that expression at all - but I'm not yet satisfied that we have made
the bridge between experimentation with new techniques and the adaption of these
new techniques as standard parts of our analysts' tools. Our record in this respect
is uneven - it's very good in economics; fairly good in some areas of military
and geographic research; and I think it's poorest in our work in political analysis.
Much more has to be done along these lines.
We have made landmark changes in the production of current intelligence
with the creation of the National Intelligence Daily, the newspaper. The difficulty
of this accomplishment can only be understood by those who were directly involved
in the task. Those who are now involved in producing the NID have had to change
their way of living. On the whole, though, I am very pleased with the NID as
it stands now, and I think it will be a fixture with us for some time to come.
We have also shifted from the Central Intelligence Bulletin to the National
Intelligence Bulletin. We have done this with much less difficulty but because of
the termination of the DIA Intelligence Summary, there is still more to be done
in making the NIB right.
Without question, the arrangements we have with President Ford and the way
he gets his current intelligence provides us with better access than we have ever
had with any President in the past. Specifically who is from OCI,
sees the President every morning at about 8 o'clock. Dave sits with the President
while he reads special briefing materials and scans the National Intelligence Daily,
and Dave has to know about everything so that he can answer whatever questions
the President may have.
We have also made considerable changes in the structuring of the watch
functions of the Agency. The CIA Operations Center has been transferred from
OCI to the Office of the DDI as part of a program of consolidating the Agency's
watch functions and before long it will truly reflect a center for all kinds of oper-
ations of this sort in the Agency.
Without going into detail, I would like to note the high praise we have received
for our work in some of the other fields, even from some of our most severe
STATINTL
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
STATSPEC
critics. We've received praise for our work in support of the MBFR (Mutual and
Balanced Force Reductions) negotiations and for our SALT support - that is done
by OSR and the SALT Support Staff; for OBGI, on the problems of disengagement
in the Middle East and their work on the Law of the Seas; for OER, for its work
on oil and monetary problems; and for CRS, in support across the
board. By its very nature, the work of other components in the Directorate --
like IAS, CRS, and the various staff elements - is less visible to outsiders,
but I know, and those who get commendations from the outside know, that much
of these identifiable successes could only have been accomplished with the full
and cooperative efforts of these supporting elements.
After more than a decade of relative stability, the last two years have seen
some significant changes in our organization, in what we do and how we do it.
I hope we have come to realize that change is normal, because there are going
to be many more changes to come. What these changes will be specifically is not
yet clear, but I can identify some of the factors that will generate change in the
future.
First, there is the hard fact that money and slots will be much tighter than
even now. I don't expect any significant reduction in the number of slots in the
Intelligence Directorate. In fact, the Directorate as a whole has not lost many
slots over the past few years, and our funds have increased steadily. However,
we will continue to adjust how these resources are allocated within the Directorate.
Some of the things we do now, though useful and important, will have to give
way to new tasks of higher priority. The dropping of the NIS Program and the
establishment of OPR and SEC are examples of this.
The second factor of change will clearly be developments in the world. Some
topics and some geographic areas which have been of lower priority will become
higher priority simply because of world developments; for example, the problems
of the Middle East and Europe have become far more important than they were
five or ten years ago.
The third element of change will be that sooner or later the people who
are involved in the formulation of US policy will change, and with that change
there will be changes in the way we do business. It seems to be a matter of principle
that one administration does not do business the same way as the previous
administration.
STATINTL
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
Fourth, somewhere along the line - and ['m not predicting anything on this -
there will be changes in the leadership of the Agency and the Community. These
will create changes in the management and procedures that we follow. All one
has to do is to look at what has happened over the last two years to get some
feeling of what might happen in the future.
Fifth, there will be some changes in how Congress oversees the Agency and
the legislation governing our operations. I don't foresee these changes impacting
directly on this Directorate, but I believe that such changes will be good for the
nation and that they will benefit the Directorate indirectly.
And sixth, changes will be originated by me, as I feel that conditions require
them. All these factors for change -- resource restraints, changes in priorities,
changes in our consumers. changes in Community leadership, and all the others -
will combine to present us with new challenges. In our reaction we must be far
more flexible, more adaptable, more willing to accept and to adjust to change
than we have ever been in the past. In this respect I see several positive
achievements:
First of all, you should look forward to the development of the SAFE Project
that. CRS is managing. It's an ambitious and challenging program to provide
computer support to analysts in the reading of their mail and keeping of their
files and organizing their data.
Second, there will be increasing pressures to allot more money to the
application of new techniques. I foresee the increased use of external research
contracts to supplement our own research, and we will be expanding our contacts
with the academic world on the outside.
Finally, there will be a marked increase in our foreign travel programs and
in our specialized training programs.
Let me now turn to management, All that I have said so far should indicate
that we must be good managers of our resources. We must become alert to new
developments that will affect our operations, and we must be better planners to
anticipate and be prepared to solve problems before they are flat upon us. In
no other area is this more important than in how we manage our people. There
is no question in my mind that the people in this Directorate - you people, your
skills, your competence and experience, your imagination and initiative, and above
Approved For Release 2001/03/04: CIA-RDP81 B00701 R0062-002VOMP 17-
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
all your integrity - are the most important asset we have. It is for this reason
that we are focusing our management efforts at this time in this area.
We have recently issued a Personnel Handbook so that everyone will know
what our policies are with respect to such important things as promotion, training,
and travel and so that you will know how to press grievances and how to get
counseling.
We have also recently instituted an Advancement Opportunities Program on
a pilot basis to give qualified clericals the opportunity to shift into professional
positions, and much more along these lines will be forthcoming. We must do much
better than we have in the field of equal opportunity. This is a problem that
will be with us for some time and the solutions are very difficult.
I think we have a very good esprit (le corps, and I want to improve it. But
not at the expense of our cooperation with other elements of the Agency and
the Community as a whole. We in the Directorate have a role in the intelligence
process. There is plenty for all of us to do. The watchword as far as relations
with the rest of the Agency and the Community are concerned must be cooperation.
In this respect there are problems that still must be solved.
How do we interface with the IC 'Staff? I am sure that this will improve.
I am sure that Sam Wilson, who is now head of that staff, will do everything
in his power to make our relationship with that staff effective.
Second question. How do we adjust to the NIO system? I know there are
difficulties, but I am confident also that these difficulties will be ironed out, if
for no other reason than because most of the people involved are reasonable and
professional in their attitude, and because the tasks that we have before us are
so clearly important.
The third question is: What's to become of the Key Intelligence Question
(KIQ) and KIQ Evaluation Program (KEP) business? This is clearly a difficult
question, and all I can see is that time and experience will solve it to the extent
it will be solved. Mr. Colby knows that there are problems with it and is willing
to make adjustments, but he is determined to make something like this work.
It is our role to help him do that.
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
To sum up, I think we are doing our job very well. Some of the severest
critics are coming around. On the whole I believe that we are better than any
other intelligence organization in the world, but we cannot be satisified with this.
There is always room for improvement. I know from past experience that there
are many of you in this audience who will be pushing for changes and improve-
ments, so that we will be able to accomplish the things that I have outlined above,
and I want to encourage you to push to make your suggestions so that we can be
better.
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
NATIONAL FOREIGN ASSESSMENT CENTER
11 October 1977
MEMORANDUM FOR: All NFAC Employees
Today, the Director of Central Intelligence has
established the National Foreign Assessment Center, which
brings together the members of the National Intelligence
Staff and the Directorate of Intelligence. Attached is a
short paper which explains the purposes of NFAC, how it
will operate, and the roles of various officers and com-
ponents under the new arrangement.
The primary objective of the new organization is to
produce the best possible intelligence. Success depends
on the contribution of each of you. We count on your
cooperation and assure you of our support.
STATINTL
STATINTL
Robert R. Bowie
Director
Sayre Stevens
Deputy Director
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
National Foreign Assessment Center
In his recent Directive the President reaffirmed the DCI's
"full responsibility for production of national intelligence in
appropriate consultation with departmental analytic centers."
National intelligence is in effect that intelligence which the
President and the National Security Council expect the DCI to
provide, from the fully coordinated National Intelligence Estimate
to the short, informal memorandum prepared by a single production
office, from the product of extended research to immediate current
intelligence.
To facilitate the meeting of these responsibilities, the NIO
and DDT organizations are being merged into a new National Foreign
Assessment Center. This new structure is intended to remove
organizational barriers which have artificially segmented the
process of producing national intelligence. It will provide for
the same degree of Community participation as in the past, but will
recognize as well the national importance of much of the Center's
own product. It also establishes a foundation upon which new
efforts to improve the quality of our finished product can build.
The merger has some well defined purposes:
- To consolidate analytical resources to cope with the
full range of production responsibilities including
those involving coordinated national intelligence.
- To allow for the development of a program of national
intelligence analysis and production that will result
in the most effective -- and least disruptive -- use of
our limited analytical resources.
- To provide the basis for a concerted effort to improve
the national intelligence product and the analytical
capabilities of the combined NIO and DDI organizations.
- To establish mechanisms to ensure the introduction of
skills and knowledge outside the Intelligence Community
into the intelligence production process.
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
- To improve and toughen the critical review of key
intelligence products.
- To maintain developed procedures for producing
coordinated national intelligence and for fostering
the interdisciplinary treatment of key intelligence
problems.
Achieving these purposes will require that we adopt some new
operating styles, procedures and organizational mechanisms. The
new organization should:
- Achieve genuine integration of the functions of the
two groups.
- Allow concentration on substantive matters at the
highest levels of the organization.
- Enable upper management to work directly with the
analysts in dealing with specific intelligence
problems.
- Give high priority to the formulation and imple-
mentation of a program of production and research
which reduces competitive demands on analysis in
favor of its programmed allocation.
- Ensure that the Community voice is preserved in
National Intelligence Estimates -- our most
important product -- while not overemphasizing the
distinction between "Community" and "Agency" national
intelligence products.
- And above all else, develop an ubiquitous concern
for the excellence of our product.
Procedures will be developed and organizational changes made
where they are required to achieve the objectives of the consolidation
and the style of operation sought. An early task will be the develop-
ment of procedures that will ensure:
- Program formulation and oversight with the full
participation of those involved in directing the
research and analysis from both the disciplinary
and issue-oriented points of view.
- A critical review from outset through completion of
major intelligence products that incorporates perspec-
tives drawn from outside the Intelligence Community.
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
- A systematic program to enhance the analytical capabilities
available for the production of national intelligence.
- The maintenance of close relations with those collection,
processing, and R&D elements of the Community on which
our analytical activities rely.
The only major organizational changes now contemplated are the
merger of the Offices of the Deputy to the DCI for National Intel-
ligence and of the Deputy Director for Intelligence, and of the
National Intelligence Officers with the Center for Policy Support.
These changes will result in a single front office supported by a
single substantive staff for the entire organization.
The leadership of the Center will consist of a Director, a
Deputy Director and two Associate Directors. They will function as
the central management team responsible for the formulation and
supervision of the substantive production programs of the Center.
An approximate distribution of responsibilities among these four
positions is as follows:
- The Director will be responsible for the full range of
Center's activities, but his principal activity will be to serve as
the principal substantive alter echo to the DCI. In this capacity,
he will give special attention to improving the quality of National
Intelligence Estimates and other papers prepared for the senior
policy community. He will work directly with the senior officers
and analysts engaged in the process of preparing these papers. He
will also have immediately available to him the services of a Review
Panel and outside experts for substantive review and critique of
major production efforts.
- The Deputies. In addition to their joint responsibilities
to support the Director in his production management and substantive
responsibilities, each of the Deputies will have specified primary
responsibilities to execute in behalf' of the Director. They will
all participate with the Director in a Production Board responsible
for the formulation and oversight of the production program.
- The Deputy Director will serve as the principal Deputy to
the Director and as his alter echo. In addition to this respon-
sibility, his major concern will be the day-to-day management
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
and direction of the substantive research program, giving special
attention to the development and strengthening of the analytical
skills available for the production of national intelligence.
- The Associate Director for Management will, in addition
to his substantive responsibilities as member of the Production
Board, be the principal officer responsible for resource manage-
ment and administration within the Center.
- The Associate Director for Substantive Support will be
the principal officer responsible for directing the provision of
short term substantive papers, presidential and congressional
briefings, and the production of current intelligence. One
objective is to assure the high quality of current intelligence
while ensuring that its demands do not interfere unduly with those
activities directed toward longer term, more deeply analytical
production.
- The National Intelligence Officers, in addition to their
current functions, will assume those formerly carried out by the
Center for Policy Support, and serve the Director as staff for
the Center as a whole. They will report directly to the Director
for substantive guidance and direction. Each NIO will have the
following responsibilities within his field:
- Maintenance of close liaison with policy officers
and other principal users.
- Coordination and supervision of Community-wide
national intelligence production programs, with
emphasis on National Intelligence Estimates.
- Coordination and monitoring of interoffice or
interdisciplinary intelligence programs.
- In conjunction with the production office directors,
developing, monitoring and advising the Director
on the production program.
- Serving as senior staff officers to the DCI and
the Director in such capacities as they may direct,
and especially as the DCI's representatives in
the Policy Review process.
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
- The Office Directors will continue to be responsible
for the management of their respective offices and for the quality
of their products. They will give particular attention to develop-
ing and improving analytical capabilities and to the formulation
for the Production Board programs of research and analysis within
their substantive domains that anticipate and are responsive to
the needs of the policy community. They will participate in all
Production Board deliberations affecting their offices.
In addition to these organizational accommodations to the
consolidation, two new bodies will be established in pursuit of its
principal objectives:
- A Review Panel will consist of a small group of generalists,
mainly recruited from outside and serving full-time; they will be
attached immediately to the Office of the Director to provide him
with an independent review of major intelligence production. There
will also be a number of more specialized part-time consultants,
who will supplement the Review Panel as needed. Production office
directors and National Intelligence Officers may be called on to
serve as members of review panels. The Review Panel will be served
by the existing staff of the DDI Coordinator for Academic Relations,
which will function as its Secretariat.
- A Production Board will be the principal mechanism for
shaping the focus and content of the integrated intelligence pro-
duction program. It will function as a collective body to advise
the Director on all aspects of intelligence production and research.
It will be chaired by the Director and its membership will include
the Deputy and Associate Directors, production office Directors, and
National Intelligence Officers. The (Board will, from time to time
in the interest of efficiency, establish Panels to work up programs
and perform other appropriate functions. The Production Board will
be served by a Secretary responsible for overseeing the process of
program formulation and monitoring its implementation.
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1
 Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001 -1
22 December 1977
As we enter the holiday season I want to thank you for
your contribution to our joint efforts. To my regret, an
unexpected press of business has prevented me from attending
many of the Christmas parties. My apologies, my thanks again,
and my best wishes to each of you and to your families for a:
Merry Christmas and Happy New Year.
Robert R. Bowie
D/ NFAC
STATINTL
Approved For Release 2001/03/04: CIA-RDP81 B00701 R000200290001-1